Until there's a cure ... there's care

Annual Report and Audited Financial Statements of MND Victoria

For the year ended 30 June 2019

VISION, MISSION AND OBJECTIVES

Vision

Working towards a world without MND.

Mission Statement

Provide and promote the best possible care and support for people living with MND.

“People living with MND” includes people who have been diagnosed, those yet to be diagnosed, carers, former carers, families, friends, workmates and any other person whose life is, or has been, affected by a diagnosis of MND.

Objectives

  • To provide the best possible support for people living with MND.
  • To gather and share advice on living with MND.
  • To create and foster a caring link between people living with MND by providing opportunities for interaction.
  • To raise awareness of MND and the needs it creates.
  • To develop and maintain relations with MND Associations within Australia and overseas.
  • To foster and maintain links that can help us achieve our mission.
  • To encourage and support research initiatives and disseminate knowledge of research progress.
  • To work towards best practice in achieving our mission.

Values

  • Our service is to people living with MND, above all else.  We do not undertake anything that does not contribute to improving quality of life for people living with MND.
  • We respect and value the contribution made by each and every member of the MND community and give full consideration to their contribution.
  • We support, encourage and value innovation that improves opportunity and quality of outcomes.
  • We share absolute integrity and are ethical in our practices.

The Cornflower

The blue cornflower is the symbol of hope for people living with MND – hope for finding the cause; hope for development of treatments, and for cure.  The cornflower represents positive hope for the future – a future without MND.

THE ASSOCIATION

The Motor Neurone Disease Association of Victoria is an Association incorporated under the Associations Incorporation Reform Act 2012 (Victoria) as amended – Registered Association A7518.  It is a member of the Motor Neurone Disease Association of Australia (Inc.), Palliative Care Victoria (Inc.), Victorian Council on Social Service (VCOSS) and NDS (National Disability Services) Inc., peak bodies in MND, palliative care, social services and disability services respectively.

MND Victoria is a registered National Disability Insurance Scheme (NDIS) provider, Number 53996591, for a range of specified services in Victoria, New South Wales and Tasmania.

The Association’s activities are governed by a Constitution approved by the members and registered under the Associations Incorporation Reform Act.

State Council

The Association is governed by the State Council, elected by and from the members of the Association.

State Council is made up of twelve positions.  Under the terms of the Association’s Constitution, at least six positions on State Council will be held by people living with MND, carers, former carers or close associates, such people having a “personal association with MND”.  Members of the Association who wish to make a contribution to people living with MND through effective governance of, and policy direction for, the Association may occupy the other positions.

Members of the Association are people living with MND, former carers accepting complimentary membership, individuals paying the membership fee, and people receiving honorary membership in accordance with the Constitution.

State Council 2018/19

David Lamperd – President *
Katharine Barnett – Vice President*
Jeremy Urbach – Treasurer*
David Ali
Duncan Bayly*
Chris Beeny
Barry Gunning
Jodie Harrison*
Angeline Kuek
Wayne Pfeiffer*
Chloe Williams

(Names marked * have a personal association with MND)

Positions on State Council fall vacant by rotation, with four positions becoming vacant each year.  Nominations are called via the Association’s newsletter – MNDNews – or by mail to members, and elections are conducted and the results announced at the Annual General Meeting.  State Council identifies skills, attributes and capacities that will assist it in fulfilling its functions of governance and policy setting, and recruits individuals to fill casual vacancies in accordance with the Constitution. Face to face meetings are held on the third Monday of each month.  This year, Council met ten times in formal session.

The Association’s activities are conducted in accordance with the Victorian Department of Health and Human Services Standards, and ISO 9001 in relation to management and governance, through the Association’s Quality Management System.  State Council has developed governance policies which supplement the Constitution and these are complemented by operational policies, implemented by the Chief Executive Officer, which guide the operations of the Association.  The Quality Management System, governance and operational policies are available for perusal at the Association’s office, and copies of specific policies related to issues of interest or concern of members or clients can be provided on request.

State Council determines the overall direction, operational parameters and establishes policy for the Association through its governance responsibilities and processes.  It also manages the risk profile of the Association in investments and operations.  It monitors and reviews the performance of the Chief Executive Officer.  The Chief Executive Officer, in consultation with staff, is responsible for day-to-day management and operations of the Association, achievement of Association and State Council objectives, and monitoring and review of the performance of staff.

An annual agenda of key tasks is maintained.  A wide range of issues is considered and reviewed by State Council throughout the year.  These include analysis of the environment the Association is operating within; strategic direction of governments, both State and Federal; relationships with MND Australia; monitoring of Association performance, including financial management, service delivery, new service options and strategic planning and initiatives. Budget, income and expenditure analysis and review is undertaken monthly, with the budget approved in June each year. These issues are underpinned by the needs of people living with MND, both now and in the future.  State Council closely monitors reports on occupational health and safety (OH&S) – a key responsibility is to ensure that volunteers and staff work in a safe and protected environment.  OH&S is a major component of the Association’s Quality Management System.  A program of activities regarding OH&S is undertaken throughout the year, including planned evacuation and fire safety actions.

State Council has in place a Risk Strategy and Risk Assessment Schedule, which is reviewed annually or more often as required.

Investment of Association assets is monitored and controlled by State Council through the Finance, Audit and Investment Committee.  State Council has established an appropriate risk profile for investments and purchases external advice from an independent investment advisor.

State Council has reaffirmed the Association’s eligibility to retain its status as a Public Benevolent Institution, Deductible Gift Recipient and Tax Concession Charity.  Retention is essential for the Association to operate as a not for profit charity working for people living with MND and to raise funds from the public.  The Association, through its CEO, Manager of Supporter Engagement and Fundraising Officer, is a registered fundraising organisation in Victoria.  Following accreditation against the Department of Human Services Disability Standards and ISO 9001, the Association is an Approved Disability Service provider and a registered provider with the National Disability Insurance Agency (NDIA).  Review of compliance was undertaken in May/June 2019 and was successfully completed with only one minor non-compliance recorded.

State Council has continued to support the provision of MND Advisor and Support Coordination services to Tasmania. MND Victoria and MND Tasmania maintain a Memorandum of Understanding (MOU) for MND Victoria to continue to provide these services in Tasmania, and MND Tasmania continues to contribute funds to support the service.  Further discussions between the Association and MND Tasmania have resulted in a MOU to govern operations until December 2021.  This MOU includes a proposal to increase the two MND advisor roles in Tasmania from 2 to 3 days per week.

In addition, key projects that impact on both governance and management of the Association are considered, implemented and reviewed.  With the appointment of a new CEO, we are revisiting the draft Strategic Plan to ensure that we continue to meet the needs of people living with MND through the provision of high quality services and support, advocacy through relationships with key partners and funders and the continuation of innovative and creative development of the Association.   We retain our commitment to investing in research, with a clear target of improving funding for research into care and management of MND.

