# EUR-Lex - 51997IR0306 - EN

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# 51997IR0306

**Opinion of the Committee of the Regions on 'The role of voluntary organizations - a contribution to a European society' CdR 306/97 fin **

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Official Journal C 180 , 11/06/1998 P. 0057 *

Opinion of the Committee of the Regions on 'The role of voluntary organizations - a contribution to a European society` (98/C 180/10)

THE COMMITTEE OF THE REGIONS,

having regard to the communication from the European Commission on promoting the voluntary organizations and foundations in Europe ();

having regard to the decision of its Bureau of 11 June 1997 under the fourth paragraph of Article 198c of the Treaty establishing the European Community, to draw up an opinion on the subject and to instruct Commission 7 - Citizens' Europe, Research, Culture, Youth and Consumers to draw up the relevant opinion;

having regard to the draft opinion (CdR 306/97 rev. 2) adopted by Commission 7 on 23 January 1998 (rapporteur: Mr Johansson),

adopted the following opinion at its 22nd plenary session on 12 and 13 March 1998 (meeting of 13 March).

1. Introduction

1.1. On 11 June 1997 the Committee of the Regions (COR) decided to deliver an opinion on the role of voluntary organizations - a contribution to a European society. This initiative is one of the starting points for this opinion.

1.2. Another catalyst was the Commission's Communication on voluntary organizations and foundations, which illustrates the voluntary sector's specific characteristics, role and scope in Europe. The Communication points out that voluntary organizations and private foundations play a pivotal role in virtually all areas of social activity in Europe. They contribute to employment creation, active citizenship and democracy, provide a wide range of key services, play a major role in sport activities, represent citizens' interests vis-à-vis various public authorities and help promote human rights and aid and development in the developing countries. The Commission also broaches a number of problems and challenges facing the voluntary sector. Lastly, it puts forward a set of recommendations at national, voluntary organization and EU levels.

1.3. The COR warmly welcomes the Commission's initiative and its essentially positive approach to the sector which corresponds closely to the COR's own stance. The following paragraphs therefore set out both the COR's basic positions and its comments on the Commission's communication.

1.4. Some explanations are needed regarding the terminology used in this area. For the sake of clarity, this opinion will refer to the concepts of 'voluntary organization` or 'voluntary sector` to describe a whole group of collective community players which forms an interface between the private and public sectors. The term 'third sector` also encompasses private foundations working in the public interest. The broadest definition, 'social economy`, in addition to voluntary organizations and private foundations, includes mutual societies and cooperatives. One factor common to all three categories is that the players do not primarily seek financial gain from their activity but are prompted by social interests. Where no mention is made to the contrary, the reference in the text is to voluntary organizations. However, the opinion - in common with the Commission's Communication - does not deal with political parties, religious associations or the social partners.

1.5. In its opinion the COR wishes to stress that most organizations are active at the local and regional levels. In addition, it is commonly held that the social economy's strength stems from these local roots. There can therefore be said to be special reasons why the COR should give its views on the Communication and state how it intends for its part to support and promote the sector.

1.6. The COR has already highlighted the cultural contribution of voluntary organizations in its Opinion on Culture and Cohesion, where it referred to these organizations' major role in European cultural life. Otherwise, however, the COR has not given particular attention to their role and importance on the regional policy and social cohesion fronts. Consequently the COR now wishes to amplify its views on voluntary organizations and their valuable contribution in connection with the Commission's Communication on this subject. Its opinion will set out a number of recommendations of its own.

1.7. The COR feels that the grounds for instigating European-level debate on the issue of voluntary organizations and foundations at this juncture need to be spelled out. In its view, one particular reason for a European overview is this sector's innovatory features which are of major relevance to society. Often organizations are the first to identify and come into contact with emerging social needs and to try to respond to them. To translate the Citizens' Europe into reality the conclusions reached by the citizens themselves must be heeded and supported.

1.8. The value of active citizenship could also be highlighted. It is important for society as a whole - especially the regional and local authorities - that citizens should display interest and mobilize for common causes. According to the Commission's study, this is now happening to an ever increasing extent within voluntary organizations - a positive phenomenon which benefits the entire community and can with advantage be studied and commented on by the EU Institutions.

