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In June 2000, the federal government announced the Voluntary Sector Initiative (VSI), a joint endeavour undertaken with representatives from the voluntary sector that was intended to investigate and strengthen the relationship between government and the voluntary sector. With the experience of the United Kingdom as a backdrop, 2 representatives from the Canadian government and the voluntary sector were optimistic that together they could develop a new framework for the inclusion of voluntary sector organizations in government policy and revamp the regulatory framework to enable voluntary organizations to function more effectively. Ultimately, the goal was to serve Canadians better at a time when these organizations were increasingly assuming functions that had been performed by government departments and agencies.

Five years later, the question is: did the VSI achieve its objectives? Two goals were particularly important to the work of the VSI in redefining the relationship between the two sectors. First, representatives of the government and the voluntary sector identified as a key focus the development of a framework agreement or Accord to guide their future relationship. Second, the two sectors pledged to streamline the regulatory framework governing the voluntary sector. A third consideration is also important: what is the current form of the relationship between the two sectors? By examining these three areas, this article assesses the success of the VSI in transforming the relationship between the two sectors.