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Our BC 2021 Budget Submission

Our BC 2021 Budget Submission

Our BC 2021 Budget Submission

Planning: Strategy & Workforce

by Vantage Point | Jul 2, 2020

This year was Vantage Point’s second time making a submission for the BC Budget Consultation to the Select Standing Committee on Finance and Government Services. Of course, this year looked very different than other years, with the COVID-19 pandemic playing a major role in the way we approached our recommendations.

To prepare this submission we gathered input from our members, spoke to BC not-for-profit umbrella organizations, co-led a virtual gathering of 90 not-for-profits leaders that came together to speak to the budget process. We also reflected on many other convening conversations about COVID-19 we’d held since March 2020 and the input from 1119 BC not-for-profit leaders that were documented in our No Immunity Report.

We were heartened to see that the Budget 2021’s Consultation Paper stated that “supporting… not-for-profits throughout the pandemic is vital to BC’s response to and recovery from COVID-19.” We advocated that the not-for-profit sector is in fact essential to ensure the wellbeing of individuals and communities in British Columbia.

In this submission we ask the Provincial Government to:

1. Create a $500 million stabilization fund for the not-for-profit sector

Not-for-profits have been heavily called upon to assist those impacted by the COVID-19 crisis – through access to food, housing, mental health supports, and other necessities. We urged the Provincial government to invest in the not-for-profit sector to ensure not-for-profits will survive this crisis. Both front line organizations directly supporting those affected by pandemic, to arts and culture organizations that are so critical for wellbeing.

2. Use an equity lens to invest in province-wide internet access, connectivity, and infrastructure

Now more than ever, the world is relying on internet and mobile access. We heard from many not-for-profit organizations of the urgency to address this issue in BC. Especially for vulnerable populations and rural communities, some services can only be accessed virtually.

3. Invest in the Ministry of Citizens’ Services to create a home for the sector in government

In our budget submission last year, we recommended that the Government of British Columbia establish a home for the not-for-profit sector in government. We recognize that some not-for-profits operate under the jurisdiction of certain ministries, but there are vast portions of the sector that do not have a central ministry to turn to for direct collaboration with government and support. We argued that now is a critical time that calls for clear lines of communication between the Provincial Government and the not-for-profit sector.

We encourage you to read the full submission and reach out to Omar Dominguez at odominguez@thevantagepoint.ca with any feedback.

Author

Vantage Point

We are a team of passionate and dedicated not-for-profit professionals dedicated to providing not-for-profits with high quality leadership training. We are here to set you up for success. Learn more about our team at www.thevantagepoint.ca/about/our-people/

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Charitable Donations – Tax Receipts & Fair Market Value

Charitable Donations - Tax Receipts & Fair Market Value

Board: Effective Governance

by Vantage Point | Jun 18, 2020

This blog was originally posted on the Manning Elliott website


The most important benefit that Canadian registered charities receive is the ability to issue "official donation receipts." When a donation is made to a charity, the charity has the ability to issue a donation receipt which will be tax-deductible to the donor.

Although a charity is not legally required to issue a donation receipt, it usually does so as an incentive to donors. The charity must issue receipts with very specific information.

The Canada Revenue Agency (CRA) suggests that registered charities issue receipts by the last day of February of the calendar year that follows the year of the donation. This allows individual taxpayers to claim their donations on their annual income tax returns.

When Can a Charitable Donation Receipt be Issued?

Before a charitable donation receipt can be issued, a charity must first determine if the donation is a gift. A gift is a donation that is given freely, and not as a result of an obligation. In addition, the gift has to be a transfer of property, i.e., a gift of service is not eligible for a donation receipt.

Split Receipting

Split receipting is required when a charity receives a donation but provides an advantage to the donor (an advantage being when the donor receives something in return for the donation). Therefore the amount on the donation receipt is reduced by the value of the advantage provided to the donor. For example, if a charity gala ticket costs $300, but the value of the meal and entertainment provided is $100, the charity would issue a donation receipt for $200.

