REPORT TO FINANCE, ETHICS & STRATEGIC PLANNING … · Sponsorship 4 Grant 4 Donation (including unconditional gift, bequest or endowment) 4 The difference between sponsorship, grants

REPORT TO FINANCE, ETHICS & STRATEGIC PLANNING COMMITTEE

Sponsorships, Grants and Donations Policy (A06/1396)

Report dated 30 October 2006 from the Director, Corporate and Technical Services about areview of Council’s sponsorship policy.

Recommendation: That Council adopts the draft Sponsorships, Grants and DonationsPolicy.

Purpose of Report

This report recommends the adoption by the Committee of an amended policy onsponsorship, grants and donations. The draft policy has been prepared after consideration ofthe ICAC guidelines entitled ‘Sponsorship in the public sector’ published in May 2006.

Background / Introduction

Grants and donations are currently being considered and dealt with outside a stated policy.The existing sponsorship policy can be replaced by a comprehensive new policy tocommunicate a clearer message to the private sector about sponsorships, grants anddonations.

Additionally, Speedo’s sponsorship of lifeguards has ended and the Bondi and Beaches Unitwould like to promote this opportunity to the market soon, preferably with a new sponsorshippolicy.

The attached draft draws on the ICAC guidelines and also combines sponsorships, grantsand donations into one document for the guidance of the private sector and staff.

Sponsorships and grants are functionally similar and could be dealt with as one category.However, in this document ‘sponsorship’ refers to private sector support for Council activitiesand ‘grant’ refers to Council support for community activities.

The policy does not provide a ‘manual’ for staff on all details of handling sponsorships,grants and donations. This is appropriate for internal guidelines, which could be preparedseparately.

The policy is broken into four sections:

Overview (including definitions, proposal suitability and other issues)

Assessment (including process, considerations and approval)

Agreement (including written requirement and typical terms and conditions)

Monitoring (including assessment during and after the agreement)

At the end, the concept of sponsorship packages is illustrated with a table. The documentfinishes with a recital of ICAC’s Ten Sponsorship Principles.

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The following additional points are noted:

The policy is to be reviewed every two years.

Tax exempt aspects of Council activities ie charitable trust and library, are mentioned

specifically under donations (p6).

Council’s ban on alcohol sponsorship is to apply only where children and youth activities

are involved (p8). It is considered reasonable to allow alcohol sponsorship of other

activities.

The Statement of Business Ethics referred to (p10) has not yet been submitted to

Council. However it has been endorsed by the Executive Team and will be submitted to

Council as soon as practicable.

Third parties involved in co-sponsorships etc are to operate consistently with the main

proposal approved by Council, therefore they require Council’s approval (p17).

Analysis

The draft policy updates Council’s policy to be consistent with ICAC’s guidelines and is alsoseen as an opportunity to provide a clear and robust basis for seeking new sponsorships,providing grants and making or receiving donations.

I recommend that the Committee adopt the draft policy.

Financial

Sponsorship arrangements supplement Council’s existing income. In particular, theSpeedo sponsorship of lifeguards has expired and obtaining a new sponsorship is apriority.

The policy is not expected to alter the current levels of grant funding or donationsprovided by Council, or donations received by Council, although these are dependent onapplications received.

Management Plan

Reviewing the policy on sponsorship is a part of the income diversification strategy,which is a Management Plan target.

Consultation

No external consultation has occurred on this draft policy. Internally, the draft policy wascirculated widely, including discussion at Senior Management Team and ExecutiveTeam meetings.

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Comments were received from the Divisional Managers of Integrated Planning andCommunity Consultation, Human Resources and Organisational Development, Bondiand Beaches, and Finance and Information Systems and Services, as well as theExecutive Officer to the General Manager. Their comments have been taken intoconsideration in preparing the draft policy.

The Executive Team has endorsed the draft policy.

Timeframe

The new policy would commence when approved by Council.

Recommendation:

That Council adopts the draft Sponsorships, Grants and Donations Policy.

