Not-For-Profit - Association ReportFoundation 61 Inc.ABN 79 079 178 867For the year ended 30 June 2020
Not-For-Profit - Association Report Foundation 61 Inc. Page 2 of 14
Contents3 Committee's Report
5 Income and Expenditure Statement
6 Assets and Liabilities Statement
7 Notes to the Financial Statements
11 Movements in Equity
12 Statement of Cash Flows - Direct Method
13 True and Fair Position
14 Auditor's Report
Not-For-Profit - Association Report Foundation 61 Inc. Page 3 of 14
Committee's ReportFoundation 61 Inc.For the year ended 30 June 2020
Committee's Report
Your committee members submit the financial report of Foundation 61 Inc. for the financial year ended 30 June 2020.
Committee Members
The names of committee members throughout the year and at the date of this report are:
Committee Member Position Date Started Experience Qualification
Hal Bisset Chairperson 2008 AM, BSc(hons), DipEd BD
Colin Bell Deputy Chairperson 28/11/2017 BSc(hons), MSc, PhD, GCHELD
Brenda Lyons Treasurer 16/12/2014 BCom BSc
Michael Brugman Committee Member 2016 BA, LLB
Kaye Ward Committee Member 2015 BA, BSW, Dip Ed, Grad Dip in FamilyTherapy, Grad Dip in SpiritualDirection
Meetings of Committee Members
During the financial year, a number of committee meetings were held. Attendances by each committee member during the yearwere as follows:
Committee Members Name Number Eligible to Attend Number Attended
Hal Bisset 9 9
Colin Bell 9 8
Michael Brugman 9 9
Brenda Lyons 9 8
Kaye Ward 9 9
Melissa Lovell On leave of absence then resigned 27/11/2019
Principal Activities
Not-for-profit community based charity that seeks to • provide healing and hope for people affected by addiction and• provide long stay residential based drug and alcohol rehabilitation centre.
Committee's Report
Not-For-Profit - Association Report Foundation 61 Inc. Page 4 of 14
Significant Changes
Foundation 61 Inc has previously
• entered a funding agreement with the Commonwealth for $169,543 for Stage 1 of a project to develop a Women's Drugand alcohol rehabilitation facility;
• entered a Contract of Sale with the Uniting Church of Australia to purchase the property at 120 Russells Road, Mt Duneedconditional upon obtaining planning approval; and
• lodged a submission with the City of Greater Geelong to develop the Women's Rehabilitation facility on the land
In 2020-21 Foundation 61 Inc expects:
• planning approval to be granted which will trigger a second Funding Agreement with the Commonwealth government for$1,330,466;
• settlement on the purchase of the land at 120 Russells Road; and• the commencement of construction of the facility. Completion of construction is anticipated to occur in 2021-22
Operating Result
The surplus after providing for income tax for the financial year amounted to $337,252
Going Concern
This financial report has been prepared on a going concern basis which contemplates continuity of normal business activitiesand the realisation of assets and settlement of liabilities in the ordinary course of business. The ability of the association tocontinue to operate as a going concern is dependent upon the ability of the association to generate sufficient cashflows fromoperations to meet its liabilities. The members of the association believe that the going concern assumption is appropriate.
Signed in accordance with a resolution of the Members of the Committee on:
_______________________
Brenda Lyons - committee member (Treasurer)
Date / /17 11 2020
The accompanying notes form part of these financial statements. These statements should be read in conjunction with the attachedcompilation report.