There is an exception from split receipting when the advantage is less than $75 or 10% of the donation, whichever is less. In that case, a receipt can be issued for the full value of the donation, meaning no reduction is required.

No receipt can be issued if the advantage exceeds 80% of the donation, as the CRA considers the donor to have no real intention of making a gift.

How to Determine Fair Market Value

To determine the eligible amount of a gift for tax purposes, a charity must know the fair market value of the donation, as well as the fair market value of the advantage provided to the donor, if any. If a charity is unable to determine the fair market value of either the gift or advantage, a tax donation receipt cannot be issued.

The Canada Revenue Agency (CRA) indicates that fair market value, "is usually the highest dollar value you can get for your property in an open and unrestricted market and between a willing buyer and a willing seller who are knowledgeable, informed, and acting independently of each other."

For gifts of $1,000 or less, someone within the charity with knowledge of the gift may determine the value of donated goods for tax purposes. However, if the gift is to be appraised at an amount higher than $1,000, then it is strongly recommended by CRA that an independent, professional appraiser prepare a donation appraisal report to determine the value of the gift. The donation receipt should also show the name of the appraiser who established the value.

A record of how the fair market value was determined should be maintained by the charity. A charity cannot issue an official donation receipt in the name of anyone but the true donor. The name and address of the donor must appear on the tax donation receipt, in addition to several other key pieces of information.

Donation Receipt

The 12 key areas that need to be completed on an official donation receipt are as follows:

  1. Receipt number;
  2. Charity name;
  3. Charity address;
  4. Charity registration number;
  5. Date of the donation;
  6. Donor's first name, initial, and last name;
  7. Address of the donor;
  8. The total amount of the gift received;
  9. The eligible amount of the gift received for tax purposes (which takes into account the FMV and any advantage);
  10. The date the receipt was issued;
  11. Location the receipt was issued; and
  12. Authorized signature of the charity.

If the gift is non-cash, some additional items need to be included on the donation receipt, such as the description of the donation and, if applicable, the appraised amount and the appraiser's name.

We are Here to Help

Manning Elliott is here to help if you have any questions about tax receipting and fair market value as it relates to charitable donations. To submit an inquiry, please contact a member of our NPO team.


The above content is believed to be accurate as of the date of posting. Tax laws are complex and are subject to frequent changes. Professional advice should be sought before implementing any tax planning. Manning Elliott LLP cannot accept any liability for the tax consequences that may result from acting based on the information contained therein.

Author

Manning Elliott

Manning Elliott is a CPA firm with offices located in Vancouver, Burnaby, Surrey, and Abbotsford British Columbia, Canada. We provide personalized accounting and business advisory services to companies operating within a wide range of industries in seven major practice areas: Tax, Private Company...

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Our Letter to the Prime Minister

Our Letter to the Prime Minister

Culture: People First

by Vantage Point | Jun 12, 2020

Letterhead Header

Rt. Hon Justin Trudeau, PC, MP
Prime Minister of Canada
House of Commons
Ottawa, ON
K1A 0A6

June 10, 2020

Subject: Increasing Federal Government Support for the Charitable and Not-for-Profit Sector

Dear Prime Minister,

We are joining colleagues across Canada to emphasize the urgency of a federal proposal to support and strengthen charities and nonprofits across the country.

In the face of our global emergency, BC's not-for-profit and charitable sector has been called on to provide a soaring level of support to the Government of Canada, its businesses, and the public. From the provision of front-line essential health services, to supporting victims of domestic violence, and deploying volunteers safely, the not-for-profit sector is vital to the safety and wellbeing of our country. But the impact of the COVID-19 pandemic on the not-for-profit sector needs your urgent attention and action.

Vantage Point exists to uplift and support nonprofits across BC. One of our core principles is to meet nonprofits and their leaders where they are at, adapting programs and services to reflect the capacities of the organizations we serve. We see ourselves as representing portions of the sector often left our of conversations - smaller organizations, volunteer-run or with small staff teams, organizations facing all the pressures of other business.

