2016 annual report - physiotherapy alberta...physiotherapy alberta college + association annual...

2016 Annual ReportPhysiotherapy Alberta - College + Association

Covering period of January 1, 2016 to December 31, 2016 except Financial Statements (year end September 30, 2016).

ContentsPresident + Registrar’s Message ............................ 2

About Physiotherapy ............................................... 3

About the Organization ........................................... 4

Key Achievements .................................................... 5

Other Professional Activities .................................. 6

Member Statistics .................................................... 7

Profile of Physiotherapy Profession ........................ 9

Continuing Competence Program ........................... 11

Complaints and Discipline ........................................ 12

Financial Statements

Auditor’s Report ........................................................ 13

Statement of Financial Position ................................ 14

Statement of Operations ......................................... 15

Statement of Changes in Net Assets ...................... 16

Statement of Cash Flows .......................................... 17

Notes to Financial Statements ............................... 18

Annual Report

Council as of December 31, 2016Simon Cooke, PresidentSimone Hunter, Vice-PresidentJoshua Bezanson, Public MemberRon Crossley, Public MemberKarin Eldred, Member at largeTress Gibson, Member at largeCraig Wilson, Member at largeTodd Wolanksy, Member at large

Staff Members as of December 31, 2016Registrar: Dianne MilletteAccounting/Hearings Director: Jane McKenzieAdministrative Support: Haylee O’Reilly, Jamie MutreyCommunications: Alison BairdCompetence: Audrey LoweConduct: Moyra McAllisterProfessional Practice: Leanne LorangerRegistration/Corporate Services: Joyce VogelgesangRegistration: Lori Auld

Committees as of December 31, 2016Competence Committee

Jennifer HorneKelly StarkNancy LittkeNurudeen AmusatRafeeq AnsariShelley Holitski

Registration Committee

Amarjeet Saini Nicole Lavoie Rakib Mohammed Stephen Keating

Conduct Committee (complaint reviews and hearing tribunal)

Each Hearing Tribunal and Complaint Review Committee is appointed by the Hearings Director and comprised of two or more members from the following membership list:Barbara NortonBob SydenhamDavid MageeDiane Zayac Janelle Van Heeren Janice Yurick Jo-Anne OgleJulie Moylan Mara Shular Mark HallMelissa Merritt

2016 was the year that the College of Physical Therapists of Alberta officially, through legislative change, became Physiotherapy Alberta - College + Association. We have been waiting for this moment for several years, as it allows the organization to consider its future in many ways. New opportunities will arise and this will allow Physiotherapy Alberta to continue to evolve as an organization.

From a Council and staff perspective, 2016 will be best remembered as a year with a focus on the future. Planning throughout the year culminated in two pivotal events. The first event was the “Imagineering Event” to consider the future of our Continuing Competence program. The next event was the “Futures Forum” to assist Physiotherapy Alberta plan for the future. Both events were designed to promote creative thinking about physiotherapy practice and how best to support quality physiotherapy services for Albertans and beyond. The events were stimulating and thought-provoking and will guide Physiotherapy Alberta activities for years to come.

In this report, as in past Annual Reports, we reinforce that the role of physiotherapists is to improve the function, mobility and quality of life of Albertans. Our job at Physiotherapy Alberta is to regulate the profession in the public interest while supporting physiotherapists to deliver the best quality and safest care to the patients they serve. We can do this best by working collaboratively with physiotherapists, government, employers, and most importantly, listening and learning from the public. Physiotherapy Alberta is committed to continuing to engage physiotherapists and Albertans to inform our programs and services in 2017.

President + Registrar’s Message

Dianne Millette, Registrar Simon Cooke, President

“2016 will be best remembered

as a year with a focus on the

future.”

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Physiotherapy Alberta - College + Association | Annual Report 2016

About the Physiotherapy Profession

Physiotherapy is performed by physiotherapists. Physiotherapists are experts in physical function, movement and mobility. They have advanced knowledge of how the human body moves and what stops it moving. Physiotherapists help to restore, maintain, and maximize optimal function and quality of life.

Physiotherapists:

• Assess, diagnose and treat physical symptoms and limited movement caused by injury, aging, disability, or medical condition.

• Help patients understand what’s causing their condition.