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Income and Expenditure StatementFoundation 61 Inc.For the year ended 30 June 2020
2020 2019
Total IncomeCapital Gain/(Loss) on Disposal of Asset 7,545 -
Training Income 85,939 117,833
Sponsorship Rooms 22,050 23,500
Client Fees 209,804 210,827
Gifts and Donations 415,977 210,002
Miscellaneous Income 6,179 50,536
Grants 190,620 73,093
Cash Flow Boost 10,000 -
Job Keeper Receipts 48,000 -
Total Total Income 996,115 685,792
ExpenditureDepreciation 19,199 19,286
Motor Vehicles 36,723 31,083
Mens Program Costs 299,293 33,554
Womens Program Costs 4,357 3,639
Employment Expenses 151,254 344,349
Occupancy Expenses 78,867 63,144
Insurance 16,540 14,895
Social Enterprise Projects 17,699 9,780
Other Expenses 34,929 28,680
Total Expenditure 658,862 548,410
Current Year Surplus/ (Deficit) Before Income Tax Adjustments 337,252 137,382
Current Year Surplus/(Deficit) Before Income Tax 337,252 137,382
Net Current Year Surplus After Income Tax 337,252 137,382
The accompanying notes form part of these financial statements. These statements should be read in conjunction with the attachedcompilation report.
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Assets and Liabilities StatementFoundation 61 Inc.As at 30 June 2020
NOTES 30 JUN 2020 30 JUN 2019
AssetsCurrent Assets
Cash and Cash Equivalents 2 360,894 151,314
Trade and Other Receivables 3 - 26,758
GST Receivable 9,697 -
Fringe Benefits Tax Payable 1,440 1,214Total Current Assets 372,032 179,287
Non-Current AssetsPlant and Equipment and Vehicles 5 60,897 11,688
Land and Buildings 4 684,411 574,853
Other Non-Current AssetsBond - Transition House 1,474 -Total Other Non-Current Assets 1,474 -
Total Non-Current Assets 746,782 586,542
Total Assets 1,118,814 765,828
LiabilitiesCurrent Liabilities
Trade and Other Payables 6 16,948 5,102
GST Payable - 3,479
Client Petty Cash Payable 4,886 2,726
Employee Entitlements 7 41,407 36,202Total Current Liabilities 63,242 47,509
Total Liabilities 63,242 47,509
Net Assets 1,055,572 718,320
Member's FundsOpening Balance 718,320 580,937
Current Year Earnings 337,252 137,382
Total Member's Funds 1,055,572 718,320
These notes should be read in conjunction with the attached compilation report.
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Notes to the Financial StatementsFoundation 61 Inc.For the year ended 30 June 2020
1. Summary of Significant Accounting Policies
The financial statements are special purpose financial statements prepared in order to satisfy the financial reporting requirements of the Australian Charities and Not-for-profits Commission Act 2012. The committee has determined that the association is not a reporting entity. No Australian Accounting Standards or other pronouncements of the Australian Accounting Standards have been applied.
a) Statement of Compliance
The financial report has been prepared in accordance with the mandatory Australian Accounting Standards applicable to entities reporting under the Australian Charities and Not-for-profits Commission Act 2012, the basis of accounting specified by all Australian Accounting Standards and Interpretations, and the disclosure requirements of Accounting Standards AASB 101: Presentation of Financial Statements, AASB 107: Cash Flow Statements, AASB 108: Accounting Policies, Changes in Accounting Estimates and Errors, AASB 1031: Materiality and AASB 1054: Australian Additional Disclosures.
The Entity has concluded that the requirements set out in AASB 10 and AASB 128 are not applicable as the initial assessment on its interests in other entities indicated that it does not have any subsidiaries associates or joint ventures. Hence, the financial statements comply with all the recognition and measurement requirements in Australian Accounting Standards.
The financial statements, except the cash flow information have been prepared on an accrual basis and are based on historical costs unless otherwise stated in the notes. Material accounting policies adopted in the preparation of these financial statements are presented below and have been consistently applied unless stated otherwise. The amounts presented in the financial statements have been rounded to the nearest dollar.
The following significant accounting policies, which are consistent with the previous period unless stated otherwise, have been adopted in the preparation of this financial report.
b) Fixed Assets
Plant and equipment are brought to account at cost. The depreciable amount of all fixed assets (excluding buildings) are depreciated over the useful lives of the assets to the association commencing from the time that asset is held ready for use.
c) Depreciation
All assets except land & buildings are depreciated over their estimated useful lives using the straight-line method. The depreciation rate used for Plant & Equipment is the applicable Australian Taxation Office rate.