1.9. It therefore needs to be made clear that the opinion does not just confine itself to observations on the Commission's communication but is an own-initiative COR position. Accordingly, certain passages go further than would be expected of a normal commentary. The opinion seeks to raise three questions in particular for more detailed discussion:

- What should be the fundamental distribution of responsibility between the public sector (in particular regional and local authorities) and voluntary organizations in such matters as political decisionmaking, social welfare and employment?

- How can the voluntary organizations preserve their free, spontaneous, opinion-shaping role in their relationship with the authorities while at the same time becoming increasingly involved in the provision of public community services?

- How is the voluntary sector's contribution to be described, measured and evaluated by the public authorities in terms of its importance for diversity of opinion, democratic participation and employment?

2. General comments

2.1. Introduction and aim

2.1.1. The COR welcomes the Commission's study of the voluntary sector's scope and role in Europe. However, it feels that the national statistics need to be backed by a sharper focus on this sector's regional and local dimensions.

2.1.2. The COR notes the Commission's technical demarcation of the voluntary sector so as to concentrate, for purposes of clarity, on voluntary organizations and foundations despite the fact that the social economy is clearly more wide-ranging and encompasses cooperatives and mutual societies. The importance of the entire social economy was stressed in the earlier EU White Paper on Growth, Competitiveness and Employment, in which the emphasis was primarily on this sector's importance for the labour market. The White Paper points out, for instance, that the social economy can be a channel for finding permanent jobs for people with poor employment prospects. Recently this sector's contribution was also highlighted in connection with the 'territorial pacts for employment`.

2.1.3. In the COR's view, the study was too factual in emphasis. An analysis of the practices and rules governing relations between the public (including regional and local) authorities in each Member State with the voluntary sector, especially as regards financial support, would make it possible to refine the Commission's proposal and to lay the foundations for an exchange of best practice between public authority contributors in the Member States.

2.2. Scope

2.2.1. The COR notes the Commission's description of the great diversity of voluntary organizations. Here care needs to be taken to preserve a balance. Where organizations have strong links with the public sector, efforts should focus primarily on maintaining their independence. However, in the case of organizations - including radical ones - which are already independent and self-reliant, the emphasis should be on constructive dialogue and democratic working methods. An organization can only be regarded as the legitimate representative of its members and supporters insofar as it can show that its membership enjoys full democratic rights and that it otherwise complies with the rules of play of an open society.

Radical ideas should not be condemned out of hand since the specific task of a voluntary organization is to strive for change and innovation. The paradox can be said to be that, in order to preserve, in many cases change is necessary to ensure survival and avoid stagnation.

2.2.2. The COR observes that the great majority of organizations are active on the local and regional front and that here they do valuable work in enhancing the quality of life. The COR urges the Commission, in all its decisions and measures affecting the voluntary sector, to focus particular emphasis on this self-evident local and regional dimension and to invite interested organizations to play an active part in the sphere of EU regional policy.

2.2.3. The COR has taken note of the Commission's survey of the legal status of voluntary organizations and foundations in the Member States which, in its view, tallies with the facts.

3. Special comments

3.1. The role and importance of voluntary organizations and foundations

3.1.1. The COR observes that several studies (in addition to the EU's own study) have been carried out in recent years, providing statistics that illustrate the voluntary sector's scale and scope - along with reports showing how representatives of these organizations perceive their situation. However, a more detailed analysis of the public sector's attitude to the voluntary sector, and how it wishes to develop this relationship, is still lacking. Here the COR calls for more debate and more clearcut positions.

3.1.2. As the Communication clearly shows, voluntary organizations help promote employment and economic growth. The COR too wishes to stress this point as these organizations are likely to play an increasing role on the job creation front in view of current social trends. Their action in boosting employment can be most effective among vulnerable social groups, whom they can assist in many cases in finding jobs leading to reintegration into working life. The COR feels that it is important to preserve the special conditions (including tax concessions) which the social economy enjoys so that it can continue to develop and create new job opportunities. In particular, care must be taken to ensure that any changes in the legislation on VAT do not prove detrimental to voluntary organizations. In tax matters, the subsidiarity principle can usefully operate so that responsibility for applying tax rules is exercised locally, within the tax authorities.

3.1.3. In the COR's view, the public sector should continue to bear overall responsibility for social welfare. However, that does not prevent the public sector from forming partnerships with voluntary organizations so as to be able to meet its commitments more effectively. In a number of countries, including Germany, this model operates well and could with advantage be studied by other Member States. However, here again the subsidiarity principle and the right to specific national and regional solutions should be respected.

