The territorial restrictions in the activity of public associations will be eliminated. The restrictions that refer to particular categories of persons who cannot be now founders, members or managers of noncommercial organizations will also be excluded. This is stipulated in a bill proposed by the Ministry of Justice, IPN reports.

The period for registering noncommercial organizations will be decreased from 30 to 15 day, while the period for submitting the constitution documents to the state registration body will be increased from 30 days to three months.

The legislative initiative provides that the state registration body will be obliged to notify the applicants of the problems that make registration impossible and of the period during which these problems should be fixed. In the period, the registration body will not issue the registration refusal. This will diminish the bureaucratic barriers in the process of registering noncommercial organizations, according to the bill authors.

For the first time, the noncommercial organizations are allowed to practice social entrepreneurship and to benefit from the percentage distribution mechanism. At the same time, the law bans the distribution of the organization’s profit among founding members and other persons, this being a condition in the activity of the noncommercial sector.

The bill also introduces a new type of public activity besides the existing ones – support and promotion of the noncommercial sector and noncommercial organizations. The noncommercial organization that has the status of public utility will prove this quality through an excerpt from the register of noncommercial organizations that is available online. The current certificate that confirms the status of public utility, which is issued by the state registration body, will be thus eliminated.