ANNUAL REPORT 2015 - United Way L&G · Melissa Hillier, Executive Director A message from:...

ANNUAL REPORT 2015

Table of Contents

Mission, Vision & Values

Board President Report

Board of Directors

Executive Director & 211 Report

Cabinet Members

Campaign Chair Report

Our Transitional Journey

United Way Funded Partners

Allocations Report

Administrative Report & Property Management Report

Youth 2 Youth Report & Board Members

Leadership Giving

Audited Financial Statements

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Our Mission & Vision

Mission & VisionOur mission is to improve lives and build community by engaging individuals and

mobilizing collective action. Our vision is of a United Way dedicated to bringing people together to build vibrant, caring communities.

ValuesWe Aspire to:

Our StrategyUnited Way Leeds & Grenville will leverage relationships and investments to drive

positive social change in our communities.

• Energize and inspire people to make a difference

• Provide meaningful opportunities for individuals to realize their potential by demonstrating volunteer leadership in service to the community

• Reflect the diversity of the communities we serve

• Craft human care agendas within and across our communities

• Build coalitions around agendas

• Increase investments in agendas by expanding and diversifying our own resource development and fundraising efforts, and supporting those of others

• Ensure investments have recognizable impact

• Strengthen the United Way-Centraide Movement, building on individ-ual and collective strengths and abilities of autonomous, local United Ways-Centraides

• Provide non-partisan leadership in social change

• Endorse innovation, partnerships, and collective action

• Respect community wisdom and encourage citizen involvement

• Encourage and promote volunteerism and volunteer leadership

• Demonstrate trust, integrity, transparency, inclusivity and respect

• Embrace diversity

Our Values Enable Us to:

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A message from:Board President

Since 1957, the United Way of Leeds and Grenville has been dedicated to helping families and individuals overcome the obstacles life has put in their way.

As we know, life’s challenges can happen at any time and to anyone – no one is immune.

So it was that your United Way found itself facing its own significant challenges in 2015 with the retirement of our longtime executive director, Judi Baril, and failing to achieve the goal we set for our annual campaign.

As Board President, I want to commend our staff, our volunteers, our Campaign Cabinet, and my colleagues at the Board table for how

each of you responded to these challenges.

I could not be more proud of the resiliency and determination you displayed as we worked through these difficult times without losing focus on our mission of being a powerful force of positive change for families and individuals in Leeds and Grenville.

It’s easy to volunteer or come to work when things are going well. But it’s in times of turmoil that our commitment is truly put to the test.

Let us also not lose sight of the fact that thanks to the incredible generosity of our donors, the 2015 campaign still managed to change the lives of more than 27,000 people.

The responsible management of our organization over the years, combined with some internal reorganization, also allowed us to bridge the campaign shortfall to reduce the impact on our partner agencies.

As we look toward the future, I want to assure the community of this: Your United Way is stronger today because of the challenges the last 12 months presented us.

Under the leadership of our new executive director, Melissa Hillier, I believe we have made tremendous strides towards being a more efficient and effective organization.

Melissa truly understands the power of the United Way is not just in the funds we raise during our campaign. We have a tremendous opportunity to bring organizations together to build a stronger support network for our community.

Combining that strength with the generosity of our donors can only lead to us changing even more lives and giving everyone who calls Leeds and Grenville home the chance to achieve their full potential.

On a personal note, this year marks the end of my two-year term as board president. I want to take this opportunity to thank everyone who has made it such a rewarding experience.

I look forward to continuing to serve as a board member alongside a group of individuals and a staff for whom I have such respect and admiration.

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Michael Jiggins, Board President

2015 Board of Directors

michael jigginsPresident

nancy duffyPast President

lorne benderDirector

bruce lounsburyDirector

cathy russellDirector

tony weeksDirector

brian perkinsDirector

tammy sokolowskiDirector

shawn souder Director

rick fryDirector

steven edgleyDirector

donna kukkDirector

mp gord brownDirector

jennifer eastwoodTreasurer

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Since taking on the position of Executive Director in June 2015, I have had the privilege of visiting all of our community partners, to get an up-close look at the programs and services that they offer. These visits provided a deeper understanding of the needs in our community and the enormous impact our partner organizations have on so many lives in Leeds & Grenville.

2015 was certainly a year of change for United Way. I would like to thank the staff, Board and Cabinet for their support, guidance, information sharing, and lending an ear during this transition. Although we did not achieve our campaign goal there were many in-roads, bridges and relationships built within the community; and certainly many lessons learned. The end of 2015 brought an opportunity to re-invigorate our Community Impact initiative, with training from the Harwood Institute, which will continue into 2016 and beyond. This year was a stepping stone to a more efficient, collaborative and community-focused United Way.

The 2015 annual report provides more information about the important work being done by our United Way and the programs and services that are delivered. I would like to extend my immense gratitude and thanks to our donors, volunteers and community partners who work to ensure we have the opportunity to address the needs of our community and allow us to collectively work on issues that matter to people today.