Bronwyn KellyDirectorCorporate and Technical Services

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Sponsorships,Grants andDonations*Policy

*Includes unconditional gifts, bequests and endowments

AUTHOR Rob Hogan

DEPARTMENT Governance, Administration and Executive Support

DATE CREATED September 2006

DATE REVISED N/A

DATE ADOPTED BY EXECUTIVE TEAM October 2006

DATE APPROVED BY COUNCIL

NEXT REVIEW DATE

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Table of contents

1. OVERVIEW 4

Meanings 4

Sponsorship 4

Grant 4

Donation (including unconditional gift, bequest orendowment) 4

The difference between sponsorship, grants andadvertising 5

The difference between sponsorships, grants and jointventures and consultancies 5

Reasons for Sponsorships 5

Reasons for Grants 5

Reasons for Donations 6

Sponsoring Council’s events, activities, programs, assets, orservices 6

Where Council provides a grant 6

Need for a Policy 6

Benefits 7

Sponsorships 7

Grants 8

Donations 8

Unsuitable proposals 8

Suitable proposals 9

Sponsorships 9

Grants 10

Donations 10

Other policies and legislation 10

General 10

Where Council provides a grant or donation 10

2. ASSESSMENT 12

How to apply 12

Where Council is seeking sponsorship 12

Where you are asking Council for a grant 12

Where you are asking Council for a donation 13

Where you are making a donation to Council 13

Assessing proposals 13

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SPONSORSHIPS, GRANTS AND DONATIONS POLICY 3

General 13

Community Benefit 13

Checklist 14

Approval 14

3. AGREEMENT 16

Written agreement 16

Activating a sponsorship, grant or donation 16

No requirements where you make a donation 16

Typical terms and conditions for a sponsorship orgrant 16

4. MONITORING SPONSORSHIPS AND GRANTS 18

During the agreement 18

After the agreement ends 18

5. SPONSORSHIP PACKAGES 19

Funding levels 19

6. ‘TEN SPONSORSHIP PRINCIPLES’ FROM ICAC 21

FOR MORE INFORMATION ABOUT THIS POLICY …

CONTACTDivisional Manager, Governance, Administration and Executive Support,Waverley Council

PHONE 9369 8000

FAX 9369 1820

ONLINE www.waverley.nsw.gov.au

EMAIL [email protected]

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Sponsorships,Grants andDonationsPolicy

1. Overview

Meanings

Sponsorship

Council defines sponsorship as a commercial arrangement inwhich a sponsor provides a contribution in money or in kind tosupport a Council activity in return for certain specified benefits.

Sponsorship can be provided by the corporate sector or privateindividuals to support Council’s activities.

Adapted from: ‘Sponsorship in the public sector’, ICAC,May 2006.

Grant

Council describes the assistance it provides to communityorganisations as ‘grants’.

A grant is normally understood as a form of financial assistancethat funds an individual or organisation to develop a specificproject. It may also include in kind assistance such as theprovision of Council facilities or services. A grant is generallygiven with directions about the administration of the grant.

Donation (including unconditional gift, bequest or endowment)

A donation (including an unconditional gift, bequest orendowment) is a provision of cash or other items of value withno return benefits expected. The person or organisationproviding these may request a modest acknowledgment or thatthe provision be used for a particular purpose. These are notsponsorships or grants.

Council, an individual or an organisation may make a donation,except that only an individual can make a bequest.

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The difference between sponsorship, grants and advertising

Advertising is the licensing of Council space for commercialsignage for cash or in kind returns over an agreed period.Advertising is not a sponsorship or grant. However, advertisingmay be offered as part of a sponsorship or grant proposal.

The difference between sponsorships, grants and joint venturesand consultancies

Joint ventures are business relationships between Council andprivate or public sector individuals or organisations to conduct ajoint project. Consultancies are business relationships withexternal individuals or organisations that provide expert adviceor services to Council. These are not sponsorships or grants.

Reasons for Sponsorships

Council provides an enormous number of services to thecommunity. As a modern public organisation, we know thatworking with the private sector and the community allows us todo it better.

Often, it is the private sector that can provide additional fundsand expertise to ensure that Council can provide a much betterservice than otherwise. In all cases, the benefits should bemutual and the winners should be the Waverley community, aswell as our private sector and community organisationassociates.

By using sponsorship, Council can ensure that Waverleycontinues to receive quality services and be a vibrant,welcoming and inspiring place to live, work and play.

Reasons for Grants

Council acknowledges the important role that communityorganisations have in improving community life.

Council can ensure the delivery of local services by providingfunds and resources to community groups. Council worksclosely with community organisations to ensure that funds aredirected towards priority areas.

Council will expect that these funds and resources will be usedfor the activities for which the community organisationrequested the grant.

Depending on the facts of each case, a grant may or may notattract GST. If you are seeking a grant from Council, you maywish to contact your financial adviser or the Australian TaxOffice to establish if GST applies.

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Reasons for Donations

Council recognises that there are many situations where it isappropriate to make a donation.

