Annual Report 2016

Contents

About This Report 2 Highlights 4 Bridge Housing Profile 6 Spotlight 1: Orbit 10 Chairman’s Report 12 Chief Executive Officer’s Report 14 Our Performance 18 Housing Affordability 28 Spotlight 2: Ashfield – a new model of housing and support for older women 32 Operating Environment 2015–16 34 How We Operate 38 Strategic Plan 2015–18 18 Our Board of Directors 40 Our Executive Team 42 Spotlight 3: The Community Team 44 Our People 46 Our Governance 52 Spotlight 4: Community building and tenant engagement at South Coogee Estate 58 Operations Report 60 Spotlight 5: New Maintenance Contracts 68 Development Report 70 Spotlight 6: Affordable housing developments – Bunya 74 Finance and Corporate Services Report 76 Financial Summary 2015-16 84 Bridge Housing in the Community 90 Facts and Figures 92 Acknowledging Our Partners 95 Spotlight 7: Caretakers Cottage – Options Youth 96 Glossary and Abbreviations 98 Index 100 communities we serve. communities work the residents affects and why we do it, and how our tell the story of what we do, 16 financial year. We wish to during the 2015– performance operational and financial of our provides summary a for 2016Annual Report The Bridge Housing Limited 2 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Follow us About This Report This About

Our Mission Our VisionOur respects to their Eldersbothpast and present. traditional custodians ofthe lands onwhich we operate and wishes to pay Bridge Housing acknowledges the Gadigal and Darug peopleas the Acknowledgement of Country This report is primarily prepared for the following stakeholders: AudienceOur detailed further inour Business Plan 2015–16. 2015–16 against the targets set inour Strategic Plan 2015–18, which are To assess how well we are performing, we measured our outcomes for ABN: 55760 055 094 ACN: 135570 955 ISBN:978-0-9874433-8-0 Email: [email protected] Website: www.bridgehousing.org.au Telephone: (02) 8324 0800 Postal address: POBox 1835,Strawberry Hills,NSW 2012 Street address: Level 9, Tower 1,Lawson Square, Redfern NSW 2016 Bridge HousingLimited

Bridge Housing staff members who deliver our services. support partners that provide services to our most vulnerable tenants federal and state government partners members ofBridgeHousing Limited residents, applicants and recipients ofour housing management services private sector partners who work withusto deliver more affordable housing housing and services for income low-to-moderate households. To improve lives and strengthen communities by providing To bealeading not-for-profit provider ofquality affordable housing. Our Values

Socially responsible We are committed to encouraging social inclusion and improving the lives of the people and communities we support.

The needs of our applicants and residents are at the core of all our activities People-focused and decisions. We empathise with them and deliver our services with fairness, respect and sensitivity. We value and support our employees to enable them to perform at their best and achieve their full potential.

Committed and passionate We put our hearts and minds into our work. We value and encourage innovation and continually seek to improve our performance.

Build relationships We build relationships based on trust and respect to create positive outcomes for the people and communities we serve.

We take responsibility for our decisions and actions and provide a consistent Professionalism and integrity high-quality service. Our decisions are based on sound judgement and our culture engenders good governance, transparency and honesty.

Our Strategic Plan Our Services To help achieve our mission, we develop a strategic We provide long-term accommodation for people plan every three years to identify the critical on low-to-moderate incomes using our property factors for success for Bridge Housing. These are portfolio. Bridge Housing: implemented through our annual business plans. In owns 251 properties our Strategic Plan 2015–18 these factors were: manages 725 properties owned by the NSW Meeting affordable housing need by increasing Land and Housing Corporation (LAHC), our property portfolio which is the NSW Government public housing Delivering quality homes and housing services authority and part of the Department of Governing effectively Family and Community Services (FACS) Managing the business sustainably leases 638 properties from the private rental market Supporting our people and improving our workplace manages 126 properties on behalf of other organisations and individuals Enhancing our communications and increasing our profile. acquires and develops properties provides responsive and planned In this report, we detail our performance against maintenance services on a property our business plan objectives for 2015–16, which portfolio valued at $392 million1. are aligned with and progress the Strategic Plan 2015–18. The Strategic Plan 2015–18 was approved Our services encompass the provision of social by the Bridge Housing Board in June 2015 and is and affordable housing. We meet the needs of detailed in our Annual Report 2015. the most disadvantaged people – those who require assistance to maintain a sustainable tenancy – by working with more than 16 support partners under formal agreements and many more services that support individual tenants. (Please see Acknowledging Our Partners on page 95 for more details.) ABOUT THIS REPORT 3 1 This is based on an average value of $356,000 per unit and $670,000 per house (as per recent portfolio valuations) multiplied by the number of Bridge Housing properties and properties managed on behalf of the NSW LAHC – a total of 976 properties. Leasehold and fee-for-service properties are excluded. use of social media. profile by increasing the andservice, enhanced our engagement and customer delivered strong community developments in the pipeline, and grown the number of construction of three projects delivery, have undertaken the business and our service improve to continued have year for Bridge Housing. We 2015–16 was another successful 4 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 by 2018.These projects include: during 2016–17 and afurther 158 deliver 112new affordable homes development program, which will 1,767 dwellings. We continued our property portfolio from 1,716 to In 2015–16, we expanded our Strategic Growth Portfolio Highlights

