RSPCA ACT - Annual Report 2011 by CRE8IVE

Annual Report 2010/11

Bringing the pieces together to help animals in need

Design, layout and production - Leisa Quinn Contributors - Sue Gage, Michael Linke, Lyn Mitchell Edited by - Mardi Linke Reviewed by - Michael Linke, Mardi Linke, Deborah Hartley, Lyn Mitchell Photographs - Leisa Quinn, Reeni Rubio-Martinez (unless otherwise acknowledged) Proudly printed by

Presidentâ&#x20AC;&#x2122;s report CEOâ&#x20AC;&#x2122;s report Our home Fast facts Our strategy Canines Felines Small animals Wildlife Inspectorate Veterinary work Business support Our shop Events Innovation Our heroes Supporters Success stories Financial statements

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President’s Report

Most people would agree that this year RSPCA was dominated by the deep concern demonstrated across Australia following the ABC Four Corners program that showed horrific footage exposing the cruelty involved in the live animal export trade. RSPCA ACT members and supporters became very active by contacting federal politicians, both government and opposition, to pressure them to end the trade.

“In a message to the politicians I said that those who ignore cruelty become its accomplices.” Our national policy states: “RSPCA Australia is opposed to the export of live food animals for immediate slaughter or further fattening and advocates the adoption of a chilled and frozen meat-only trade. RSPCA Australia will work to pressure government to achieve the conversion of the live export trade to a chilled and frozen meat-only trade”. Our CEO, Michael Linke, has outlined in his message the various details regarding the many thousands of animals we helped at our shelter during the last 12 months. This help included: successful rehoming of companion animals; care of wildlife; veterinary care; the difficult work of our inspectorate; and the day to day care of ALL the animals whose lives became our responsibility.

Their dedication to their daily work of caring for the different types of animals who came to us is really admirable. Animals are frightened, and sometimes even traumatised, when they arrive at an animal shelter and it takes a special type of person to greet them and settle them down. I thank our staff, including our volunteers, for the respect and compassion they have shown the distressed animals we receive. This last year has not always been easy. Fortunately, I have continued to receive the support of our council members and for this, and their commitment to their council work throughout the year, I express my appreciation. On behalf of the council, I would like to thank our CEO, leadership team and administration staff for their tireless work throughout a fairly difficult year. I also thank our volunteer fundraising committee and all our corporate sponsors for their valuable support. Each year we face and meet the challenges of maintaining our high standard of care for our shelter animals. We endeavour to meet these challenges because the animals that become our responsibility all deserve this high standard of care. Consequently, we continue to rely on all our members and supporters who make this possible. On behalf of the animals, thank you.

Each week as I walked around and looked at the animals in our shelter I was always impressed by our staff and volunteers. Sue Gage President 1

CEO’s Report Looking back over 2010/11 many highlights and low points spring to mind. I am inspired by the life-saving work undertaken every day by our dedicated team of staff, both paid and volunteer. I am thrilled by the more than 2,000 new homes we found, 1,000 families we reunited with their lost pet and the 1,000 native animals we successfully rehabilitated. I am appalled at our federal government’s continued lack of decisiveness with regard to live exports. And I am disappointed by our own government’s lack of vision with regard to animal welfare issues, both for our companion animals and our native animals. Our staff, of which 60 are paid and more than 500 volunteer, move mountains – I have often said we do the impossible every day and given a little time we can perform miracles. I watched in amazement as our veterinary staff delivered a dozen blue tongue lizards by caesarean section – all survived. I sat and listened in horror as our inspectors relayed to me their findings concerning absolute abhorrent cruelty meted out to a dog. I rejoiced with our adoption team as Champ, who had been with us for nine months, Dexter six months, Bella six months, Mickey four months and Indiana four months found their forever homes. I stood in awe as I watched 12,000 people enjoy a walk around Lake Burley Griffin. I devoured one too many cupcakes. I monitored the progress of some inspiring animals and saw them develop, grow, heal and ultimately trust humans again. RSPCA is a magical place.

The long standing issue of live export again came to prominence, as outlined by our President Sue Gage.

“Some people are not aware that RSPCA has been campaigning on this issue for 30 years. In fact live export and our opposition to it is the reason we have a nationally unified RSPCA today.” Back to local issues, I was very disappointed with the stance both the ACT government and Liberal party took regarding opportunities to improve animal welfare laws in the ACT. RSPCA remains deeply concerned about the ease with which companion animals are brought to market and sold. There are inherent flaws in the current system and time and time again animals suffer at the hands of unscrupulous back yard breeders or money hungry puppy farm operators. More needs to be done to protect and inform our community about the original source of animals sold through a variety of outlets. It is a fact that puppy farms do not exist in Canberra, but it is also a fact that many puppies sold in Canberra are sourced from puppy farms located interstate. Sadly both the government and the Liberal party failed to see this connection and today, almost 12 months after initial discussions on this issue occurred we are no further down the track and animals continue to suffer. We will continue to monitor the situation and provide input to ensure welfare imperatives are met.

Economically and financially the last 12 months have been tough. We were again faced with pressures at both ends of our financial resources. Firstly demand again grew for our services. We have seen a dramatic increase in demand for welfare services to support people affected by the tough economic times or who are just down on their luck. We have provided upwards of $100,000 worth of discounted and free services to people who were victims of domestic violence, the homeless, people affected by substance abuse, as well as people suffering mental health and other socially isolating conditions. We remain committed to this segment of our community and want to ensure animals of this group are well cared for and have access to veterinary and associated animal welfare services. The other financial pressure has been increasing costs and a marginal decline in retail income levels. Costs continue to grow as our economy lurches from crisis to crisis and community confidence ebbs and flows. Inflationary pressures meant increases in a number of non-discretionary spending areas. Industrial relations laws changed which also had a cost impact, both in terms of compliance and salary and wage levels for our employees. We improved fundraising income, donations and overall community support to record levels thanks to excellent planning, strategic fundraising concepts and regular innovation.

Iâ&#x20AC;&#x2122;d like to thank all of our supporters, donors, members, business partners, philanthropic organisations and the ACT government for their support, advice, involvement and commitment throughout the year. RSPCA ACT remains financially strong and an independent audit commissioned by the ACT government throughout the year of our financial structure, policies and asset base found that we had managed our funds appropriately and that our asset base, whilst meagre, was stable, solid and sustainable.

â&#x20AC;&#x153;RSPCA ACT is in good hands. We have the expertise to deliver animal welfare strategies in line with community expectations and government requirements.â&#x20AC;? More importantly, we stand ready for the challenges that lie ahead; we are robust, we are committed and we are here for every animal that needs us and we will stand up for them every step of the way.

Michael Linke CEO

Our home Our home is home to thousands of domestic animals and wildlife every year and we look after them just as if they were our family until we can find a perfect forever family, or release them back into their natural habitat. Each piece fits together to provide the whole picture and although each piece may not make sense in isolation it contributes to the big picture to give a clear and wonderful image. We rely heavily on the support of our community and so many pieces come together to allow us to provide care to all of the animals that come to us every year and to support many people in times of crisis. Every day our staff and volunteers experience the wonder of the rewards of their work and the real difference that they are making to the lives of animals and people.

We are proud of our success and the role we play in the community to save lives and reducing the impact on our unique environment in the nationâ&#x20AC;&#x2122;s bush capital. We would like to thank the community for their support and trust and for believing in us and giving us financial and in kind support, volunteering their time, attending our events and promoting our programs and services to their friends, families and associates. We couldnâ&#x20AC;&#x2122;t provide our services and give the care, protection and advice our staff every day, without the support of our community. We appreciate your support and encourage each one of you to continue to choose RSPCA as your charity of choice.

1747 dogs cared for

animals in total cared for

8330

years serving the Canberra community

525

1189

cruelty complaints responded to

5143

domestic animals cared for

894

2842

volunteers

3187

wild animals cared for

native animals released back to the wild

cats cared for 11

Fast facts

Our strategy Bringing it all together As you have no doubt guessed, the theme running through this year’s review has centred on solving the puzzle and connecting the pieces. To an outsider running an animal shelter may seem simple, even easy – but I assure you the reality is different. Our continued success rests squarely on our ability to ensure that each and every part of what we do works seamlessly together. Unfortunately this isn’t always the case. As with any business we face our challenges. But most of the time things run smoothly and successfully as we have highlighted throughout this annual report. Looking to the future there remain a number of challenges that we must navigate to ensure our continued success. These include: Funding: Each and every year demand outstrips supply, both in terms of physical resources at our facility, but also with regard to our financial resources. The ACT government’s mean spirited view regarding funding essential services has meant cut backs and will continue to see services placed at risk in the coming three years. Community support remains high despite tough economic times.

Our Site: As the Molonglo Valley housing plan develops the future of RSPCA’s location comes into question. We are already operating on a site that is fatigued and does not meet our day to day needs. By working with the ACT government we will seek to achieve an outcome that ensures the long term future of animal welfare and to ensure rehoming/release programs in the ACT are protected. Urban Development: As the ACT continues to develop green field housing and our population increases we are mindful of the impact this may have on the volume of animals presenting to RSPCA. We stand ready to work with this increased demand but need the facility and resources to be able to do so. Companion Animal Supply: We remain deeply concerned about the supply of companion animals into the market place. The community needs to be further educated about irresponsible breeding and the negative welfare experienced by companion animals caught up in the intensive breeding industry.