The NDIS is now fully rolled out across Australia and is focussed on streamlining and improvement in planning and service delivery. We continue to advocate to ensure that people with MND not only receive the services they need now, but that recognition is also given to the needs that will emerge due to the progression of the disease.  The majority of NDIS participants with MND in Victoria and Tasmania receive services from us.  We continue to work closely with MND Australia and its members, National Disability Services, the National Neurological Disease Alliance and the Victorian Neurological Alliance, to influence the operational structure of NDIS to ensure that people with MND have timely access to the best possible care and support from the scheme. We remain abreast of the regular adjustments and changes to the NDIS and ensure that our clients are able to reap the benefits of these and that our processes and systems are promptly adapted to meet the requirements of these changes.

We also work closely with MND Australia, as well as Victorian Aged Care service provider networks, to influence changes to the Aged Care service system to ensure that Aged Care services are able to address the needs of older people with a disability, and especially those living with MND.  As always, our focus is on the needs of people living with MND, supporting them to maintain control over their lives and over the services they need and want.

The Carers Recognition Act 2012 formally acknowledges the important contribution that people in care relationships make to our community and the unique knowledge that carers hold of the person in their care.  MND Victoria upholds and actions the principles of the Carers Recognition Act 2012. We applaud the Victorian Government’s “Victorian Carer Strategy 2018-22”.

Staff

As at 30 June 2019, the Association has twenty eight staff, thirteen working full time and fifteen working part time.  They deliver 24.21 EFT (effective full time) positions.  Twenty positions are involved in direct service delivery for people living with MND (17.65 EFT), three in fundraising (2.63 EFT) and four in administration (2.93 EFT).  The majority of the time of the administrative positions is invested in supporting and underpinning service delivery.

Regular consideration is given to work load and work load management for all staff.  The increase in the number of people with MND registering with the Association has created significant demand on our MND Advisor team. Our team of MND Advisors/ Support Coordinators was increased by 1 FTE this year to assist with this growing workload.  The “Keeping Connected” program, to maintain and enhance contact with people living with MND and their carers, has enabled us to address the needs of those people with slower progressing MND and to maintain contact with others between MND Advisor contacts.  As indicated below, staff health is a key issue for the Association, and management of workloads is a major component of our response.

Staff training and development continues to be a key priority.  The Association encourages staff to identify their own development and training needs, and provides a personal self-development budget of $500 per annum for each staff member.  This is supplemented by training identified by the Association as beneficial and necessary, as well as requests for specific training opportunities that may fall outside the personal budget.  A dedicated budget for State Council training and development has also been approved.

Staff health is important.  Employees are the Association’s most valuable resource.  To maintain personal health, all staff access funded counselling and personal support activities on a self identified needs basis.  Externally facilitated group supervision has been maintained for MND Advisors to address issues that arise as part of their practice, and introduced for all other staff.  Support opportunities are supplemented by internal practice, including supervision and debriefing, reflective group practice sessions and team meetings.  During the year, two reviews of occupational health and safety compliance were undertaken.  Issues identified during reviews are attended to with urgency.  The Association continues to meet the gap in cost for influenza vaccination, and recommends that all staff avail themselves of this protection.

Partnerships

The Association has operated in partnership with a broad range of organisations to improve services for people living with MND.  Many of these partnerships, such as those with the Department of Health and Human Services (Vic), Department of Health (Commonwealth), Calvary Health Care Bethlehem, Austin Hospital and all palliative care providers, are of very long standing.

Others such as our partnership with the NDIA, are more recent and continue to develop. We have worked constructively with the NDIA to achieve common understanding of the needs of people with MND and the capabilities of the NDIA to address those needs through identified services and support.  By working in close cooperation with MND Australia and the State MND Associations, we have been able to present consistent and effective recommendations, supported by evidence, to the NDIA for change and improvement of their processes, and improve the experience of people with MND interacting with the NDIA.  We look forward to this partnership continuing to grow to ensure that all people with MND who are eligible to be NDIS participants are able to access the services that they need and want.

MND Victoria has focussed on partnership as the best way to ensure that people living with MND are able to access quality services where and when they need them.  We have a long history of developing relationships that are supportive and cooperative to ensure that we and other service providers can deliver the best possible support for people with MND.  The Association would like to recognise the many agencies, services and service providers that play a role including:

  • Community agencies delivering services under a variety of banners, including Commonwealth Home Support Programme providers, aged care accommodation, respite, NDIS and other disability providers, health care, transport, day programs, palliative care, volunteers – there are over six hundred (600) relationships with agencies;
  • Related neurological agencies, such as BrainLink, MS Society, Huntington’s Disease Association, MDA, Epilepsy Foundation and Parkinson’s Victoria;
  • Disability agencies and NDS (National Disability Services) the peak disability body;
  • Palliative care service providers, palliative care consortia and Palliative Care Victoria;
  • Universities, including La Trobe, Melbourne, Monash and Deakin and their associated researchers
  • Howard Florey Institute and Neuroscience Victoria
  • Health care professionals, community workers, families, friends and workmates;
  • Calvary Health Care Bethlehem, Victorian Respiratory Support Service (Bowen Centre, ARC), Monash Medical Centre, St Vincent’s Hospital and Geelong Hospital;
  • Department of Health and Human Services, DHHS Southern Region, and all regional offices;
  • NDIS and NDIA
  • Motor Neurone Disease Australia, its members, and the International Alliance of ALS/MND Associations, and many others.

We would also like to recognise and emphasise the partnership that the Association has with its donors and members.  MND Victoria is only able to deliver its services for people living with MND because of our donors, supporters and members.  They contribute a significant percentage of the Association’s total budget.  They respect, value and support the needs of people living with MND, the work we undertake to address and respond to those needs, and want to be financial contributors to that work.  Without them, the Association would not be able to do what it does, and achieve what it is able to achieve, for people living with MND.

FUNDING

The Association secures funds from a wide range of sources to support its activities.  It believes that a diversity of funding sources protects its activities in the event of a decline or reduction in any one source.

The Association has a three year Funding and Service Agreement with the Department of Health and Human Services (Victoria) (DHHS) which provides indexed funding for services purchased by the government.  This funding agreement currently expires in December 2019.   The Agreement provides for appropriate levels of reporting on performance and activity.  DHHS purchases Information and Equipment services from the Association.  The Association also has a funding agreement with DHHS which purchases palliative care services from the Association, specifically to provide management of volunteers and a brokerage service for funding the MND Palliative Care Pathway Program, which provides inpatient and community based top up funding.  The Association receives funding for the administration of this project.