Melissa Hillier, Executive Director

A message from:Executive Director

211 Ontario is a confidential, non-emergency telephone and online service that provides information on government and community-based health care and social services. It helps communities, households and individuals navigate their local network of social services quickly and easily. Knowing the right number to call will help people find the right services for their situation and will help reduce non-urgent calls to 911.

211 Ontario is a front door service delivery model and an ultimate public resource, connecting people to information and services regarding:

211 Ontario is answered live, 24 hours a day, every day of the year including holidays, in more than 150 languages. To access 211 Ontario, simply dial 2-1-1 on your telephone or visit www.211ontario.ca.

Aboriginal PeoplesAbuse/AssaultChild/Family ServicesCommunity ProgramsDisabilitiesEmergency/Crisis Services

Emergency/Crisis ServicesEmployment/TrainingFoodFrancophonesGovernment/LegalHealth Care

HomelessnessHousingIncome SupportMental Health/AddictionsNewcomersOlder AdultsYouth

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2015 Cabinet Members

conal cosgrovePublic Service Rep.

terry o’reillyCabinet Chair

tracy gaydaPublic Service Rep.

kent hendersonFinance Rep.

bob wadeIndustrial Rep.

christopher hannahEducation Rep.

dawn fewerEducation Rep.

wendy gallowayHealth & Social Service Rep.

doug phillipsFinance Rep.

art hitsmanPublic Service Rep.

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It was, once again, truly an honour and privilege for to serve a second year as Campaign Chair with such a tremendously capable and committed team of staff and volunteers, even in reduced numbers.

I do also want, once again, to express my sincere appreciation and admiration for the sector chairs of the Campaign Cabinet: Wendy Galloway, Bob Wade, Art Hitsman, Conal Cosgrove, Chris Hannah, Doug Phillips, Dawn Fewer, Tracey Gayda and to our staff and volunteer supporters.

We had a difficult year, and we failed to meet our target. From my observations this was due to a combination of internal and external causes or influences. Externally, the overall economy caused certain organizations to reduce their historical commitment levels; the hockey tournament, so financially productive and so generously coordinated by Gord Brown, suffered from changed circumstances which, through no fault of Gord’s, we did not understand and embrace clearly or early

enough, and resulted in an enormous reduction in the yield from previous event-related sponsors and donors. Had we understood more clearly at an earlier time, we could and should have taken full ownership of the event, maintained it, even at a reduced scale, and thus mitigated the amount of reduction we suffered. In addition to these, there were personnel changes within certain supporting organizations which resulted in less effective and less productive internal campaigns.

Internally, the timing of Judi Baril’s retirement, and the ensuing timing of the replacement transition were both certainly less than ideal, and unquestionably had both direct and indirect impacts on the effectiveness and productivity of our campaign, including the inevitable effects of a ‘late start’. Adding to the impacts of the ‘late start’, our new ED was under almost immediate pressure to bring operating and overhead costs down, and this resulted in both reductions in staff support levels, and reorganization of the remaining staff in ways which were not clearly understood, or at least not until very late in the campaign year. In addition to this pretty extensive and non-trivial combination of impacts, it must be acknowledged, as well, that there were also a number of instances, where we simply failed to execute fully and effectively in significant opportunities that we had been able to identify or discover.

On the brighter side of this latter acknowledgement, the Cabinet has continued to meet regularly post-campaign, and we have had some exceptionally candid and productive discussion of our own weaknesses, planning for campaign preparatory work, and a plan for improved structure and execution. We do need to make some changes in the structure and make-up of the Cabinet. These are under discussion and will the subject of future recommendations to the Board.

All of that having been said, I do think it fair to say that, in the 2015 Campaign, the combined factors constituted the ‘Perfect Storm’ for our Cabinet and Campaign and, in those circumstances, I remain proud and grateful for the efforts and achievements and tremendous supportive spirit of the Cabinet Members. Much has been learned and I have no doubt, it will be productively applied to future successes.

CABINET MEMBERS

A message from:The 2015 Campaign Chair

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Terry O’Reilly2014/2015 Campaign Chair

Our Transformational Journey

United Ways have been actively serving our communities for decades. With generous financial support of our communities, we invest in many local agencies and organizations and will continue to do so. However, it has become clear to United Ways across the country that we need to determine what role we can play tackling the tough, long-term issues that continue to persist in our communities today. We have learned that these issues are too complicated for any one organization or entity to solve on their own. Community Impact is about achieving meaningful, long-term improvements to the quality of life in our communities by addressing not just the symptoms of the problem but also by addressing the root causes of issues. By leveraging relationships and investing resources, UWLG will drive social change in the areas of All that Kids Can Be, Strong Communities, and From Poverty to Possibility.

All that Kids Can BeUWLG focuses on youth because

research tells us that this is one of the most powerful ways to address the root cause of social problems. Investments that build on

the resilience of children and youth are investments in the future. By providing brighter

futures for children and youth, we lessen the burden of our health care, emergency shelters, and justice system in the future. Education and

development of our children and youth is essential to building the leaders of tomorrow

and ensuring our children have the life skills necessary to reach their

highest potential.