in July 2016 deliver nine studio apartments block at Ashfield, which will redevelopment ofanapartment completed inJuly 2016 65 homes. This is dueto be Bungarribee, which willdeliver the Bunya development at tenure development. deliver 118units inamixed- Seven Hills inJune 2016to a Communities Plus site at submission ofatender for people by June 2018 provide 158homes for older Street, Glebe, which will redevelopment inCowper planning work for land November 2016 is scheduled for completion in complex inParramatta, which construction ofa38-unit Maintenance Survey in2015–16. services, achieved inthe Asset of 90percent for maintenance the tenant satisfaction rating properties was also reflected in The highstandard ofour $1.31 million,on184dwellings. maintenance works, valued at We completed planned better access to services. the inner city as they seek their communities towards of homeless peoplefrom initiative to address the drift program, aNSW Government FACS through the Connect 100 We continued working with engagement program. our community-building and Bridges strategy, which is of our award-winning Building We completed the second year Residents to Services and Our Homes Quality Delivering to $0.5 millionin2014–15. million in2015–16, compared and impairment, of$1.1 surplus, before depreciation We delivered anet operating Sustainability Business per cent ofeither gender. our target ofno lessthan 40 43 percent female, which meets board is 57percent male and The gender balance onthe Directors during the year. Australian Institute ofCompany Directors Course withthe Services undertook the Company Manager Finance and Corporate Operations and General The General Manager of chair after sixyears. of Vicki Allenfrom the role Turner, uponthe resignation to anew chairman, Mark We executed asmooth transition Effective Governance generally inline withbenchmark. 27 and 17 days respectively - Voids and vacancies were at benchmark of2.5percent. year, well below the Regulator’s in 2014–15, to 1.3percent this Our arrears fell from 1.9percent Our People onpage 46. violence against women –see address the issue of domestic Workplace Accreditation to of obtaining White Ribbon We also began the process Staff Engagement Survey. areas identifiedin last year’s as well as anumber ofother collaboration during the year worked to develop cross-team Plan 2015–18. Management strategy that aligns withStrategic of anew human resources period, through the development previous strategic planning program undertaken over the human resources transformation We continued to build uponthe Developing People Our Australasian Reporting Awards. for our Annual Report 2015at the fourth consecutive GoldAward for annual reporting, earning a We secured national awards Awards recognition and Bunya development activities. progress on the Parramatta and certificates. These slowed our approvals and completion delays inissuing planning during the year included council The major challenges we faced Challenges the infographic onpage 17. each ofthe platforms –see stakeholders and tenants across our level ofengagement with and YouTube, and improved Facebook, Twitter, LinkedIn platforms over 2015–16, through increased our use ofsocial media Bridge Housing significantly Increasing Profile Our Winner of the Winner of the 2015 Australasian 2015 Australasian Leading Tenant Leading Asset Engagement Practice Award Management Award Presented by the Presented by the Australian Housing Institute for Australian Housing Institute for professional excellence in housing professional excellence in housing

We also won National Awards for Leading strengthened our balance sheet to establish a strong Tenant Engagement Practice for the Building financial base for future growth. Bridges program, and Leading Asset Management at the National Australasian Operating Profit $1.1m 108% Housing Institute Awards for Professional Excellence in Housing, held in October 20152. Net Assets $105m 4% Financial Highlights Bridge Housing once again recorded a solid See the Financial Summary on page 84 for financial result. We continued to invest in further details. capacity-building and property maintenance and

Key results, at a glance

Our sources of revenue 2015–16 Our expenses 2015–16 Expressed as a percentage of total income Expressed as a percentage of total expenditure

Rental Income Govt Grants - Operating Rents paid Maintenance Other Bank Interest Insurance & other property expenses Depreciation Management expenses Rates and utilities Administration expenses Other expenses HIGHLIGHTS 5 2 AHI Professional Excellence in Housing Awards Program, Australasian Housing Institute, www.housinginstitute.org/Awards, 2015. Bridge Housing Blacktown Profile Ryde Parramatta Holroyd

SOPA

Canada Auburn Bay

Fairfield Burwood Leichhardt Strathfield Glebe Woollahra Ashfield Sydney Waverley

Marrickville

Canterbury Bankstown

Botany Bay Randwick

Rockdale Hurstville

0 1.25 2.5 3.75 5

Kilometres

Bridge Housing Limited is a Tier 1 community housing provider, registered under the National Regulatory System for Community Housing. Our central office is in Redfern, Sydney. We provide affordable housing solutions to low and moderate income households across the inner and middle ring of the Sydney metropolitan area. At 30 June 2016, Bridge Housing owned or managed 1,767 properties and operated across 20 local government areas (LGAs), as illustrated by the map above. BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 6 Blacktown

Ryde

Parramatta Holroyd

SOPA

Canada Auburn Bay

Fairfield Burwood Leichhardt Strathfield Glebe Woollahra Ashfield Sydney Waverley

Marrickville

Canterbury Bankstown

Botany Bay Randwick

Rockdale Hurstville

0 1.25 2.5 3.75 5

Kilometres

Properties per LGA LGAs in which Bridge Housing operates Development sites

Ashfield 81 Canterbury 53 Rockdale 11 Auburn 33 Fairfield 1 SOPA 24 Bankstown 99 Holroyd 9 Strathfield 66 Blacktown 65 Leichhardt 109 Sydney 311

Botany 72 Marrickville 164 Waverley 207 BRIDGE HOUSING PROFILE Burwood 37 Parramatta 210 Woollahra 16 7 Canada bay 29 Randwick 259 8 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 3  properties by June 2021. vested (title transferred) to them were contractually required to meet aleverage target. Bridge Housing’s target was to deliver 75 social and affordable housing Under the Australian Government’s NBESP, which delivered 6,000social housing dwellings inNSW, community housing providers that had properties secure, affordable housing. 2,790 peopleby providing 1,552 properties, assisting our property portfolio to During this periodwe increased community engagement. development, and increase procurement and property and extend operations to include on this, aiming to strengthen Our Strategic Plan 2009–12 built community housing providers. amalgamated withother 650 to 1,100homes as we our portfolio increased from the first half ofthat period foundation for growth. Over enabled usto establish asound Our Strategic Plan 2006–09 and annual business plans. with three-year strategic plans Bridge Housing drives its growth guarantee inMarch 2009. as acompany limited by Limited was incorporated in 2009.BridgeHousing Rental Housing Association in 2008and Eastern Suburbs Area Community Housing Scheme in2001;Burwood Area Community Housing Association in1993; Darlinghurst the Inner West Housing in 1985. Itamalgamated with Sydney Housing Cooperative began as the South West Inner Bridge Housing Limited WeWhere Started 2012–16 assisted, people and of properties Number People & Properties 2012 Properties 2013 People assisted 2014 18 and Business Plan 2015–16. we set inour Strategic Plan 2015– performance against the targets This report details our across atotal of20 LGAs. expanded our area ofactivity properties in2015,and we portfolio increased to 1,716 community engagement. Our development and deepening continued to focus onproperty Our Strategic Plan 2012–15 for completion inJuly 2016;and apartments at Ashfield scheduled at Bungarribee; nine studio This consists of65dwellings completed inNovember 2016. of 112dwellings, is dueto be Our firstdevelopment cycle, under our fee-for-service program. come online inOctober 2016, program and these properties will Bay Council’s affordable housing for acontract to manage Canada late June we successfully tendered from 11to 24during the year. In Affordable Housing Programme Sydney Olympic Park Authority’s properties we manage through the organic growth. We increased the our development activities and This increase willcome through 2,000 properties by June 2018. increase the portfolio to at least established agrowth target to Our Strategic Plan 2015–18 ScenarioGrowth to 2018 2015 2016 3000 2400 2700 3300 1800 1500 1200 2100 600 900 300 0 years earlier than required leveraging target more than four Stimulus Plan (NBESP) its Nation Building Economic Housing willhave delivered 2016. Importantly, Bridge due for completion inNovember 38 units at Parramatta that are Consortium, which will,if providers to form the Plenary four other community housing Bridge Housing has joined with 3,000 additional dwellings. One ofthe SAHF willdeliver and affordable housing. Stage to increase the supply ofsocial hasMLA, committed $1billion Premier, The Hon. Mike Baird launched in2016and the NSW Housing Fund (SAHF) was The Social and Affordable Hills to deliver over 100units. Communities Plus site inSeven successfully tendered for a sites. BridgeHousing has sites and larger redevelopment This program encompasses small affordable and private housing. development ofamixsocial, sites owned by the LAHCfor the program strand, willprovide Communities Plus, arelated of service and staff engagement. maintaining orimproving levels under our management, whilst expected increase inproperties to successfully absorb the us to develop the capacity ‘fit for growth’. This requires focus is to ensure that we are Plan 2018–2021,our present the periodofour next Strategic this increase willoccur within over the next few years. While to double ortriple its portfolio opportunity for BridgeHousing This policy presents an NSW by 2023. per cent ofall social housing in housing sector willmanage 35 intends that the community from 2017. The government housing dwellings over sixyears 23,000 new orreplacement social housing providers to deliver partnerships withcommunity NSW Government willenter into Under Future Directions, the NSW, released inFebruary 2016. Directions for Social Housing in Government strategy Future 2018 through the NSW growth opportunities beyond Bridge Housing has further 3 . successful, deliver 750 properties. The waiting for the outcome of the Request Our commitment to providing consortium was one of nine parties for Tender process. If successful, Bridge affordable and social housing is shortlisted by FACS in an expression of Housing will secure the management of demonstrated by our diverse strategies interest process, from 24 who tendered. approximately 150 newly developed or for portfolio growth. The Plenary Consortium is currently acquired properties.