• Work with patients to restore, maintain and maximize movement, flexibility and physical independence.

• Develop customized treatment plans.

• Teach patients how to reduce pain and manage chronic symptoms.

• Teach patients how to stay well, avoid future injury and achieve the best quality of life they can.

Physiotherapists use individualized therapeutic exercise, manual techniques and a range of modalities in their practice.

Protected titles

• Physical Therapist

• Physiotherapist

• Physical Therapist Intern

• Physiotherapist Intern

• P.T.

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About the OrganizationPhysiotherapy Alberta - College + Association regulates physiotherapy practice in Alberta. Through effective regulation and leadership we ensure the physiotherapists we license (i.e., our members) are qualified to practice and have the appropriate training, education and skills to provide competent, ethical and professional physiotherapy care to Albertans.

Protect the public interest

Our mandate, first and foremost, is to protect the public interest. The public places the utmost trust in health-care providers. Patients and families expect safe, effective, quality care. We share those expectations and work to ensure the right systems and processes are in place to support quality physiotherapy service delivery. We:

• Set and enforce practice and professional standards.

• License only qualified and competent physiotherapists.

• Administer a Continuing Competence Program.

• Investigate public and patient concerns.

• Promote and advocate excellence in physiotherapy and patient care.

• Support member understanding of and adherence to their regulatory responsibilities.

Leadership and direction to the profession

We provide leadership and direction to the profession and promote excellence in practice, education and research to improve the health and mobility of Albertans. We:

• Offer professional development opportunities; collaborating with partners such as academic institutions.

• Promote the value of the profession through marketing and public relations activities.

• Support the profession by providing advice and practice resources.

Governing board

Our governing board (Council) is made up of:

• Six physiotherapists elected by peers.

• Two government-appointed public members who provide valuable and insightful public input and perspective into Council’s policy and decision-making processes.

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Council’s role, in collaboration with staff, is to:

• Fulfill our mandate to serve and protect Albertans by regulating the profession within the legal framework.

• Lead and guide the profession through policy, standard and guideline development.

Our regulatory authority

We receive our regulatory authority from Alberta’s Health Professions Act (HPA) and the Physical Therapists Profession Regulation (PTPR).


Key Achievements

Stakeholder communication and awareness• Attended the Alberta Medical Students Conference

and Retreat (AMSCAR) to inform medical students about Physiotherapy Alberta, physiotherapy and how their future patients can benefit from and access physiotherapy.

• Attended the Alberta College of Family Physicians’ Annual Scientific Assembly to promote the profession and provide information regarding physiotherapy access and scope of practice.

• Celebrated National Physiotherapy Month in May by encouraging members to enter our contest by watching the Born to Move video and completing a form. Two winners were drawn and given free tuition to our fall conference.

• Hosted a Futures Forum to prepare for our next strategic plan. The forum focused on the future of regulation, teaching and learning, work, and the profession.

• The College of Physical Therapists of Alberta officially become Physiotherapy Alberta - College + Association after amendments to the Health Professions Act.

Competent practice and public safety• Began work on the core Standards of Practice and Code

of Ethics. Drafts of each were provided to members for feedback.

• Introduced an online platform to help members manage their Reflective Practice Review activities.

• Pilot tested a new Reflective Practice Review form geared toward members who have a non-clinical role such as administration, researchers and project leads. The form assists these members in more effectively participating in the Reflective Practice Review.

• Held an Imagineering Event to inform Council and staff regarding the future of the Continuing Competence Program.

Collaboration and partnerships• Gained or continued membership in:

• Workers’ Compensation Board Physical Therapy Advisory Committee

• Federation of Regulated Health Professionals and various sub-committees

• Grant MacEwan University and Norquest College Therapist Assistant Advisory Committee

• Canadian Alliance of Physiotherapy Regulators

Grants• Continued the Clinical Research Innovation Fund, a

research grant made possible through a partnership between TD Insurance Meloche Monnex, Physiotherapy Alberta, and the University of Alberta’s Department of Physical Therapy. Funds are available to support clinically relevant research by clinicians within the physiotherapy community.

