Code of Funding Practice

The Code of Funding Practice helps government funders and non-profit organisations work together when using public funds to benefit communities.

This Good Practice Funding section helps you implement the Code of Funding Practice. It offers guidance on how to meet the seven core codes and 22 key criteria in different situations. Most parts of the Code will apply to all funding arrangements, but will require different emphasis to suit the funding purpose and type of funding arrangement being used. Our key indicators, resources and case studies can help you keep things on track.

The Minister for the Community and Voluntary Sector launched the Code of Funding Practice on 1 October 2010.

Further resources and guidance will be added to this site over the next few months.

“I’m delighted that we have this Code, which can assist government agencies and non-profit organisations to work together when using public funds to benefit communities.”

- Minister for the Community and Voluntary Sector

Code overview

An overview of the Code, including its purpose, who it is for, how to use it, why we need it, the non-profit sector, complementary guidance documents, how was the code developed, and a glossary.

Code 1: Respect

Respect covers the foundations of respect, good faith, and complementary roles. Good practice in action topics feature: Investing in upfront discussions and reducing reporting requirements.

Code 2: Cultural context

Cultural context covers allowing for cultural process and knowledge, the importance of fair access to information, acknowledging kaupapa Māori, and good practice tips. Good practice in action topics include: Kanohi ki te kanohi, time-honoured knowledge, understanding Pasifika culture, and supporting diversity.

Code 3: Transparency

Transparency covers fairness in selection, using plain English, clarifying use of data, and consulting on design and delivery. Good practice in action topics feature: Clear processes, the need for open processes and a variety of approaches.

Code 4: Open communication

Open communication covers shared understanding, process strengthing understanding, access to decision-makers, feedback, and dispute resolution. Good practice in action topics feature: Open and honest engagement over time, open dialogue, and support for grantseekers.

Code 5: Flexibility and innovation

Flexibility and innovation covers encouraging innovation, flexible approaches, and good practice tips. Good practice in action topics include: Supporting tailored programmes, community development, and supporting a focus on outcomes.

Code 6: Integrity

Integrity covers management of public resources, management capability and capacity, fair and reasonable funding, and recognising a conflict of interest. Good practice in action topics feature: Supporting community goals and achieving a shared purpose.

Code 7: Accountability

Accountability covers identifying outcomes, notification of monitoring, identifying risks, and good practice tips. Good practice in action topics feature: Shared accountability, risk management and community partnership.