Cat Containment: As the ACT government explores the future of cat ownership in the ACT, we are committed to working with the government and community to ensure any change in legislation maximises the welfare and standing of cats within our community. Cats are an ideal urban pet that can be happily kept indoors. Any changes to government policy need to stress the benefits of responsible cat ownership as well as the negative issues associated with allowing cats to roam. Industrial Relations: We continue to develop and evolve as an employer and we are mindful of the increased responsibility placed on us by industrial relations regulations and legislation. We will continue to develop policy and put in place processes that protect both our employees and RSPCA. We are all committed to creating and maintaining a professional, fun, harassment free and safe workplace. Public Awareness: By increasing the awareness of the public through a range of channels such as personal interaction with RSPCA, attendance at community seminars, event attendance etc, we will continue to have a positive impact on animal welfare. Issues are often more far reaching than day-to-day

dog and cat care and we should attempt to educate the community on other core animal welfare issues such as production animal issues. Education: Only through a well-educated staff and carer/volunteer base can we hope to improve our skills and improve outcomes for animals. We are committed to providing staff, carers and volunteers with relevant training in line with their roles and responsibilities. Wildlife: Wildlife care continues to present itself as one of the key animal welfare issues emerging in the ACT over the next ten years. We are committed to improving our work with native wildlife and cherish our status as the only licensed carer in the ACT. Influencing Others: We believe we have a unique opportunity to influence others. We are committed to using our time at RSPCA and our interactions with other community members to ensure we deliver positive, truthful statements about the work of RSPCA. Every interaction is an opportunity to influence. We donâ&#x20AC;&#x2122;t judge people, we influence them.

Canines

Imagine coming to work every day and being greeted by numerous wagging tails and looks of excitement and anticipation. Our staff experience this every day. Every day each dog is fed, exercised, kennel cleaned, veterinary staff may check them, and our behavioural trainers train them. We give them every opportunity to find their forever homes and are proud of a successful homing rate. Dogs come to the shelter for a range of reasons. They could be abandoned, lost, or surrendered. Our first step is to assess the dog both for health and their behaviour. In all cases our staff work tirelessly for a positive outcome. One of our successes was a mixed breed who was left as a stray. He was microchipped and we all thought it would be a simple puzzle to solve. This wasn’t the case—our staff were unable to contact the microchip owner by phone, or by letters sent to the home address. We continued to try to get in touch with the owners to no avail. Staff worked with our little mixed breed to help him overcome some of his behavioural issues. He was very timid around strangers but he improved in time and staff fell in love with his loyal affectionate nature. Although we never found his original owners, he patiently waited and worked with our staff and volunteers and eventually his new loving family adopted him.

This wasn’t the end of this story; the adult son of his new family decided to adopt a dog of his own and he chose a dog from RSPCA who had been a long time friend of our little mixed breed, so now they live together again in the comfort of a warm and loving home. Often we do not have space for all the dogs that come to our shelter, or some require special attention. We have a number of foster homes where dogs can have a temporary home until they find their forever home. Foster families offer a temporary home life so the dog can receive individual attention, without restrictions of a shelter kennel. We have very strict guidelines for our foster families, so we are confident each dog is getting the best care. We continue our commitment to dogs by offering a range of dog and puppy training classes targeted to each stage of your dog’s development. Our training staff step you through each program and build both you and your dog’s confidence, so you share many happy years together. RSPCA is committed to finding solutions for all the dogs that come to our shelter; our reward is watching them as they leave with their new families on the way to their forever homes.

Statistics

The washing machine is humming, beds are being made, and everyone is waiting for breakfast – sounds like home? Not quite – this is the sound of work being done in our cattery every day. Staff and volunteers are busy washing bedding, cleaning litter trays, preparing breakfast and ensuring that every cat and kitten is ready to greet the public. Our cats are assessed to ensure that an appropriate home can be found for each of them. Some are more affectionate, others a little reserved and each one is assessed so we can advise a potential family of their individual needs. Over summer kitten season is a busy time for us with so many kittens arriving at the shelter every day. Very young kittens require a surrogate mother or a foster carer because they need to be fed and toileted every two to three hours. Our foster carers give generously of their time and patience to meet each kitten’s needs. Sadly many young kittens in our care don’t make the journey because they were brought to the shelter without their mother, and lack the nutrients and support to their immune system that would have been given by their mother.

Statistics

If kittens show signs of playfulness, confidence with humans, and are not aggressive, we can work with them to find a new home and a loving family.

Some kittens coming to our shelter may be feral; however our professional team make an assessment of the kitten and determine if it is suitable for rehoming. We expanded our cat facilities this year with a new building holding an additional sixteen cages that houses kittens when we are at capacity in our kittery. The kittery is where mothers and babies are housed together. It can also be used as an isolation unit should we have cats or kittens that require isolation to avoid spread of disease to our healthy cats and kittens. Managing disease and the health of our cats is our most important cat-related activity. This year we again ran community education campaigns providing information about the importance of desexing cats. We are now in the process of initiating a program targeted at increasing the amount of male cats in the community being desexed. This will be run throughout the year in an effort to reduce the number of kittens coming to the shelter during kitten season. We continue to track the numbers of kittens we receive each year to gauge the success of this campaign. The solution is responsible pet ownership and continuing to educate and provide sensible solutions.

Photo by Eric Ball

Felines

Small animals

RSPCA is not just about dogs and cats; we have so many more animals that arrive at our shelter every day. We often have rabbits, rats, mice, ferrets, guinea pigs and domestic birds available for adoption. These small furry friends can make a fantastic pet for a smaller residence, or for young children to start learning about managing a pet. A rabbit can provide hours of entertainment, are very affectionate and given the right environment, very interactive and communicative. A smaller pet doesnâ&#x20AC;&#x2122;t need as much exercise as a larger pet but can still give a lot of companionship, and for a young child learning the importance of feeding, cleaning and exercise and all aspects of responsible pet ownership is a gift for life. Recently one of our guinea pigs gave birth to 15 baby guinea pigsâ&#x20AC;&#x201D;known as pups. These little guys hit the ground running, eyes open, no umbilical cord, they just get delivered and off they go, entertaining everyone around them with their cute little squeaks.

Our staff and volunteers work with our little friends to ensure that they are receiving all the socialisation skills they require so that they can find a new home and be given a great chance at sharing their life with a wonderful family. Throughout the year we will have ferrets, rats and mice, and each one is assessed, given any relevant initial care and attention, and then placed in the care of our staff until they too can find their forever homes. We even have blue tongue lizards, turtles and birds that were once family pets that have come to the shelter seeking new homesâ&#x20AC;&#x201D;each one is cared for until a new home can be found. Everyone at RSPCA is just as excited when one of our small pets gets a new home as they are when one of our larger pets gets a home, and every care is taken to ensure that the new owners are given all the information they need to enjoy hours of fun with their new companion.

Statistics

Wildlife Question: How many puzzle pieces are needed to rescue a baby wombat? Answer: Around thirty people, numerous shovels, sweat and concern, over eight hours of time, and a bobcat. The story began with some people enjoying a pleasant afternoon at Uriarra Crossing where they noticed a very small wombat feeding near a burrow; however no mother was in sight. Watching for a short time, they decided to approach it to see if there was a mother, and that the baby wasn’t distressed. On nearing the burrow, they noticed a smell and a lot of flies coming from the entrance. They called RSPCA after hour’s wildlife number and one of our volunteers advised that she would be there in a very short time. On the volunteer’s arrival, the wombat had gone back down the burrow, however it was clear that there was something dead in the burrow, and it was assumed to be the mother. Everyone waited patiently by the burrow, but the little wombat was not coming out. Consultation was made with an experienced wombat volunteer, and advice was given that they only way to rescue it, was by digging out the burrow – an extensively time consuming and exacting process. A number of holes were dug, and there was the occasional glimpse of the joey; however after hours of back breaking work, the main bed chamber had still not been located. A call was made to a local person who owned a small bobcat, and they were there in moments to offer a hand to help rescue the little guy. Digging had to be careful and precise so as not to either bury the joey in, or endanger him further. Six hours later, on reaching the main bed chamber a little wombat head popped up and was quickly scooped up and placed safely in a bag amid the elation of everyone involved.

The bond with a baby wombat and mother is so strong that she would have stayed with her mother even if the mother was dead, which it was assumed she had been for at least two weeks. Dawn, the baby was named, was severely underweight, dehydrated, and covered in ticks and lice. She was taken as a foster, and given a bath, some milk and some sleep. She took her first bottles eagerly however after a few days she started to fade, her breathing was becoming laboured, her nose was running and it appeared she had developed pneumonia. A couple of courses of antibiotics, and fluids were given over a period of time, however she was still not responding, and continued to worsen, even having seizures and on urinating would scream and scream. Our diligent and caring volunteer persisted, with force feeding, antibiotics and would hold the little wombat until she was calm. Both our volunteer and Dawn were exhausted. Dawn’s seizures were also worsening. Out of complete desperation, our volunteer decided to try Ural for kidney infections, as she did appear to be in more pain on urinating, and whilst it was a guessing game to work out the dosage, Dawn took the medication and results showed in only 24 hours. The results were in fact amazing, and Dawn started to take her bottle again, and improve on a daily basis. Dawn continues to improve in health, and months on, is causing havoc around the volunteers home, and behaves like every other wombat, and will soon be released and enjoy her natural environment once again.

