www.law.uwo.ca/News/May_08/Adam_Parachin_quote.html -
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Published on: 5/12/2008
Last Visited: 5/23/2008
Those requirements have been a "technical disaster," said Adam A. Parachin, a law professor at the University of Western Ontario.
"This talk should be a cautionary tale," Mr. Parachin said, "because this is not the model you want to follow."
The reason, he said, is that the rules are clouded by a "tremendous lack of clarity."They also take a one-size-fits-all approach that does not work, he said.
For example, Canada's 80-percent charitable-spending requirement does not exclude overhead costs such as legal fees or expenses for fund raising.But that rule seems to contradict a policy stating that a 35-percent expense for overhead is reasonable.
Mr. Parachin said the 3.5 percent endowment-spending rate was a "perplexing figure" that does not reflect market performance.