Where Council makes a donation, these situations includewhere it is made to a charity or community organisation for itsgeneral purposes, or where the amount is too small to warrantthe expense of administering it.

If you are considering making a donation to Council for one ofits activities, you may wish to contact your financial adviser orthe Australian Tax Office to establish if GST applies. This maybe the case if you are expecting benefits in return beyond asmall acknowledgment, in which case you may actually beoffering a sponsorship.

However, certain activities of Council have formal taxexemptions, including Council’s Library Gift Fund and Council’sCharitable Trust. GST will not apply to donations to theseactivities and donations are tax deductible.

Sponsoring Council’s events, activities, programs, assets,or services

Council may invite the private sector to sponsor a Councilevent, activity, program, asset or service in return for specifiedbenefits.

Where Council provides a grant

Council may agree to provide a grant for a community event,activity or program in return for specified benefits.

In particular, Council is interested in proposals which:

promote and provide for the needs of children, young people,or other target groups identified in Council’s Social Plan;

protect, restore, enhance and conserve the environment;

promote and provide cultural activities and programs;

promote and enhance community safety.

Please ensure that you read ‘Other Policies and Legislation –Where Council makes a grant’ on page 11.

Need for a Policy

This policy has been prepared after due consideration of theICAC guide ‘Sponsorship in the public sector’, May 2006.

ICAC’s ‘Ten Sponsorship Principles’ are set out on page 20.

This policy will guide the private sector, communityorganisations and Council staff in how to deal with sponsorship,grant and donation issues.

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Some important aspects are:

defining sponsorship, grant and donation;

suitable and unsuitable proposals;

procedures for seeking sponsorship;

procedures for authorising sponsorship, grant and donation;

entering agreements with Council;

maintaining public confidence in the way we make objectivedecisions;

ensuring that Council and the community obtain strongbenefits from the sponsorship, grant or donation association;

ensuring fairness, so that all interested organisations andindividuals have equal access to the benefits of associatingwith Council;

ensuring that Council is not prevented from carrying out itsduties.

Council may review this policy at any time but must review itwithin two years.

Benefits

Sponsorships

If you sponsor Council’s events, activities, programs, assets, orservices, you may be able to access some or all of thesebenefits:

naming rights;

acknowledgment as a sponsor with your logo in Councilcommunications;

invitations to Council events;

access to Council premises for functions;

static display of name and logo on Council property;

media launch of the sponsorship;

publicity opportunities;

merchandising opportunities;

permission to use images of Council property, activities, andCouncil logos;

reciprocal website links.

You should refer to ‘Sponsorship Packages’ below on page 19.

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Apart from these tangible benefits, sponsorship is anopportunity to raise your profile, promote your key messagesand build new relationships with other stakeholders and thecommunity.

Grants

If Council provides a grant, Council may require some or allof these benefits:

naming rights;

acknowledgment as a grant provider with logo in yourcommunications;

invitations to your events including the opportunity for aCouncil representative to speak;

static display of Council’s name and logo on your property;

public launch of the grant;

publicity opportunities;

merchandising opportunities;

permission to use images of your property, activities andlogos;

reciprocal website links;

in certain circumstances, the right to sit on yourorganisation’s management committee.

Donations

There are no specific benefits sought from a donation.

However, a donor can make a donation with suggestions ordirections and the recipient should, as far as possible, respectthose wishes.

Unsuitable proposals

Council will not offer a grant or donation, or agree to receive asponsorship, where Council decides that your activities orproposals:

conflict with Council’s values or objectives;

do not support or further Council’s values or objectives;

damage health;

come from, or are connected with, tobacco or tobacco-related products;

come from, or are connected with, alcohol or alcohol-relatedproducts, if the proposal involves activities concerningchildren or youth,

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except where the proposal is from a hotel, licensed club orrestaurant in the Council area

and provided that the hotel, licensed club or restaurant doesnot expressly advertise alcohol or alcohol-related products inconnection with a sponsorship, grant or donation;

are connected with Council’s regulatory functions, includinglaw enforcement, regulatory enforcement, building anddevelopment consents, or health and building surveyors,

except lifeguard services,

or unless Council confirms in writing that the sponsorship,grant or donation will not preclude or limit Council exercisingits regulatory functions;

impede or potentially impede Council from carrying out itsfunctions;

will require Council to give, or appear to imply, a strongexplicit endorsement of the products and services of thesponsor or grant recipient, or the giver or recipient of adonation (this does not necessarily exclude naming rightsand branding opportunities);

do not pass Council’s evaluation of quality and suitability ofproducts or services involved in a sponsorship, grant ordonation;

do not show a genuine readiness or capability to carry outthe obligations or expectations of a sponsorship, grant ordonation.