Statistics

Inspectorate Our inspectorate is tasked with the responsibility of dealing with some horrific animal cruelty issues, prosecution of those responsible, and the investigation of numerous complaints throughout the year. However, they also assist in education and awareness and a range of community programs. Our inspectors deal with acts of cruelty or alleged cruelty every day, however, many of their stories are also heartwarming because they see positive results in the work they do. One story that stays in the mind of our senior inspector is that of a woman who continued to receive complaints that her pets were in small enclosures. Our inspector visited, and could see that the pets were well loved. The inspector often saw the womanâ&#x20AC;&#x2122;s many cats following her up and down the driveway as she collected her mail or went about her daily chores. However, they were contained in small enclosures and our inspector continued to visit and reinforce the importance of allowing the pets a larger area to enjoy throughout the day. Over time, and many visits by the inspectors, the woman had built a wonderful large enclosure for her pets. They were able to be safe, separated from wildlife, and enjoy ample room to stretch out and enjoy their environment.

These positive outcomes are the rewards that our inspectors experience and they know that they are making a difference every day. Most complaints that our inspectors receive relate to dogs being left in hot cars, or tied up without water or shelter. They deal with a range of animal welfare and alleged cruelty matters and are integral to our ongoing education of the community. Our inspectorate team works with people who are disengaged from society due to illness or mental health. They work together with health care workers and community groups to assist these people in their time of need. Often the only companion these people have is their pet, and we provide care for these pets during their time of hardshipâ&#x20AC;&#x201D;regardless of how long this may be and often this is a considerable amount of time. We provide veterinary care, food and shelter, exercise and unconditional love until their owner is able to take on this responsibility. Knowing that their pet is cared for and will be there on their return may be the only thing giving them hope and aiding in their recovery. Together with the general community, allied health workers, the courts, educational bodies and those in need, our inspectors help to put the pieces together to ensure a positive outcome for animals and people alike. Sometimes the puzzle is difficult; however they are committed to searching for the missing pieces that make a real difference to everyoneâ&#x20AC;&#x2122;s lives.

Veterinary work Many people would think that life for our veterinary staff would be continuous days of desexing, microchipping and vaccinating. Whilst they do deal with all of these their work is not limited to just these procedures.

One lizard had thirteen babies, the other only two, but all the babies were delivered and then nursed to health by our vets and wildlife staff, and once fully grown were successfully released back to where their mothers had been found.

The real story is quite different, particularly as we are the only licensed wildlife rescue and rehabilitation organisation in Canberra, which means our vets and vet nurses also deal with an extensive range of wildlife species every day. Our veterinarians piece together puzzles every day, diagnosing some unusual and complex illnesses, and many of the animals that come to our shelter have a number of conditions that need treatment all at once.

Another case was a Pomeranian dog that was left in a carrier outside our gates. Our vets conducted a medical exam and found that she had a lot of problems that needed to be overcome before she had any chance of finding a new home. In the following days she had multiple surgeries and x-rays to determine her medical status, and our vet staff treated her for heart problems, issues with her kneecaps and intestinal problems. She required lots of ongoing care by our staff over the next few weeks. When she had recovered we found her a loving family. A family who understood the care and handling that our little Pomeranian would require for the duration of her life, and were happy to make this commitment.

One of our most interesting stories was one involving a couple of shingleback lizards that were found and brought to the shelter by caring members of the community. A car had struck one and the other was the victim of dog attack. Unfortunately they were both near death and were not able to be saved. Both, however, were also pregnant and our vets delivered the babies by caesarean section.

Statistics

These are the cases that are challenging and yet rewarding, that make the work of our vets so much more than the basic requirements of desexing, microchipping and vaccinating.

Business support For a number of staff at RSPCA ACT, their jobs are not so hands on with animals, even though they can enjoy a wander through all the departments and experience and understand the caring role.

I KNEAD YOU

The business support team plays a crucial role in supporting all of the functions of the animal shelter and includes finance, human resources, administration, the CEOâ&#x20AC;&#x2122;s office, and marketing. Their roles are many and varied. The reward of processing thousands of donations and memberships, winning a grant, promoting and developing an event, and knowing that every dollar banked is going towards the health and welfare of all the animals in our care is a great reward.

BECOME A FOSTER CARER Our maintenance team is kept busy throughout the year â&#x20AC;&#x201C; there is always something to do including repairs, building, gardening, cleaning, looking after the security needs of the shelter and assisting at events. Whilst many of our buildings are aging, this team ensures that we are always looking our best. All of these dedicated staff are committed to animal welfare, and the importance of working together with all other staff to bring together the complete picture. 20

My name is Aries and it is my nature to knead my mother when I feed but now I and kittens like me knead you. I was found without my mother when I was just three weeks old. Lucky for me RSPCA found Karen who became my foster carer and gave me the chance to have a life. Without her I may not have survived as I was too young to fend for myself. Now I am happy and healthy in my new forever home. We need more people like Karen so kittens just like me can have a chance at life. If you are interested in helping kittens just like me CONTACT: (02) 6287 8100 or rspca@rspca-act.org.au

Our shop The main point of entry to our extensive shelter is through our Pet Adoption Centre’s retail store where you will be greeted by our friendly staff, who are keen to help you. Whether you are looking for your new best friend, looking for your lost companion, a solution to the possum trapped in your roof or advice on correct food, toys and resources for your best friend, our staff can always provide friendly advice. We have a range of products that will suit your pet’s needs and we are passionate about finding solutions and making sure that both the family and their furry friend are happy with all of their purchases. Our Pet Adoption Centre (PAC) staff are given training in customer service, sales, product training, and all of our programs and services to allow us to provide you with an excellence of service each time that you visit. Not only do we have people who come to us to find their new best friend, or to make a purchase, we often have people visit simply to enjoy spending time with the animals in care at the shelter. Some of these people may not be able to have a pet for a number of reasons, however, our peaceful environment and the many animals who share the space offer an opportunity to give them happiness and fulfilment.

A visit to the shelter is welcomed for whatever reason and you will find it hard to leave without feeling like you are part of a bigger picture and wanting to promote RSPCA as a charity of choice. Imagine the surprise of our visitors when they find our PAC staff—and some from other departments—in their pyjamas or dressed as a superhero, a giant dog, or even a cupcake, as we promote our twilight adoption nights, Million Paws Walk or Cupcake Day. Their commitment and sense of fun is a delight for our visitors to see and on special occasions even our visitors dress up for our themed events and enjoy a bit of a giggle while considering adopting their new pal. We rely on the community to assist us with raising funds to provide ongoing care for each animal at the shelter. In turn the community relies on us to offer them the best advice in relation to animal welfare issues, the care of their family pet, and assisting with their purchases. Did you know that RSPCA receives 70,000 visitors a year and answers over 100,000 phone enquiries?

Events We had a fantastic year of fundraising events with record attendance. We raised record amounts, had lots of fun and shared our message with the community. Each event forms part of the big picture of providing a substantial portion of the funding to provide care and attention for each animal at the shelter. The Canberra community is one of the many pieces of the picture of care for all creatures great and small. Pets’ Party, held each year in November, was a huge success. Over 3,000 people attended the shelter and enjoyed the day. Entertainment on the day included: dog agility activities, live jazz music and simply relaxing in the atmosphere of our wonderful surrounds. On the day we were visited by dogs, ferrets, rats and many two legged friends who enjoyed the food and festivities, a chance to meet a new forever friend, or purchasing a gift for their own furry friend. At Christmas we offered our famous Santa Paws photos and had over 160 people come to the shelter to have their photos taken with Santa, their family and their pets. Not only dogs had their photo taken with Santa; a Green Cheeked Conure—a type of parrot— sat on Santa’s head for a photo. Santa wasn’t the only one to have fun on the day, as was clearly shown by the delight on the faces of everyone involved. This event continues to bring lots of Christmas spirit and joy to all involved. Million Paws Walk was our biggest and most successful ever. Despite concerns over the weather we showcased a beautiful sunny Canberra autumn day. 22

We attracted a record number of 12,000 people, around 8,000 dogs and over $175,000 raised in registrations, sponsorships, merchandise sales and donations. Our theme this year was Superheroes, acknowledging the superhero owner who loves and cares for their pet and the pet that brings unconditional joy to their families lives every day. There were many enjoyable activities and loads of entertainment on the day, including one on one interviews with our wildlife, veterinary and behavioural training staff, our well known pup idol and a wonderful fashion parade showcasing pets dressed as superheros. This was a spectacular display with lots of energy and all involved demonstrated enthusiasm. Our superhero training academy allowed participants to take their dogs through our agility course and test their superhero abilities. The merchandise team was kept busy throughout the day with record sales and many happy pooches could be seen donning their recently purchased Million Paws Walk outfits for the day. Our Cupcake Day stall was decorated with a retro theme, full of colour and sweetness, but it didn’t last long with all the cupcakes being sold out in record time and enjoyed by young and old. Our MC on the day was Danielle Post from WIN TV. Cam and Pete from Mix 106.3 also kept us on our toes with entertainment on and off stage, even participating in a bit of a celebrity challenge at the superhero training academy. Pooches and people alike smiled from ear to ear as the day unfolded and it proved to be a day to remember, with many of them promising to mark Million Paws Walk in their calendar for 2012.