The Commonwealth Department of Health and the Commonwealth Home Support Program provide funding to support people over the age of 65.  This has been extended to 30 June 2020.  Funding related to those under 65 who were participants in the rollout of the NDIS was transferred to the NDIA.  Both these transfers were due to Council of Australian Government’s agreements in relation to the NDIS and responsibility for services.

Funding was sought from and provided by a number of Trusts, philanthropic bodies and service clubs to support specific projects and underpin the operations of the Association.

Our F-IRE program (Fundraising – Independently Run Events) continues to grow, and is generating great interest and support.  We continue to closely monitor fundraising costs, implement cost effective initiatives to raise funds, and invest in appropriate levels of staff to support all fundraising activities.

Support Groups undertook a range of fundraising activities, including selling merchandise and Christmas cards, to support the Association.

The Association undertakes donor acquisition and development activities.  Two direct mail donor renewal campaigns are conducted at Christmas and at the end of the financial year to established donors.    Both campaigns are successful, but we face an ongoing struggle to build the donor database.  We continue our efforts to identify and utilise effective donor acquisition strategies to grow our donor pool and the amount of donations received.

In autumn and spring we send our Donor Update to all donors who have donated at least once in the previous two years.  Donor Update is a communications tool to keep donors informed about what the Association is doing and how we invest their gifts to us in service delivery and research support.  Content includes reports about specific activities, the Association’s work with people with MND, personal stories and alternative fundraising opportunities and events, such as bequests and “Walk to D’Feet MND”.  The Update continues to receive strong support from recipients, and is a key plank in our Donor Development program.

Throughout the year, the Association receives unsolicited donations from current and new donors.  These come from many sources, including donations in memoriam and in lieu of funeral flowers

More and more people make a single donation to the Association, and do not respond to our offers to renew their involvement in the fight against MND.  We continue to investigate strategies to convert these single donors to regular donors and build their engagement with the Association to include future bequest income.

All donors receive appropriate receipts and a letter from the Association thanking them for their support.  Where donors remain anonymous, receipts are held at the Association.  The Association operates comprehensive donor management software to ensure that appropriate records are held of all donors and donations.  The Association has policies and procedures in place to comply with privacy legislation.

The Association has an ongoing bequest development program aimed at assisting people to recognise the importance of the Association’s work by leaving a gift in their will.  Our payroll deduction program and regular giving through Centaurea, the Association’s program of regular monthly giving, supplements this program.  The MND Care Foundation continues its growth, with its policy to invest funds and distribute 80% of earnings to support care services, and the balance being invested to grow the fund.  The Care Foundation is not a separate entity, and operates within the overall operations of the Association.

The Association undertakes merchandising and other fundraising activities through the volunteer Fundraising Committee.  Sale of Christmas cards, clothing, cornflowers, cornflower cards, toy dogs and other merchandise assist in supporting the Association.

‘Walk to D’Feet MND’ continues to grow, and be a significant contributor to MND Care and Research.  Proceeds are shared between MND Victoria, to deliver care and support, and the Motor Neurone Disease Research Institute of Australia, for investment in research grants.  The Association meets all costs of the Walk as part of its contribution to services and support and research into the cause, treatment and cure of MND.  We have developed a ‘Walk Kit’ which can assist anybody to develop and conduct a ‘Walk to D’Feet MND’ in their local area.

The 2018/19 financial year saw the introduction of two new Victorian Walk to D’Feet MND events – one in Echuca and one in Pakenham.  Both were successful in raising awareness and funds.  These were in addition to the Walks in Rosebud, Carlton, Bendigo, Benalla and Geelong.  The Walks raise significant funds for the Association and, just as importantly, they provide a safe and welcoming environment for people impacted by MND to remember loved ones who have died, and support those who are living with MND.   Through social media posts and our newsletter we encourage supporters to consider holding a Walk in other regional areas through Victoria.

In August/September 2018 eight MND supporters undertook the very challenging Kokoda Trek.  Some of those who participated had taken part in the Great Wall of China Walk the previous year.  These dedicated participants raised $58,000 for the Association and several expressed their intention to support these events on an ongoing basis.

Volunteer fundraisers conduct a number of events and activities to support the Association.  These include golf days, tennis days, trivia nights, dinner dances, participation in walks and runs, collection of donations in lieu of birthday gifts, selling cakes, jams and other produce, and many other events.  The Association supports these activities by providing cornflowers, donation materials, information kits, and other support.  This is a growing part of the Association’s fundraising and we look forward to all approaches from people who wish to fundraise on our behalf.  We need members and supporters to identify opportunities for the Association.

To assist people to conduct their own activities, the Association has produced and maintained a Fundraiser’s Kit, which provides a wide range of information and advice on conducting a successful event.  The Kit has answers to all of those basic problems that often inhibit the organisation of events.  We have established relationships with online fundraising platforms that remove the worries about being sponsored for an event or collecting pledged donations.  These platforms allow people to create their own events, seek sponsorship, automatically send donors tax receipts for their contributions, and remove the hassles of chasing pledges.

To highlight some fundraising efforts of many:

  • Simko’s Rock off MND raised over $126,799
  • Superball XI raised over $142,066 for research
  • Bunnings Sausage Sizzles raised $1,259
  • Wheels for MND raised $7,675
  • Heathcote 24 Hour Bowls raised approximately $18,000
  • Last Resort Concert raised almost $14,000
  • Mornington Peninsula MND Luncheon raised $15,000
  • MND 300 Wangaratta to Melbourne Run in Funky Trunks raised $30,000

The Association effectively manages its resources and investments to generate funds.  It has policies and procedures in relation to investments and risk profile, and appropriate mechanisms to seek advice and information from qualified and experienced advisors.  Over $458,000 was generated this year through investment income, a sign of good and effective management of the Association’s cash resources and investments in a tough investment climate.

Corporate Support

Corporate Social Responsibility has been a major thrust of government and philanthropy over the past few years.  The Association has found it difficult to attract partners of this kind due to the difficulties in providing the “pay back” that seems to be a part of these relationships.  We have continued our strong partnership with Vitality Brands Worldwide to fund and deliver “Take a Break from MND”.  The extension of this project to now include people with MND in Tasmania and South Australia has been well received, and sets an elegant and effective example of the application of corporate support.

“Take a Break” is a capital funding program to provide small grants to families to give them a break from the impact of MND.  It is designed to empower MND Advisors to make decisions and provide the funding without review or recourse, respond to an urgent or emerging need created by MND in a family, and be simple and effective with no bureaucracy slowing down the process.  Funds are transferred electronically within 24 hours of the MND Advisors’ approval.

We would like to recognise Vitality Brands Worldwide, who fund the “Take a Break from MND” Project in Victoria, Tasmania and South Australia – this is a wonderful initiative that gives people with MND a “break” from the impact of their disease.  They also support our “Walk to D’feet MND” events, and attend the “Superball” series.  We would also like to recognise Express Insurance Brokers for their ongoing support and donation of a portion of their “on-line” insurance income during the year.