Social Affordable Supported Program Total housing housing housing* Owned (vested) 243 8 251 64 Social Housing Subsidy Program 27 27 Community Housing Leasehold Program (CHLP) Capital program 706 706 97 Private rental 638 638 151 Leased FACS (scheduled for redevelopment) 19 19 3 Fee-for-service Local government 54 29 83 2 State government (JTAP/HPA) 1 1 Other community organisations 8 8 2 Private affordable 34 34 Total 1669 98 1767 319

* Supported housing is a subset of the total social housing dwellings, making the total number of properties 1,767.

Program Descriptions and planned maintenance. The The NSW Government reviewed the community housing provider retains all program in 2013–14 because of the Vested properties rental income. FACS sets rents through increasing cost of rental subsidies, owing Bridge Housing successfully tendered the Community Housing Rent Policy. to increases in private rental market for a package of 242 NBESP properties Rents are fixed at 25 per cent of the rents. In 2014–15, funding arrangements in the Parramatta and Holroyd LGAs in tenant’s assessable income, plus 100 changed from separate payments for 2010. In 2010–11, the NSW Government per cent of their Commonwealth Rent management, maintenance and rental vested 163 properties to Bridge Housing. Assistance. Community housing providers subsidy to a block payment, which the In 2013–14, the remaining 79 properties allocate properties to eligible tenants from provider manages.. the Housing Pathways housing register were vested after the NSW Minister for In addition we lease properties in the (www.housingpathways.nsw.gov.au). Finance and Services approved Bridge private rental market to meet specific Housing’s vesting business case. The Leasehold properties government programs. During 2015–16 transfer of title occurred in August we leased a further 15 properties to 2013. The property title is vested with Community housing providers source deliver Connect 100, a homelessness the community housing provider, and leasehold properties from the private program to provide social housing the NSW Government holds a caveat rental market and sign a Residential assistance linked to specialist on the title to protect its investment. Tenancy Agreement as head tenant homelessness support services and This program was introduced in 2010 under the Residential Tenancies which assists homeless people to re- to give community housing providers Act 2010 and Residential Tenancies connect with their communities of origin. the security to borrow from financial Regulation 2010. institutions in order to procure or Fee-for-service properties The housing provider then sublets the develop affordable housing. property to eligible applicants from the Bridge Housing manages Capital properties Housing Pathways housing register. fee-for-service properties FACS pays a management, rent and on behalf of external Bridge Housing leases and manages maintenance subsidy to providers under organisations through capital properties from the LAHC the NSW Government’s Community a management through the Community Housing Housing Leasing Program. This agreement or contract. Agreement. Properties include existing program provides subsidies for 5,756 The management fee public housing, such as the South Coogee approved leases across NSW, held by 26 is based on the level of estate, and newly constructed properties community housing providers. In 2014– housing and the property such as those in Canterbury-Bankstown. 15, the subsidy cost was $71 million. management services

that we provide. BRIDGE HOUSING PROFILE Under the funding contract, community Bridge Housing operates the largest housing providers are responsible for leasehold program in Australia – just allocations, tenancy management, over 10 per cent of the NSW program. 9 property management, and responsive 10 BRIDGE HOUSING LIMITED ofthe all heart that we do. our residents should at be Weour services. believe that to give them avoice in shaping with children their and families residents. We want to work centper of Bridge Housing (under-18s) make 21 up Children young and people ANNUAL REPORT 2016 Orbit Spotlight 1: 4% 0-4 years of residents & Babies Toddlers people, was engaged to assist withimplementation ofthe initiative. a social planning agency withexperience inconsulting withyoung the event, along with14parents, from ten households. Cred Consulting, A total of19 BridgeHousing residents under the age of13attended future initiatives. aspirations, ideas about how we can improve our service delivery, and to gain direct feedback from children and their familiesontheir needs, Park inSurry Hills. The day was designed as afunand creative event The firstOrbitLaunch Pad was held on21 April 2016 at Prince Alfred Orbit Pad Launch people aged 13to 17. their familiesand OrbitSnapchat, aSnapchat project for young Launch Pad, anengagement day for primary school children and Orbit is aproject for kids and young peoplethat consists ofOrbit To that end, the BridgeHousing Community Team developed Orbit. Primary age kids 10% 5-12 years of residents