Strong CommunitiesUWLG supports organizations that help vulnerable people and families. These programs have many kinds of benefits

including meeting basic needs, teaching life skills or building a sense of hope for the future. UWLG works in a variety of ways to help individuals and

families build the assets they need to handle life’s challenges and to achieve personal goals. Assets

like social connectedness and opportunities to get involved in community organizations help to

create vibrant neighbourhoods and communities. Our entire community is

stronger when individuals feel connected, included and are participating to

their fullest potential.

From Poverty to Possibility

The issues around poverty are complex and interrelated, including employment, affordable

housing, as well as access to healthy food, recreation, and cultural activities. United Way’s focus includes

helping to meet the basic needs of the most vulnerable in our community building the capacity

of individuals to become economically independent, and advocating for the removal of systemic and discriminatory obstacles to economic security.

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FUNDED PARTNERS

2015 United Way Funded Partners

Thanks to the support of our donors, for over 58 years United Way Leeds & Grenville has worked with member agencies to transform our community. Providing program and core operating funds for frontline agencies is the foundation of United Way’s efforts to meet pressing social issues in our community. Working together with donors and the community, United Way supports a network of vital social and human services to build community resiliency and to change social conditions, creating opportunities for a better life for individuals, families, and communities.

all that kids can be

Big Brothers Big Sisters of Leeds & Grenville

Boys & Girls Club of Gananoque

Connect Youth

Family & Childrens Services

Girls Incorporated of Upper Canada

Kemptville Youth Centre

Youth Volunteer Crew

Prescott Youth Centre

Read to Every Kid

strong communities

Brockville & Area Community Living Association

Brockville & District Assoc. for Community Involvement

Community & Primary Health Care

Kemptville & District Home Support Inc.

North Grenville Accessible Transportation

St. John Ambulance Brockville

Volunteer Centre of St. Lawrence Rideau

YMCA of Brockville & Area

from poverty to possibility

1000 Islands Credit Counselling

Lanark, Leeds & Grenville Addictions and Mental Health

Brockville Myalgic Encephalomyelitis Association

Epilepsy and Seizure Disorder Resource Centre

Family Counselling Services

Guthrie House

Leeds & Grenville Interval House

Tri County Dental Coalition

$19,008$42,000$65,000$15,600$21,000$4,250$55,292$66,000$5,004$70,000$38,000$27,072$20,000$41,500$63,000$11,000$15,000$32,000$5,000$11,000$13,500$28,000$24,000$5,500$1,970

1000 Islands Credit Counselling

Big Brothers Big Sisters of Leeds & Grenville

Boys & Girls Club of Gananoque

Brockville & Area Community Living Association

Brockville & District Assoc. for Community Involvement

Brockville Myalgic Encephalomyelitis Association

Community & Primary Health Care

Connect Youth

Epilepsy and Seizure Disorder Resource Centre

Family & Children Services/Family Counselling Services

Girls Incorporated of Upper Canada

Guthrie House

Kemptville & District Home Support Inc.

Kemptville Youth Centre

Lanark, Leeds & Grenville Addictions and Mental Health

Leeds & Grenville Interval House

North Grenville Accessible Transportation

Prescott Youth Centre

Read to Every Kid

St. John Ambulance Brockville Branch

Tri County Dental Coalition

Volunteer Centre of St. Lawrence Rideau

Youth Volunteer Crew

YMCA of Brockville & Area

Non-agency Designations

The amount indicated below is the total United Way funding paid, including designations during the period of January 1, 2015 to December 31, 2015, with a total of $699,696 distributed.

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The Allocations process is the cornerstone of our United Way. We work closely with our partner agencies to ensure that our community’s generous donations are carefully and thoughtfully put to good use to have the greatest impact. Over the past few years, our communities have seen an increase in need and a decline in funds, forcing United Way to make some tough decisions.

During the process, volunteers challenge each agency’s effectiveness at providing services, review the need for

those services in the region, and analyze the impact of United Way funding in meet-ing those needs. It ensures fiscal and program accountability for all agencies receiving United Way funds, while meeting the social service needs of our community. These allocation panels were made up of a Board Member, Youth 2 Youth representative and a Community Advocate. This diversity aided in a balanced perspective for each review.

As part of our “Action for Community Change” journey, the intent is to prioritize funding in alignment with our outcomes. The allocation panel processed each and every application as a reflection of how the agency outcomes would move our community forward in our journey. At the conclusion of each review, time was taken to capture feedback surrounding the recommendation. All reviews were collated by the Allocations Committee and submitted to the United Way Leeds & Grenville Board of Directors for final approval.

Agencies were provided with a letter of notification for their funding allocation. Our President, Executive Director and I made ourselves available for follow-up discussions. We thank those agencies that took the opportunity to build further clarity.