• Received a grant from Alberta Occupational Health & Safety Innovation & Engagement Grants Program, Alberta Labour. Reviewed existing research literature regarding best practices for identification and management of burnout. Conducted a member survey regarding the prevalence and experience of burnout in the workplace.

• Continued work on the online networking platform for Internationally Educated Physiotherapists and others via ignitephysio.ca.

• Continued work with other regulatory Colleges on Blood and Body Fluid Exposure by developing resources for members who experience exposures.

Registration and licensing• Completed the development of a knowledge based

self-assessment process for Internationally Educated Physiotherapists.

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Other Professional Activities

Born to Move• Shared three physiotherapy stories from the Albertans

featured in the Born to Move video.

• Born to Move commercial won the 2016 Alberta Film and Television award for Best Commercial under $50k.

Continuing Professional Development• Over 120 physiotherapists met in Red Deer for the

Longevity + Living Well conference. Attendees discussed the latest evidence and had the opportunity to network with both local and international colleagues.

• Developed “Concussion Management: A Toolkit for Physiotherapists” to provide physiotherapists who do not routinely treat concussion with information and resources for evidence-based assessment and management of adult patients with persistent post-concussive symptoms.

• Continued with the Awards Program where two members on the General Register were given awards for their contribution to the profession through research or excellence in practice. One Award was also given to a physiotherapist student from the University of Alberta for leadership skills.

• Continued to administer Financial Opportunities for members on the General Register who exemplify knowledge translation and lifelong learning.

• Continued offering live and recorded webinars to members on various topics.

Sponsorships• Continued to sponsor Special Olympics Alberta, an

organization offering sports programming in more than 100 communities around the province for Albertans with an intellectual disability.

• Sponsored Ever Active Schools and the AMA Youth Run Club, a free, school-based running program aimed at increasing physical activity levels among Alberta children and youth.


Member Statistics

Table 1: Regulated members as of December 31

2016 2015

General Register 2,606 2,496

Provisional Register 159 171

Total 2,765 2,667

Table 2: Changes to regulated member registers in 2016

New and returning members

Coming from another Canadian jurisdiction (see Table 4) 43

Canadian educated (see Table 5) 89

Internationally educated (see Table 8) 71

Reinstatements 61

Total 264

Removed from registers

Cancellation for failure to renew 23

Career change 5

Conditions not met 7

On leave 50

Other/unknown reason 9

Relocating 42

Retirement 29

Deceased 1

Total 166

Table 3: Applications denied, restricted or incomplete

Deferred 1

Restricted 0

Incomplete as of December 31, 2016 29

Registration reviews by Council in 2016

0

Table 4: Canadian jurisdiction where members registered previously

2016 2015

British Columbia 9 6

Manitoba 2 0

New Brunswick 4 1

Nova Scotia 2 3

Ontario 13 13

Quebec 5 1

Saskatchewan 8 9

Total 43 33

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Table 5: Canadian educated members by province of education

2016 2015

Alberta 75 89

British Columbia 1 0

Manitoba 3 4

Nova Scotia 3 8

Ontario 2 11

Saskatchewan 5 5

Total 89 117

Table 8: Internationally educated members by country of education

2016 2015

Australia 2 6

Brazil 1 2

Egypt 0 1

India 50 34

Iran 0 1

Ireland 2 3

Israel 0 1

Kuwait 1 0

Mexico 0 1

Netherlands 2 0

New Zealand 0 1

Nigeria 1 5

Pakistan 3 1

Philippines 4 10

Portugal 1 0

Scotland 1 1

South Africa 0 1

United Kingdom 2 4

United States 1 2

Total 71 74

Table 6: Members on the Courtesy Register in 2016

Number Average # of days

Visiting clinician 0 0

Visiting instructor 27 7

Visiting learner 43 18

Total 70

Table 7: Non-regulated members as of December 31

Alumni Member Register 26

Physiotherapy Student Register 146

Total 172

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Profile of Physiotherapy Profession in Alberta