The Association benefits from corporate support through running and participating in events, as well as donations of financial and other support.  Sixty seven companies supported the Association and the delivery of care and support during the year.

A full list of our corporate supporters is at the end of this report.

We would also like to thank all employers who made donations in recognition of the death of an employee from MND.

Trusts, Foundations and Clubs

The Association could not initiate new and exciting projects or maintain its equipment and other services without the support of philanthropic Trusts and Foundations.

The Association has been fortunate in the 2018/19 financial year to be able to present for consideration by Trusts a number of projects to benefit people living with MND.  These projects have covered a broad range of activities, including purchasing new equipment to expand the Equipment Service, and Information Nights, Living Well presentations, and MND Advisor services.

Our thanks are extended to the following philanthropic Trusts and Foundations:

  • Australian Communities Foundation
  • Bronsen Family Foundation
  • Crown Resorts PAF
  • Dimmick Charitable Trust
  • Kate Jones & Stephen Alomes Fund
  • Lord Mayor's Charitable Trust
  • Mona Georgina Harris Perpetual Charitable Trust
  • The Cuming Bequest
  • The GW Vowell Foundation Ltd
  • William Angliss Charitable Fund
  • Joe White Bequest
  • George & Edith Ramsay Charitable Trust
  • The Mulgrew Family Endowment
  • Pratt Foundation

Many Clubs, Service Clubs and schools throughout Victoria continued to assist us to deliver quality services.  Club members undertake a range of contributory services to support the Association, its events and members.  The Association would like to thank the Clubs of Lions, Lionesses, Inner Wheel and Rotary for their support and assistance, and their public demonstration of commitment to people living with MND.  We would also like to recognise the other clubs, associations and schools that have supported MND – a full list is at the end of this Report.

Bequests

The Association wishes to recognise and thank those people who have remembered MND and the Association in their wills.  In particular, the Association acknowledges the following Estates:

  • The Estate of Crockett Cooke
  • The Estate of Daniel John O'Callaghan
  • The Estate of Helen Jean Burgess
  • The Estate of Shirley Marguerita Bull
  • The Estate of the John Alfred Burnham.

We wish to recognise their generosity, foresight and commitment to the fight against MND.

All bequests received by the Association, unless otherwise specified, are lodged with the MND Care Foundation, an investment controlled by the MND Association of Victoria. The purpose of the fund is to ensure that the Association can maintain its independence from Government funding and invest in services to assist people living with MND to retain their independence and life within the community.  The Care Foundation allocates up to 80% of its earnings to services or specific purposes, and reinvests the balance.  This process ensures that valuable gifts to the Association live on, and continue to provide benefit to people living with MND in the future.

As at 30 June 2019, the MND Care Foundation has over $7.4 million invested generating income and delivering services for people living with MND.  Please contact the Association if you would like information on how you can help by making a bequest, or by regular giving through Centaurea.  Your gift will fight MND into the future.

TREASURER’S REPORT

Our goal in the financial activities of the Association is to deliver what is needed; to fund what is provided, and to invest in care, research and sustainability.  In a tight year for funding, with pressure of increased competition from other organisations and changes in the level of Government support, NDIS and Aged Care, the Association has had a good trading outcome and an audited financial surplus after transfers to the MND Care Foundation of $55,762.

Funds transferred to the Care Foundation include receipts from bequests, earnings and the increases or decreases in the capital value of the Foundation’s investments, less contributions from the Foundation to the Association for care activities.

Growth in income from the NDIS continues as more people become participants, offset by transfers of former DHHS income to the NDIA.  Income received exceeded $1.28 mill ($822,000 in 2017/18), or 24% of total income, and will continue to grow in the coming year at a slower rate, given the completion of the final rollout of the NDIS at the end of 2018/19.  We continue our promotion of the services we provide to people with MND who are NDIS eligible, and hope that they purchase from our team, who are well experienced in MND and proven providers.

Fundraising strategies continue to be the strength of the Association’s finances.  Self-reliance through fundraising, paid services and investment contributed 75% of total income.  Our history of having much of our income being dependent on year to year activities continues, with strong reliance on the myriad of fundraising events, small and large, to continue our funding for care and support for people living with MND, and for research.

Our ongoing encouragement of people to make bequests in favour of the Association continues to be effective, and the Care Foundation continues to provide a strong income stream for the Association.  Bequests and Trusts contributed $374,708, the Care Foundation has grown to over $7.4 million, and we continue our strategy of investing these funds to deliver income for service delivery.

Income 2018/2019

Income graph showing Government = 24%, NDIS = 24%, Donations and Fundraising + 41%, Bequests = 7%, Trusts = 2%, Other = 2%

We continue to support events that raise funds for research, and have contributed over $344,700 to the Motor Neurone Disease Research Institute of Australia (MNDRIA) for research projects and for our own Nina Buscombe Awards for travel and conference attendance.  Research funding accounted for 9% of expenditure.

Our focus remains on delivery of services with 82% of all expenditure being applied to services to support people living with MND and to research.  All funds donated for research, or raised in research focussed events, are applied to research, either through MND Australia and the MNDRIA or the provision of Nina Buscombe Awards to support travel by scientists, and health care professionals.

Income remains dependent on year to year activities, with strong reliance on the myriad of fundraising events both small and large, to continue funding care, support and research.  We monitor our expenditure closely, with a focus on effective and efficient operations to maximise the funds available for services.

Expenditure 2018/19

Expenditure Graph for 2018/19 financial year showing: Services = 48%, Assistive Technology (includes capital) = 25%, Fundraising = 12%, Research = 9%, Admin = 6%

We maintain low administration costs at 6% of total expenditure, however these costs continue to rise as the monitoring and acquittal processes required by Government and regulators increase. We are constantly working to understand and appropriately allocate the true costs of service provision.

Similarly, increased fundraising costs can be expected for the Association to remain an effective competitor in the highly competitive fundraising environment.

The Association remains in a strong financial position, with adequate reserves to meet the challenges ahead.  Our mission continues to provide and promote the best possible care and support for people living with MND.

Until there is a cure … there is care!