Outcome measures are extremely important to United Way’s strategic goals. It is our responsibility to help provide further education on this and the “Action for Community Change” project. We will be reaching out to the agencies for further partnership in these areas, and we look forward to your support.

I would like to extend my personal thanks to the members of our panels and the agencies who participated in the interviews. We appreciate your time, your insight and your commitment.

Tammy Sokolowski

Chair of Allocations Committee

Allocations Report

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Administrative Report

Property Management Report

United Way Leeds & Grenville’s Administrative Committee is supported by a strong commitment to robust internal operations.

We fulfilled our commitment to the Board by developing the budgets required for daily operations. They include the Building, Campaign, Program, and Administration budgets, which have been subsequently reviewed by the board and approved.

We have also reviewed all performance appraisals of staff conducted by the Executive Director. The new Executive Director’s 9 month performance review will be completed in 2016.

We began the task of reviewing all our policies and procedures in 2015, and will continue that in 2016. New procedures are being

written to provide greater clarity on some of the policies to ensure we uphold the highest standards of governance for the staff and Board.

I would like to thank the members of the committee who have worked so diligently on behalf of the community. The entire committee exemplifies true leadership with deep roots in the community it serves.

Rick Fry, Chair

The 2015 year has been relatively quiet as far as renovations and repairs are concerned. The standard contracts to do preventive maintenance on the roof and the heating and cooling systems are annual practices. Long term planning on the roof deck is current so we are aware of the costs related to major roof replacement is crucial for budgeting purposes. We are within our proposed budget for 2015.

Re-organization of the upper floor to accommodate the modified Gifts in Kind Program seems to be a good fit. We are very thankful for the dedicated volunteers who manage the Gifts in Kind Centre.

Safety in the workplace is always a concern. Thanks to all staff for their attentiveness to the ongoing day by day operations. No News is Good News.

Looking forward to the Day of Caring program. Thanks to all who offer to do in house and outsider clean up as outlined by myself and staff.

Thanks to the Board members who assist in the decision making related to the management of the facility.

Lorne Bender, Chair

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YOUTH TO YOUTH BOARD MEMBERS & REPORT

Youth 2 Youth Report

2015 Youth 2 Youth Board Members

The Y2Y (Youth to Youth) Board consists of a group of involved high school students from St. Mary Catholic High School, Brockville Collegiate Institute, Gananoque Secondary School, South Grenville District High School, North Grenville District High School, and Rideau District High School. These students meet monthly throughout Leeds and Grenville to share and discuss fundraising ideas and events going on in their schools.

The funds raised by Y2Y member schools are allocated by the Y2Y Board and distributed to support youth focused programs throughout the area. In 2015, Y2Y

Board allocated a total of $3,100.00 to 10 organizations, programs and clubs. These organizations were chosen by our board to ensure youth within Leeds and Grenville are supported, and able to participate in affordable activities.

Darby Mallory, President

Darby Mallory, President

Alexis Wharton, Vice President

Jessica Morrison, Secretary

Taylor Bresee, Junior Trustee

Alyssa Alguire

Clare PalmerMaija RobillardSarah TelfordAnnie WestMichaelah Whales

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Logan GrovesGrace MaherVictoria Mariunos Hannah MontgomeryKathleen O’Toole

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Leadership Giving

Thank you to all our Leaders of the Way for your generous support. The Leadership Giving Program recognizes individuals who make annual contributions of $1,200 or more through the annual campaign.

In 2015, our United Way adopted the new national Leadership Giving levels outlined below:

platinum$10,000 - $24,999

gold$5,000 - $9,999

silver$2,500 - $4,999

bronze $1,200 - $2,499

2015 Leadership Honour Roll

Platinum DonorsDavid & Anne Beatty

Stanley Body

Gold DonorsJim McDonald

Michelle Arsenault

1 Anonymous

Silver DonorsDr. Stephanie Allard

Dr. Robert Malone

Daren & Pascale Gallacher

Dr. Andrew & Sharon

Jordan

Bruce & Sue Lounsbury

Terrence O’Reilly

2 Anonymous

Bronze DonorsDr. Gerald Ashe

Don Babbit

Debra Bellevue

Paul Cosgrove

Theresa Dawson

Terry Dun

Dr. John Erb

Cathy Foy

Kevin Goddard

Dr. Jamie & Sue Hynd

David Keenleyside

Cait Maloney

David McCrae

Scott Sly

Tammy Sokolowski

Mark Thornton

Timothy Utting

7 Anonymous

Audited Financial StatementsYear ended December 31, 2015

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Independent Auditor’s Report

Financial Statements

Balance Sheet

Statement of Operations and Net Assets

Statement of Cash Flows

Notes to Financial Statements

Schedule of Other Revenues

Schedule of Program Expenses

Schedule of Campaign Expenses

Schedule of Building Expenses

Schedule of Nevada Expenses

Schedule of General Management and Administration Expenses

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Independent Auditor’s ReportTo the Members of

United Way of Leeds and GrenvilleBrockville, Ontario

Report on the Financial StatementsWe have audited the accompanying financial statements of United Way of Leeds and

Grenville, which comprise the balance sheet as at December 31, 2015, and the statements of operations and 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 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.