The not-for-profit sector in British Columbia

British Columbia's not-for-profit sector is vast in size, scope, and impact. It consists of over 25,000 societies providing immeasurable value to the economy and lives of people across British Columbia. These organizations also provide a crucial source of employment for more than 86,000 people and contributes up to $6.69 billion in programs and services across the province.[1]

Despite the fundamental impact on the quality of life for Canadians, not-for-profit organizations languish under economic policies and regulations which undermine our efforts. In 2019, the Senate report on the Canadian charitable sector found that while community-based organizations are resilient and innovative, our potential is limited by complex, outdated rules and a lack of coordinated government support.[2]

Here in British Columbia, we released the No Immunity report to highlight the early impacts of COVID-19 on BC’s charities and nonprofits.  At the time of data collection in April, of the 1,119 respondents, 23% did not think they can stay open past 6 months and 74% were experiencing reduced revenue from fundraising. As overburdened not-for-profit employees experience increasing difficulties delivering essential services, our deep concerns for the sector also grows. Our colleagues at Imagine Canada estimate the projected financial losses for registered charities alone to be between $9.5 billion and $15.7 billion.

Here is what is at stake for our sector and the Canadian public:

  • Services to racialized populations and social justice support. Urban Indigenous, Black, and immigrant communities have been particularly affected by the pandemic. Our sector is the primary provider of skills, language and literacy training, justice and social equity support, anti-racism resources and programs as well as advocacy for these communities.
  • Support for women. Charities report that domestic violence is intensifying under lockdown, with additional support needed to engage children who are experiencing violence at home. Women and their families will need additional support to find safety and support.
  • Mental health services. Whether by directly providing mental health services, or providing Canadians with a semblance of normalcy (e.g. through amateur sports or arts), our sector will be at the forefront of helping Canadians cope with the experience we have all shared.
  • Services to people with disabilities. Charities and nonprofits ensure people with disabilities have a voice through advocacy efforts and a valuable place within society through career support, social activities, training, accessibility workshops, and more.
  • Childcare services, after school programs, and day camps. These are vital to ensure parents are able to return to work. If charities and nonprofits are unable to offer these services, there will be disproportionate impacts to women and single-parent families.
  • Services to seniors. Services provided by these organizations help seniors deal with isolation imposed by the pandemic and the resultant deleterious mental and physical health consequences.
  • Environmental sustainability. These organizations are crucial for creating the kind of recovery Canadians want. From the preservation of ecosystems, to the protection of threatened species, and the development of sustainable solutions for communities, their work needs to continue.
  • Health services and support. These organizations play an important role in preventative care, matching individuals to the right services, and providing support that enables individuals experiencing health problems to enjoy a higher quality of life.

At the outset of the pandemic, our sector identified the need for a grant program to ensure that organizations can survive, adapt to changed circumstances, and position themselves to actively contribute to the recovery. The financial measures announced so far have met a portion of what is required for those who are eligible, but much remains to be done. We urge you to work with your colleagues – primarily the Minister of Finance and the Minister of Families, Children, and Social Development – to finalize and implement a grant program that recognizes the unique situation facing charities and nonprofits, the efforts they have continued to make to serve their communities in unprecedented circumstances, and the role that they can and must play in Canada’s recovery from COVID-19.

We urge you to expand the criteria used to make policy and investment beyond a narrow focus on business and employment growth. Our current policies make sense when the metrics for economic success are based on GDP growth. But if the measure of success was to maximize public wellbeing, then the focus of infrastructure stimulus investment would look very different. Under this lens, it is clear that our sector is here to support common government objectives and that we need to work closer together. Our sector is Society’s Partner in Wellbeing. We encourage you to call on our expertise to inform and improve public policy decisions in ways that maximize public wellbeing. We urge you to engage in conscientious dialogue with our sector and to work together to recover from the pandemic, build healthy communities, and a resilient economy. Investing in, working with, and supporting the sector improves the lives of all people all Canadians.We encourage you to work with our sector to develop and incorporate a national wellbeing strategy to the stimulus spending that will be required to recover from the crises our nation is facing.

We look forward to your response.

