NZSSD Treasurer’s Report
AGM, 5 May 2016
Michelle Downie
Introduction
This is my first annual report as Treasurer having taken on the Role in May 2015. I have come into this role with the Society in an excellent financial position, thanks largely to my predecessor Owais Chaudri who did an excellent job over the preceding 3 years in restoring balance and protecting the society’s financial security through a number of changes.
I would like to once again pay tribute to Jan Brosnahan in her role as secretariat for the considerable contribution to the day to day running of the society. Jan does a superb job in this role which takes considerable time and effort.
Audit
The society accounts for the 2014-2015 financial year have once again been audited by Naylor, Lawrence and Associates (Palmerston North) with assistance from the previous treasurer Owais Chaudri. Thank you to all who have undertaken this important job.
A new company in the same geographical area as the current treasurer will be proposed for the coming year. This is proposed to be able to be approved by the Executive.
Income and Expenditure
The Society acts as an intermediary for distribution of funds to a number of agencies. This is essentially to allow the award of the ASM research projects. Over the past 12 months grants have been facilitated from Astra Zeneca, Sanofi, Pharmaco, NZMS and Lilly.
Excluding these items (for which there is neither net gain nor net loss), the Society’s main sources of income include subscriptions, conference surplus and bank interest.
Income from Subscriptions:
2011-2012: $19,004
2012-2013: $ 25,140
2013-2014: $29,366
2014-2015: $40,165
2015-2016: $28,400
Conference Surplus:
2011-2012: $ 18,139
2012-2013: $ 28,238
2013-2014: $ 16,987
2014-2015: $32,583
2015-2016: $ 54,454
Interest:
From Term Deposits $5417.50.
The Society’s largest ongoing expenditures are the Secretariat, Personal Development Awards and Conference Travel Grants. This year $10,000 was given to the Dieticians for development of their Knowledge and Skills framework. This was a one off expense and not recurring.
Nurse Prescribing Surplus
The Society operates a separate account (DNS account) where money remains from the Diabetes Nurse Prescribing project funding. This account is largely used to hold the ASM awards until they are paid out. The current balance of this account is $101,539.96. Approximately $19,000 has been approved to go towards a project to update the online Diabetes Knowledge and Skills framework. This was approved by the executive after an application from the Aotearoa College of Diabetes Nurse Specialists. The rest of the funds are currently not allocated and the treasurer proposes a discussion around the use of these funds at the ASM.
Current Financial Position
The Society’s financial position as at 31 march 2016 was:
Term Deposits: $129,964.04
Main Cheque account: $81,696.62
DNS account: $ 101,539.96
TOTAL: $ 313,200.62
Income through Main cheque Account FY 2015-2016:
Subscriptions / 28 400GST refund / 1 115.79
ASM Surplus / 53 454.62
Donations / 1 103
Interest / 111.87
Miscellaneous / 5 306
TOTAL IN / $89 491.28
Income through Interest from term Deposits: $5417.50
Expenditure through Main Cheque Account FY 2015-2016:
Secretariat / 16 563.39Travel Grants / 7 200
Prof Development awards / 1 000
Eureka Teleconferencing / 2 217.05
GST Return / 2 160.23
Accounting / 1 860
Dieticians NZ / 10 000
Webhosting / 398.85
Medical Director / 4 250
Podiatry SIG Day / 1 115
Diabetes NZ Membership / 75
Charities Commission / 51.11
Flowers / 87
CHQ's - misc. - pre 31 March 2015 / 2 468.41
TOTAL OUT / $49 446.04
Surplus for financial year: $45,462.74
Income/Expenditure for the DNS account is not shown as the only transactions were related to distribution of the ASM awards for 2015, excluding a small amount of interest applied.
Expenditure Comparison to Previous years:
The expenditure is less this year than previously, most significantly because of the Medical Director role and its associated Honorarium being disestablished in favour of a Senior Medical Advisory group.
Projections and budget for FY 2016-2017
Projections for income in the next financial year for our main revenue streams are:
Subscriptions $ 30,000
Conference Surplus $ 20, 000
Interest: $5,000
Total: $55,000
Conference Surplus estimates based on previous years:
2012-2013 $41,511
2013-2014 $39,687
2014-2015 $ 32,583
2015-2016 $ 53,454
Estimates for Expenditure are:
Secretariat: $18,000
Professional Development Awards $6,000
Conference Travel Grants $6,000
Teleconferencing $2,000
Accounting $2,000
NZSSD ASM award $10,000
Total: $44,000
Plus $19,000 for the Diabetes Knowledge and Skills Framework update which will be taken out of the DNS account funds.
The NZSSD ASM award is a new expenditure for this financial year approved by the Executive. The idea is that this be awarded to a non-SMO member of the Society who has not previously received a research award. It aims to encourage new researchers.
Donations
The Society is registered to receive Donations in a way that means individual donors can apply for a tax credit for their donation. Donations received this year approximated $1,100. This has not been specifically allocated for use and discussion on this is also welcomed.
Future plans
The Society is in an excellent financial position at present. Possible areas for allocation of funds include promotion of research, maximising benefits to non-SMO members, promotion and development of resources for education across the country. The Society should aim to facilitate good diabetes care practice at both primary and secondary care levels.
Consideration should be given to increasing the time and funding for our Secretariat to enable more roles to be filled by this position. This would alleviate pressure on members of the Executive and would provide more specific ability for the secretariat to expand her role and assist with conference organization, member enquiries and web site updating for example.
We need to ensure our finances keep pace with inflation, which at present is sustainable.
Items for discussion on the agenda at ASM:
Use of the Diabetes Nurse Prescribing Surplus
Roll over of term deposits vs utilisation of these funds
Priority areas for allocation of funding in the next financial year
Approval of an annual NZSSD ASM award of $10,000 for the next 2 years
Proposals to be put forward for a vote:
That the accounts for the FY 2014-2015 can be accepted by the Executive if not available by the time of the ASM
That the Expenditure for FY 2015-2016 be structured as above
That the Executive can approve a change of Auditor to one local to the Treasurer
That this report be received.