Age and gender of physiotherapists

Total Female Male

# % # % # %

0 - 34 years 861 31 646 75 215 25

35 - 49 years 1,216 44 811 67 405 33

50+ years 688 25 569 83 119 17

Total 2,765 100 2,026 73 739 27

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By practice focus

2016 2015

Clinical: cardiovascular and respiratory system 38 31

Clinical: more than one system 1,017 955

Clinical: musculoskeletal system 1,256 1,229

Clinical: neurological system 140 145

Clinical: skin and related structures 11 5

Non-clinical 170 172

Unknown or not applicable 133 123

Association/government 41

Community health centre 210

General hospital 664

Home care 99

Industry/manufacturing/commercial 8

Mental health facility 13

Post-secondary education/institution 47

Private practice 1,332

Rehabilitation hospital/facility 80

Residential care facility 108

School or school board 37

Unknown, not applicable or other 126

Where physiotherapists are working

By health zoneBased on employee and personal information

By practice setting

Not practicing in Alberta

Zone 5North

Zone 4Edmonton

Zone 3Central

Zone 2Calgary

Zone 1South

160 1,033

231 1,181

131 29

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Continuing Competence ProgramUnder the Health Professions Act, participation in the Continuing Competence Program is mandatory for members on the General Register and a requirement for practice permit renewal, regardless of practice area, role or experience.

The Continuing Competence Program is comprised of three components: competence development, competence assessment and practice visits. Practice visits have not been developed and, therefore, are not part of this report.

Competence developmentReflective Practice Review (RPR)Launched: April 2012Participation requirement: Ongoing annual activityDescription: A cognitive educational strategy intended to result in meaningful changes in one or more of the following: individual competence, patient care or physiotherapy/health services. It encourages reflective judgment and critical thinking about professional competencies and practice. Members on the General Register are required annually to maintain an essential competency self-assessment and complete a patient care reflection (clinicians only), learning planner and tracker, and to report on reflective practice activities and learning outcomes at renewal.

2016 RPR activities:• Audited Reflective Practice Review records of 5.8%

of 2,078 eligible members. (n=122, 113 randomly selected, 8 directed, 1 voluntary).

• Evaluated the 2016 Reflective Practice Review Audit process and results.

• Introduced an online platform for the recording of Reflective Practice Review information.

• Prepared white paper on Continuing Competence Programming strategies and trends.

• Held an Imagineering Event focused on reflective practice review and continuing competence.

• Completed a series of administrative improvements to policy and process.

Outcomes

Table 1: Overall RPR Results by Member

Initial Review

Final Rating

Requirements met - satisfactory rating

108 (89%) 119 (98%)

Requirements not met - unsatisfactory rating

13 (10%) 1 (1%)

Requirements not met - deferral 1 (1%)* 2 (1%)*

Total 122 122

*Lost documents – audit deferred until 2017

Competence assessmentJurisprudence moduleLaunched: 2011Participation requirement: Within six months of registration and every five years thereafterDescription: An online exam designed to assess knowledge of physiotherapy legislation, standards and other legislation that impacts practice. New registrants and members on the General Register complete every five years. In 2016, only new registrants were required to complete.Outcomes• 151 members were required to complete the module

in 2016.• Successful completion first attempt – 140• Successful completion second attempt – 10• Successful completion third attempt - 1

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Complaints + DisciplinePhysiotherapy Alberta is committed to high standards of professional conduct and competency. One way we protect Albertans and ensure safe, high-quality and competent physiotherapy care is by receiving, investigating and administering concerns about our members’ conduct.

While our members are qualified and competent practitioners who practice within our standards and guidelines, occasionally complaints arise, often through misunderstanding and/or miscommunication between provider and patient.

Our complaints process We take all concerns very seriously and investigate all written and signed complaints in an objective and confidential manner. Our process is designed to ensure fairness to both the person making the allegation (the complainant) and the practitioner in question. During the investigation phase, we gather all information possible about the situation (e.g., interview the complainant, physiotherapist in question and others, and review patient charts, billing records and other relevant documentation). If at any time during the investigation, the physiotherapist in question is deemed a danger to the public, actions will be taken to ensure the public is protected. After the investigation, a decision is made to refer the complaint for a hearing or dismiss it (often because of lack of or insufficient evidence). If dismissed, the complainant has 30 days to appeal.The Physiotherapy Alberta - College + Association investigates and manages complaints about physiotherapists in accordance with the Health Professions Act.

The following data are based on complaint activity between January 1 and December 31, 2016.