Jeremy Urbach
Treasurer

SUPPORTING COMPANIES

  • All Souls Opportunity Shop
  • Associated Concepts Pty Ltd
  • Barwon Health- Progressive Neurology Clinic
  • Bedshed- Nunawading
  • Bendigo Law Association
  • Bendigo Magistrates' Court
  • Bennett’s Butchery
  • Brook Point Cook
  • Camden Lane Pty Ltd
  • Cavity Restaurant Venus Bay
  • Clifton Waters Village
  • Coles Bay Hotels
  • Computershare Plan Co Pty Ltd.
  • Costanzo Harris Pty Ltd.
  • Creative Wholesale Blinds
  • Drive Melbourne
  • Eastern Volunteers
  • Espresso Mobile Café – Wheelers Hill
  • Express Insurance Brokers
  • Gaji Hair Designs
  • Garth Lisle Property Consultants
  • Geelong Magistrate's Court
  • Gromer Group
  • Handy Steel Pty Ltd
  • Hayden Real Estate
  • Home Loan Saint Pty Ltd.
  • Hotel Benalla
  • Inner Wheel A62 District
  • Jolt Fitness
  • Journey With Spirit
  • K4Constructions
  • Keilor Primary School
  • Kew Skin Therapy
  • Law Image Service
  • Loch Sport Business & Tourism Association Inc.
  • Lodge of Euclid
  • Lorraine Lea Linen
  • Magistrates' Court of Victoria
  • Maribyrnong Aquatic Centre
  • Maroondah City Council
  • McDonald Upton Real Estate
  • ME Bank
  • Melbourne Doll Show
  • Melbourne Health Biochemistry
  • Middy’s Electrical Benalla
  • Mornington Mazda
  • Muscle Essence Massage
  • Norton Rose Fulbright Australia
  • Pratt Interiors
  • Rems Nominees Pty Ltd
  • Ritchies IGA
  • Sapphire Hairdressing
  • Signiversal Pty Ltd
  • Specsavers Pty Ltd
  • TB White & Sons Pty Ltd
  • The Australia Day Long Table Group
  • The Australian Pilates Method Association
  • The Good Food Collective
  • The HRKAC Group
  • The Phoenix Hotel
  • The Village Glen
  • Tocumwal Golf Resort
  • Torquay Laurel (Legacy) Group
  • Trevor P Weichmann & Assoc P/L
  • Trinity Grammar School
  • Victorian Football Association Umpires Association
  • Wandin Park Association
  • Warragul Business Group
  • Warragul Linen Service
  • Waterman AHW Pty Ltd.
  • WAW Credit Union

SCHOOLS, CLUBS AND SERVICE CLUBS

  • Axedale Primary School
  • Carnegie Primary School
  • Cathedral College Wangaratta
  • Eastern Volunteers
  • Foster Primary School
  • Gisborne Primary School
  • Glen Iris Primary School
  • Lilydale High School
  • Little River Primary School
  • Methodist Ladies' College
  • Our Lady's Primary School - Craigieburn
  • Plenty Parklands Primary School
  • St James Primary School
  • St Joseph's College
  • St Mary's Primary School
  • Whitehorse Primary School
  • Whittlesea Secondary College
  • Yinnar Primary School
  • Keilor Primary School
  • Australian Hellenic Golf Federation
  • Belgrave Football Netball Club
  • Carnegie Lions Club
  • Central Wendouree Bowling Club Inc.
  • Centre Quilters Inc.
  • Chrysler Restorers Club of Australia Victoria Incorporated
  • Craft Ladies of the Combined Probus Club of Monash Central
  • Croydon Bowling Club
  • Drouin Country Women's Association
  • Eastern Sward Golf Club Inc.
  • Essendon Football Club
  • Geelong Croquet Association
  • Heathcote Bowls Club
  • Highvale Retirement Village Social Club
  • Hoppers Crossing Apex Club
  • Knoxfield Cricket Sporting Club Inc.
  • Lalor & Thomastown Combined Pensioner Assoc.
  • Lions Club of Ararat
  • Lions Club of Blackburn North
  • Lions Club of Boroondara Central
  • Lions Club of Geelong Breakfast Inc.
  • Lions Club of Korumburra Inc.
  • Midlands Golf Bowls Club Inc.
  • Mitcham Scottish Society Inc.
  • Mornington Lions Club Inc.
  • Orbost Hockey Club
  • Pines Cricket Club
  • Portland & District Dance Inc.
  • Qenos Social Club
  • Quambatook Craft Group
  • Riverina Dragons Supporters Group
  • Ruby Red Dancers
  • Sale Bridge Club
  • Sportsmen's Association of Australia - Ballarat
  • Tatura Lawn Tennis Club
  • Telecom Fidelity Club
  • The Country Women's Association of Victoria - Caniambo Branch
  • The Country Women's Association of Victoria
  • The Gorae Portland Cricket Club
  • The Heidelberg Over 50s Dance Group
  • The Lagen Social Club
  • The Maroondah Catenians Men's Group
  • Vietnam Veterans Association Victoria - Wimmera sub-branch
  • Western Heights Tuesday Morning Badminton Club
  • Westvale Men's Shed
  • White Hills Bowls Club Inc.
  • Young Generation Senior Filipino Citizen Club
  • Swan Hill Parish Centre
  • Barwon Support Group

Motor Neurone Disease Association of Vic Inc.

Reg. No. A7518

Financial Statements

For the Year Ended 30 June 2019

CONTENTS

Financial Statements

  • Statement of Profit and loss and Other Comprehensive Income
  • Statement of Financial Position
  • Statement of Changes in Equity
  • Statement of Cash Flows
  • Notes to the Financial Statements
  • True and fair certification by the State Council
  • Independent Audit Report

Statement of Profit and Loss and Other Comprehensive Income

 

Note

2019

$

2018

$

Revenue

2

4,857 ,506

4,898,460

Other income

2

458,402

349,526

Employee benefits expense

 

(2,438,185)

(2,106,716)

Depreciation, amortisation and impairments

3

(380,291)

(368,156)

Donation to MND Care Foundation

 

(458,855)

(626,443)

Research expenditure

3

(350,600)

(434,241)

Other expenses

 

(1,632 ,215)

(1,488,038)

Surplus /(Deficit) attributable to members of the Association

 

55,762

224,392

Other Comprehensive Income:

Net fair value increase/ {decrease) on revaluation of financial assets 453,395 141,408
Total other comprehensive income for the year 453,395 141,408
Total comprehensive income attributable to members of the entity 509,157 365.800

 


Statement of Financial Position

ASSETS

Note

2019

$

2018

$

Current assets

 

 

 

Cash and cash equivalents

5

2,134,263

1,385,450

Trade Debtors

 

12,821

36,071

Inventories

 

44,030

48,464

Financial assets at fair value through other comprehensive income

7

7,392,988

6,964,702

Other assets

6

54,334

232,306

Total current assets

 

9,638,436

8,666,993

Non-current assets

 

 

 

Property, plant and equipment

8

2,870,330

2,905,825

Total non-current assets

 

2,870,330

2,905,825

TOTAL ASSETS

 

12,508,766

11 572,818

LIABILITIES

 

 

 

Current liabilities

 

 

 

Trade and other payables

9

7,515,871

7,071,101

Employee entitlements

10

536,854

553,279

Total current liabilities

 

8,052,725

7,624,380

Non-current liabilities

 

