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On entering power in 1999, the Labour-Alliance government sought to acknowledge the widespread disquiet amongst voluntary sector leaders about government contracting, funding and the perceived mistreatment of the voluntary sector.

Improving the government–voluntary sector relationship was part of their social policy agenda. This was based on a belief that they would need to work with voluntary organisations to address difficult social problems (Maharey, 2003).

One of the Government’s first acts was the creation of a new portfolio - Community and Voluntary Sector - and the appointment of a Minister Responsible for the Community and Voluntary Sector. The Hon. Steve Maharey, the first such Minister, led a number of policy initiatives.

2.2.1 Community and Voluntary Sector Relationship Working Party and Steering Group

One of the flagship initiatives was the establishment of the Community and Voluntary Sector Working Party in August 2000. It comprised voluntary sector and government representatives and was tasked with reporting on how the government–

voluntary sector relationship could be improved. The Working Party report, Potential for Partnership: Whakatopu Whakaaro, was published in April 2001 (Community and Voluntary Sector Working Party, 2001). The government agreed to the Working Party’s recommendations and established a Community–Government Steering Group in September 2001, to oversee implementation.

Improving resourcing and accountability was one of the two major work areas.

Good practice guidelines and on-line resources were developed in order to help government agencies recognise the diversity of the voluntary sector, and interact appropriately with voluntary organisations.

2.2.2 Statement of Good Intentions for an Improved Community–Government Relationship

In November 2001, the Prime Minister signed a Statement of Intentions on behalf of the Government to signal its commitment to build strong and respectful relationships with the voluntary sector. It made six commitments:

Culture of Government. Government expects public servants to treat all New Zealanders with dignity and respect. This requires leadership from public service chief executives and senior managers to ensure that all staff have a good understanding of the values, governance arrangements and working realities of the community, voluntary and iwi/Maori organisations with whom they interact.

Whole of government approach. Government recognises that community, voluntary and iwi/Maori organisations interact across a range of government ministries and departments. Government agencies will give priority to working together, breaking down ‘silos’ and establishing co-ordinated, inter-sectoral policies and programmes.

Treaty of Waitangi. Government expects its departments and ministries to recognise and apply the principles of the Treaty of Waitangi.’

Participation in decision making. Government values the contribution of community, voluntary and iwi/Maori organisations to good policy making and delivery of effective services. Government agencies and the community sector will work together to develop and improve consultation processes through sharing good practice, guidelines, workshops and training.

Government funding to community organisations. Government acknowledges the valuable contribution made by community, voluntary and iwi/Maori organisations to the achievement of shared social, cultural, environmental and economic goals. Government agencies will, together with the community

sector, undertake a programme of work to address concerns about funding arrangements, effectiveness, compliance costs and related matters.

Strengthening the community sector. New Zealand’s social, cultural, environmental and economic well-being requires a healthy and strong community sector. Government will work alongside community, voluntary and iwi/Maori organisations to support and strengthen the community sector (Ministry of Social Development, 2001: 2-3).

The degree to which the Statement of Intentions is adhered is not known. As it does not specifically bind any government agency, and there does not seem to be any formal evaluation or monitoring of its implementation, it is not known how important it is in guiding departments’ interactions with voluntary organisations.

2.2.3 Office of the Community and Voluntary Sector

The Office of the Community and Voluntary Sector was established in September 2003. Its role is to develop policy specific to the voluntary sector and work alongside government departments to facilitate a positive working relationship with voluntary organisations. Since its inception it has prepared a series of good practice guidelines. With a small staff and a wide brief, the Office has been set a challenging role.

2.2.4 Establishment of the Charities Commission

Policy and legislation to introduce the Charities Commission is currently being developed. The Commission will register and monitor charities. Its aim is to improve the sector’s accountability to the community by ensuring they operate for the purposes for which they were established, and by increasing the level of transparency and public disclosure of information (Ministry of Economic Development, 2004b). The role of the Commission will be to approve and register charities; receive annual returns and monitor the activities of charities; to educate, advise and support charities to ensure that they comply with their core regulatory obligations; and to provide advice on New Zealand’s charities to the government (Ministry of Economic Development, 2004a).

2.2.5 Contracting Guidelines

In 2001, the Treasury issued its Guidelines for Contracting with Non Governmental Organisations for Services Sought by the Crown, in recognition of the widespread and unregulated practice of government agencies contracting with voluntary organisations (The Treasury, 2001). The guidelines were revised in 2003 after consultation with the voluntary sector and government departments. Their aim is to encourage better contracting practices, from both voluntary sector and government perspectives, by encouraging government agencies to improve their relationships with voluntary organisations. However, as they are only guidelines, government agencies are not compelled to adopt the recommendations.

The Community–Government Relationship Steering Group surveyed government agencies to investigate responses to the guidelines. They found only a few agencies had developed substantial changes to practice in line with the guidelines (Community-Government Relationship Steering Group, 2002). Respondents interviewed by Treasury officials during the process of revising the Guidelines also questioned the ability of officials to implement them (The Treasury, 2003).

2.2.6 Improving Service Delivery

Concern over the performance of the state sector led to the appointment of a Ministerial Advisory Group in 2001. The Group’s report in late 2001, Report of the Advisory Group on the Review of the Centre, highlighted the need to achieve better integrated service delivery. Co-ordination of service delivery, both from government and non-government agencies, was identified as a weakness of the public management system (Advisory Group on the Review of the Centre, 2001).

The Integrated Service Delivery work programme was established. Officials undertook a review of New Zealand and international literature on collaboration, undertook field work and drew on previous government reports. The findings were used to develop the good practice guidelines issued in 2003, Mosaics: Whakaahua Papariki: Key Findings and Good Practice Guide for Regional Co-ordination and Integrated Service Delivery (Ministry of Social Development, 2003). The Guidelines present ideas about how collaborations can be best managed, with

specific sections for how to manage government–voluntary organisation collaborations.

A number of subsequent projects stemmed from the Integrated Service Delivery work stream – Funding for Outcomes being a major one (Ministry of Social Development, 2004). The aim of the project is to accelerate the process of implementing an integrated approach to government contracting with voluntary organisations. Funding advisors have been contracted to work on behalf of voluntary organisations to ‘join-up’ their contracts with government. Having one contract, with one set of reporting requirements, it is hoped will reduce the organisations’

compliance costs of contracting with government and allow voluntary organisations to provide ‘wrap-around’, or holistic services, to their clients. As of April 2004, the advisors had been appointed, organisations involved in the trial identified, and the evaluation plan developed.

2.2.7 Summary: Policy Context

A wide range of projects are underway to try to improve the Government’s relationship with the voluntary sector. As in other jurisdictions, the policy documents talk about collaboration and partnership. Commentators in other jurisdictions (refer section 1.4 for summary of the debate) have questioned the actual ability of governments to have ‘partners’. Most of the initiatives outlined here are either still being implemented or have recently been established, so have not yet evaluated. Their contribution to improving the government–voluntary sector relationship remains uncertain.