Cup Cake Day saw the sweetest cupcakes of all sold in Canberra with the funds coming directly to RSPCA to provide care for the thousands of animals that come to our shelter every year. Cupcake Day raised over $75,000 in 2010 as the event continues to gain interest and success. We have proved that Canberra is well ahead in the baking stakes and is prepared to take on a challenge and support animal welfare whilst satisfying everyone’s sweet tooth. Trivia Night had a superhero theme and attracted a range of superheroes donned in costumes each trying to outdo the other teams for the coveted first prize for best dressed. In the end the RSPCA’s own behavioural trainers’ team “Behavioural Training Mutant Ninja Turtles” took home first prize for the best dressed and Paws for Thought took out the superhero prize as the winning trivia knowledge team. Over 300 participants joined Senator Gary Humphries for the event. Senator Humphries, in his usual eclectic style kept everyone on their toes with some difficult questions, testing even the tried and true trivia buff. We were most appreciative of our major sponsor of the event—the Home Loan Centre— enabling us to hold the event at no cost to RSPCA. National Convention Centre Canberra and Nova Multimedia again continued their sponsorship and generosity and we were delighted with an extensive range of donated prizes from local businesses and wineries. We raised over $12,000 this year at the trivia night and we look forward to next year’s fun and frivolity with participants who are prepared to step up to each of our challenges.

Our fundraising committee truly excelled themselves again this year and provided an electrifying night of entertainment, auctions and the great debate, for which the theme this year was “can money buy love?” Set amid a Night of Diamonds, 470 guests enjoyed a live performance by Peter Byrne—Australia’s very own Neil Diamond concept artist. The room looked like a fairy tale, glittering from tables decorated with chandelier lighting, chairs and tables formally dressed in luxurious fabrics, and a magnificent display on the big screen. Every participant added to the evening, with a spectacular array of gorgeous ball gowns and black tie suits. Throughout the night guests enjoyed sumptuous food and were entertained by the great debate. The night ended with dancing to the songs of Neil Diamond—and a diamond performance by Peter Byrne. The evening raised $60,000 and much of this will go towards veterinary equipment to ensure our animals with the greatest needs have access to first class medical resources and supplies. We again benefitted from the support of our sponsors, including Luton properties, Audi Centre Canberra and Nova Multimedia who continue to be involved and attend the event each year. Our fundraising committee is to be congratulated on another fantastic evening and again providing us with a special night to remember.

Photo by Kate Leith courtesy of The Canberra Times

Innovation

Some of our best ideas come from our staff and volunteers. A suggestion is made that leads to a solution and becomes part of a larger program. One of our staff members, who had worked with RSPCA for a number of years, decided to add the pitter patter of little baby feet to those furry children that were already part of her family. In the early stages of her pregnancy she researched a number of pregnancy-related matters, and in particular merging her furry family with her new baby. Many animals are surrendered to us here at RSPCA when the owner is pregnant because they feel their child may be at risk of harm or could develop allergies. Our pregnant staff member knew this was untrue and was concerned that so many pets once loved were being surrendered and losing their homes they enjoyed for many years. She researched numerous articles about living together with pets and new babies and not only found keeping pets in the home reduced the incidence of children developing allergies; there were simple tips for introducing the pets and the new baby. Because there were no easily available sources for all information she also decided to develop an information sheet that could not only be

issued by RSPCA but could be used at prenatal classes as an early educational tool. The aim was to reduce the number of surrendered animals so they can remain in their homes with the baby, who will in time be their best friend. A young cattery RSPCA staff member, who had only been working with us a short time was busily caring for the numerous cats and kittens we have every day and came up with an idea that has potential to make a real difference in the long term. She was determined to find a solution to reduce the excessive number of kittens that have been abandoned or surrendered every kitten season, many arriving without their mothers, which increases mortality rates. Her solution to the puzzle was early intervention at the source of the problem—the tom cat. She suggested that we offer the community a desexing program offering reduced rates on desexing of male cats throughout the months leading up to kitten season. Her “Don’t Litter” concept will be considered and if we have appropriate resources and processes we will implement a program and promote to the community. We continue to educate the community to desex their male cats through our education campaigns.

Our heroes Our role in the community is wide and varied and is the foundation of all that we do. We have a commitment to give every animal every chance for a long and healthy life. We believe in having compassion, integrity and respect, and aim for continuous improvement for the welfare of the animals and the people that we interact with every day. Our animal welfare programs protect domestic and wild species, and the health and welfare of many people, whose lives are enriched by these creatures. We wouldnâ&#x20AC;&#x2122;t be able to perform the miracles we do without the support of our dedicated staff and volunteers, who work tirelessly in each of their respective areas knowing that what they do will help to enrich the lives of animals in our care and will provide the love and care needed to give every animal a chance. The rewards from finding a new forever home, or releasing an animal back to their environment are priceless, and are marked by the smiles on the faces of staff, volunteers, the new owners, and a wagging tale or purr of a new family addition. We have over 500 volunteers and they share in the continuous work of cleaning, feeding, the endless washing of bedding, walking countless kilometres with our dogs, and brushing and rubbing ever present backs and bellies. They help to monitor the health and wellbeing and provide general care for the hundreds of animals at our shelter every day. Many of our volunteers also assist with our events throughout the year, such as at Million Paws Walk, Cupcake Day, the Gala Ball, Santa Paws photography sessions, the Canberra Show and smaller external events in which RSPCA has been asked to participate.

We would not be able to provide the programs and services that we perform without our volunteers, we simply couldnâ&#x20AC;&#x2122;t afford the cost of their salaries were they paid workers. Volunteers provide a savings of $300,000 per year in salaries alone, and cover over 10 full time equivalent staffing positions each year. Our volunteer wildlife carers provide around the clock care, feeding animals throughout the night, nursing injured wildlife back to health, and then releasing the wildlife back to their original environment. Many of our staff and volunteers also foster the tiny animals that come to us without a mother, that require regular feeding until they can feed by themselves, or those animals that are not able to cope in the shelter environment or that need special care. In a nutshell, we wouldnâ&#x20AC;&#x2122;t be able to do what we do every day without our volunteer team. Our volunteers and staff receive ongoing specialist training in animal health and wellbeing, procedures in hygiene for both themselves and the animals, training in customer service and also workshops that assist with their own personal health. Working at RSPCA requires, commitment, compassion, trust, respect and a drive to make a difference every day, and with this comes a reward of knowing that each one of us does make a difference, and we can feel very proud. Walking about the shelter each day, you will see staff busily attending to their jobs amid the cacophony of animal noises, and the chatter of people in our friendly environment, and we would like to extend our thanks to every one of you. Staff and volunteers provide an invaluable input to the success of the shelter and our commitment to animal welfare and education of the community. Thank you.

Supporters RSPCA receives minimal funding from government and relies heavily on the support of our members, donors, fundraising events, bequestors, and sponsors. We have a number of sponsors who have supported us over the years and we continue to develop new relationships with businesses and individuals who have a desire to support animal welfare by contributing financially. Our relationship with these people is of paramount importance to our ongoing success and allows us to provide our programs and services for animals and the community every day of the year. Sponsorship is not restricted to large businesses. Our kennel sponsorship program is one that allows anyone to sponsor a kennel, or another enclosure, and display a plaque with their details. Many people choose to honour a deceased relative or pet as a memorial and they write a special note or verse, which is proudly displayed on their kennel or enclosure. RSPCA is honoured to have the support of the community and our generous sponsors, and we encourage everyone to continue our partnerships long into the future. 31

Success stories We could write a book on the different stories of each animal arriving at the shelter. Whether surrendered or rescued each one has a story to tell and every time our staff work together to ensure that the story has a happy ending. A dog called Snooker arrived at the shelter with a skinny body and ears covered in insect bites. He was in pretty bad shape, and was a cautious guy who had trouble trusting new people. We did find he warmed to some people more quickly than others. We knew when Snooker had found his new family—there was an instant connection in their very first meeting and it was obvious Snooker would be going home. Snooker was at RSPCA for over three months and will be remembered for the adorable snorting noises he would make as if he was trying to have a conversation with you every time you popped in to say hello. A stray cat that had been missing from his family for over two years was brought to the shelter as a stray. Staff were able to locate his owners, but unfortunately they didn’t want to be reunited with their pet and asked staff to find a new family for him. He stayed at the shelter for a while, enjoying the love and attention of the staff and volunteers. Then a special family visited the shelter and decided that Tiger would make an ideal pet and happily took him home. Staff were concerned when a lactating female dog who had been seen wandering for a few weeks had been brought to the shelter. Signs were obvious that she had only recently given birth but there was no sign of her puppies, and residents of the area in which she was found advised that she had been seen in the area for at least a few weeks. Not only was there 32

concern for the dog, but also that perhaps the puppies were also lost and both would be distressed. A call went out in an effort to locate the dog’s owner and hopefully the puppies. Everyone was elated when the owner contacted us and yes, he had the puppies, and mum had gotten herself lost. Puppies, mum and the owners were happily reunited, and continue to go from strength to strength. Emily was a white cat who was surrendered after she had lived with her owners for six years, and they were moving to a place that didn’t allow pets. Emily had obvious signs of cancer on her ears and she was in discomfort and looked very sad. Our veterinary staff considered options, however there was no solution other than to remove her ears to ensure that she could live a long and happy life. We then wondered what her chances of adoption would be, and if someone would fall in love with a cat without ears. As luck would have it, someone saw her and there was an instant connection, so not only will she enjoy a long and healthy life cancer free, but also her new family loved her new look and she now receives lots of cuddles and care. Kitten season means the arrival of numerous kittens and while we enjoy their entertaining antics we wonder how we will find homes for each one. No sooner than we see them running about in the sunny enclosure every day than the new families come to fall in love with them. The numbers reduce and suddenly there is no longer the hive of activity that was the kitten run.