7% of residents Teenagers 13-17 years

encouraging participation. Young peopleaged 13 parents through apostcard, the website, and texts We targeted teenagers by first contacting their popular withyoung people. destruct afew seconds after being viewed. Itis very send videosand pictures, bothofwhich willself- Snapchat is amobile application that allows you to Housing through the OrbitSnapchat account. teenagers the opportunity to engage withBridge To complement OrbitLaunch Pad we gave Snapchat Orbit Executive Officer John Nicolades. competition, withhelp from the chiefjudge, Chief Minecraft build battles, and ajuniormaster chef part inactivities such as table tennis, tennis lessons, from all that attended. Children were able to take The day was agreat success withpositive feedback competition Chef Master Junior lessons; tennis event; Pad Launch Orbit the at attendees top: the from Clockwise Parent feedback from OrbitLaunch Pad and encouragement shown toustoday.’ highly enough of thefriendliness,support children feel very welcome. Icannot speak The staffinvolved today made myself and my their positive comments after. Itwas great!! wonderful tosee aswell ashearingallof me. Thelook of happiness ontheirfaces was and funenvironment meanstheworld to for my kidstoundertake activitiesinasafe ‘As asingle mum,havingtheopportunity Follow at us Orbit_Bridge! responded to anumber ofstories including: In the end eightteenagers gotinvolved and neighbourhood and homes. to 17 were invited to Snapchat withusabout their to opportunities. involved, orwhether they would like to belinked in services orprograms, how they would like to be ask engaged teenagers what they think about our our Snapchat site –including the opportunity to build onthis engagement withregular stories on Following onfrom the project, BridgeHousing will

Snaps from OrbitLaunch Pad Snaps from local icons, e.g. ElJannah inGranville what going to uniwas like Interviews withSydney University students about about their firstjob as a young person Interviews withyounger BridgeHousing staff Tour ofRedfern street art worst thing about my neighbourhood The bestthing about my neighbourhood/ the about my house The bestthing about my house/ the worst thing 11 SPOTLIGHT 1: ORBIT strong governance culture. wellspeaks to Bridge Housing’s asmoothbeen transition, which am pleased to that report it has Board and six as Chairman. I years on the Bridge Housing of Vicki Allen. Vicki spent eight following2015, the resignation elected chair in December December 2014 and was I joined Bridge Housing in Chairman of Bridge Housing. I present my as first report It is with great pleasure that 12 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Chairman’s Report Chairman Mark Turner and CEO John Nicolades completion inJuly 2016) and 38 nine at Ashfield (scheduled for completion of65homes at Bunya, property development withthe the end ofour first cycle of I’m delighted that we are nearing Housing willmeet. am confident the team at Bridge service delivery –achallenge I portfolio and expanding our opportunities for growing our (SAHF), provide significant and Affordable Housing Fund in NSW (FDSH) and the Social Directions for Social Housing the NSW Government’s Future significant initiatives such as by 2018.This, together withother properties, via organic growth, of achieving aportfolio of2,000 2015–18, which sets agrowth path launched its Strategic Plan role ofChair, BridgeHousing Shortly before Iassumed the example ofthis, and another is Our Hand Up Program is one Housing’s service innovation. Just as important is Bridge importance infuture years. which willbeofincreasing to achieve this end –albeit one and procurement is ameans and that property development will beour primary objective to our tenants is and always good quality housing services must remember that delivering sector is growing. However, we with government and the private Housing’s capacity to negotiate These activities show Bridge through the FDSH and SAHF. to secure further properties with private sector partners Bridge has submitted tenders 2016). Inaddition to this, for completion inNovember units at Parramatta (scheduled our innovative community building housing delivery. This would establish Bridge Housing’s diversity policy strategy Building Bridges, which a more even playing field between reflects our commitment to workplace secured the 2015 National Australasian community housing providers and the diversity on the Board and throughout Housing Institute Award for Leading state agencies. the organisation. Our target is to Tenant Engagement Practice. ensure representation of either gender The NSW Minister for Social Housing, on the board does not drop below The Hon. Brad Hazzard MLA, is to 40 per cent. At the time of writing, Policy Environment be congratulated for releasing the representation between male and long-awaited social housing policy. Our Operating Environment on page female directors is 57:43, respectively. 34 in this Annual Report provides a This policy is still subject to cabinet comprehensive analysis of the impact approval at the time of writing, but Transparency is central to our of current federal and state government importantly it contains the commitment governance culture, reputation and policy on the community housing sector. to transfer up to 23,000 properties to accountability to stakeholders, and At the federal level, green shoots are the community housing sector. The not only helps to build the credibility emerging with the establishment of the preferred option for Bridge Housing of Bridge Housing but also that of the Affordable Housing Working Group. It and the community housing sector is community housing sector. During is early days and is best described as a title transfer to community housing the year our transparency in external work in progress. It is important that all providers, as this will allow providers reporting was acknowledged by our sides of politics understand that the lack to manage properties more efficiently fourth Gold Award in the Australasian of affordable housing supply for low- and enable better borrowing terms from Reporting Awards for our Annual Report to-moderate-income households is not financial institutions to either undertake 2015. We were particularly honoured going away as a policy issue. Work on maintenance and/or redevelop social that, again, we were the only community taxation reform is important, but as the housing sites. Our next preference is housing provider to achieve a gold award. long-term leases, as this is critical if Grattan Institute has highlighted, this will It is an honour to be Chairman of a 4 community housing providers are to not lead to greater affordability . It may dynamic and growing organisation achieve the desired outcomes for current temper the rate at which housing prices and I would like to thank my fellow and future tenants. increase by removing the advantage Directors for their support and investors currently enjoy against home Under the NSW Government’s $1 billion acknowledge the considerable time buyers in the housing market. Social and Affordable Housing Fund and effort they have given on a The work of the Affordable Housing (SAHF) the lease period is 25 years. voluntary basis. In particular, I recognise Working Group has the potential to This recognises that in order to attract Vicki Allen’s contribution as Chair prove seminal, if it can be a catalyst for capital from financial institutions, secure between 2009 and 2015, overseeing the creation of a sustainable debt and/ long term leases are required to assist the tripling of the size of Bridge or equity model for funding housing for private sector infrastructure funds Housing, substantial organisational those in need. However this inevitably to access capital at scale. We would change, and management of the effect requires a form of subsidy from the seek policy consistency between the of changes in government policy. SAHF Program and proposed Property Australian Government to meet the This year Alan Revell also resigned Transfer Program. difference between the required returns from the Board and I thank him for and the rents that can be paid by low- As we note in Operating Environment contributing his extensive experience and-moderate income households. This on page 34, the Future Directions in property development and financing has always been the barrier to attracting initiatives and Social and Affordable to Bridge Housing. I welcome Grahame long term institutional investment for Housing Fund will only add 9,000 Monk who joined the Board in April social and affordable housing. The additional dwellings over ten years to 2016, and who brings deep corporate experience of the National Rental the affordable housing supply, yet at expertise in property, finance and Affordability Scheme (NRAS), despite its present there are 60,000 people on the accounting, replacing Alan on our difficulties and a short lifespan of only 10 social housing waiting lists. Affordability Finance, Risk and Audit Committee. years, shows what community housing in Sydney is declining and Sydney’s Thank you also to Pam Pryor and Clive providers can achieve. Bridge Housing’s population is expected to increase by 1.6 Matthews, who lead our vibrant and ability to undertake three developments million by 2030. To meet that, 664,000 engaged tenant advisory group. It has was dependent on NRAS and we have new dwellings, or 33,000 per annum, been a pleasure to work closely with secured 78 affordable housing properties must be built over that period. This is an Bridge Housing Chief Executive Officer, in perpetuity. inadequate policy response to meet the John Nicolades, and I thank John, his housing needs of people and families on We hope that we can see bipartisan leadership team and all Bridge Housing low-to-moderate incomes. agreement on this issue, which leads staff for their dedication in delivering to reform, a significant injection of this year’s results. funds, and a change in the policy Governance framework through the National We continually work to improve Bridge Affordable Housing Agreement Housing’s governance culture and (NAHA). NAHA has the potential to be practice. The quality and experience of a policy instrument to break the current directors and boards in the community monopolisation of Commonwealth and housing sector is a key issue for both state housing funding by state housing the sector and the NSW Government, authorities. This could be achieved if Mark Turner particularly when substantial assets state governments separate the roles of Chairman are being transferred to community