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Other MattersIn common with many charitable and non-profit organizations, the organization

derives revenue from fundraising and donations, the completeness of which is not susceptible to satisfactory audit verification. Accordingly, our verification of these revenues was limited to the amounts recorded in the records of the organization

and we were not able to determine whether any adjustments might be necessary to fundraising and donation revenues, excess of revenue over expenditures, assets

and fund balances.

OpinionIn our opinion, except for the effect of adjustments, if any, which we might have

determined to be necessary had we been able to satisfy ourselves concerning the completeness of the fundraising and donations referred to in the preceding paragraph, these financial statements present fairly, in all material respects, the financial position of United Way of Leeds and Grenville as at December 31, 2015 and the results of its operations and the changes in its cash flows for the year then ended in accordance

with Canadian accounting standards for not-for-profit organizations.

Prescott, OntarioApril 28, 2016

Durand and AssociatesProfessional Corporation

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 opinion.

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United Way of Leeds & GrenvilleBalance Sheet

Totals2015Unrestricted

Internally Restricted

Investment in Capital Assets

Totals2014

$ 568,224 $ 648,781500,925 500,000256,122 392,93844,841 52,890

5,361 4,641

1,410,304 1,599,2501,220,921189,383—

ASSETS

CURRENT ASSETS

Cash (note 2) Short-term investments (note 3)Campaign pledges receivableOther receivablesPrepaid expenses

34,831 —

$ 413,627500,925256,12244,841

5,361—

$ 154,552————

34,831

$ ——————Due from unrestricted

PCA ITAL ASSETS (note 4) 166,640 176,355——166,640

$ 1,576,944 $ 1,775,605 $ 1,220,921 $ 189,383 $ 166,640




Totals2014

$14,832 $ 44,8106,708 4,025

56,546 60,82434,831 —

112,827 109,659112,827——

LIABILITIES AND NET ASSETS

CURRENT LIABILITIES

Accounts payable and accured liabilities Withholding taxes payableAllocations payable to agency membersDue to internally restricted

$ 14,8326,708

56,45634,831

$ ————

$ ————

1,396,078 1,576,5701,084,991189,383121,704

$ 1,576,944 $ 1,775,605 $ 1,220,921 $ 189,383 $ 166,640

62 16,60923,041 23,04144,936 49,726

DEFERRED CONTRIBUTIONS

NET ASSETS (page 19)

Externally restricted donations (note 5)Collaborative Immigration project (note 6)Capital assets (note 8)

6223,041

—

———

——

44,93668,039 89,37623,103—44,936

Approved by the Board:

Director Director

The accompanying notes are an integral part of these financial statements.

December 31, 2015, with comparative figures for December 31, 2014

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Statement of Operations and Net Assets




Totals2014

$ 785,512 $ 1,046,52839,897 55,501

(27,003) (12,647)

798,406 1,089,382

925,334 1,303,315864,25756,2874,790

REVENUE

Campaign contributions Funds received from other United Way’sAllowance for uncollectible pledges

Net campaign contributions

$ 785,51239,897

(27,003)

798,406

$ ———

—

$ ———

—

$ 1,396,078 $ 1,576,570 $ 1,084,991 $ 189,383 $ 121,704

684,318 738,919— 27,259

1,105,826 1,223,280

EXPENDITURES

NET ASSETS - end of the year

Allocations to agency and non-angency membersCollaborative Immigration project

684,318—

1,043,177

——

49,982

——

12,667

126,928 213,933Other revenues (page 24) 65,85156,2874,790

— 30,858— 1,500

Action for Community Change ProjectNew initiatives

——

——

——

3,100 2,900234,940 236,299

Y2Y Board allocationsPrograms (page24)

3,100228,239

——

—6,701

130,941 133,381Campaign (page 25) 127,520—3,421 19,468 18,013

33,059 34,151Building (page 25)Nevada tickets (page 25)

——

16,92333,059

2,545—

(180,492) 80,035Excess (deficiency) of revenues over expenditures (178,920)6,305(7,877) 1,576,570 1,496,535

— —Net assets - beginning of the yearInterfund transfers

1,305,431(41,520)

144,51138,567

126,6282,953

Year ended December 31, 2015, with comparative figures for December 31, 2014

Totals2015

Totals2014

$ 1,048,862 $ 1,255,471(1,125,458) (1,229,201)

(76,596) 26,270

OPERATIONS

Cash receipts Cash paid to suppliers and employees

$ 568,224 $648,781

(925) (33,029)(3,036) —

(3,961) (33,029)

INVESTING

Increase in investments Purchase of capital assets

(80,557) (6,759)648,781 655,540

Decrease in cashCash, beginning of the year

Cash, end of the year (note 2)

CASH PROVIDED BY (used in):

Statement of Cash Flows


Year ended December 31, 2015, with comparative figures for December 31, 2014

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United Way of Leeds & GrenvilleNotes to Financial Statements

Year ended December 31, 2015

Purpose of the OrganizationThe United Way of Leeds and Grenville (United Way) is a not-for-profit organization and, pursuant to

letter patent dated October 27, 1998, is incorporated without share capital under the Ontario Corporations Act. Its mission is to improve lives and build community by engaging individuals and mobilizing collective action. The United Way’s primary source of revenue is the annual campaign to

solicit donations on behalf of agency members.

