National Priority 8

Managing Indigenous Community Organisations

This priority focuses on improving the management of Indigenous community organisations that provide goods and services to Indigenous consumers.

Indigenous people participate in, and are involved with, a variety of Indigenous organisations. These organisations include business enterprises, corporations, associations and other incorporated bodies. Such organisations are often designed to represent diverse interests at a state, regional, local and family level. The structures of community organisations present an opportunity for active engagement with a population of diverse geographical, political, cultural and economic interests.

Traditionally, the role of consumer agencies has been to regulate Indigenous community organisations to ensure compliance with legislation. However, members and directors of Indigenous community organisations have stated that they would like to receive greater assistance and encouragement to develop the relevant skills and good corporate management practices needed for the long term viability and success of their organisations. This will involve the provision of education and training, advice and assistance in relation to the incorporation and management of their organisations, the preparation and filing of documents, and general compliance with the law. It is important that any assistance takes into account Indigenous cultural values and practices associated with the management of an organisation.

Many Aboriginal organisations experience difficulties in complying with the regulatory regimes under which they are incorporated. This is often due to poor literacy of managers/directors, short-term funding cycles, cultural issues and inexperience. Non-compliance with legal requirements can lead to default, internal and external disputes, and prosecution of the organisations management and even deregistration. These difficulties are further highlighted by comments made by the Registrar of Aboriginal Corporations estimating that 67% of Aboriginal corporations incorporated under the Aboriginal Councils and Associations Act 1976 (Cth) are non-compliant with the reporting requirements of the Act.¹

Issues	Actions	Responsibility	Timeline
Poor compliance and management of Indigenous community organisations as a result of lack of culturally appropriate relevant advice and information to assist Indigenous organisations.	Agencies responsible for laws that govern community-based organisations to develop: (a) culturally appropriate guide/ training manuals and advice to assist Indigenous organisations to interpret the law and comply with legal obligations; and (b) guides and information for funding bodies to understand the laws applicable to Indigenous organisations and to assist them to address issues and reduce risks associated with funding such organisations.	State and Territory consumer agencies and ASIC (for all actions) in partnership with other appropriate agencies such as the Office of the Registrar or Aboriginal Corporations.	December 2005 and ongoing.
Identifying appropriate legislation under which to incorporate an Indigenous organisation.	Provide assistance and advice to Indigenous organisations on the options for incorporation to ensure it meets the needs of its members and the community.		Ongoing.

¹ Registrar of Aboriginal Corporations Yearbook 2003-2004. This figure is down from 76% in 2002-3.