S2156-2013 Actions

• Jan 14, 2013: REFERRED TO FINANCE

S2156-2013 Memo

BILL NUMBER:S2156

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 and charitable organizations 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  charita-
ble  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 Gener-
al 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 philan-
thropy.  Universities  and  colleges  statewide,  and professional trade
associations would be permitted to offer the  course  through  classroom
training and/or by distance learning.

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 scan-
dals, in particular the Bernard Medoff catastrophe, point out that there
is need for transparency and maximum accountability. In order to encour-
age education in professional responsibility in the field of philanthro-
py, 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:   Similar legislation was introduced in 2011
A.1441/S.2695.

FISCAL IMPLICATIONS: None.

EFFECTIVE DATE:  This act shall take effect immediately.

S2156-2013 Text

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