Social importance

3.1.4. The COR would add that the voluntary sector, besides performing the many essential social tasks mentioned in the Communication, also makes a major social contribution in enhancing regional and local identity (as clearly borne out, for instance, in connection with the various EU rural development programmes. The COR is therefore in favour of active participation by local and regional voluntary organizations in regional development work.

3.1.5. Other forms of cooperation between public authorities and the voluntary sector include arrangements whereby many European municipalities give voluntary organizations responsibility for the majority of cultural arrangements and activities. These efforts play a decisive role in boosting local and regional identity.

Political importance - Citizenship

3.1.6. The COR would point out that action to strengthen a sense of European citizenship must also - perhaps most importantly - involve regional and local players. Voluntary organizations draw on a local membership and most operate on a local or regional basis. Whereas an increasing number of national organizations have well developed international networks, many regional and local organizations lack these vital transnational contacts. The COR therefore calls for practical programmes and proposals for fostering ties between regional and local voluntary organizations. Local and regional authorities should therefore be actively involved in the planned European year to focus on the voluntary sector and European citizenship.

3.1.7. The setting up of regional institutes with the task of promoting contacts among citizens and broad cooperation between voluntary organizations in the various regions of Europe has been discussed at organization level in a number of contexts. Particular emphasis has been laid on the importance of effective liaison between organizations in North-South and East-West Europe. The COR calls on interested regions to join forces with organizations in establishing, trying out and stimulating such partnership models.

3.1.8. The COR also takes the view that civil society needs a variety of arenas in which citizens can bring their influence to bear. In order to safeguard a many-faceted and pluralist society, all parties involved - voluntary organizations and authorities at various levels - must take care that this vital pluralism is not threatened.

Political importance: Promoting Democracy

3.1.9. The COR is keen that voluntary organizations should continue in future to be able to pursue a critical dialogue with those in power. The public sector should not limit these organizations' scope for action through financial or other pressures. Greater economic dependence on the public sector should not force them to tone down their distinctive profile or critical analysis.

The COR therefore urges organizations to investigate new ways of broadening their financial base. For instance, more effective cooperation between private foundations and regional and local authorities could provide an opportunity for such diversification. A tangible example of this innovatory approach is the UK 'community foundations`, which could usefully be studied by other countries. These local foundations provide a framework for cooperation between public authorities and the private sector for purposes of funding activities by organizations in the public interest in a particular locality.

3.1.10. The COR notes that voluntary organizations play a major role in reinforcing local democracy and are a pillar of effective open and representative democracy. Before the emergence of political parties, voluntary organizations already existed in most countries. Looking ahead to the EU's future eastwards enlargement, the COR therefore advocates stepping up regional and local exchanges between voluntary organizations in the applicant countries and the existing EU Member States so as to promote the democratic process - especially at regional and local level - in these countries.

3.1.11. The COR urges the Commission in its future accession negotiations with the new applicant countries to continue to focus attention on the voluntary organizations' legal status as indicator of a developed democracy and respect for human freedoms and rights.

3.1.12. The COR welcomes the positive spirit that seems to prevail in cooperation between the political decisionmakers and voluntary organizations in most Member States. Organizations are regularly consulted as experts and specialists since they can provide a diversity of views and an additional perspective. The COR agrees with the Commission that the final responsibility for political decisionmaking should remain with the politically elected decisionmakers.

3.2. The sector and the European Institutions working together

3.2.1. The COR observes that the voluntary sector and the EU already liaise closely and effectively in a variety of spheres. The COR is also keen to participate more actively in such cooperation in its own capacity and to explore ways in which it could itself contribute to the civil dialogue with voluntary organizations, with particular emphasis on highlighting the local and regional viewpoint.

3.2.2. There are at least two possibilities. Firstly, as part of its role in the EU consultative process, the COR can reflect local and regional circumstances and working methods by highlighting the conditions and potential of local and regional voluntary organizations in future opinions. Secondly, the COR could - through special seminars (such as the sports seminar planned in September) but, first and foremost, through its members' activities - help local and regional voluntary organizations to network more directly so as to develop their own action as well as to foster European exchanges, partnership and understanding.