 

 

Employee entitlements

10

14,691

16,245

Total non-current liabilities

 

14,691

16,245

TOTAL LIABILITIES

 

8,067,416

7,640,625

NET ASSETS

 

4,441,350

3,932,193

EQUITY

 

 

 

Reserves

12

2,097,789

1,644,394

Retained earnings

 

2,343,561

2,287,799

TOTAL EQUITY

 

4,441,350

3,932,193

 


Statement of Changes in Equity

 Retained Earnings

Capital Acquisition Reserve

Revaluation Surplus

Financial Asset Reserve

Total

2018

$

$

$

$

$

Equity as at beginning of period

2,769,426

83,175

418,311

253,473

3,524,385

Surplus/ (Deficit) attributable to members of the Association

 

224,392

 

 

 

 

224,392

Other Comprehensive Income

 

-

511,561

141,408

652,969

Equity as at 30 June 2018

2,287,799

83,175

929,872

631,347

3,932,193

2019

Surplus/ (Deficit) attributable to members of the Association

55,762

 

 

 

55,762

Other Comprehensive Income

 

 

 

453,395

453,395

Equity as at 30 June 2019

2,343,561

83,175

929,872

1,084,742

4,441,350

 


Statement of Cash Flows

      Note

 2019

$

2018

$

Cash from operating activities:    
Fundraising and Donations received     1,765,391  2,122,474
Receipts from Bequests     374,708  548,783
Operating Grants     1,275,991  1,185,714
National Disability Insurance Scheme     1,308,711  591,179
Other income     155,955  218,689
Payments to suppliers and employees      (4,252,637) (4,084,335)
Interest Dividends received       458,402  349,526
Net cash provided by operating activities    1,086,521  932,030

Cash flows from investing activities:

Proceeds from sale of plant and equipment   70,894 96,696
Acquisition of property, plant and equipment   (433,711) (379,11)
(Acquisition) / Disposal of financial assets   25,109 (1,247,691)
Net cash provided by (used in) investing activities   (337,708) (1,530,107)
Net increase (decreases) in cash held   748,813 (598,077)
Cash and cash equivalents at beginning of year   1,385,450 1,983,527
Cash at end of financial year 5 2,134,263 1,385,450

 


Notes to the Financial Statements

For the Year Ended 30 June 2019

1     Statement of Significant Accounting Policies

Basis of preparation

These general purpose financial statements have been prepared in accordance with Australian Accounting Standards - Reduced Disclosure Requirements and Interpretations issued by the Australian Accounting Standards Board ('AASB'). and the Associations Incorporation Reform Act 2012, New, revised or amending Accounting Standards and Interpretations adopted

The incorporated association has adopted all of the new, revised or amending Accounting Standards and Interpretations issued by the Australian Accounting Standards Board ('AASB') that are mandatory for the current reporting period. Any new, revised or amending Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.

Any significant impact on the accounting policies of the incorporated association from the adoption of these Accounting Standards and Interpretations are disclosed below. The adoption of these Accounting Standards and Interpretations did not have any significant impact on the financial performance or position of the incorporated association.

AASB 9 Financial Instruments

The association has adopted AASB 9 from 1 July 2018. The standard introduced new classification and measurement models for financial assets. A financial asset shall be measured at amortised cost if it is held within a business model whose objective is to hold assets in order to collect contractual cash flows which arise on specified dates and that are solely principal and interest. All financial assets are classified and measured at fair value through profit or loss unless the entity makes an irrevocable election on initial recognition to present gains and losses on equity instruments (that are not held-for-trading or contingent consideration recognised in a business combination) in other comprehensive income ('OCI'). Despite these requirements, a financial asset may be irrevocably designated as measured at fair value through profit or loss to reduce the effect of, or eliminate, an accounting mismatch.

The financial statements, except for the cash flow information, have been prepared on an accruals basis and are based on historical costs, modified, where applicable, by the measurement at fair value of selected non-current assets, financial assets and financial liabilities. The amounts presented in the financial statements have been rounded to the nearest dollar. The principal accounting policies adopted in the preparation of the financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

The financial statements were authorised for issue on 29th August 2019 by the State Council.

(a) Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less.

(b)      Inventories

Inventories held for sale are measured at the lower of cost and net realisable value.

Inventories acquired at no cost or for nominal consideration are measured at the current replacement cost as at the date of acquisition.

(c)       Property, Plant and Equipment

Each class of property, plant and equipment is carried at cost or fair value, less, where applicable, any accumulated depreciation and impairment losses.

Plant and equipment

Plant and equipment are measured on the cost basis and are therefore carried at cost less accumulated depreciation and any accumulated impairment losses. In the event the carrying amount of plant and equipment is greater than its estimated recoverable amount, the carrying amount is written down immediately to its estimated recoverable amount and impairment losses recognised either in profit or loss or as a revaluation decrease if the impairment losses relate to a revalued asset. A formal assessment of recoverable amount is  made when impairment indicators are present (refer to Note 1(g) for details of impairment).

Subsequent costs are included in the asset's carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the association and the cost of the item can be measured reliably. All other repairs and maintenance are charged to the statement of comprehensive income during the financial period in which they are incurred.

Depreciation

The depreciable amount of all fixed assets including buildings and capitalised leased assets, is depreciated on a straight-line basis over their useful lives commencing from the time the asset is held ready for use. Leasehold improvements are depreciated over the shorter of either the unexpired period of the lease or the estimated useful lives of the improvements.

The depreciation rates used for each class of depreciable assets are:

Class of Fixed Asset

Buildings

2.5%

Plant and Equipment

17%

Furniture, Fixtures and Fittings

13-17%

Motor Vehicles

15%

The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at  each balance sheet date.

(c} Property, Plant and Equipment (continued)

Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These gains and losses are included in the statement of comprehensive income. When revalued

assets are sold, amounts included in the revaluation relating to that asset are transferred to retained surplus.

(d)        Employee Benefits

Short-term employee benefits

Liabilities for wages and salaries, including non-monetary benefits, annual leave and long service leave expected to be settled within 12 months of the reporting date are recognised in current liabilities in respect of employees' services up to the reporting date and are measured at the amounts expected to be paid when the liabilities are settled.

Other long-term employee benefits

The liability for annual leave and long service leave not expected to be settled within 12 months of the reporting date are recognised in non-current liabilities, provided there is an unconditional right to defer settlement of the liability. The liability is measured as the present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the projected unit credit method. Consideration is given to expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using market yields at the reporting date on national government bonds with terms to maturity and currency that match, as closely as possible, the estimated future cash outflows.

(e) Revenue and other income

Non-reciprocal grant revenue is recognised in profit or loss when the association obtains control of the grant, it is probable that the economic benefits gained from the grant will flow to the association and the amount of the grant can be measured reliably.