Employee Provisions
Provision is made for the association’s liability for employee benefits arising from services rendered by employees to the end of the reporting period. Employee provisions have been measured at the amounts expected to be paid when the liability is settled.
Provisions
Provisions are recognised when the association has a legal or constructive obligation, as a result of past events, for which it is probable that an outflow of economic benefits will result and that outflow can be reliably measured. Provisions are measured at the best estimate of the amounts required to settle the obligation at the end of the reporting period.
Notes to the Financial Statements
These notes should be read in conjunction with the attached compilation report.
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Cash on Hand
Cash on hand includes cash on hand, deposits held at call with banks, and other short-term highly liquid investments withoriginal maturities of three months or less.
Accounts Receivable and Other Debtors
Accounts receivable and other debtors include amounts due from members as well as amounts receivable from donors.Receivables expected to be collected within 12 months of the end of the reporting period are classified as current assets. Allother receivables are classified as non-current assets.
Revenue and Other Income
Revenue is measured at the fair value of the consideration received or receivable after taking into account any trade discountsand volume rebates allowed. For this purpose, deferred consideration is not discounted to present values when recognisingrevenue.
Interest revenue is recognised using the effective interest method, which for floating rate financial assets is the rate inherent inthe instrument. Dividend revenue is recognised when the right to receive a dividend has been established.
Grant and donation income is recognised when the entity obtains control over the funds, which is generally at the time ofreceipt.
If conditions are attached to the grant that must be satisfied before the association is eligible to receive the contribution,recognition of the grant as revenue will be deferred until those conditions are satisfied.
All revenue is stated net of the amount of goods and services tax.
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 notrecoverable from the Australian Taxation Office (ATO). Receivables and payables are stated inclusive of the amount of GSTreceivable or payable. The net amount of GST recoverable from, or payable to, the ATO is included with other receivables orpayables in the assets and liabilities statement.
Financial Assets
Investments in financial assets are initially recognised at cost, which includes transaction costs, and are subsequently measuredat fair value, which is equivalent to their market bid price at the end of the reporting period. Movements in fair value arerecognised through an equity reserve.
2020 2019
2. Cash on HandBank & Petty Cash
Bank - Gift Account 70,025 3,211
Bank - Holding Account 180,087 112,182
Notes to the Financial Statements
These notes should be read in conjunction with the attached compilation report.
Not-For-Profit - Association Report Foundation 61 Inc. Page 9 of 14
Bank - Working Account 108,207 35,169
Petty Cash 2,575 752
Total Cash on Hand 360,894 151,314
2020 2019
3. Trade and Other ReceivablesTrade Receivables - 26,758
Total Trade and Other Receivables - 26,758
2020 2019
4. Land and BuildingsLand
Land at Cost 150,000 150,000
Land & Buildings - Russells Road 56,818 38,636Total Land 206,818 188,636
BuildingsBuildings at Cost 329,779 329,779
Accumulated Depreciation of Buildings (55,355) (47,120)Total Buildings 274,424 282,659
Russells Road ProjectRussells Road Project 201,222 103,561
Russells Road Project - Accumulated Depreciation - (2)Total Russells Road Project 201,222 103,559
Buildings - Fixture & Fittings 1,970 -
Buildings Fixture & Fittings Accum Depreciation (23) -
Total Land and Buildings 684,411 574,853
2020 2019
5. Plant and Equipment, Motor VehiclesPlant and Equipment
Plant & Equipment at CostRehab Equipment 13,684 20,017
Office Equipment 17,229 6,035
Workshop Equipment 39,880 40,319Total Plant & Equipment at Cost 70,793 66,372
Accumulated Depreciation of Plant and EquipmentLess Accumulated Depreciation - Rehab Equipment (11,561) (17,216)
Less Accumulated Depreciation on Office Equipment (4,785) (1,965)
Less Accumulated Depreciation on Workshop equipment (38,161) (37,474)Total Accumulated Depreciation of Plant and Equipment (54,507) (56,655)
Total Plant and Equipment 16,286 9,717
Notes to the Financial Statements
2020 2019
These notes should be read in conjunction with the attached compilation report.