In deciding if a proposal is unsuitable, Council will consider theactivities of any persons or organisations that appear to beinvolved in carrying out the proposal, even if they did not submitthe proposal.

Suitable proposals

Suitable proposals are those which are not unsuitable asoutlined above.

Council wishes to have relationships with reputable individualsand organisations whose values and objectives do not conflictwith Council’s.

Sponsorships

Where Council is seeking sponsorship, you may be able toconnect your sponsorship with Council’s:

events;

activities;

programs;

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assets; or

services.

Grants

Where Council is being asked for a grant, it will be to help yourcommunity organisation conduct:

events;

activities; or

programs;

that have direct benefit to the residents, owners and businesseswithin the Council area.

Donations

Where Council is being asked for a donation, it will be:

for charitable purposes that may or not relate to the Councilarea;

for the general purposes of a community organisation withinthe Council area; or

where Council considers that the amount is too small tojustify the expense of administering it.

Council may decide to treat a request for a donation as arequest for a grant or a request for a grant as a donation.

Where Council accepts a donation, Council will respect thewishes of the donor as far as possible.

Other policies and legislation

General

Council has a number of other policies that may be relevant toyou. You should at least refer to Council’s Code of Conduct forStaff, Code of Conduct for Councillors and Statement ofBusiness Ethics. It would be helpful if you referred to Council’sManagement Plan, which gives an outline of Council’s strategyand planned initiatives.

Generally, Council operates under the Local Government Act1993, although a range of other State and Federal legislationand regulation also affects Council.

Where Council provides a grant or donation

Where Council provides ‘financial assistance’ to others, Councilis required to follow certain requirements, including giving atleast 28 days’ public notice of a proposal to pass a resolution togrant financial assistance.

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Notice is not required if:

the assistance is part of a specific program which has beenincluded in Council’s Management Plan; and

the program’s budget does not exceed 5% of Council’sincome from ordinary rates for the year; and

the program is uniformly available to all or a significant groupof persons within the area; or

part of a program of graffiti removal work.

You should refer to Section 356, Local Government Act 1993.

Even if Council does not need to give public notice, it maychoose to do so.

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2. Assessment

How to apply

Where Council is seeking sponsorship

Council staff will usually develop an annual list of events,programs, activities and assets for which we may wish to seeksponsorship.

If approved by the Director of the relevant business area and bythe General Manager, the sponsorship will become available.

We will normally promote the sponsorship opportunity to theopen market. This may include direct advertising or promotions,or invitations to submit expressions of interest, quotes ortenders. However in special circumstances we may decide thatit is appropriate to contact specific potential sponsors or groupsof sponsors. We may combine a number of these methods andconduct the process in stages, such as a shortlist stage, beforerequesting additional submissions.

You may choose to respond to all or part of the sponsorshipopportunity, unless we stipulate otherwise. We may choosefrom different applicants to sponsor different aspects or thesame aspects of the sponsorship opportunity.

On the other hand, if you have approached Council with asponsorship opportunity, it will still need to be approved in thesame way. Council reserves the right to advertise or promotethe opportunity to other potential sponsors, unless there arespecial circumstances.

Council can decide to cancel or suspend a tender or otherprocess at any time in whole or part in its absolute discretion.Council has no liability to any applicants for loss, expense oractual or potential damage suffered.

Where you are asking Council for a grant

Council will generally request submissions for grants from timeto time, by advertising the request or by including the request inother communications such as a Mayoral column in a localnewspaper.

Council may determine specific criteria for some grants andthese criteria will be available at the time Council requestssubmissions.

You will need to complete and submit an Application for Grant.

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If approved by the responsible Council officer, your Applicationwill be assessed.

Where you are asking Council for a donation

You will need to request a donation in writing, stating thecircumstances of your request.

If approved by the responsible Council officer, your request willbe assessed.

Where you are making a donation to Council

If you wish to make a donation to Council, you should contactthe General Manager’s office.

Assessing proposals

General

Council will, as far as practicable, adopt the same approach tosponsorships, grants or donations.

Where Council is being asked to provide a grant or donation, anobvious exception is where Section 356 of the LocalGovernment Act 1993 applies. You should read ‘Other Policiesand Legislation – Where Council provides a grant or donation’on page 11.