If conditions are attached to the grant which must be satisfied before it is eligible to receive the contribution, the recognition of the grant as revenue will be deferred until those conditions are satisfied.

When grant revenue is received whereby the association incurs an obligation to deliver economic value directly back to the contributor, this is considered a reciprocal transaction and the grant revenue is recognised in the statement of financial position as a liability until the service has been delivered to the contributor, otherwise the grant is recognised as income on receipt.

The association receives non-reciprocal contributions of assets from the government and other parties for zero or a nominal value. These assets are recognised at fair value on the date of acquisition in the statement of financial position, with a corresponding amount of income recognised in profit or loss.

Donations and bequests are recognised as revenue when received.

Interest revenue is recognised using the effective interest method, which for floating rate financial assets is the rate inherent in the instrument. Dividend revenue is recognised when the right to receive a dividend has been established.

Revenue from the rendering of services is recognised upon the delivery of the service to the customers.

All revenue is stated net of the amount of goods and services tax (GST).

(f) Goods and Services Tax (GST)

Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Taxation Office (ATO).

Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or payable to, the ATO is included with other receivables or payables in the statement of financial position.

Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are recoverable from, or payable to, the ATO are presented as operating cash flows included in receipts from customers or payments to suppliers.

(g) Investments and other financial assets

Investments and other financial assets are initially measured at fair value. Transaction costs are included as part of the initial measurement, except for financial assets at fair value through profit or loss. Such assets are subsequently measured at either amortised cost or fair value depending on their classification. Classification is determined based on both the business model within which such assets are held and the contractual cash flow characteristics of the financial asset unless, an accounting mismatch is being avoided.

Financial assets are derecognised when the rights to receive cash flows have expired or have been transferred and the consolidated entity has transferred substantially all the risks and rewards of ownership. When there is no reasonable expectation of recovering part or all of a financial asset, it's carrying value is written off.

Financial assets at fair value through profit or loss

Financial assets not measured at amortised cost or at rair value through other comprehensive income are classified as financial assets at fair value through profit or loss. Typically, such financial assets will be either: (i) held for trading, where they are acquired for the purpose or selling in the short-term with an intention of making a profit, or a derivative: or (ii) designated as such upon initial recognition where permitted. Fair value movements are recognised in profit or loss.

Financial assets at fair value through other comprehensive income

Financial assets at fair value through other comprehensive income include equity investments which the consolidated entity intends to hold for the foreseeable future and has irrevocably elected to classify them as such upon initial recognition.

Impairment of financial assets

The consolidated entity recognises a loss allowance ror expected credit losses on financial assets which are either measured at amortised cost or fair value through other comprehensive income. The measurement of the loss allowance depends upon the consolidated entity's assessment at the end of each reporting period as to whether the financial instrument's credit risk has increased significantly since initial recognition, based on reasonable and supportable information that is available, without undue cost or effort to obtain.

Where there has not been a significant increase in exposure to credit risk since initial recognition, a 12-month expected credit loss allowance is estimated. This represents a portion of the asset's lifetime expected credit losses that is attributable to a default event that is possible within the next 12 months. Where a financial asset has become credit impaired or where it is determined that credit risk has increased significantly, the loss allowance is based on the asset's lifetime expected credit losses. The amount of expected credit loss recognised is measured on the basis of the probability weighted present value of anticipated cash shortfalls over the life of the instrument discounted at tile original effective interest rate.

For financial assets measured at fair value through other comprehensive income, the loss allowance is recognised within other comprehensive income. In all other cases, the loss allowance is recognised in profit or loss.

(h) Donation to MND Care Foundation

Certain revenues are received for specific purposes. These revenues have been donated to the yet to be constituted MND Care Foundation. The Association has dedicated bank and investment accounts allocated for the MND Care Foundation, which enables these revenues to be recorded separately from other funds of the Association. Legal counsel received by the Association  has further deferred the formal establishment of the MND Care Foundation.

(i) Comparative Figures

When required by Accounting Standards, comparative figures have been adjusted to conform to changes in presentation for the current financial year.

(j) Trade and Other Payables

Trade and other payables represent the liabilities for goods and services received by the association during the reporting period that remains unpaid at the end of the reporting period. The balance is recognised as a current liability with the amounts normally paid within 30 days of recognition of the liability.

(k) Critical accounting judgements, estimates and assumptions

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts in the financial statements. Management continually evaluates its judgements and estimates in relation to assets, liabilities, contingent liabilities, revenue and expenses. Management bases its judgements, estimates and assumptions on historical experience and on other various factors, including expectations of future events, management believes to be reasonable under the circumstances. The resulting accounting

judgements and estimates will seldom equal the related actual results. The judgements, estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities (refer to the respective notes) within the next financial year are discussed below.

Estimation of useful lives of assets

The incorporated association determines the estimated useful lives and related depreciation and amortisation charges for its property, plant and equipment and finite life intangible assets. The useful lives could change significantly as a result of technical innovations or some other event. The depreciation and amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.


 

2 Income

Note

2019

$

2018

$

•  operating grants

2(a)

1,275,991

1,185,714

•   national disability insurance scheme

 

1,285,461

822,800

 - fundraising and donations

 

2,140,099

2,671,257

 - other revenue

 

155,955

218,689

 

 

4,857,506

4,898 460

Other Income

- interest/dividends received

 

458,402

349,526

 

 

458,402

349,526

Total Income

 

5,315,908

5 247,986

 

2 (a) Operating grants reflects grants received from the Department of Health and Human Services (State) and the Department of Health (Commonwealth).

3 Surplus for the Year

Surplus from ordinary activities before income tax expenses has been determined after:

Depreciation of non-current assets:

- plant and equipment

380,291

368,156

Research and Development Costs (Research Grant)

350,600

434,241

Pathways to Palliative Care

236,128

263,961

Remuneration of auditor

16,500

16,500

4 Key Management Personnel Compensation

The totals of remuneration paid to key management personnel (KMP) of the association during the year are as follows:

Key Management Personnel Compensation 478,399 363,817

5 Cash and Cash Equivalents

 

Note

2019

$

2018

$

Cash at Bank

 

968,509

631,832

Cash Management Account

 

5,859

5,930

MND Care Foundation

 

381,917

205,079

Macquarie Cash Management Trust

 

232,978

197,609

Term Deposit

 

545,000

345,000

 

11

2,134,263

1,385,450

 6 Other Assets

 

Note

2019

$

2018

$

Accrued Income

 

28,864

195,550

Tax Refundable

 

935

14,512

Prepayments

 

24,535

22,243

 

11

54,334

232,305

7 Financial Assets

 

2019

$

2018

$

Shares in listed corporations at market value

3,761,311

4,209,906

Other financial assets at market value

3,631,677

2,754,796

Total available-for-sale financial assets

7,392,988

6,964,702

Financial assets comprise of investments in the ordinary issued capital of various entities. There are no fixed returns or fixed maturity date attached to these investments