funding and developing social housing CHAIRMAN’S REPORT housing providers through and community housing policy from management agreements or vesting. 13 4 John Daley and Danielle Wood, ‘Hot property: negative gearing and capital gains tax’, Grattan Institute, 25 April 2016. www.grattan.edu.au/time-to-fix- australias-unaffordable-capital-gains-tax-and-negative-gearing-policies/ 14 BRIDGE HOUSING LIMITED and Affordable Housing Fund. Future Directions and the Social growth opportunities through capacity to take advantage of the andportfolio building our property diverse our maintaining program and service innovation, delivering activities, building community its expanding financially manner, prudent operatingtenders, in a through NSW Government developmentproperty pipeline developments, securing a social and affordable property completing our first two substantiallyPlan 2015–18, the first year of our Strategic Bridge Housing delivered on ANNUAL REPORT 2016 of 2,000properties by 2018, will we meet our growth target we can project that not only section onpage 34.This means the Operating Environment Fund, which are detailed in Social and Affordable Housing Social Housing inNSW and the strategy, Future Directions for its long awaited social housing by the NSW Government with policy announcements made advantage ofthe significant our business. We also took and expertise as akey part of property development capacity program and the expansion of in our property development Bridge Housing, withprogress 2015–16 was asuccessful year for I amdelighted to report that Strategic growth portfolio Officer’sReport Executive Chief following initiatives: to grow our portfolio through the As noted above, we willcontinue by the planning approval process. schedule, despite being delayed more than four years ahead of our NBESP leverage target means we willhave delivered affordable housing portfolio 112 properties to our social and Parramatta. The addition ofthese 38-unit dwelling inCollett Parade, apartments inAshfield and our at Bungarribee; nine studio UrbanGrowth Bunya estate 65 affordable dwellings inthe three property developments; the way to completing its first Bridge Housing is well on properties beyond 2018. but we willdeliver further

50 units by 2016–17. We anticipate this willgrow to housing program from 11to 24. Authority (SOPA) affordable a Sydney Olympic Park properties we manage in increasing the number of November 2016 properties willbeknown by Tender for the delivery of750 outcomes of the Request for Plenary Consortium. The four other providers inthe process, through joining with Fund expression ofinterest Social and Affordable Housing we were successful inthe housing dwellings by early 2019 social, affordable and private will deliver amixofat least 100 successful tender, where we site inSeven Hills through a securing aCommunities Plus this project have commenced private housing. Civil works on that willinclude affordable and 2018, onamixed tenure site housing dwellings by June which willdeliver 158social progressing Cowper StGlebe, venture withWaverley Council in Randwick through ajoint units for affordable housing purchasing four 2-bedroom