Table 1: Number of complaints

Complaint files open on January 1, 2016 9

New complaints received (see Table 2) 21

Complaint files closed (see Table 3) 16

Total open as of December 31, 2016 14

Table 2: Nature of complaints received

Billing practice 3

Clinical Competence 3

Ethical Conduct 1

Management of Client Relationship 1

Management of Patient Care 11

Record Keeping - Clinical 1

Sexual Impropriety 1

Total 21

Table 3: Complaint files closed

Held in Abeyance 2

Agreement and undertaking 3

Dismissed (insufficient evidence) 10

Informal resolution 1

Total 16

HearingsOne complaint was referred to a hearing. The matter was ongoing as of December 31, 2016.

AppealsThere was one appeal in 2016. The decision of the Complaints Director was upheld by the Complaints Review Committee.

Section 118 of the HPANo members were dealt with under Section 118 of the Health Professions Act.

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Financial Statements To the Members of

Physiotherapy Alberta - College + Association (formerly known as the College of Physical Therapists of Alberta)

Report on the Financial StatementsWe have audited the accompanying financial statements of Physiotherapy Alberta – College + Association (formerly known as College of Physical Therapists of Alberta), which comprise the statement of financial position as at September 30, 2016, and the statements of operations, changes in net assets and cash flows for the year then ended, and a summary of significant accounting policies and other explanatory information.

Management’s Responsibility for the Financial StatementsManagement is responsible for the preparation and fair presentation of these financial statements in accordance with Canadian accounting standards for not-for-profit organizations and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s ResponsibilityOur responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements 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 entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

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

OpinionIn our opinion, the financial statements present fairly, in all material respects, the financial position of Physiotherapy Alberta – College + Association (formerly known as College of Physical Therapists of Alberta) as at September 30, 2016 and the results of its operations and its cash flows for the year then ended in accordance with Canadian accounting standards for not-for-profit organizations.

Emphasis of MatterThe 2015 financial statements have been restated as described in Note 3.

Independent Auditor’s Report

Edmonton, AlbertaJanuary 14, 2017

Chartered Accountants

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Statement of Financial PositionSeptember 30, 2016

2016 2015

ASSETS (Note 3)

CURRENT

Cash (Note 4) $ 398,498 $ 1,217,872

Accounts receivable (Note 5) 51,305 41,704

Prepaid expenses 65,112 64,305

514,915 1,323,881

UNRESTRICTED INVESTMENTS (Note 6) 1,504,763 1,695,598

RESTRICTED INVESTMENTS (Notes 6, 11) 1,329,984 1,241,720

PROPERTY AND EQUIPMENT (Note 7) 106,941 118,038

INTANGIBLE MANAGEMENT SYSTEM (Note 8) 494,000 161,355

$ 3,950,603 $ 4,540,592

LIABILITIES AND NET ASSETS

CURRENT

Accounts payable and accrued liabilities $ 119,009 $ 230,186

Deferred revenue (Note 9) 2,001,870 1,896,516

Deferred contributions related to government grants (Note 10) 59,433 604,007

2,180,312 2,730,709

NET ASSETS

Internally restricted for membership reserve (Note 11) 1,329,984 1,241,720

Invested in property and equipment 106,941 118,038

Unrestricted 333,366 450,125

1,770,291 1,809,883

$ 3,950,603 $ 4,540,592

COMMITMENTS (Note 12)

CONTINGENCY (Note 13)

Approved on behalf of Council:

Simon CookeCouncil President

Ron Crossley Public Member

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Statement of OperationsYear ended September 30, 2016

2016 2015

REVENUE (Note 3)

Membership fees (Note 14) $ 2,140,318 $ 2,052,616

MEMBERS’ SERVICES EXPENSES

Special projects 315,482 178,210

Conduct 98,854 40,875

Technology 81,618 48,275

Bank and credit card fees 58,725 55,785

Dues and membership fees 54,463 52,109

Legal fees 46,612 22,896

Committees 39,938 40,354

Professional fees 16,012 15,187

Records management 4,419 2,970

716,123 456,661

REVENUE BEFORE OPERATING EXPENSES 1,424,195 1,595,955

OPERATING EXPENSES

Salaries and employee benefits 977,680 929,670

Communications 365,144 194,206

Rent 131,487 128,388

Representation and travel 91,284 84,474

Amortization of intangible management system 54,949 0

Amortization of property and equipment 37,016 49,521

Printing 28,638 26,630

Office support 24,446 21,247

Salary replacement and honorariums (Note 16) 12,500 17,175

Office supplies 12,071 13,089

Gifts and recognition 7,118 5,713

Donations 5,850 17,374

1,748,183 1,487,487

(LOSS) REVENUE FROM OPERATIONS (323,988) 108,468

OTHER INCOME (EXPENSES)