3.2.3. The Committee of the Regions notes that, in the field of social policy, Declaration 23 appended to the Maastricht Treaty stresses the importance of cooperation between the European Community and charitable associations and foundations as institutions responsible for social welfare establishments and services. It feels that, in other areas of Community policy too, efforts should be made to achieve cooperation between the European Community and the voluntary organizations concerned.

3.2.4. The COR also observes that the new Amsterdam Treaty did not confer on voluntary organizations their due role as recognized partners in cooperation. Looking ahead, the COR supports their wish to be recognized more specifically as such in the ongoing dialogue with the EU institutions. One formula could be to include voluntary sector representatives on the various advisory bodies consulted by these Institutions (with particular reference to the Social Fund and regional policy programmes).

3.2.5. The COR would also point out that many sectors have their own advisory European umbrella organizations which are consulted by the Commission. In some cases these organizations have seen fit to expand their membership base to embrace organizations in other European countries still outside the EU. Unfortunately the result has been to undermine their consultative status in some cases. In the COR's view, it is appropriate that the voluntary sector can show the way in involving organizations in the new applicant countries in EU cooperation and sees no obstacle to including EEA and applicant country representatives on consultative bodies.

3.2.6. One means of stimulating interest in European voluntary sector cooperation could be to apply the principle of solidarity-based apportionment of travel expenses for official EU-funded meetings of such organizations where these expenses are not refunded. Otherwise organizations in outlying countries and regions are likely to be further marginalized. This would seem particularly important in the voluntary sector - where democratic participation and solidarity are bywords. A special fund for this purpose could possibly be set up in liaison with private funds.

3.2.7. The COR encourages the new Consultative Committee for Cooperatives, Mutuals, Associations and Foundations, alongside representatives of national and sectoral groupings, to make allowance for regional aspects. The COR sees this consultative committee as an important one whose role could be further strengthened by expanding its membership base.

3.2.8. In European voluntary sector cooperation, the EU should also heed the language conditions that apply. Participation in European voluntary organization meetings should reasonably make no greater linguistic demands than in inter-governmental cooperation, where interpretation into all Member State languages can normally be guaranteed. Should language skills alone be a decisive factor for European inter-organization cooperation, elitism and professionalism could easily gain ground, which would hardly be consistent with the sector's general aspirations. The COR therefore feels that umbrella organizations enjoying consultative status should be given access to EU interpreting facilities in special cases.

3.3. Problems and challenges

3.3.1. The COR broadly endorses the Commission's analysis of the problems and challenges linked with public sector spending cuts and the transfer of new tasks to the voluntary organizations. The COR would stress that the organizations must receive support in order to meet these new challenges more effectively. In cases where the public sector decides to commission them to provide certain public services, adequate funding should be provided. Cooperation with voluntary organizations in this field is rooted primarily in the need to involve users more closely and should not be seen mainly as a means of saving money. Such cooperation should be founded on mutual respect, economically viable contracts and a long-term perspective and financial premises should be reasonable.

3.3.2. In the light of the sector's new challenges and training and further training requirements, the COR urges the Commission to place organizations in a position to make better use of EU educational programmes, for instance to encourage the establishment of networks. Unnecessary red tape or lack of experience in working with voluntary organizations should not impede their access to EU funding. The Commission should take note that organizations often play a pivotal role in training and retraining the unemployed and other vulnerable groups.

3.3.3. The COR acknowledges that regional and local authorities can currently be reproached for certain shortcomings and lack of information about the voluntary sector. However, the COR is keen to contribute through its activities and contact networks in offering the sector a more active role on the regional front.

3.3.4. The COR recognizes and takes on board the scenarios described by the Commission but calls for measures to tackle the problem of late payments by the EU making it virtually impossible for many voluntary organizations to benefit properly from the various EU support programmes. In such cases, Commission officials should adapt more flexibly to the voluntary sector's different circumstances and working conditions, largely linked with these organizations' narrow financial margins, which are in turn conditioned by the fact that they are by definition not allowed to make a profit.

3.3.5. However, organizations could also explore the possibility of stepping up cooperation with private foundations. In Finland, for instance, a private foundation has set up a support system whereby voluntary organizations receive liquid capital advance payments for approved projects to facilitate cooperation with the Commission. Similar guarantee funds could usefully be set up in some other countries and regions.