The United Way is registered as a charitable organization under the Income Tax Act (the Act) and, as such, is exempt from income taxes and is able to issue donation receipts for income tax purposes. In order to maintain its status as a registered charity under the Act, the United Way must meet certain

requirements within the Act. In the opinion of management, these requirements have been met.

1. Significant accounting policies

(a) Basis of presentation:These financial statements are prepared in accordance with Canadian accounting standards for not-for-profit organizations.

(b) Fund accounting:The organization follows the deferred fund method of accounting for contributions within the following funds:The investment in capital assets fund reports the assets, liabilities, revenue and expenses related to the organization’s capital assets (note 9).The internally restricted fund reports Nevada, building and operating reserve amounts restricted by the board of directors (note 10).The unrestricted fund accounts for the organization’s campaign, program delivery and administrative activities (note 11).

(c) Cash and cash equivalents:Cash is defined as cash on hand, cash on deposit, and short-term deposits with maturity dates of less than 90 days, net of cheques issued and outstanding at the reporting date.

(d) Investments:Investments are recorded at fair value.

(e) Campaign pledges receivable:Campaign pledges receivable are recognized if the amount to be received can be reasonably estimated and collection is reasonably assured.An allowance for uncollectible pledges receivable is calculated using historical loss experience and deducted from the carrying value of the receivable.

(f) Capital assets:Amortization is provided using the following methods and annual rates:

Unrestricted campaign contributions are recognized as revenue when received or pledged. Funds received from other United Ways are recognized as revenue when received.Externally restricted contributions are recognized as revenue in the year in which the related expenses are incurred. Contributions restricted for the purchase of capital assets are deferred and amortized into revenue on a straight-line basis at rates corresponding with the amortization rates for the related capital assets.Nevada ticket sales, interest and rent are recognized as revenue when earned.Endowment contributions are recognized as direct increases in net assets when received.

(h) Use of estimates:The preparation of financial statements in accordance with Canadian accounting standards for not-for-profit organizations requires management to make estimates and assumptions that affect the reported amounts of assets and

liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the year. Actual results could differ from management’s best estimates as additional information becomes available in the future.Some in-kind donations recognized in the financial statements are recorded at estimated fair value.

(i) Contributed services:Volunteers contribute numerous hours per year to assist the organization in carrying out its service delivery activities. Because of the difficulty of determining their fair value, contributed services are not recognized in the financial statements.(j) In-kind contributions:The United Way receives in-kind contributions of clothing, office supplies, personal care products and other goods which are used internally or distributed to agency members and other commu-nity agencies. Since these in-kind contributions would not ordinarily be purchased by the United Way, they are not recorded in the financial statements.

AssetBuildingEquipmentComputer Equip. & Software

Rate4%

6.7% and 20%

33.3% and 50%

Straight line

Straight line

Straight line

(g) Revenue recognition:The organization follows the deferral method of accounting for contributions which includes unrestricted and restricted donations and grants.


2. Cash

3. Investments

4. Capital assets

5. Externally restricted donations

Operating account — unrestrictedOperating account — internally restrictedNevada account — internally restrictedBusiness investment account

Term deposit, 0.75% maturing March 3, 2016Term deposit, 1.35% maturing March 2, 2015

LandBuildingEquipmentComputer equipment and Software

LandBuildingEquipmentComputer equipment and Software

Funds from Ontario Lottery sources must be segregated into a separate bank account and can only be used for specified purposes.

Deferred contributions related to externally restricted donations represent unspent donations that have been restricted by the donors for the Gifts in Kind Centre and youth programs and the investment income earned on the externally restricted endowment.

$ 250,651142,56011,992

163,021

$ 500,925—

$ 50,000254,54521,53110,309

$ 50,000254,54535,854 17,008

$ 336,385

$ 357,407

$ 500,925

$ 568,224

2015

2015

Cost

Cost

2015

2014

2014

2014

Accumulated amortization

Accumulated amortization

Net book value

Net book value

$ 345,559142,514

1,998158,710

$ —500,000

$ —151,63110,1737,941

$ —141,450 23,829 15,773

$ 169,745

$ 181,052

$ 50,000 102,914 11,358 2,368

$ 50,000 113,095 12,025 1,235

$ 166,640

$ 176,355

$ 500,000

$ 648,781

Balance, beginning of the yearExternally restricted donations collectedAmount recognized as revenue: Gifts in Kind Centre Youth programsBalance, end of the year