8 Property Plant and Equipment

LAND AND BUILDINGS

2019

$

2018

$

Buildings

 

 

At independent valuation

1,825,000

1,825,000

Less accumulated depreciation

(27,395)

 -

Total land and buildings

1,797,605

1,825, 000

PLANT AND EQUIPMENT

 

2019

$

 

2018

$

Patient equipment
At cost

 

2,268,604

 

3,694,423

Less accumulated depreciation

(1,556,753)

(2,959,694)

Total plant and equipment

711,851

734,729

Furniture, fixtures and fittings
At cost

 

28,993

 

89,281

Less accumulated depreciation

(7,595)

(67,248)

Total furniture, fixtures and fittings

21,398

22,033

Motor vehicles
At cost

 
342,263


317,309

Less accumulated depreciation

(50,577)

(27,902)

Total motor vehicles

291,686

289,407

Office equipment
At cost

 

70,692

 

157,990

Less accumulated depreciation

(22,902)

(123,334)

Total office equipment

47,790

34,656

Total plant and equipment

1,072,725

1,080,825

Total property, plant and equipment

2,870,330

2,905,825

(a) Movements in Carrying Amounts

 

Buildings

$

Patient Equipment

$

Furniture, Fixtures and Fittings

$

Motor Vehicles

$

Office Equipment

$

Total

$

Balance at 1 July 2018

1,825,000

734,729

22,033

289,407

34,656

2,905,825

Additions

 

278,304

4,921

125,548

24,938

433,711

Disposals

 

(10,403)

(744)

(75,720)

(2,050)

(88,915)

Depreciation expense

(27,395)

(290,781)

(4,812)

(47,549)

(9,754)

(380,291)

Carrying amount at 30 June 2019

1,797,605

711,851

21,398

291,686

47,790

2,870,330

Asset Revaluations

The land and buildings were valued by Darell Johnson, a certified valuer on 7th August 2018. The assessed value of the property was $1,825,000.

9 Trade and Other Payables

  Note

2019

$

2018

$

CURRENT      
Trade payables   53,238 61,970
Accrued expenses   71,406 66,759
Income received in advance     10,000
Payable to MND Care Foundation   7,391,227 6,932,372
  11 7,515,871 7,071,101

10 Employee Entitlements

 

 

2019

$

2018

$

Current

536,854

553,279

Non-current

14,691

16,245

 

551,545

569,524

11 Financial Risk Management

The association's financial instruments consist mainly of deposits with banks, local money market instruments, short-term investments, investments In listed shares and managed funds, accounts receivable and payable, and leases.

The carrying amounts for each category of financial instruments, measured in accordance with AASB 9 as detailed in the accounting policies to these financial statements, are as follows:

Financial Assets

Note

2019

$

2018

$

Cash and Cash Equivalents

5

1,934,263

1,385,450

Loans and receivables

 

54,334

232,305

Financial assets

7

7,592,988

6,964,702

 

 

9,581,585

8,582,457

Financial Liabilities

 

 

 

Financial Liabilities at amortised cost

 

 

 

Trade and other payables

9

7,805,871

7,071,101

 

 

7,805,871

7,071,101

Fair Values

(i} For listed financial assets the fair values have been based on closing quoted bid prices at the end of the reporting period.

In determining the fair values of the unlisted financial assets, the councillors have used inputs that are observable either directly (as prices) or indirectly (derived from prices}.

(ii} Fair values of held-to-maturity investments are based on quoted market prices at the end of the reporting period. Fair values of held-to maturity investments are based on quoted market prices at the end of the reporting period

12 Reserves

Capital Acquisitions Reserve

The Capital Acquisitions Reserve records funds set aside for capital purchases in the future. Financial Asset Reserve

The Financial Asset Reserve records revaluation of financial assets.

Revaluation Surplus Reserve

The Revaluation Surplus Reserve records the valuation surplus on property, plant and equipment.

13 Events after the Balance Sheet Date

Since the end of the financial year no significant events have occurred to warrant disclosure in the 2019 financial statements.

14 Association Details

The principal place of business of the Association is:

Motor Neurone Disease Association of Victoria Inc. 265 Canterbury Road

CANTERBURY VIC 3126


True and fair certification by members of the State Council

In the opinion of State Council the financial report as set out on pages 1 to 15:

  1. Presents a true and fair view of the financial position of Motor Neurone Disease Association or Victoria Inc as at 30 June 2019 and its performance for the year ended on that date in accordance with Australian Accounting Standards - Reduced Disclosure Regime (Including Australian Accounting Interpretations) of the Australian Accounting Standards Board.
  1. At the date of this statement there are reasonable grounds to believe that Motor Neurone Disease Association of Victoria Inc. will be able to pay its debts as and when they fall due.

This statement is made in accordance with a resolution of the State Council and is signed for and on behalf of State Council by:

President: David Lamperd

Treasurer: Jeremy Urbach

Dated: Melbourne 28th August, 2019


Independent auditor’s report to members

Report on the Audit of the Financial Statements

Opinion

We have audited the financial report of Motor Neurone Disease Association of Victoria Inc. (the Association), which comprises the statement of financial position as at 30 June 2019, the statement of comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies, and State Council’s declaration.

In our opinion the financial report of Motor Neurone Disease Association of Victoria Inc. has been prepared in accordance with the Associations Incorporation Reform Act 2012, including:

  1. giving a true and fair view of the Association’s financial position as at 30 June 2019 and of its financial performance for the year then ended; and
  2. complying with Australian Accounting Standards – Reduced Disclosure

Basis for Opinion

We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of our report. We are independent of the Association in accordance with the auditor independence requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Other Information

The State Council are responsible for the other information. The other information comprises the information included in the Association’s annual report for the year ended 30 June 2019, but does not include the financial report and our auditor’s report thereon.

Our opinion on the financial report does not cover the other information and accordingly we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial report or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other

information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of State Council and Those Charged with Governance for the Financial Report

The council of the Association are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards – Reduced Disclosure Regime and the Associations Incorporations Reform Act 2012 and for such internal control as state council determine is necessary to enable the preparation of the financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the council are responsible for assessing the Association’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the council either intend to liquidate the Association or to cease operations, or has no realistic alternative but to do so.

The State Council are responsible for overseeing the Association’s financial reporting process.

Auditor’s Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

  • Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal
  • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Association internal control.
  • Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by state
  • Conclude on the appropriateness of the state councils use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Association’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Association to cease to continue as a going concern.
  • Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair

We communicate with the state council regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

William Buck Audit (Vic) Pty Ltd

ABN 59 116 151 136

C.L. Siddles

Director

Dated: Melbourne 29th August, 2019