Service Leadership Group customer service. OurCustomer embedding and improving our We continued to focus on Operations Report onpage 60. are reported indetail inthe strategy. The results ofthe survey our tenant communications the information to inform rate and are currently analysing received a47 percent response how tenants use social media. We communications survey to assess year, we undertook atenant surveys inthe alternate incorporate more focused satisfaction surveys, and from annual to biennial tenant Following adecision to move our employee opinionsurvey. cross-unit coordination shown in the increase insatisfaction in our maintenance services, and satisfaction of90percent with both the highlevel oftenant delivery. This is reflected in and maintenance service no disruption to our housing and has beencompleted with amalgamation went smoothly increase our efficiency. The cross-team collaboration and to improve customer service, stream, Operations. The aimwas into one service management Maintenance functions together Housing Services and Asset organisation to bring our a major restructure ofour In May last year we effected Future Directions. the challenge established by the way to meeting orexceeding quality service delivery, is well on developing and maintaining high Housing, through its focus on pleased to report that Bridge to building communities. Iam approach making place a and maintenance, improved amenity, providers oncustomer service, which increases the focus of social housing experience, Directions strategy is abetter the NSW Government’s Future One ofthe key components of Services High-quality provides an excellent forum to During 2015–16, Bridge Housing increase our engagement and spent $2,645,678 on maintenance. develop standards for online This consisted of planned customer services. maintenance to the value of $655,250 on 96 properties; In September 2015, I was proud to responsive maintenance to launch our online rent statement, the value of $891,699 on 3,697 which gives our tenants online work orders; and cyclical access to statements of their maintenance services to the rent, water and maintenance value of $1,098,7925. Our focus payments. We are the first on maintenance means that community housing provider in 96 per cent of properties met Australia with this service. or exceeded the state housing I am exceptionally proud of our authority’s asset standards, service innovation in our unique compared to the national Hand Up program. It enables benchmark of 70 per cent. tenants facing eviction because Internal customer surveys of significant amounts of unpaid have shown that over 90 per rent to save their tenancy and cent of tenants are satisfied get their lives back on track by with the maintenance services ‘repaying’ their rental arrears provided by Bridge Housing. through alternative means, To prepare ourselves for including by enrolling in study, significant portfolio growth volunteering in the community, through the property transfer or undertaking treatment to program announced in Future address their underlying issues. Directions, we implemented Building Bridges, our three-year our new head contractor regime CEO John Nicolades community-building strategy for repairs and maintenance moved into its second year, services. After a competitive arrears fell from 1.9 per cent in and a comprehensive report tender process, SR Constructions 2014–15, to 1.3 per cent this year – on activities is available in our was awarded our West area an improvement for us and well Operations Report on page 60. contract and Asset Services was below the Regulator’s benchmark Highlights include our Streets awarded our East area contract. of 2.5 per cent. Ahead program, which supports Both contracts went live in In 2015–16, our voids were 27 tenants to improve their access February 2016. Separate contracts days, just below the industry’s to education, work experience for ground maintenance and benchmark of 28 days. Vacancies and employment opportunities. fire safety programs are also were 17 days, slightly above This includes our Orbit Launch under tender to be finalised the industry benchmark of 14 Pad and Snapchat program in the next financial year. days. Although these results for children and young people are in line with last year, we are and information sessions with Business Sustainability working to improve them. Staff employment and training costs increased as we recruited services for tenants. The other This year we produced an employees with the skills to build highlight was the Kids and operating EBITDA of $1.1m. our capacity and manage the Family Day in April. I was Our net profit showed a loss risks of portfolio growth through delighted when our Community of $2.5m after recognition of a the Property Transfer Program Team won the Australasian $2.3m loss as a result of mark outlined in Future Directions. Leading Tenant Engagement to market fair value adjustment Practice Award for Building on our interest rate swap6. Our With the commencement of Bridges at the 2015 Australasian Financial Summary on page 84 our property development Housing Institute Awards for and Financial Report 2015-16 program we began drawing on Professional Excellence. provide further details of our our NAB corporate debt facility. positive financial performance. We also negotiated an increase Maintenance Our non-current assets increased of the facility from $18m to by $4 million, from $101 million as $25m to fund the Parramatta Bridge Housing has a diverse at June 2015 to $105m as at June development. We met all banking portfolio of 1,767 properties, 30 2016. This increase is primarily covenants during 2015–16. per cent of which are between a result of the increased value of 50 and 100 years old. We place Our Five-Year Report Card on our property portfolio. great importance on maintaining page 86 and financial summaries our properties to provide Bridge Housing’s major provide further information. good-quality homes for present source of income is rent from and future tenants, reduce our our properties so effective future maintenance liability management of arrears, voids and ensure our properties and vacancy turnaround times meet regulatory standards. is critical to our success. Our CHIEF EXECUTIVE REPORT OFFICER’S

5 Our major cyclical maintenance works included cleaning, lawns and grounds maintenance, fire safety, technical scoping and termite/pest control, with 15 smaller amounts spent on lift safety, roof and gutter repairs, and hydraulic services programs. 6 Bridge Housing has a $25m debt facility with NAB, with a term of five years. To protect the company against possible interest-rate fluctuations we have hedged a proportion of the debt for 10 years to mitigate this risk and to take advantage of the current low cost of long-term funds. completed in2015–16, focused on internal audit plan. Year 1ofthe plan, PKF to undertake athree-year internal audit program we appointed After calling for new tenders for our risk management strategy. provides acomprehensive review ofour Corporate Services Report onpage 76 financed by debt.Our Finance and we move into property development This is becoming more important as financing scenarios intheir own right. acquisitions and developments, and of proposed and actual property tool, enabling usto test the impact continues to beanimportant planning a key part ofour risk management. It Our 20-year financial forecast model is we were meeting our banking covenants. development projects and ensuring that managing the payments for our three Plan, and this year our focus was on risks and update our Risk Management We actively review and manage our Risk Management and planned for delivery in2016–17. management system is underway of our electronic document records with our tenants. The implementation as amajor communication channel also enhance our ability to use SMS facility inplace in2016–17. This will with asupplier and expect to have this staff. We are currently negotiating mobile technology platform for our including the implementation ofa other initiatives are stillunderway, monthly rent reviews. Anumber of the time taken to complete our six- module that willsignificantly reduce implemented anew rent calculation SDM, to the latest version and upgraded our integrated ITplatform, technology (ICT) platform. We information and communication improving the capacity ofour During 2015–16, we focused on Building capacity our ICT