Government of Alberta grants 674,159 789,717

Other income 186,226 94,480

Investment income 87,014 98,394

Unrealized gain (loss) on investments 34,237 (74,953)

Gain on disposal of investments 4,468 37,644

Loss on disposal of equipment (2,433) (479)

Investment fees (27,157) (29,044)

Special projects related to government grants (Note 15) (672,118) (792,948)

284,396 122,811

REVENUE (UNDER) OVER EXPENSES $ (39,592) $ 231,279

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Statement of Changes in Net AssetsYear ended September 30, 2016

Internally restricted for membership

reserve

Invested in property and

equipment Unrestricted 2016 2015

NET ASSETS AT THE BEGINNING OF THE YEAR (Note 3) $ 1,241,720 $ 118,038 $ 450,125 $ 1,809,883 $

(Note 3)

1,578,604

Purchase of property and equipment 0 28,353 (28,353) 0 0

Revenue over (under) expenses 88,264 (39,450) (88,406) (39,592) 231,279

NET ASSETS AT THE END OF THE YEAR $ 1,329,984 $ 106,941 $ 333,366 $ 1,770,291 $ 1,809,883

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Statement of Cash FlowsYear ended September 30, 2016

2016 2015

OPERATING ACTIVITIES (Note 3)

Revenue (under) over expenses $ (39,592) $ 231,279

Items not affecting cash:

Amortization of property and equipment 37,016 49,521

Amortization of intangible management system 54,949 0

Loss on disposal of equipment 2,433 479

Gain on disposal of investments (4,468) (37,644)

Unrealized loss (gain) on investments (34,237) 74,953

16,101 318,588

Changes in non-cash working capital:

Accounts receivable (9,601) (30,095)

Prepaid expenses (807) (12,298)

Accounts payable and accrued liabilities (111,176) 103,610

Deferred membership fees 105,354 111,858

Deferred contributions related to government grants (544,574) 219,843

(560,804) 392,918

(544,703) 711,506

INVESTING ACTIVITIES

Purchase of property and equipment (28,353) (38,225)

Purchase of intangible management system (387,594) (161,355)

Net change in investments 441,226 767,197

25,279 567,617

(DECREASE) INCREASE IN CASH (519,424) 1,279,123

Cash - beginning of year 2,422,713 1,143,590

CASH - END OF YEAR $ 1,903,289 $ 2,422,713

CASH FLOWS SUPPLEMENTARY INFORMATION

Interest received $ 87,014 $ 98,394

CASH CONSISTS OF

Cash $ 398,498 $ 1,217,872

Cash included in investments 1,504,791 1,204,841

$ 1,903,289 $ 2,422,713

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Notes to Financial Statements

1. NATURE OF OPERATIONS

Physiotherapy Alberta – College + Association (formerly known as College of Physical Therapists of Alberta) was established pursuant to the Physical Therapy Profession Act of Alberta, A/R 298/95 and transitioned to the Health Professions Act Revised Status of Alberta, H7 on May 9, 2011. The College operates to regulate physical therapists in the province that are licensed under the Health Professions Act. Operations are administered by a registrar and office staff and are governed by an elected council. Several standing committees carry out the business activities and programs which include complaints, discipline and continuing competence. The College is a not-for-profit organization for income tax purposes and is not subject to income taxes. No dividends may be paid or assets distributed to members of the College.

2. SIGNIFICANT ACCOUNTING POLICIES

Basis of presentationThese financial statements have been prepared in accordance with Canadian accounting standards for not-for-profit

organizations.

Cash Cash is defined as cash on hand and cash on deposit, net of

cheques issued and outstanding at the reporting date.