$ 16,609 1,553

(15,000)(3,100)

$62

$ — 62

$ 62

2015 2014

$ 16,897 3,509

—(3,797)

$16,609

$ 15,000 1,609

$ 16,609

Represented by funds externally restricted for: Gifts in Kind Centre Youth programs

21


6. Collaborative Immigration project

7. Action for Community Change project

8. Deferred contributions related to capital assets

9. Investment in capital assets

The Collaborative Immigration project’s revenue and expenses represent the utilization of grants collected from the City of Brockville and Citizenship and Immigration Canada to develop a strategy and begin implementing support systems that will present Leeds and Grenville as a welcoming community to newcomers, in particular immigrants. As at December 31, 2015 deferred contributions to this project represent unspent grants collected from the City of Brockville.

The Action for Community Change project’s revenue represents the United Way’s utilization of grants and reimbursements collected from the Ontario Trillium Foundation and administered by Northumberland United Way on behalf of four United Ways for the purpose of:

(a) Developing a more thoughtful and informed approach to investment in United Way resources;(b) Developing a common framework by which the community will create the change that the United Way seeks in identified priority areas;(c) Developing a mix of funding and strategies that address root causes of problems, focus on the prevention of problems and gradually decreases the need for emergency and reactive services in the future; and(d) Increasing accountability of all partners and the community towards the change that the United Way seeks for our community.

Deferred contributions related to capital assets represent externally restricted capital contributions and grants received for the purchase of capital assets together with contributed capital assets. The amortization of capital contributions is recorded as revenue in the statement of operations.

(a) Investment in capital assets is calculated as follows:

(b) Change in the investment in capital assets is calculated as follows:

Balance, beginning of the yearContributions received during the yearAmount amortized to revenueBalance, end of year

$ 49,726 —

(4,790) $ 44,936

2015 2014

$ 54,366 —

(4,640) $ 49,726

Capital assetsAmounts financed by deferred contributions related to capital assets

Excess of expenses over revenue:Amortization of deferred capital contributions related to capital assetsAmortization of capital assets

Net change in investment in capital assets:Capital assets acquiredLoss on disposal of capital assets

$ 166,640

44,936

$ 4,790 12,667

$ 3,037 (84)

$ 121,704

$ (7,877)

$ 2,953

2015

2015

2014

2014

$ 176,355

49,726

$ 4,64013,044

$ — —

$ 126,629

$ (8,404)

$ —

10. Internally restricted net assets

Sales Expenses

$ 55,430 (33,059)

Nevada ticketsNevada tickets:

Building

Operating Reserve

2015 Total

2014 Total

$ ——

$ — —

$ 55,430 (33,059)

$ 56,560 (34,151)

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Notes to Financial Statements10. Internally restricted net assets (cont.)

11.Unrestricted net assets

12. Gifts in Kind Centre

13. Externally restricted endowment

14. Financial risks and concentration of risk

The Board of Directors has internally restricted the excess of revenue over expenses from the sale of Nevada tickets to be used to finance programs, campaign and general management and administration expenses.The operating reserve represents funds internally restricted by the Board of Directors for purposes to be approved by the Board. In 2015, $34,831 was transferred from unrestricted net assets to the operating reserve to create an annual bursary.

At December 31, 2015 there was $1,084,991 of unrestricted net assets, of that amount $621,672 has been committed as allocations to agency members. The remainder will be used in the future for the development of community programs and operating capital.

The United Way has established a Gifts in Kind Centre which is operated as a program of the United Way where goods obtained from “Good360” and similar organizations are being sold at greatly reduced prices. The revenue earned and expenses incurred by this program are reported in the Statement of Operations as unrestricted.

In 2013, an endowment plus any related interest earned, was transferred to Brockville Community Foundation to create the United Way of Leeds & Grenville - Glenn and Jean Tomkins Memorial Endowment Fund. Under the terms of the agreement, the purpose of the fund is to support the United Way of Leeds & Grenville annual giving campaign.

The United Way’s financial instruments consist of cash, investments, receivables and payables. The significant financial risks to which the United Way is exposed relating to its financial instruments are credit risk, interest rate risk and liquidity risk.

(a) Credit risk:Credit risk refers to the risk that a counterparty may default on its contractual obligations resulting in a financial loss.Credit risk associated with cash and investments is minimized substantially by ensuring that these assets are invested with major financial institutions that have been accorded investment grade ratings by primary rating agency.

(b) Interest rate risk:Interest rate risk refers to the risk that the fair value of financial instruments or future cash flows associated with the instruments will fluctuate due to changes in market interest rates.The exposure of the United Way to interest rate risk arises from its interest bearing assets, being cash and investments.The United Way’s cash includes amounts on deposit with a financial institution that earn interest at market rates. The United Way manages its interest rate exposure of its cash by maximizing the interest income earned on excess funds while maintaining the liquidity necessary to conduct operations on a day-to-day basis. Fluctuations in market rates on cash do not have a significant impact on the United Way’s results of operations.The primary objective of the United Way with respect to its investments is to ensure the security of principal amounts invested, provide for a high degree of liquidity and achieve a satisfactory investment return.The United Way manages the interest rate exposure of its investments primarily by using a laddered portfolio with varying terms of maturity. The laddered structure of maturities help to enhance the average portfolio yield while reducing the sensitivity of the portfolio to the impact of interest rate fluctuations.