On arrival at work one day a staff member thought they were seeing double—two identical guinea pigs in different cages. Each one arrived at the shelter separately but it was as if these two were meant to be together. Affectionately named Gus and Gertrude by staff these little guys joined our guinea pig crew and busied themselves with guinea pig activities, until we received a visit from someone who fell in love twice and adopted them both, taking them home to their new guinea pig wonderland. The most common reason for wildlife being brought to the shelter is road strike or attack from domestic animals; however sometimes there are more complex stories. Staff members rescued two blue tongue lizards when a man’s house had been partially destroyed by fire. They were accompanied by two water dragons and a turtle. The man had surrendered the blue tongue lizards but kept the water dragons and turtle. One of the lizards left with us, Castle, is now content and looking for a new home. A beautiful lorikeet named Sprinkles was brought to the shelter unable to fly. Staff nursed him for a short while and after he was x-rayed it showed that he had a curved spine so he could never fly. He was put up for adoption highlighting that he had special needs. After many phone calls of interest we found a forever home with a lovely couple that spent some time seeking out a cage that would be suitable for Sprinkle’s needs. They used a ferret/rat cage with ladders and ramps throughout the cage so he could easily move around. He now lives on the coast with his new family and is reportedly very happy.

All the pieces add up

Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated

(Incorporated in the Australian Capital Territory under the Associations Incorporation Act 1991) ABN 35 730 738 037

Financial Report for the year ended 30 June 2011

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated â&#x20AC;&#x201C; Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

CONTENTS Council Report .......................................................................................................................... 1 Independent Audit Report ......................................................................................................... 3 Statement by Members of the Council ..................................................................................... 5 Statement of Comprehensive Income ...................................................................................... 6 Statement of Financial Position ................................................................................................ 7 Statement of Cash Flows ......................................................................................................... 8 Statement of Changes in Equity ............................................................................................... 9 Notes to the Financial Statements ......................................................................................... 10

Page | i

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

Council Report The Council presents this report on the Association for the financial year ended 30 June 2011. Council Membership The Council is responsible for the management of the Association. The Council members in office during the financial year and at the date of this report are: President Vice President Secretary Treasurer Other Members:

Mrs Sue Gage Ms Heidi Pritchard Ms Paula Shinerock Ms Val Chappell Mrs Jill Mail (resigned in April 2011) Ms Amanda Cattermole Ms Kasy Chambers Mrs Maureen Hickman Mrs Susan Black Mrs Louise Douglas (appointed to casual vacancy in May 2011)

Principal Activities The principal activities of the Association during the financial year were those of advocacy and veterinary services for and on behalf of, all animals within Australia with emphasis on the ACT. The Association is actively involved in 

operating an animal cruelty inspectorate



operating an animal shelter



providing a dedicated rescue, rehabilitation and release program for injured or orphaned wild animals



operating a veterinary clinic



delivery of a public dog and puppy training school



operating a retail shop.

Significant Changes No significant change in the nature of these activities occurred during the year. Financial Result The net deficit of the Association for the financial year ended 30 June 2011 was $493,535 (2010: $278,084 surplus). After the Balance Date Events No matters or circumstances have arisen since the end of the financial year that significantly affected or may significantly affect the operations of the Association, the results of those operations, or state of affairs of the Association in future financial years. Page | 1

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

Council Report (continued) This report is provided in accordance with a resolution of the Council and is signed for and on behalf of the members of the Council by the President, Sue Gage. Likely Developments and Expected Results The future operation of the Association involves the continued pursuit of its principal activities. Employees The Association employed 42 employees as at 30 June 2011 (2010: 43 employees).

Non-audit services The following non-audit services were provided by the Association‟s auditor, Ernst & Young: Assistance with the preparation of the financial report

$3,000

The members are satisfied that the provision of non-audit services is compatible with the general standard of independence for auditors imposed by APES 110 Code of Ethics for Professional Accountants. The nature and scope of each type of non-audit service provided means that auditor independence was not compromised. This report is provided in accordance with a resolution of the Council and is signed for and on behalf of the members of the Council by:

Council Member:

Val Chappell (Treasurer)

Council Member:

Paula Shinerock (Secretary)

Dated:

13 September 2011

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

Independent Audit Report

Page | 2

Independent auditor’s report to the members of Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated We have audited the accompanying financial report of Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated (the “Association”), which comprises the statement of financial position as at 30 June 2011, and the statement of comprehensive income, statement of changes in equity and statement of cash flows for the year ended on that date, a summary of significant accounting policies, other explanatory notes and the Statement by Members of the Council.

Council Members’ Responsibility for the Financial Report

The Council members of the Association are responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards and the Associations Incorporation Act 1991 (ACT), the Association’s Constitution and By-Laws and for such internal controls as the Council members determine are necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on the financial report based on our audit. We conducted our audit in accordance with Australian Auditing Standards. Those standards require that we comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance about whether the financial report is free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on our judgment, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error. In making those risk assessments, we consider internal controls relevant to the Association’s preparation and fair presentation of the financial report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Association’s internal controls. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the Council members, as well as evaluating the overall presentation of the financial report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Independence

In conducting our audit we have complied with the independence requirements of the Australian professional accounting bodies. In addition to our audit of the financial report, we were engaged to undertake the services disclosed in the notes to the financial statements. The provision of these services has not impaired our independence.

Liability limited by a scheme approved under Professional Standards Legislation 3

Basis for Qualified Opinion Voluntary donations are a significant source of revenue for the Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated. The Association has determined that it is impracticable to establish control over the collection of voluntary donations prior to entry in its financial records. Accordingly, as the evidence available to us regarding revenue from this source was limited, our audit procedures with respect to voluntary donations had to be restricted to the amounts recorded in the financial records. We are therefore unable to express an opinion whether the voluntary donations obtained by the Association are complete.

Qualified Opinion In our opinion, except for the possible effects of the matter described in the Basis for Qualified Opinion paragraph, the financial report of Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated presents fairly, in all material respects, the financial position of Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated as of 30 June 2011 in accordance with Australian Accounting Standards and the Associations Incorporation Act 1991 (ACT).

Ernst & Young Canberra 13 September 2011

Statement by Members of the Council For the financial year ended 30 June 2011 In the opinion of the Council Members of the Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated, I state that: In the opinion of the Council members (a)

the financial statements and notes of the Association are in accordance with the Associations Incorporation Act 1991, including: (i) (ii)

(b)

giving a true and fair view of the Associationâ&#x20AC;&#x;s financial position as at 30 June 2011 and of its performance for the year ended on that date; and complying with Accounting Standards, the Associations Incorporation Act 1991 and other mandatory professional reporting requirements; and

there are reasonable grounds to believe that the Association will be able to pay its debts as and when they become due and payable.

On behalf of the Council

President Canberra, 13 September 2011

Page | 5

Statement of Comprehensive Income FOR THE YEAR ENDED 30 JUNE 2011

Revenue

Note

Costs of Goods Sold

2011 $ 3,353,538

2010 $ 3,918,139

(379,118)

(467,750)

Depreciation expense

(128,469)

(110,890)

Salary and employee benefits expenses

(2,211,180)

(2,078,624)

Other expenses

(1,128,306)

(982,792)

Net (deficit) surplus before income tax expense Income tax expense Net surplus (deficit) after income tax expense

(493,535) 2h

278,083 -

(493,535)

278,083

30,988

104,604

Other comprehensive income Net fair value gains on available-for-sale investments Transfer of realised gains to the statement of comprehensive income on disposal of available-forsale investments Transfer of realised losses to the statement of comprehensive income on impairment of availablefor-sale investments Total other comprehensive income for the period Total comprehensive (loss) income attributable to members of the Association

(21,858)

30,960

40,090

104,604

(453,445)

382,687

Page | 6

Statement of Financial Position AS AT 30 JUNE 2011

2011 $

2010 $

71,062 177,466 59,892 25,598

191,299 146,605 62,582 43,346

334,108

443,832

921,543 525,849

1,052,730 586,750

TOTAL NON-CURRENT ASSETS

1,447,392

1,639,480

TOTAL ASSETS

1,781,500

2,083,312

346,507 170,393 91,000

320,486 145,396 -

607,900

465,882

24,019

14,404

24,019

14,404

631,919

480,286

1,149,581

1,603,026

435,605 713,976

395,515 1,207,511

1,149,581

1,603,026

CURRENT ASSETS Cash and cash equivalents Trade and other receivables Inventory Prepayments

Note

5 6

TOTAL CURRENT ASSETS NON-CURRENT ASSETS Available-for-sale investments Property, plant and equipment

CURRENT LIABILITIES Trade and other payables Provisions Loans

7 8

9 10 11

TOTAL CURRENT LIABILITIES NON-CURRENT LIABILITIES Provisions

TOTAL NON-CURRENT LIABILITIES TOTAL LIABILITIES NET ASSETS EQUITY Equity attributable to beneficiaries of the Association Net unrealised gain reserve Accumulated surplus TOTAL EQUITY