3.3.6. The COR agrees with the Commission that the lack of legal recognition of organizations in other countries is an increasing problem. On earlier occasions the COR [see its opinion on cultural aspects ()] has referred to the difficulties experienced by voluntary organizations in cross-border cooperation within the EU on account of current national legislation. The COR therefore supports a charter for European voluntary organizations, as proposed by the Commission with a view to giving them legal entity status in other Member States.

3.3.7. There has been an explosion in the development of information technology, which is set to play an increasingly important role in the daily activities and routines of voluntary organizations. In particular, access to in-house IT facilities can help make it easier for cooperation partners in different EU countries to keep in touch. Consequently, the voluntary sector's special needs and wishes should be heeded when regional and local authorities design their own computer networks.

3.4. Equal opportunities

3.4.1. The COR is also aware that many jobs created by the voluntary sector are highly precarious because of the financing arrangements that prevail. As a result such jobs largely go to women, who tend to be offered the least secure forms of work. It therefore calls on the authorities responsible at national, regional and local level to introduce methods of funding which are more conducive to the generation of stable voluntary sector employment.

4. The COR's conclusions: at national, voluntary organization and EU level

4.1. In conclusion, the COR would highlight the importance of dialogue and active cooperation with voluntary organizations and foundations. In its view, civil consultations should not be confined to the other EU Institutions, but also encompass the COR which, for its part, should investigate ways of further exploring and discussing matters relating to the voluntary sector. This is particularly desirable in view of the active debate in progress within many local and regional political assemblies on the potential contribution of the voluntary sector in strengthening and developing society. The organizational arrangements can remain an open question at this juncture. At this stage the COR would merely point to the possibilities of organizing hearings and seminars in conjunction with the Commission and the regional and local authorities on a variety of topics, in which voluntary organization representatives could also take part.

4.2. The COR generally endorses the conclusions of the Commission's Communication but would add the following comments:

National level

4.3. The COR would point out that the voluntary sector's problems can still be best solved in close liaison with organizations at the national, regional and local level. However, the COR regards the Commission's active interest in these matters as a positive sign.

4.4. The COR firmly believes that organizations should retain their independence, including when they work in close partnership with public authorities. That does not mean that those which agree to carry out tasks in the public interest cannot and should not play a more energetic part in shaping policy in areas in which they are active.

4.5. The COR supports dynamic participation by voluntary organizations in regional policy, especially in wide-ranging EU programmes under the Structural Funds.

Voluntary organization and foundation level

4.6. The COR encourages organizations to remain independent and to explore new ways of diversifying the financial base of their activities.

4.7. The COR is keen that organizations should also continue in future to prioritize democratic working methods and constructive dialogue with public authorities. However, that should not prevent them from expressing radical and alternative ideas.

EU level

4.8. The COR urges the EU also to focus attention in its dialogue with the voluntary sector on regional and local aspects. This could be reflected, for instance, in the new Consultative Committee for the voluntary sector but also in other European voluntary organization meetings through solidarity-based apportionment of travel expenses and making allowance for less widely spoken languages in meeting arrangements.

In the COR's view, it is an advantage - not a disadvantage - that European umbrella organizations consulted by the Commission should include organizations from the EEA and the new applicant countries among their members.

4.9. The COR wishes to give local and regional voluntary organizations greater opportunities for transnational contacts. Programmes to promote local democracy could usefully be applied in connection with the new applicant countries in Eastern and Central Europe.

Generally speaking, the Commission could explore the possibilities of introducing special exchange programmes for voluntary sector staff.

4.10. The COR is keen to give voluntary organizations a more active role in EU structural policy and other relevant EU programmes. The COR calls on the various EU bodies to take a flexible approach to the voluntary organizations' different circumstances and working conditions.

4.11. The COR recommends that the Commission, as part of the Fifth Framework Programme's socio-economic research activities, start up a special programme to study the voluntary sector's role and conditions.

4.12. Lastly, the COR advocates that the Commission as well as national, regional and local authorities should help foster a climate favourable to the European voluntary sector so that in the years ahead this sector will continue to develop and create new job opportunities.

Brussels, 13 March 1998.

The Chairman of the Committee of the Regions

Manfred DAMMEYER

() COM(97) 241 final.

() OJ C 116, 14.4.1997, p. 65.