Property and equipment Property and equipment are stated at cost less accumulated amortization. Property and equipment are amortized over their

estimated useful lives at the following rates and methods:

InvestmentsInvestments of marketable securities are carried at fair value. Unrealized gains or losses are reported on the statement of

operations.

Intangible management systemThe College has developed a data management system and costs are being amortized on a straight-line basis over its

estimated useful life of ten years.

Contributed goods and servicesGoods and services were contributed to the College during the year. Due to the difficulty in determining their fair value, contributed goods and services are not recognized in the

financial statements.

LeasesLeases are classified as either capital or operating leases. A lease that transfers substantially all of the benefits and risks of ownership is classified as a capital lease; all other leases are accounted for as operating leases. At the inception of a capital lease, an asset and a payment obligation are recorded at an amount equal to the lesser of the present value of the minimum lease payments and the property’s fair market value. Assets under capital leases are amortized on a straight-line basis, over their estimated useful lives. Rental payments under operating leases are expensed as incurred.

Revenue recognition The College follows the deferral method of accounting for contributions. Contributions, including grants, are included in revenue in the year in which they are received or receivable, with the exception that contributions to fund a specific future period’s expenses are included in revenue in that later period.

Membership fees are recognized as revenue in the fiscal year in which membership services are provided and when collection is reasonably assured.

Deferred membership fees represent membership fees for the service period after the College’s fiscal year end.

Financial instruments Financial instruments are recorded at fair value when acquired or issued. In subsequent periods, financial assets with actively traded markets are reported at fair value, with any unrealized gains and losses reported in income. All other financial instruments are reported at amortized cost and tested for impairment at each reporting date.

Use of estimates The preparation of financial statements, in conformity with Canadian accounting standards for not-for-profit organizations, requires management to make estimates and assumptions that affect the amounts reported in the financial statements. Significant estimates include providing for allowance for doubtful accounts, amortization, accrued liabilities and deferred contributions related to government grants. By their nature, these estimates are subject to measurement uncertainty and actual results could differ.

3. RESTATEMENT OF PRIOR YEAR’S FINANCIAL STATEMENTS

The prior year’s financial statements have been restated to capitalize the Fusion Data Management System. The restatement increased the intangible assets by $161,355 and decreased net assets and special project expenses by $161,355.

Year ended September 30, 2016

Furniture and fixtures 20% Declining balance method

Computer equipment 30% Declining balance method

Leasehold improvements 20% Straight-line method

Computer software 50% Straight-line method

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4. RESTRICTED CASH

Included in cash is $59,433 (2015--$604,007) restricted for use in accordance with the agreements related to the deferred contributions related to government grants described in Note 10.

5. ACCOUNTS RECEIVABLE

Account receivable consists of the following:

During the year, the College recorded bad debts of $9,413 (2015--$0). This amount is included in conduct expenses.

6. INVESTMENTS

7. PROPERTY AND EQUIPMENT

8. INTANGIBLE MANAGEMENT SYSTEM

9. DEFERRED REVENUE

Deferred revenue consists of:

10. DEFERRED CONTRIBUTIONS RELATED TO GOVERNMENT GRANTS

A portion of receipts received in the year are deferred to be recognized as revenue in future years as the related expenses are incurred. Deferred contributions consist of the following:

11. NET ASSETS

The College has established a restricted investment account (Note 6) equal to at least one year of expected costs, recalculated on an annual basis as a contingency fund. This fund is to be used on unforeseen legal liabilities, discipline costs and other unanticipated expenses incurred during the operating year. Council approval is required for any utilization of the membership reserve net assets.

12. COMMITMENTS

The College leases equipment under long-term leases that expire at various times in the future. The College also leases the office space under a long-term lease that expires in October 2021. Future minimum lease payments are indicated below which include an estimate of the operational costs. The College is responsible for its share of any additional incremental operational costs.