16 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Report onpage 78. Corporate Services in the Finance and our internal audit is detailed report on and debtfunding. A forecasting, modelling financial reporting, 123 in June 2015.InJuly 2015we have increased by 330to 450 from or activities. OurTwitter followers longer articlesonour initiatives and LinkedIn and Facebook for housing policy articlesorresearch, Bridge Housing initiatives, relevant YouTube. We use Twitter alerts for LinkedIn, Facebook, Twitter and integrate our messaging across strategy inMay 2015and we now We implemented our social media Bridges initiatives. statement and updates onour Building new capability such as the online rent and refresh the website, introducing year we have continued to update and rebuilt itinMarch 2015.Over this communication tools and we redesigned 2015–16. Ourwebsite is one ofour key tenants and other stakeholders during critical role inour engagement with communication continued to play a Digital and other forms of Increasing Profile Our and the needs ofour employees. domestic violence services response Accreditation, as part ofreviewing our through seeking White Ribbon against violence against women added its voice to the campaign I’m proud that BridgeHousing has on our initiatives and the EOS. provides acomprehensive report The OurPeople section onpage 46 handling and recruitment and selection. in cross-unit cooperation, grievance achieved significant improvements and organisational direction, and key business drivers ofmission, values above the industry average) for the more than 90percent (significantly turnover increased. However, we scored our small organisation and our staff the lack ofcareer opportunities in to stay’ scores are falling, owing to sector. This year we noted ‘intention of the community and the healthcare compare our performance with that human resources improvements and (EOS) to measure the effect ofour annual Employee OpinionSurvey Since 2011,we have conducted an development opportunities. processes, and providing learning and culture, improving our systems and on developing apositive workplace We place considerable emphasis that drive BridgeHousing’s success. it is their commitment, energy, and ideas Our employees are our key resource and Developing People Our challenges associated withchange. residents and service partners for the and support staff, our organisation, clear streams ofwork to prepare the organisation and identifying the potential impact ofgrowth on Fit for Growth Strategy, unpacking is planning for the future withour grasp the opportunity. BridgeHousing Our challenge is to beprepared to opportunity and achallenge. property portfolio, which is bothan Housing may double ortriple our community housing sector. Bridge sector, willbeaseismic change to the properties to the community housing up to 35percent ofall social housing which willmove 23,000 properties and risk. The Property Transfer program, also expose providers to greater market and grow incrementally, although they build capacity inproperty development provides opportunities for providers to housing providers. Communities Plus surety for growth for community Directions and SAHF provide greater The NSW Government’s Future Looking to theFuture Australasian Housing Institute. PowerHousing Australia and the Federation ofHousing Associations, subcommittees ofthe NSW to actively participate invarious My general managers continue for community housing organisations. develop anational presence and agenda provider industry, to ensure that we of the national community housing Industry Association, the peak body the Board ofthe Community Housing industry and policy forums. Ijoined play akey role incommunity housing remain onthe Board, and continue to housing provider industry group. I Associations, the state community of the NSW Federation ofHousing In June 2016,Iresigned as Chairperson social media. to increase their usage ofthe web and determine the most effective strategies Communication Survey results to and are working through the Tenant media connects withour tenants also seeking to ensure that social and our use ofsocial media. We are about the website improvements 2016, and received positive comments we consulted key stakeholders inApril To assess the impact ofthese initiatives new programs and governance. focusing onproperty procurement, corporate e-newsletter, witharticles launched BridgeBusiness, aquarterly I look forward to leading the skilled and dedicated Bridge Housing team through this Communications Plan process, and to working with my highly competent and skilled Board, to ensure Digital and other forms of communication were critical in our engagement with Bridge Housing continues tenants and other stakeholders during 2015–16. Highlights of the year included: to be a leading not-for-profit Launch of the Bridge Business Supporting key events with social provider of quality affordable e-newsletter to keep government, media, media relations and website housing and delivers on our corporate and support partners content – new housing developments mission to improve lives and informed of our business activities on a at Parramatta and Bungarribee, the strengthen communities quarterly basis launch of Hand Up, and Songlines through providing housing tenant art exhibition and services for low-to- Revamp and renaming of the quarterly moderate income households. tenant newsletter as Our Place Tenant Communication Survey, to Launch of the website tenant portal which 835 tenants responded. We where tenants can view their rent, are analysing and will respond to maintenance and water statements the findings with communication online whenever they wish approaches in the coming year Developing our social media presence Engagement with young tenants via the Orbit project, as they used John Nicolades via Twitter, LinkedIn and Facebook Snapchat to view live stories and Chief Executive Officer to share achievements, engage with stakeholders and provide thought photos, and post from around their leadership on social and affordable neighbourhoods. housing. Our Twitter followers increased from 123 in June 2015 to 450 June 2016

Bridge Website - Average Monthly Traffic

74.7% SYDNEY BASED NEW VS 62.2% PC DEVICES RETURNING 37.8% SMART 91.9% VS PHONE VISITORS ENGLISH-SPEAKING MOBILE & TABLET 69.1% vs 30.9%

TOP EXTERNAL LINK: AVERAGE UNIQUE MALE 54% WWW.HOUSING.NSW.GOV.AU VISITORS PER MONTH VS FEMALE 46%

TOP DOCUMENT % AGE 34 AVERAGE UNIQUE DOWNLOAD: 61 YEARS OR UNDER 2,034 PAGE VIEWS PER MONTH ANNUAL MOST POPULAR PAGES: APPLY FOR A HOME, 2015 REPORT AFFORDABLE HOUSING, CONTACT US 9,855 Bridge Business FOLLOWERS: 450 corporate e-newsletter 270% Increase from June 15 to June 16 AVERAGE No. AVERAGE % OPENS: AVERAGE TOP LINKS: RECIPIENTS MEET THE PER ISSUE: 38.3% 18.1% MANAGEMENT TEAM CLICK THROUGH RATE 22.8% average for NFPs – 22.8% average for NFPs – & Mailchimp Survey Mailchimp Survey MEET THE DIRECTORS CHIEF EXECUTIVE REPORT OFFICER’S 1,039 by Industry April 2016* by Industry April 2016* ON BRIDGE HOUSING WEBSITE 17

* http://mailchimp.com/resources/research/email-marketing-benchmarks/ 18 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 1.  1. factors success Critical portfolio portfolio Grow our Our Performance Our service provision housing supply orexpand scale, increase affordable deliver economies of Consider mergers to improve tenant outcomes transfer program and through any property Secure properties provision and enhance service housing portfolio increase our affordable complementary areas to service provision in Explore expansion of renewal areas opportunities inurban affordable housing Seek and secure housing supply ofaffordable solutions to expand the Explore innovative housing supply commitments to increase development affordable housing Deliver existing Goal Target measure) (performance new affordable housing dwellings Work inpartnership withWaverley Council to deliver six Homebush Transfer and tenant 19 new SOPA properties at participate indesignand delivery Finalise Cowper Street, Glebenegotiations and Complete and tenant nine new dwellings at Ashfield Complete and tenant 38new dwellings at Parramatta Bungarribee Complete and tenant 65new dwellings at Bunya Estate, opportunities that meet strategic objectives Undertake due diligence to identifyprospective merger positioned to pursue property transfer opportunities Undertake scenario planning to ensure organisation is housing and service expansion Review ofNDISto determine opportunities for affordable opportunities Proactively identifyand expand fee-for-service enhance affordable housing supply Engage withidentified councils to build relationships to Precinct, Eveleigh to Central Influence urban renewal opportunities, for example Bays affordable housing shared orprivate equity) to increase the supply of Investigate different funding mechanisms (eg bonds, Infrastructure Fund Pursue opportunities from the $1bAffordable Housing model that recycles the balance sheet Develop asustainable and innovative development Initiative Pursue opportunities from the Premier’s Innovation Status What we achieved stage for growth, withlittle interest inamalgamations at this All providers assessing potential ofFuture Directions 14 page property transfer opportunities. See CEO Report on Plan to ready the company to successfully tender for Scenario planning is now part ofour Fit for Growth Position paper under development Government has now released housing pricing paper. Action Plan developed. The Commonwealth proposal for anew not-for-profit business stream significant health issues. Bridge Housing scopeda Original project was put onhold as philanthropist has policy, and successful withCanada Bay tender Assisting Parramatta Council with affordable housing future redevelopment ofthe precinct Attended the Bays Precinct openforum to discuss Housing Associations and willbepursued in2016–17 Strategy being developed by the NSW Federation of Consortium. See Operating Environment onpage 34 Successful EOI submitted as part ofthe Plenary developments. See Development Report onpage 70 Plus tender which seeks to develop mixed tenure Incorporated inour strategy for Communities Affordable Housing Fund submitted proposals. Program rolled into Social and Premiers Innovation Initiative did not fund any Randwick. See Development Report onpage 70 Four 2-bedroom units acquired at 8Roberts Rd Operations Report on page 60 Properties under management increased to 24. See Development Report onpage 70 selection ofbuilder and designprocess. See We are participating inthe Project Control Group, Spotlight 2onpage 32 Project completed and tenants inoccupation. See 2016. See Development Report onpage 70 Project delayed. Forecast to becompleted November 6 onpage 74 at Land and Property Information (LPI).See Spotlight All dwellings completed –waiting onfinal registration objectives merger opportunities that meet strategic Continue to consider any prospective Implement Fit for Growth action plan to NDISparticipation Finalise BridgeHousing’s strategic approach stream Implement new not-for-profit business amalgamations inNSW Re-engage withcouncils following council in our operating region Maintain oversight ofurban renewal projects Aggregator Model to develop and promote the Financial Continue to work withthe Federation August 2016 Request for Tender to besubmitted by end Submissions to Communities Plus tenders Premiers Innovation Initiative was cancelled Land and Housing Corporation Groups and finalise Deedof Agreement with Continue to participate inProject Control dwellings by 30November 2016 Complete construction and tenant all 38 by 30September 2016 Finalise registration and tenant all dwellings Aims for 2016–17 In 2015–16, Bridge Housing completed the first year of our In 2015–16, we completed 60 per cent of the goals against Strategic Plan 2015–18, effected via our annual Business Plans. a very ambitious agenda to prepare the organisation for Our Business Plan 2015–16 is summarised in the table below, large-scale growth. This work continues into 2016–17 with which shows our critical success factors, goals, performance a further 20 per cent of these goals well advanced at the targets and achievements. The table also shows what we aim end of the reporting period and due for delivery in the first to achieve in 2016–17 in relation to these particular items. quarter of 2016–17.