Page | 7

Statement of Cash Flows FOR THE YEAR ENDED 30 JUNE 2011

Note

2011 $

2010 $

3,259,006 (3,568,409)

3,405,403 (3,623,145)

(309,403)

(217,742)

8,282 37,865 198,183 7,000 (72,841) (80,323)

12,141 72,657 15,000 (99,673) (137,447)

98,166

(137,322)

CASH FLOWS (USED IN) OPERATING ACTIVITIES Receipts from customers, government and others Payments to suppliers and employees NET CASH FLOWS (USED IN) OPERATING ACTIVITIES

5 (b)

CASH FLOWS FROM (USED IN) INVESTING ACTIVITIES Interest received Dividends received Proceeds from disposal of available-for-sale investments Proceeds from disposal of property, plant and equipment Payments for available-for-sale investments Payments for property, plant and equipment NET CASH FLOWS FROM (USED IN) INVESTING ACTIVITIES CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from loan Repayment of loan NET CASH FLOWS FROM FINANCING ACTIVITIES Net (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of the year CASH AND CASH EQUIVALENTS AT END OF THE YEAR

5 (a)

100,000 (9,000)

91,000

(120,237) 191,299

(355,064) 546,363

71,062

191,299

Page | 8

Statement of Changes in Equity FOR THE YEAR ENDED 30 JUNE 2011 Accumulated Surplus $

Net Unrealised Gain Reserve (Note 12) $

Total Equity $

AT 1 JULY 2009

929,428

290,911

1,220,339

Other comprehensive income Surplus for the year Total comprehensive income for the period

278,083

104,604 -

104,604 278,083

278,083

104,604

382,687

1,207,511

395,515

1,603,026

(493,535)

40,090 -

40,090 (493,535)

(493,535)

40,090

(453,445)

713,976

435,605

1,149,581

AT 30 JUNE 2010 Other comprehensive income Deficit for the year Total comprehensive income for the period AT 30 JUNE 2011

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Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

Notes to the Financial Statements For the year ended 30 June 2011 NOTE 1 – CORPORATE INFORMATION The Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated (“the Association”) is domiciled in Australia and is a not-for-profit organisation. The Association is incorporated under the Associations Incorporation Act 1991 and is an incorporated Association. The financial report of the Association for the year ended 30 June 2011 was authorised for issue in accordance with a resolution of the members on 13 September 2011. The nature of the operations and principal activities of the Association are described in the Council report. NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (a)

Basis of preparation

The general-purpose financial report has been prepared in accordance with Australian equivalents to International Financial Reporting Standards (AIFRSs), the Association Incorporation Act 1991, Australian Accounting Standards and other mandatory professional reporting requirements. The financial report has also been prepared on a historical cost basis, except for available-for-sale investments, which have been measured at fair value. The financial report is presented in Australian dollars. (b)

New Accounting Standards and Interpretations

Adoption of new Australian Accounting Standard requirements Australian Accounting Standards and Interpretations issued or amended that are applicable to the current reporting period did not have a financial impact in the financial statements or performance of the Association, and are not expected to have a future financial impact on the Association. Future Australian Accounting Standard requirements Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet effective have not been adopted by the Association for the annual reporting period ended 30 June 2011. It is anticipated that the new requirements will have no material financial impact on future reporting periods. (c)

Cash and cash equivalents

Cash and cash equivalents in the statement of financial position comprise cash at bank and in hand and short-term deposits with an original maturity of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. For the purposes of the statement of cash flows, cash and cash equivalents consists of cash and cash equivalents as defined above, net of outstanding bank overdrafts.

Page | 10

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) (d)

Trade and other receivables

Trade receivables, which generally have 30-day terms, are recognised and carried at original invoice amount less an allowance for any uncollectable amounts. An allowance for doubtful debts is made when there is objective evidence that the Association will not be able to collect the debts. Bad debts are written off when identified. (e)

Investments and other financial assets

Financial assets in the scope of AASB 139 Financial Instruments: Recognition and Measurement are classified as either financial assets at fair value through profit or loss, loans and receivables, held-tomaturity investments, or available-for-sale investments, as appropriate. When financial assets are recognised initially, they are measured at fair value, plus, in the case of investments not at fair value through profit or loss, directly attributable transactions costs. The Association determines the classification of its financial assets after initial recognition and when allowed and appropriate, reevaluates this designation at each financial year-end. (i)

Financial assets at fair value through profit or loss

Financial assets classified as held for trading are included in the category “financial assets at fair value through profit or loss”. Financial assets are classified as held for trading if they are acquired for the purpose of selling in the near term. Derivatives are also classified as held for trading unless they are designated as effective hedging instruments. Gains or losses on investments held for trading are recognised in profit or loss. (ii)

Held-to-maturity Investments

Non-derivative financial assets with fixed or determinable payments and fixed maturity are classified as held-to-maturity when the Association has the positive intention and ability to hold to maturity. Investments intended to be held for an undefined period are not included in this classification. Investments that are intended to be held-to-maturity, such as bonds, are subsequently measured at amortised cost. This cost is computed as the amount initially recognised minus principal repayments, plus or minus the cumulative amortisation using the effective interest method of any difference between the initially recognised amount and the maturity amount. This calculation includes all fees and points paid or received between parties to the contract that are an integral part of the effective interest rate, transaction costs and all other premiums and discounts. For investments carried at amortised cost, gains and losses are recognised in profit or loss when the investments are derecognised or impaired, as well as through the amortisation process. (iii)

Loans and receivables

Loans and receivables including loan notes and loans to key management personnel are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. Such assets are carried at amortised cost using the effective interest method. Gains and losses are recognised in profit or loss when the loans and receivables are derecognised or impaired. These are included in current assets, except for those with maturities greater than 12 months after balance date, which are classified as non-current. (iv)

Available-for-sale investments

Available-for-sale investments are those non-derivative financial assets that are designated as availablefor-sale or are not classified as any of the three preceding categories. After initial recognition, availablefor-sale investments are measured at fair value with gains or losses being recognised as a separate component of equity until the investment is derecognised or until the investment is determined to be impaired, at which time the cumulative gain or loss previously reported in equity is recognised in the statement of comprehensive income. The fair value of investments that are actively traded in organised financial markets is determined by reference to quoted market bid prices at the close of business at the reporting date. For investments with no active market, fair value is determined using valuation techniques. Such techniques include using recent arm‟s length market transactions; reference to the current market value of another instrument that is substantially the same; discounted cash flow analysis and option pricing models. Page | 11 51

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) (f)

De-recognition of financial instruments

The de-recognition of a financial instrument takes place when the Association no longer controls the contractual rights that comprise the financial instrument, which is normally the case when the instrument is sold, or all the cash flows attributable to the instrument are passed through to an independent third party. (g)

Property, plant and equipment

Cost Plant and equipment is stated at cost less accumulated depreciation and any accumulated impairment losses. Depreciation Depreciation is provided on a straight-line basis or diminishing value over the estimated useful life of the assets as follows: (i)

Furniture and equipment: 5 years

(ii)

Fixtures and fittings: 10 years

(iii)

Computer equipment and software: 4 years

(iv)

Motor vehicle: 5 years

(v)

Building: 40 years

The assets‟ residual values, useful lives and amortisation methods are reviewed, and adjusted if appropriate, at each financial year-end. Impairment The carrying values of plant and equipment are reviewed for impairment when events or changes in circumstances indicate that the carrying value may not be recoverable. The recoverable amount of plant and equipment is the greater of fair value less costs to sell and value in use. Value in use is the depreciated replacement cost of an asset when the future economic benefits of the asset are not primarily dependent on the asset‟s ability to generate net cash inflows and where the Association would, if deprived of the asset, replace its remaining future economic benefits. Impairment losses are recognised in the statement of comprehensive income. (h)

Taxes

Income Tax The Association is exempt from income tax in accordance with Section 50-40 of the Income Tax Assessment Act 1997. Goods and Services Tax (GST) Revenues, expenses and assets are recognised net of the amount of GST except: (i)

where the GST incurred on a purchase of goods and services is not recoverable from the taxation authority, in which case the GST is recognised as part of the cost of acquisition of the asset or as part of the expense item as applicable; and

(ii)

receivables and payables are stated with the amount of GST included.

The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables in the statement of financial position.