Rent Expenses Excess (deficiency) of revenue over expenses Balance — beginning of the year Transfers (to) from unrestricted net assetsBalance — end of the year

— —

22,371 1,998

(12,378) $11,991

Building:857

(16,923)

(16,066) 31,354

16,114

$31,402

— —

— 111,159

34,831

$145,990

857 (16,923)

6,305

144,511

38,567 $189,383

8,395 (15,468)

15,336

142,517

(13,342) $144,511

Nevada tickets

Building

Operating Reserve

2015 Total

2014 Total

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Schedule of Other Revenues

Schedule of Program Expenses




Totals2014

$ — $ 29,73355,430 56,56034,831 68,750

— 16,8345,036 8,145

AMORTIZATION OF DEFERRED

Collaborative Immigration project Nevada ticket sales, net of cash prizesEstate donationAction for Community Change projectInterest

857 8,395

$ ——

34,831—

5,036—

$ —55,430

———

857

$ ——————Rental

4,790 4,640——4,790

$ 126,928 $ 213,933 $ 65,851 $ 56,287 $ 4,790

1,000 16— 12,174

21,884 1,329— 3,560

3,100 3,797

Miscellaneous incomeGrants for salaries and benefitsGifts in Kind CentreDonations for youth programsY2Y Board income

1,000—

21,884—

3,100

—————

—————

CAPITAL CONTRIBUTIONS (note 8)

Year ended December 31, 2015, with comparative figures for 2014


Totals2015

Totals2014

$ 127,452 $ 112,94118,877 22,720Gifts in Kind Centre

Programs development

United Way of Canada dues

9,541 9,395214 5,798Youth Programs

Amortization of capital assets

73,694 79,576$ 234,940 $ 236,299

Allocation of general management and administration expenses (page 26)

5,162 5,869161,246 156,723

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(c) Liquidity risk:Liquidity risk refers to the risk that the United Way will not be able to meet a demand for cash or fund its obligations as they come due. The United Way meets its liquidity requirements by monitoring its cash flows from operations, anticipating investing and financing activities and holding assets that can be readily converted into cash.


Schedule of Campaign Expenses

Schedule of Building Expenses

Schedule of Nevada Tickets Expenses




Totals2015

Totals2014

$ 15,406 $ 30,0836,557 4,482Advertising and promotion

Special Events

Postage

2,106 4,4634,413 4,908Supplies and forms

Credit and charges

94,302 81,188$ 130,941 $ 133,381

Allocation of general management and administration expenses (page 26)

1,174 1,790Volunteer recognition 5,268 3,463

1,090 2,262Travel Miscellaneous 625 769

36,639 52,193

Totals2015

Totals2014

$ 4,886 $ 5,1412,103 1,591Repairs

Utilities

Insurance

4,353 4,2164,196 3,681Wages

Amortization of capital assets1,385 839

$ 19,468 $ 18,013Miscellaneous

2,545 2,545

Totals2015

Totals2014

$ 10,579 $ 10,7957,362 7,031Ontario Gaming Commission taxes

Site remuneration

Tickets

7,138 6,8176,501 6,209Administration fees

Licenses and fees$ 33,059 $ 34,151

1,479 3,299

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Schedule of General Management and Administration Expenses


Totals2015

Totals2014

$ 127,990 $ 111,9336,320 7,288Office supplies and photocopier lease

Salaries and benefits

Travel and conferences

5,690 1,4569,9812,769

24,3002,823

Professional servicesTelephone

23 —1,677 1,697Insurance

Postage

Internet 1,570 1,9632,249 670Advertising

560 6834,960 4,630Amortization of capital assets

Bank and credit card charges

Miscellaneous 4,123 3,32184 —Loss on disposal of assets

$ 167,996 $ 160,764

General management and administration expenses are allocated between programs and campaign expenses based on effort and have been allocated as follows:


Allocated to: Program expenses Campaign expenses

Programs Campaign

$ 73,694 94,302

43.9 % 56.1 %

$ 167,996

2015

2015

2014

2014

$ 79, 57681,188

49.5 % 50.5 %

$ 160,764

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42 George St., P.O. Box 576 Brockville, ON, K6V 5V7

Phone: (613) 342-8889

Fax: (613) 342-8850

[email protected]

www.uwlg.org

facebook.com/UnitedWayLG

twitter.com/UnitedWayLG

youtube.com/UnitedWayLeedsGrenv

instagram.com/UnitedWayLG

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ANNUAL REPORT 2015 - United Way L&G · Melissa Hillier, Executive Director A message from:...

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