Where Council is seeking sponsorship, the benefits offered tosponsors will generally depend on the value of the sponsorship.You should read ‘Sponsorship Packages’ on page 19 forguidance.

Council can decide to accept any, all or none of the proposalsreceived in its absolute discretion. Council has no liability to anyapplicants for loss, expense or actual or potential damagesuffered.

Community Benefit

You should ideally design your sponsorship, grant or donationproposal to align with Council’s values and objectives andbenefit one or more of the following within the Council area:

community values;

community wellbeing;

community safety;

cultural diversity;

cultural activity;

facilities or programs for the community;

facilities or programs for children and young people;

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environment;

landscape and urban design;

tourism;

local business and trade.

Checklist

Council officers will assess the sponsorship, grant or donationproposal and apply the following checklist of criteria:

alignment with Council’s values and objectives;

suitability or unsuitability;

community benefit;

public importance;

conflicts of interest;

feasibility of proposal;

cash or ‘in kind’ assistance;

risk assessment;

extent of Council involvement;

budgeted costs;

costs and benefits to Council;

current or previous relationship with Council

reputation;

track record in achieving defined objectives and managingsponsorships, grants or donations;

terms and conditions;

provisions for monitoring and assessment.

In assessing a proposal, Council will consider the activities ofany persons or organisations that it appears will be involved incarrying out the proposal, even if they did not submit theproposal.

Approval

If the assessment is positive, the proposal falls within approvedprograms in Council’s Management Plan, and the Director ofthe relevant division and the General Manager both approve theproposal, Council will advise you.

If the assessment is positive, but the proposal does not fallwithin approved programs in Council’s Management Plan, andthe Director of the relevant division and the General Managerboth approve the proposal, the proposal will be considered at a

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Council meeting. After the result of the Council meeting isknown, Council will advise you.

Council’s approval of your proposal does not mean that thesponsorship, grant or donation is ready to go ahead.

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3. Agreement

Written agreement

Activating a sponsorship, grant or donation

To activate a sponsorship or grant, you must enter a writtenagreement with Council, which will become effective whensigned by you and the General Manager or the GeneralManager’s delegate.

This may be a formal agreement or may be as simple as anexchange of letters. Council will advise you what is required inyour case. However, for all sponsorships or grants valued over$5,000, you need to sign a formal sponsorship agreement.

To activate a donation from Council, you must acknowledgeCouncil’s requests concerning the use of the donation in writing.This may be as simple as an exchange of letters.

No requirements where you make a donation

No formal requirements apply if you are making a donation toCouncil. You may however express how you wish the donationto be used.

Typical terms and conditions for a sponsorship or grant

The full terms and conditions of an agreement will varydepending on the nature and details of the sponsorship orgrant. However, these are typical details:

names of all parties;

description and objective of the sponsorship or grantarrangement;

period of the agreement;

Council’s nominated staff;

your key staff;

declarations that:

sponsorship or grant does not imply Council’s generalendorsement of the activities of the other parties;

Council can veto the content of all materials to ensurethere is no implied endorsement or future bias byCouncil, and no content that Council decides isinappropriate;

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the sponsor or grantee will not engage any person ororganisation to carry out the sponsorship or grantactivities, as co-sponsor, sub-sponsor or in any othercapacity suggesting sponsorship or endorsement, unlessapproved by Council;

sponsorship or grant in no way impedes or affectsCouncil’s exercise of regulatory or inspection functions;

no personal benefits will be provided to Council staff.

plan of how the sponsorship or grant will be managed;

benefits for the sponsor or grant recipient and Council;

how the sponsor or grant recipient and Council can use thesponsorship or grant relationship;

access to information;

ownership, protection and use of logos and other intellectualproperty;

administration, including financial and administrativereporting, responsibility for advertising and promotion,supervision, and rescheduling of events (where applicable);

insurance including public liability and professional indemnityas appropriate to the sponsorship or grant;

payment arrangements and GST;

monitoring, evaluation and audit requirements;

dispute resolution;

confidentiality;

termination and suspension;

effect of changes in policy or law;

renewal and renegotiation.

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4. Monitoring sponsorships and grants

During the agreement

It is important that you keep Council informed about how thesponsorship or grant is progressing.

Council will expect you to report regularly on the progress of thesponsorship or grant activities. Usually this will be every threemonths in writing, although it may be more frequently. Youshould provide a statement with your report that shows theincome and expenditure of the sponsorship or grant activities.This is part of the financial reporting under the writtenagreement.