Sincerely,

Alison Brewin
Executive Director
Vantage Point

cc: Hon. Bill Morneau, PC, MP
Minister of Finance
Hon. Ahmed Hussen, PC, MP
Minister of Families, Children, and Social Development


[1] Please see infographic attached.  

[2] Mercer, T., Ratna Omidvar. (2019). Catalyst for Change: A Roadmap to a Stronger Charitable Sector. Ottawa, Ontario: Senate Special Committee on the Charitable Sector. 190.

 

 

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Author

Alison Brewin

As Executive Director, Alison Brewin is responsible for executing the Vantage Point’s mission and vision. Alison graduated with a Law Degree from the University of Victoria in 1991 and was called to the Bar in 1992. Throughout the 1990s, she worked in non-profit management, as political assistant...

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The Implications of Covid-19 in the Downtown Eastside

The Implications of Covid-19 in the Downtown Eastside

Culture: People First

by Vantage Point | May 28, 2020

I had the pleasure of interviewing Mebrat Beyene, Executive Director of WISH Drop-in Centre Society, earlier this month, and am happy to be able to share with you what I learned throughout our conversation. We talked about the challenges residents of the Downtown Eastside and the organizations supporting them face, and the incredible work they are doing to find solutions. Below is a condensed version of the interview; I invite you to find the full version at the bottom of this page if you would like to know more about this important perspective on a core community in the Vancouver area.


As most Lower Mainland residents have no context for what it is like to be part of the Downtown Eastside (DTES) community or work closely with the residents of the DTES, I’d like to ask you a few questions to give an idea of what your work is like. Why is it crucial to be inclusive of this community? Where do we get reliable information about what is happening? And how can we show our support? So, with all that in mind, thank you for taking the time to speak with me and I’m looking forward to hearing what you have to say.

First, what does WISH stand for and how does its mandate look?

WISH’s original name is Women’s Information Safe Haven. Our mandate is to support women in street-based sex work, and we have a vision that every woman should have the opportunity to make safe, healthy, and positive choices.

Before COVID-19, what would you have said were the biggest challenges facing residents in the DTES?

Ironically, the biggest challenges are not much different. What we are seeing now is just an exacerbation of all those issues. The biggest challenges are all stemming from our collective inability to address poverty on a larger, more comprehensive scale, and the other impacts of poverty: homelessness, housing crisis, adequate supports for mental health and [physical] health (so we can address safe drug supply and the ongoing opioid crisis). We’re now just seeing them at a level that is even more dramatic and that I think people outside of the DTES are sort of paying attention to and are feeling a little bit of the shock of it now…

Your answer plays right into my next question: Getting more into our current reality, how have those challenges changed or been impacted? What I’m taking away is people are seeing how this is an issue which affects everybody as the situation becomes more dramatic.

It is an issue that affects everybody; but if we put an equity lens on everything as we typically do, it is affecting everybody differently. What we are seeing in the DTES right now is not even the effect of positive COVID results yet. It is the effects and the impacts of less access to services, supplies, sanitation, and income.

For the women we support, sex workers would have been the first people to really feel the impact of dramatic and sudden loss of income. So once again, it’s coming back to issues of poverty, racism, stigma, discrimination, criminalized communities, criminalized activity, and the harm of all those issues compounded – with the existing crises of poverty, homelessness, and the opioid crisis.

Is there an example you can give of how COVID-19 has compounded the pressures organizations are under – given the pre-existing challenges like the opioid crisis?

The opioid crisis was a huge problem to begin with, and the number of people we lost due to the opioid crisis far surpasses COVID; except this time COVID is affecting people who are not drug users, who aren’t in the DTES, not poor, not street-based sex workers. In terms of pressures compounding organizations and residents, drug use does not stop[1]. Whatever dependencies you have aren’t going to magically stop. There are fewer drugs available, or they’re harder to get or afford.

Safe drug supply has been made possible, which is revolutionary and remarkable that City Council passed [that motion]. Getting it to happen on the ground is slower. People are not able to access physicians for prescriptions or access their meds or their drugs quickly, so we are seeing people who are dope-sick and in withdrawal. They are put in even more of a desperate situation so the ability to make safe and healthy choices is getting harder.