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Motor VehiclesMotor Vehicles at Cost 63,332 39,350
Accumulated Depreciation of Motor Vehicles (18,721) (37,379)Total Motor Vehicles 44,611 1,971
Total Plant and Equipment, Motor Vehicles 60,897 11,688
2020 2019
6. Trade and Other PayablesTrade Payables
Accounts Payable 3,811 -Total Trade Payables 3,811 -
Other PayablesPAYG Withholding Payable 13,137 5,102Total Other Payables 13,137 5,102
Total Trade and Other Payables 16,948 5,102
2020 2019
7. Employee EntitlementsAccrued Salaries 11,783 -
Provision for Annual Leave 17,248 20,766
Provision for Long Service Leave 12,376 8,975
Superannuation Payable - 6,461
Total Employee Entitlements 41,407 36,202
8. Subsequent Events
a. 120 Russells Road
It is expected planning approval to be granted in 2020-21 which will trigger a second Funding Agreement with the Commonwealth Government for $1,330,466 and settlement on the purchase of the land at 120 Russells Road.
b. Covid-19
The spread of novel coronavirus ("COVID-19") was declared a public health emergency by the World Health Organisation on 31 January 2020 and upgraded to a global pandemic on 11 March 2020. The rapid spread of the virus has seen an unprecedented global response by governments, regulators and numerous industry sectors. The Australian Federal Government enacted its emergency plan on 29 February 2020 and this was followed by State government regulations and restrictions. The timing and lifting of the remaining restrictions remain uncertain at the date of this report and the overall financial impact cannot be reliably determined.
Other than stated above no matters or circumstances have arisen since the end of the financial year which significantly affected or may significantly affect the operations of Foundation 61 Inc., the results of the operations, or the state of affairs of Foundation 61 Inc. in future financial years.
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Movements in EquityFoundation 61 Inc.For the year ended 30 June 2020
2020 2019
Retained EarningsRetained Earnings 718,320 580,937
Profit for the Period 337,252 137,382
Total Retained Earnings 1,055,572 718,320
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Statement of Cash Flows - Direct MethodFoundation 61 Inc.For the year ended 30 June 2020
2020
Operating ActivitiesPayments to Suppliers and Employees (174,306)
Finance Costs (10,618)
Cash Receipts From Other Operating Activities 996,115
Cash Payments From Other Operating Activities (473,938)
Net Cash Flows from Operating Activities 337,252
Investing ActivitiesProceeds From Sales of Property, Plant and Equipment 18,514
Payment for Property, Plant and Equipment (175,334)
Other Cash Items From Investing Activities 23,337
Net Cash Flows from Investing Activities (133,482)
Other ActivitiesOther Activities 5,810
Net Cash Flows from Other Activities 5,810
Net Cash Flows 209,580
Cash and Cash EquivalentsCash and cash equivalents at beginning of period 151,314
Cash and cash equivalents at end of period 360,894
Net change in cash for period 209,580
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True and Fair PositionFoundation 61 Inc.For the year ended 30 June 2020
Annual Statements Give True and Fair View of Financial Position and Performance of the Association
I, Brenda Lyons, being a member of the committee of Foundation 61, certify that –
The statements attached to this certificate give a true and fair view of the financial position and performance of Foundation 61during and at the end of the financial year of the association ending on 30 June 2020
The Financial statements and notes are in accordance with the requirements of the Australian Charities and Not-for-profitsCommission Act 2012.
At the date of this statement, there are reasonable grounds to believe that Foundation 61 Inc. will be able to pay its debts as andwhen they full due.
This statement is made in accordance with a resolution of the Committee of Management made pursuant with subsection 60.15(2) of the Australian Charities and Not-for-profits Commission Regulations 2013.
Signed:
Dated: / / 17 11 2020