Community Foundation Board and Audit Rules

Summary#

This bill changes the law that governs The Winnipeg Foundation, a community foundation based in Manitoba. It removes the rule that the mayor of Winnipeg must sit on the Foundation’s board. It also requires an annual audit by an independent auditor and posting key audit information online. The broad goal appears to be updated governance and greater financial transparency.

Key changes:

• Removes the automatic board seat for the mayor of The City of Winnipeg.
• Requires the Foundation’s financial statements to be audited by an independent auditor at least once every fiscal year.
• Requires the Foundation to post a summary of its financial statements and the auditor’s opinion on its website as soon as reasonably possible after the audit.
• Takes effect on the day it receives royal assent (becomes law).

What it means for you#

• Donors and community members

  • You will be able to see a summary of the Foundation’s finances and the auditor’s opinion on its website after each annual audit.
  • This could make it easier to understand how funds are managed without requesting documents.

• The Winnipeg Foundation (board and staff)

  • Must arrange an audit every year by an independent auditor (a qualified auditor who is not part of the Foundation’s staff or governance).
  • Must prepare and publish an online summary of the financial statements and the auditor’s opinion promptly after the audit.
  • Can set board membership without an automatic seat for the mayor of Winnipeg, following the rest of the rules in the Foundation’s Act (unchanged by this bill).

• Mayor of Winnipeg / City of Winnipeg

  • The mayor will no longer automatically serve on the Foundation’s board.
  • Any future participation would depend on the Foundation’s board selection rules, not a legal requirement.

• General public

  • Little direct day-to-day impact. The main change you may notice is easier access to high-level financial information online.

Expenses#

No publicly available information.

• The Foundation will bear the cost of an annual independent audit and website publication work. It is unclear if this changes current costs.
• No direct government cost is identified in the bill text.

Proponents' View#

• The bill appears intended to modernize governance by removing a required seat tied to a political office, which could increase board flexibility and independence.
• Annual audits by an independent auditor could strengthen financial oversight.
• Posting a financial summary and the auditor’s opinion online could improve transparency and public trust by making key information easier to find.
• The “as soon as reasonably practicable” posting timeline suggests an aim for timely disclosure without setting rigid deadlines that may be hard to meet.

Opponents' View#

• One concern is that removing the mayor’s automatic seat may reduce the City of Winnipeg’s formal voice in the Foundation’s governance.
• The bill requires posting only a “summary” of financial statements, not the full statements; this may limit the amount of detail available to the public.
• The term “as soon as reasonably practicable” is not precise; it is unclear how quickly information must be posted or how this will be enforced.
• The bill does not specify how “independent auditor” is defined or selected beyond being independent, which could raise questions about consistency and standards.