Page | 12

NOTE 2 â&#x20AC;&#x201C; SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) (h)

Taxes (continued)

Cash flows are included in the statement of cash flows on a gross basis and the GST component of cash flows arising from investing and financing activities, which is recoverable from, or payable to the taxation authority, are classified as operating cash flows. Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to the taxation authority. (i)

Trade and other payables

Trade payables and other payables are carried at amortised cost and represent liabilities for goods and services provided to the Association prior to the end of the financial year, which are unpaid and arise when the Association becomes obliged to make future payments in respect of the purchase of these goods and services. The amounts are unsecured and usually paid within 30 days of recognition. (j)

Employee benefits

Provision is made for employee benefits accumulated as a result of employees rendering services up to the reporting date. These benefits include wages and salaries, annual leave and long service leave. Liabilities arising in respect of wages and salaries, annual leave and any other employee benefits expected to be settled within twelve months of the reporting date are measured at their nominal amounts based on remuneration rates that are expected to be paid when the liability is settled. All other employee benefits liabilities are measured at the present value of the estimated future cash outflows to be made in respect of services provided by employees up to the reporting date. In determining the present value of future cash outflows, the market yields as at the reporting date on national government bonds with terms to maturity approximating the terms of the related liability, are used. Employee benefits expenses and revenues arising in respect of the following categories: (i)

wages and salaries, non-monetary benefits, annual leave, long service leave and other leave entitlements; and

(ii)

other types of employee benefits

are charged against operating results in their respective categories. The contributions made to superannuation funds are charged to the statement of comprehensive income. Superannuation Commitments Employees contribute to external superannuation funds at various percentages of their wages and salaries. Contributions by the Association of not less than 9% of employeesâ&#x20AC;&#x; wages and salaries are legally enforceable in Australia and were paid. (k)

Leases

Operating lease payments are recognised as an expense in the statement of comprehensive income on a straight-line basis over the lease term. Operating lease incentives are recognised as a liability when received and subsequently reduced by allocating lease payments between rental expense and reduction of the liability. (l)

Revenue Recognition

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the entity and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognised.

Page | 13 53

NOTE 2 â&#x20AC;&#x201C; SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) (l)

Revenue Recognition (continued)

Sale of goods Revenue is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer and can be measured reliably. Risks and rewards are considered passed to the buyer at the time of delivery of the goods to the customer. Rendering of services Revenue from rendering of services is recognised when control of a right to be compensated for the services has been attained and the stage of completion of the service contract can be reliably measured. Stage of completion is measured by reference to the services performed to date as a percentage of total estimated services to be performed for each contract. If a contract outcome cannot be reliably measured, revenue is recognised only to the extent that costs have been incurred. Interest revenue Revenue is recognised as interest accrues using the effective interest method. This is a method of calculating the amortised cost of a financial asset and allocating the interest income over the relevant period using the effective interest rate, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to the net carrying amount of the financial asset. Dividends Revenue is recognised when the right to receive the payment is established. Membership fees The Association charges annual fees to its RSPCA members. The fixed annual membership fee is required to be paid by member if they intend to maintain a membership. Membership fee revenue is recognised upon receipting. Fundraising Fundraising income is recognised when the RSPCA obtains control of the funds. Government grants and other contribution from community Revenue is recognised when the Association receives an asset, including the right to receive cash or other forms of asset without directly giving approximately equal value to the other party or parties to the transfer. Contributions received or receivable are recognised immediately as revenue when the Association obtains control of the contributions, it is possible that the economic benefits comprising the contribution will flow to the Association and the amount of the contribution can be measured reliably. (m)

Provisions

Provisions are recognised when the Association has a present obligation (legal or constructive) as a result of a past event. It is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Where the Association expects some or all of a provision to be reimbursed, the reimbursement is recognised as a separate asset but only when the reimbursement is virtually certain. The expense relating to any provision is presented in the statement of comprehensive income net of any reimbursement. If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and, where appropriate, the risks specific to the liability. Where discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

Page | 14

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) (n)

Other Resources Received Free of Charge

Resources received free of charge are recognised as gains when, and only when, a fair value can be reliably determined and the services would have been purchased if they had not been donated. Use of those resources is recognised as an expense. Contributions of assets at no cost of acquisition or for nominal consideration are recognised as gains at their fair value when the asset qualifies for recognition. (o)

Significant accounting judgments, estimates and assumptions

The preparation of financial statements requires management to make judgments, estimates and assumptions that affect the application of policies and reported amounts of assets, liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and other various factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgments. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods. Provisions for employee benefits Provisions for employee benefits payable after 12 months from the reporting date are based on future wage and salary levels, experience of employee departures, and periods of service. The amount of these provisions would change should any of these factors change in the next 12 months. Valuation of investments The Association has decided to classify investments in securities as „available-for-sale‟ financial investments and movements in fair value are recognised directly in equity.

Page | 15 55

2011 $

2010 $

1,024,780 477,878 170,679 870,544 145,815 266,257 101,957 8,282 165,710 113,814 7,822 3,353,538

996,275 753,368 136,363 848,147 122,859 265,460 72,657 12,141 9,101 328,066 366,353 7,349 3,918,139

2011 $

2010 $

128,469 128,469

110,890 110,890

(b) Salary and Employee Benefits Expenses Salaries and wages Superannuation expense Provision for employee benefits Total

1,979,207 164,849 67,124 2,211,180

1,855,092 161,469 62,063 2,078,624

(c) Other Expenses Sheltering expense Fundraising expense and advertising Interest expense Facility and equipment IT communication Professional fee Bad debts Discount Impairment of available for sale assets Net loss on disposal of available-for-sale investments Net loss on disposal of property and equipment Uninsured legal claims expense General expense Total

285,782 251,029 91 179,722 81,216 43,079 8,256 16,152 30,960 3,982 5,754 10,000 212,283 1,128,306

219,876 213,749 29 146,658 78,321 27,501 11,613 49,698 235,347 982,792

NOTE 3 - REVENUE Retail sales Grants from government Sponsorship Fundraising and membership fees Events Appeals Dividend income Interest income Net gains on disposal of available-for-sale investments Bequest Veterinary clinic sales Other Total

NOTE 4 - EXPENSES (a) Depreciation Expense Plant and equipment Total

Page | 16

2011 $

2010 $

1,250 69,812 71,062

1,880 189,419 191,299

NOTE 5 - CASH AND CASH EQUIVALENTS (a)

Reconciliation of cash

Cash on hand Cash at bank Total

Cash at bank earns interest at floating rates based on daily bank deposit rates.

(b)

Reconciliation of net (deficit) surplus to net cash flows (used in) operating activities:

Net (deficit) / surplus

(493,535)

278,083

Non-cash items: Depreciation Employee entitlements Debtors written off Goods received free of charge Interests received Dividend received Net loss on disposal of available-for-sale investments Impairment of available-for-sale investments Net loss (gain) on disposal of property and equipment

128,469 13,571 7,040 (8,282) (37,865) 3,982 30,960 5,754

110,890 16,059 25,011 (49,004) (12,141) (72,657) (9,101)

Changes in assets and liabilities Trade debtors Inventory Prepayment Unearned revenue Trade creditors Provision

(30,861) 2,600 17,748 26,019 24,997

(44,822) 25,313 (5,178) (300,000) (191,015) 10,820

(309,403)

(217,742)

Net cash flows (used in) operating activities (c)

Non-cash investing activities

Acquisition of motor vehicles by means of trade-in Disposal of motor vehicles by means of trade-in

51,500 (51,500)

Page | 17 57

2011 $

2010 $

86,137 10,611 16,000 77,108 (12,390) 177,466

136,213 7,989 13,016 (10,613) 146,605

NOTE 6 - TRADE AND OTHER RECEIVABLES Current Trade receivables GST receivables Insurance receivable Other debtors Provision for doubtful debtors Total Ageing analysis of receivables

Total

2011 2010

189,856 157,218

0-30 days

170,885 143,231

31-60 days PDNI* 3,750 2,318

61-90 Days PDNI* 2,382 1,056

+91 days PDNI* 449 -

+91 Days CI** 12,390 10,613

* Past due not impaired (PDNI) ** Considered impaired (CI) Receivables past due but not considered impaired are $6,581. Management is satisfied that payment will be received in full. Receivables past due but considered impaired are $12,390. A provision of $12,390 is included in the financial statements for doubtful debts. 2011 $

2010 $

NOTE 7 - AVAILABLE-FOR-SALE INVESTMENTS At fair value: Fixed interest securities Listed shares Listed property trusts Total

102,485 783,253 35,805 921,543

102,125 763,125 187,480 1,052,730

Available-for-sale investments consist mainly of fixed interest securities, listed shares and units in listed property trusts, and therefore have no fixed maturity date or coupon rate. The fair value of the available-for-sale investments is based on market data that is observable and therefore classified as a level one financial instrument.

Page | 18

2011 $

2010 $

NOTE 8 - PROPERTY, PLANT AND EQUIPMENT Computer Equipment and Software - At cost Accumulated depreciation and impairment Net carrying amount

227,971 (186,169) 41,802

226,713 (166,949) 59,764

Furniture and Fitting - At cost Accumulated depreciation and impairment Net carrying amount

433,719 (332,151) 101,568

373,273 (298,035) 75,238

Building and Fixtures - At cost Accumulated depreciation and impairment Net carrying amount

1,937,608 (1,619,232) 318,376

1,937,608 (1,569,036) 368,572

Motor Vehicles - At cost Accumulated depreciation and impairment Net carrying amount

200,098 (135,995) 64,103

211,871 (128,695) 83,176

525,849

586,750

586,750 131,822 (64,254) (128,469) 525,849

565,182 137,447 (4,989) (110,890) 586,750

Total Property, Plant and Equipment Reconciliations Carrying amount at beginning of the year Additions Disposals Depreciation expense Carrying amount at end of the year

Page | 19 59

2011 $

2010 $

259,297 7,189 20,215 20,124 39,682 346,507

194,967 67,867 17,980 2,850 34,141 2,681 320,486

2011 $

2010 $

124,161 20,232 26,000 170,393

117,705 27,691 145,396

24,019 24,019

14,404 14,404

194,412

159,800

NOTE 9 - TRADE AND OTHER PAYABLES Current Trade creditors Accrued expenses Superannuation RSPCA Christmas club PAYG withholding Other payable Total

NOTE 10 - PROVISIONS Current

Annual Leave Long service leave Provision for legal claims Non-Current Long-service leave Total Nature and timing of provisions (i)

Annual leave and long service leave Refer to note 2(j) for the relevant accounting policy and a discussion of the significant estimations and assumptions applied in the measurement of this provision. 2011 $

2010 $

91,000

NOTE 11 - LOANS Current Loan from RSPCA Tasmania

In June 2011 an unsecured loan of $100,000 was received from RSPCA Tasmania on interest free terms for a period of 6 months. There are no covenants associated with this loan. Periodic repayments have been made with full repayment expected by December 2011.