2016 2015

Cash $ 1,504,791 $ 1,204,841

Mutual funds 1,329,956 1,732,477

$ 2,834,747 $ 2,937,318

Investments are comprised of:

Unrestricted investments $ 1,504,763 $ 1,695,598

Restricted investments $ 1,329,984 $ 1,241,720

Cost Accumulated amortization

2016 Net book value

2015 Net book value

Furniture and fixtures $ 129,491 $ 74,581 $ 54,910 $ 50,598

Computer equipment 44,116 26,028 18,088 18,264

Leasehold improvements 227,088 193,876 33,212 46,984

Computer software 4,709 3,978 731 2,192

$ 405,404 $ 298,463 $ 106,941 $ 118,038

2016 2015

Membership fees $ 2,001,870 $ 1,881,516

Conference fees 0 15,000

$ 2,001,870 $ 1,896,516

2016 2015

Government of Alberta - Occupational Health and Safety - Blood and Body Fluid Program 29,662 179,940

Government of Alberta - Foreign Qualification Recognition Online Networking 20,806 39,131

Government of Alberta - Burnout and Fatigue in the Workplace 8,965 0

Government of Alberta - IEPT - Bridging Program 0 353,471

Government of Alberta - Occupational Health and Safety - Awareness Program 0 18,711

Government of Alberta - IEPT - Developing Common Standards 0 12,754

$ 59,433 $ 604,007

2017 $ 126,553

2018 139,069

2019 138,111

2020 131,693

2021 131,693

$ 667,119

19

2016 2015

Accounts receivable $ 60,718 $ 41,704

Allowance for doubtful accounts (9,413) 0

$ 51,305 $ 41,704

Cost Accumulated amortization

2016 Net book value

2015 Net book value

Fusion Data Management System $ 548,949 $ 54,949 $ 494,000 $ 161,355

13. CONTINGENCY

The College has been named as a defendant in a claim filed by a member. At this time the losses, if any, cannot be determined. Any gains or losses incurred will be recognized in the year they are incurred.

14. MEMBERSHIP FEES

15. SPECIAL PROJECTS RELATED TO GOVERNMENT GRANTS

Included in special projects related to government grants are all costs associated with the project including direct costs and allocation of salaries for staff time involved in the project completion. The special projects include:

16. RELATED PARTY TRANSACTIONS

The College paid $ 12,500 (2015--$17,175) to council members for their attendance at various council meetings.

These transactions are in the normal course of operations and are measured at the exchange amount which is the amount of consideration established and agreed to by the related parties.

17. FINANCIAL INSTRUMENTS

The College’s financial instruments consist of cash, accounts receivable, investments and accounts payable and accrued liabilities.

The College is exposed to the following risks through its financial instruments:

Credit riskCredit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The College’s main credit risk relates to accounts receivable. The College’s accounts receivable are generally the result of services to its members.

The College’s members are numerous which reduces the concentration of credit risk. It is management’s opinion that there is no significant credit risk as of September 30, 2016.

Liquidity riskLiquidity risk arises from the possibility that the College might encounter difficulty in settling its debts or in meeting its obligations related to financial liabilities. In management’s opinion, this risk has been reduced due to the large cash and investment reserves kept on hand at September 30, 2016.

Currency riskCurrency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The College has cash and investments denominated in a foreign currency. Foreign exchange gains and losses are included in unrealized (loss) gain on investments in the statement of operations.

Interest rate riskInterest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The College is exposed to interest rate risk arising on its interest bearing assets. The College’s cash and investments include amounts held by financial institutions that earn interest at market rates. The College manages its risk by monitoring interest being earned on excess funds.

2016 2015

Physical therapists $ 2,125,737 $ 2,039,621

Penalty fees 14,581 12,995

$ 2,140,318 $ 2,052,616

2016 2015

IEPT

Bridging Program $ 353,746 $ 541,237

Developing Common Standards 82,669 57,072

Foreign Qualifications Recognition

Online Networking 55,537 111,069

Evaluating Exam 0 26,650

Occupational Health and Safety

Blood and Body Fluid Program 150,278 183

Awareness Program 18,853 56,708

Burnout and Fatigue 11,035 0

Alberta Provider Directory 0 29

$ 672,118 $ 792,948

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Physiotherapy Alberta - College + Association Suite 300 Dorchester Building 10357 - 109 Street Edmonton, Alberta T5J 1N3

T: 780.438.0338 | 1.800.291.2782F: 780.436.1908 [email protected]

2016 annual report - physiotherapy alberta...physiotherapy alberta college + association annual...

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