Secondly, all the measures we have put in place for physical distancing is also having an impact on peoples’ ability to use together and to keep each other safe in case of an accidental overdose. With restrictive guest policies being mandated to contain COVID, people can’t have guests in their rooms who may have been their spotters – the person who would revive them or call for help. For sex workers who rely on trading sex for their income – and where drug use and drug acquisition might be tied in with sex work – it’s the same challenge. Not only are they cut off from their ability to make money, they are also compromised in their ability to obtain their meds and their drugs.

You mentioned a term earlier: “Dope-sick”, is that another word for withdrawal?

Yes. And it’s interesting because sometimes it can look like some of the symptoms they’re talking about with COVID. It’s been interesting to see the shift in response because these might be symptoms we deal with all the time so it’s really challenging to be able to keep light on the fact that these were emergencies we were already dealing with before COVID.

Knowing the DTES is a tight-knit community in many ways where people are dependent on each other for survival, does this look the same throughout the COVID-19 crisis? Is there anything workers are doing to promote the safety of the community specific to the pandemic (physical distancing, for example), or is this a non-option and why?

Without safe housing, and with spaces now limited, closed, or reduced in some way, there are fewer places for people to just “be” in the community. Sidewalks are more crowded. There is no physical distancing happening. I think the combination of the logistics aren’t even possible (if all the services have provided meals to-go because communal eating is now unsafe, people with to-go containers have nowhere to eat. They congregate in parks, on sidewalks, and benches). If all your services, connections, and friends are in that ten-block radius, you’re going to stay.

And to your question “are workers doing anything to promote safety…” Yeah, all of us are coming together. There are entire networks within the DTES of different groups of service providers connecting all week long around community-wide responses. We are looking at: “Are there any unused spaces that can be activated?” Empty lots which can be expanded in the same way WISH has done with our secure back lot. That’s the community-led response I’m talking about.

Is there an example of what collaboration between not-for-profits / other support services in the DTES looks like?

There are so many examples! I think we naturally collaborate and partner. Right now, what we’re seeing is quite broad and selfless despite funding that can typically risk pitting us against each other or competing for funds. But I’m seeing something rising above that and really challenging that trope and structure. We’re borrowing materials and supplies from each other. If one organization can make a purchase for another – that’s happening right now!

One great example within the last couple days: WISH had been working to get our back lot as an extension of our services and a washroom trailer out back as a much safer solution than port-a-potties (and to avoid some of the tragedies we’ve seen with the port-a-potties) but we were stuck waiting for funding. Union Gospel Mission stepped in to see if they can help fund the rental of a washroom trailer on our lot. That’s beautiful! (Since the interview, the bathroom project has been approved. WISH now has a 24/7 access washroom trailer on site.)

What could others – individuals and governments – do to help you achieve those priorities?

Don’t guess at what is helpful – just ask. Don’t say “Hey, I have this idea for a program!” [laughs]. Every single non-profit – if you provide cash donations, we can do so much more with that. If you supply the cash, we can use it in the most efficient way. If non-profits are asking for physical donations, pay attention to what kind. A lot of times out of good will people bring things down that are not helpful or that we can’t use, and we then have to deal with sorting or disposing of it, using staff time that should be directed towards delivering programs, instead.

Trust the organizations with long-standing relationships and expertise, that they will leverage your funding and get it done in the most appropriate way.

Is there anything else you want people to know I have not addressed?

I would encourage people to think about the DTES as a neighbourhood deserving as much respect, attention, and dignity as any other neighbourhood… and to think about the inconveniences and hardships people are experiencing now due to COVID may only be a tiny fraction of what the DTES experiences on a daily basis. If people are feeling a bit of panic about where their next paycheque is going to come from, and if anyone has experienced panic in this time around “Oh wow! There’s not as many things on the shelves as before,” just imagine that, times 50, every single day. I wonder if this could be an opportunity for people to have a little more humility and compassion for what it must be like to live in poverty with multiple health and safety emergencies 24/7.