Page | 20

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

NOTE 12 –NET UNREALISED GAIN RESERVE (a)

Movements in the Net Unrealised Gain Reserve was as follows:

At 1 July 2009

$ 290,911

Net fair value loss on available-for-sale investments

104,604

At 30 June 2010

395,515

Net fair value gain on available-for-sale investments Transfer of realised gains the statement of comprehensive income on disposal of available-for-sale investments Transfer of realised losses to the statement of comprehensive income on impairment of available-forsale investments

(21,858)

At 30 June 2011

435,605

(b)

30,988

30,960

Nature and purpose of the Net Unrealised Gain Reserve

This reserve records movements in the fair value of available-for-sale investments. NOTE 13 – EVENTS AFTER THE STATEMENT OF FINANCIAL POSITION DATE There have been no significant events that have occurred subsequent to 30 June 2011. NOTE 14 – RELATED PARTY AND KEY MANAGEMENT PERSONNEL DISCLOSURES (a)

Members of the Council in office during the year are disclosed in the Council‟s report that accompanies these financial statements. Key management personnel include the Chief Executive Officer, the Manager Corporate Services, the Finance Manager and the Manager Policies & Purchasing.

(b)

Key Management Personnel Compensation

The aggregate remuneration paid to key management personnel during the financial year is as follows:

Short-term benefits Cash salary Cash bonus Superannuation Allowances Total (c)

2011 $

2010 $

267,665 22,400 27,406 4,992 322,463

263,298 22,400 26,088 311,786

The association has no dealings with any other related parties.

Page | 21 61

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

2011 $

2010 $

6,000 3,000 9,000

NOTE 15 – REMUNERATION OF AUDITORS Amounts received or due and receivable by the auditors of the Association for: An audit of the financial report Financial report preparation assistance Total

NOTE 16 – EXPENDITURE COMMITMENTS The association has no expenditure commitments as at 30 June 2011 (2010: Nil).

NOTE 17 – FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES The Association's principal financial instruments comprise cash, trade debtors, trade creditors and available-for-sale investments. (i.e. Listed shares, listed property trusts and fixed interests securities). The main purpose of these financial instruments is to create income for the Association in order to fund future growth. The main risks arising from the Association's financial instruments are interest rate risk, price risk, credit risk and liquidity risk. The Association uses different methods to measure and manage different types of risks to which it is exposed. These include monitoring levels of exposure to interest rate and equity prices. Ageing analyses are undertaken to manage credit risk and liquidity risk is monitored through cash flow forecasts. The Council reviews and agrees policies for managing each of these risks as summarised below: Risk Exposures and Responses Interest rate risk The Association's exposure to market interest rates relates primarily to cash at bank. The following sensitivity analysis is based on the interest rate risk exposures in existence at the reporting date: At 30 June 2011, if interest rates had moved, as illustrated in the table below, with all other variables held constant, net surplus from operations and equity would have been affected as follows: Judgments of reasonably possible movements

+ 1% (100 basis points) - 1% (100 basis points)

Net Surplus/(Deficit) Higher/(Lower) 2011 2010 142 (142)

1,404 (1,404)

Equity Higher/(Lower) 2011 2010 142 (142)

1,404 (1,404)

The movements in net surplus from operations and equity are due to higher/lower interest income from variable rate cash balances. The sensitivity is higher in 2009 due to high year-end balance at 2009. Price risk The Association's exposure to equity securities price relates primarily to share investments in Australian equities. To limit this risk the Association diversifies its portfolio to include mortgage and cash funds and Australian equities with a low risk.

Page | 22

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

NOTE 17 – FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (Continued) The following sensitivity analysis is based on equity price exposures in existence at the reporting date: At 30 June 2011, if the unit price had moved, as illustrated in the table below, with all other variables held constant, net surplus from operations and equity would have been affected as follows: Judgments of reasonably possible movements

Net Surplus/(Deficit) Higher/(Lower) 2011 2010

+ 10% - 10%

Equity Higher/(Lower) 2011 2010 92,154 (92,154)

105,273 (105,273)

The movements in equity are due to higher/lower fair value gain/loss from unit balances at year-end. The sensitivity is higher in 2010 because of an additional acquisition of fixed interest securities during 2010. Movements in the fair value of available-for-sale investments are recorded in the unrealised gain reserve. Fair value risk The Association uses various methods in estimating the fair value of a financial instrument. The methods comprise: Level 1 – the fair value is calculated using quoted prices in active markets. Level 2 – the fair value is estimated using inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (as prices) or indirectly (derived from prices). Level 3 – the fair value is estimated using inputs for the asset or liability that are not based on observable market data. The fair value of the financial instruments as well as the methods used to estimate the fair value is summarised in the table below: Year ended 30 June 2011 Financial assets Available-for-sale investments Total Year ended 30 June 2010 Available-for-sale investments Total

Level 1

Level 2

Level 3

Total

921,543 921,543

1,052,730 1,052,730

Credit risk Credit risk arises from the financial assets of the Association, which comprise cash, trade debtors and available-for-sale investments (i.e. listed shares, listed property trusts and fixed interests securities). The Association's exposure to credit risk arises from potential default of the counter party, with a maximum exposure equal to the carrying amount of these instruments. The carrying amounts of the entity‟s financial assets are the same as their net fair value. The Association‟s maximum exposure to credit risk at reporting date in relation to each class of recognised financial assets is the carrying amount of those assets as indicated in the statement of financial position. The Association does not hold any credit derivatives to offset its credit exposure. The Association trades only with recognised, creditworthy third parties, and as such, collateral is not requested nor is it the Association's policy to securitise its trade and other receivables.

Page | 23 63

Royal Society For The Prevention Of Cruelty To Animals (ACT) Incorporated – Financial Report (Incorporated in the Australian Capital Territory under Associations Incorporation Act 1991)

NOTE 17 – FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (Continued) In addition, trade and other receivable balances are monitored on an ongoing basis with the result that the Association's exposure to bad debts is not significant. There are no significant concentrations of credit risk within the Association other than those from constituent members whose credit risk is assessed as low. Financial instruments are spread amongst a number of financial institutions to minimise the risk of default of counterparties. Liquidity risk The Association's objective is to maintain a balance between continuity of funding and flexibility. The Association‟s financial liabilities comprise trade, other payables and the unsecured loan received from RSPCA Tasmania (refer note 11). The following table illustrates the maturities for financial assets and liabilities: The risk implied from the values shown in the table below reflects a balanced view of cash inflows and outflows. The Association‟s financial assets are considered in the Association‟s overall liquidity risk. To monitor existing financial assets and liabilities as well as to ensure an effective controlling of future risks, the Association has established an investment committee to monitor liquidity. Maturity analysis of financial assets and liability based on management's expectation Year ended 30 June 2011 Cash (note 5) Trade and other receivables (note 6) Available-for-sale investments (note 7) Total financial assets Trade and other payables (note 9) Loans (note 11) Total financial liabilities Net maturity

≤ 1 month $

1 to 3 months $

3 to 6 months $

6 to 12 months $

> 1 year $

Total $

71,062

177,466

248,528

921,543 921,543

921,543 1,170,071

346,507 12,000 358,507 (109,979)

27,000 27,000 (27,000)

40,000 40,000 (40,000)

12,000 12,000 909,543

346,507 91,000 437,507 732,564

NOTE 18 – ASSOCIATION DETAILS The registered office of the Association is: Royal Society for the Prevention of Cruelty to Animals (ACT) Incorporated 12 Kirkpatrick Street Weston ACT 2611

Page | 24

NOTE 19 â&#x20AC;&#x201C; PRIOR PERIOD ERROR During the year, the Association discovered a prior period error related to the allocation of realised gains on available-for-sale investments between equity accounts. Prior to 1 July 2009 certain realised gains on available-for-sale investments were not released to the statement of comprehensive income and remained in the net unreleased gain reserve. Consequently the opening and closing balances for the accumulated surplus and net unrealised gain reserve accounts were misstated for the financial year ended 30 June 2010. No other line items of the financial statements of the Association were affected by this error. The impact on each line item of the separate financial statements of the Association from the prior period error is shown in the table below: As previously reported $

Adjustment $

Restated $

At 1 July 2009 Net unrealised gain reserve Accumulated surplus

503,772 716,567

(212,861) 212,861

290,911 929,428

608,376 994,650

(212,861) 212,861

395,515 1,207,511

At 30 June 2010 Net unrealised gain reserve Accumulated surplus

Page | 25 65

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RSPCA ACT 12 Kirkpatrick Street Weston ACT 2611 PO Box 3082 Weston Creek ACT 2611 1300 4 77722 (1300 4 RSPCA) www.rspca-act.org.au rspca@rspca-act.org.au ABN: 35 730 738 037