You can also be asked to meet with Council staff in person fromtime to time, or allow Council staff to access your premises andrecords or to perform a formal audit.

If there is a management plan, you should report against therequirements and milestones of that plan.

Council will generally monitor the following:

compliance with the written agreement and Council policies;

achieving objectives of the sponsorship or grant;

good management behaviour and record keeping;

timely submission of reports and attendance at meetings;

public statements about the sponsorship or grant;

financial viability of the sponsorship or grant;

ongoing benefit to Council and the community;

ongoing suitability (see ‘unsuitable proposals’ above);

safety and risk.

To ensure the best management of the sponsorship or grant,you must report any problems, issues or non-compliance toCouncil as soon as you become aware of them.

After the agreement ends

Council will begin to assess the success of the sponsorship orgrant towards its end according to the assessment criteria in thewritten agreement, and considering the areas referred to in‘During the agreement’ above.

No renewal of sponsorship or grant can occur unless there is afavourable assessment, and the Director of the relevant divisionand the General Manager approve the renewal.

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5. Sponsorship Packages

Funding levels

Council sponsors are classified according to the cash or in kindvalue of the sponsorship as:

PrincipalSponsor

MajorSponsor Supporter Sponsor Associate

Sponsor

>$50,000 $30,000 to$50,000

$15,000 to$30,000

$5,000 to$15,000 to $5,000

Specific benefits that may be negotiated with Council,considering the subject matter and circumstances of theindividual sponsorship. The following are indicative.

media launch at the sponsor’s or Council’s expense;

naming rights for events, activities or Council properties;

hosting of functions on Council property at the sponsor’sexpense;

signage at selected Council events;

banner and logo on static display on Council property;

reciprocal website links;

publicity and merchandising opportunities;

invitation to Council events;

speaking opportunities at Council events;

use images of Council property, activities, and Council logos.

Sponsors will be acknowledged in Council’s ongoingcommunications either generally or, if appropriate, according tothe events, activities, programs, assets or services theysponsor.

Sponsors also feature in:

any promotional material associated with the events,activities, programs, assets or services for which they havenaming rights;

Council’s annual “thank you to sponsors” press ad;

Council’s Annual Report;

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print or other media advertising associated with the events,activities, programs, assets or services they sponsor;

Council’s website.

Prominence and space allocated will be prioritised according topackage level.

For signs and banners, prominence and size will be prioritisedaccording to package level.

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6. ‘Ten Sponsorship Principles’from ICAC

1. A sponsorship agreement should not impose or implyconditions that would limit a public sector agency’s ability tocarry out its functions fully and impartially.

2. There should be no actual conflict between the objectivesand/or mission of the proposed agency and those of thesponsor.

3. In general, a public sector agency with regulatory or inspectionresponsibilities should not seek, or accept sponsorship from,people or organisations which are, or may be, subject toregulation or inspection by the agency during the life of thesponsorship. Where adhering to this principle would unduly limitthe agency’s sponsorship prospects, the agency shoulddevelop alternative strategies to ensure it can carry out itsregulatory or inspection responsibilities in relation to sponsorsin an open, fair, accountable and impartial manner.

4. Sponsorship of a public sector agency or activity should notinvolve explicit endorsement of the sponsor or the sponsor’sproducts.

5. Where sponsorship involves the sponsor providing a product tothe agency, the agency should evaluate that product for itsfitness for purpose against objective criteria that are relevant tothe agency’s needs.

6. It is inappropriate for any employee of a public sector agency toreceive a personal benefit from a sponsorship.

7. In most circumstances, the public interest is best served bymaking sponsorship opportunities widely known. To this endsponsorships should be sought and granted by using broadlybased, open processes that are not limited solely to invitedsponsors.

8. Public sector agencies should assess sponsorship proposalsagainst predetermined criteria which have been published inadvance or which are circulated to organisations that submit anexpression of interest.

9. A sponsorship agreement is a contract and should be describedin a written agreement.

10. All sponsorship arrangements should be approved by the CEOor another designated senior officer of the agency anddescribed in the agency’s annual report in a formcommensurate with the significance of the sponsorship.

Source: ‘Sponsorship in the public sector’, ICAC, May 2006.

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Documents

REPORT TO FINANCE, ETHICS & STRATEGIC PLANNING … · Sponsorship 4 Grant 4 Donation (including unconditional gift, bequest or endowment) 4 The difference between sponsorship, grants