[1] If someone is drug-dependent, suddenly abstaining from all use can result in dangerous or deadly withdrawal symptoms.

 

Open an accessible PDF of the full interview in a new tab here.

Author

Rowan King

Rowan takes care of the marketing and communications side of Vantage Point. He designs the newsletters you see in your inbox, edits the videos and podcasts you stream, populates the social media feeds you follow, and more! Rowan has a passion for accessibility and information collection (i.e.,...

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No immunity: The Impacts of Covid-19 On Our Sector

No Immunity: The Impact of Covid-19 on Our Sector

Culture: People First

by Vantage Point | May 13, 2020

As of November 18, 2020, the second No Immunity survey is available until December 7, 2020. We ask every organization to select one leader to take 15 minutes to respond to the survey to support accurate results on how COVID-19 has impacted BC's not-for-profit sector.


Vantage Point exists to lift and support not-for-profits across the province. When COVID-19 hit, we immediately reignited our core purpose - to convene, connect, and equip not-for-profit leaders. We saw our history of providing training and one-on-one support in governance, planning, HR, and leadership was needed more than ever.

Another part of our team focused on the convening and connecting aspects of our core purpose. Early on, we saw the value of a sector-wide survey. As active participants in national discussions with organizations like the Ontario Non-profit Network, Imagine Canada, SaskNonprofit, Volunteer Canada, and others, it was obvious how helpful data could give perspective to our sector’s needs and experience. Alone, Vantage Point simply did not have the capacity. We could see subsectors, especially the arts community, managed to collect data about their subsectors and were beginning to communicate their findings throughout their respective communities.

In our interactions with the Vancouver Foundation and the City of Vancouver, it became clear many players were considering surveys. The Victoria Foundation joined us and with a combination of resources – human and otherwise – we collaborated to create the BC Non-Profit Impact Survey.

A special thank you to Trina Isakson and Kylie Hutchinson, who were able to support the partnership with their data and research analysis skills and produce a draft report in record time.

What have we learned?

We heard the deep need for information and support regarding funding sources and opportunities. We will leverage Vantage Point’s knowledge of funders, revenue development, and grant writing to support the sector.

COVID-19 has uncovered the impact of decades of pressures to limit spending in our organizations only to direct program delivery. The ‘overhead myth’ pushing our organizations to limit investment in contingency funds, technology, employee benefits, and stable governance is part of what has created the precariousness of our vital work.

The results show us the resiliency and optimism of this sector – although the optimism is more for our own organizations than the whole sector. As we begin to recognize the digital divide which has always existed throughout the growing use of technology, the challenges organizations have are transitions to cloud-based home offices, relying on outdated software and hardware, and bridging the gap between the technology available and the lack of capacity to access it. Clearly, we look to the private sector for support in these areas, and Vantage Point can contribute to advancing opportunities for private/not-for-profit partnership.

We also hear the unique challenges of our arts, sports, and recreational subsectors. The Arts are central to our recovery as we process the impacts of this crisis together. Sports and recreation organizations are central in keeping many of us healthy and active. They give opportunities to gather and play with our own communities and chosen families. Festivals, tournaments, events, and arts groups are designed to showcase and celebrate all British Columbians' lives. We will continue to work with umbrella organizations like the Arts Alliance to align our advocacy work to ensure our sector's full scope is understood and visible to decision-makers in the province.

And Vantage Point will seek solutions to the challenges equity-seeking groups have in participating in surveys like this. We will strive to make the needs of our most vulnerable organizations central to the dialogue. While surveys like this can tell a story, we must always pay attention to stories that fall through the cracks, supporting people with disabilities, Indigenous voices, LGBTQ2+ British Columbians, refugees and newcomers to Canada, and those marginalized by income inequality.

Thank you to everyone who was able to participate. We look forward to continuing our support of the sector in all its diversity.

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Author

Alison Brewin

As Executive Director, Alison Brewin is responsible for executing the Vantage Point’s mission and vision. Alison graduated with a Law Degree from the University of Victoria in 1991 and was called to the Bar in 1992. Throughout the 1990s, she worked in non-profit management, as political assistant...

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