Key: completed in progress delayed

Critical success Goal Target (performance measure) Status What we achieved Aims for 2016–17 factors

1. Grow our Deliver existing Complete and tenant 65 new dwellings at Bunya Estate, All dwellings completed – waiting on final registration Finalise registration and tenant all dwellings portfolio affordable housing Bungarribee at Land and Property Information (LPI). See Spotlight by 30 September 2016 development 6 on page 74 commitments to increase Complete and tenant 38 new dwellings at Parramatta Project delayed. Forecast to be completed November Complete construction and tenant all 38 housing supply 2016. See Development Report on page 70 dwellings by 30 November 2016 Complete and tenant nine new dwellings at Ashfield Project completed and tenants in occupation. See Spotlight 2 on page 32 Finalise Cowper Street, Glebe negotiations and We are participating in the Project Control Group, Continue to participate in Project Control participate in design and delivery selection of builder and design process. See Groups and finalise Deed of Agreement with Development Report on page 70 Land and Housing Corporation Transfer and tenant 19 new SOPA properties at Properties under management increased to 24. See Homebush Operations Report on page 60 Work in partnership with Waverley Council to deliver six Four 2-bedroom units acquired at 8 Roberts Rd new affordable housing dwellings Randwick. See Development Report on page 70 Explore innovative Pursue opportunities from the Premier’s Innovation Premiers Innovation Initiative did not fund any Premiers Innovation Initiative was cancelled solutions to expand the Initiative submitted proposals. Program rolled into Social and supply of affordable Affordable Housing Fund housing Develop a sustainable and innovative development Incorporated in our strategy for Communities Submissions to Communities Plus tenders model that recycles the balance sheet Plus tender which seeks to develop mixed tenure developments. See Development Report on page 70 Pursue opportunities from the $1b Affordable Housing Successful EOI submitted as part of the Plenary Request for Tender to be submitted by end Infrastructure Fund Consortium. See Operating Environment on page 34 August 2016 Investigate different funding mechanisms (eg bonds, Strategy being developed by the NSW Federation of Continue to work with the Federation shared or private equity) to increase the supply of Housing Associations and will be pursued in 2016–17 to develop and promote the Financial affordable housing Aggregator Model Seek and secure Influence urban renewal opportunities, for example Bays Attended the Bays Precinct open forum to discuss Maintain oversight of urban renewal projects affordable housing Precinct, Eveleigh to Central future redevelopment of the precinct in our operating region opportunities in urban Engage with identified councils to build relationships to Assisting Parramatta Council with affordable housing Re-engage with councils following council renewal areas enhance affordable housing supply policy, and successful with Canada Bay tender amalgamations in NSW Explore expansion of Proactively identify and expand fee-for-service Original project was put on hold as philanthropist has Implement new not-for-profit business service provision in opportunities significant health issues. Bridge Housing scoped a stream complementary areas to proposal for a new not-for-profit business stream increase our affordable Review of NDIS to determine opportunities for affordable Action Plan developed. The Commonwealth Finalise Bridge Housing’s strategic approach housing portfolio housing and service expansion Government has now released housing pricing paper. to NDIS participation and enhance service Position paper under development provision Secure properties Undertake scenario planning to ensure organisation is Scenario planning is now part of our Fit for Growth Implement Fit for Growth action plan through any property positioned to pursue property transfer opportunities Plan to ready the company to successfully tender for transfer program and property transfer opportunities. See CEO Report on improve tenant outcomes page 14 Consider mergers to Undertake due diligence to identify prospective merger All providers assessing potential of Future Directions Continue to consider any prospective deliver economies of opportunities that meet strategic objectives for growth, with little interest in amalgamations at this merger opportunities that meet strategic scale, increase affordable stage objectives PERFORMANCE OUR housing supply or expand 19 service provision 20 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 2.  2. factors success Critical residents toservices our and homes Deliver quality services they need to connect tenants to the Increase opportunities need standard and meet tenant our properties are at asset services to ensure Deliver highquality management services applicant and tenancy Deliver quality, proactive business culture across our Drive acustomer service communities work to strengthen local Engage our residents and Goal Target measure) (performance service delivery improvement Service benchmarking results to determine actions for Analyse the 2014–15 Tenant Survey and Customer outcomes for the tenant community resourcing for tenants that want to work to improve Implement the BigIdeas Grants Program to provide diverse tenant community to celebrate and strengthen the connections across our Implement the BridgeHousing inCommunities initiative housing tenants asay inthe provision and maintenance oftheir Implement the OurPlace Green Space initiative to give sense ofsafety and belonging inthe community positive neighbourhood relations through animproved Implement the GoodNeighbours Project to encourage improved economic outcomes for our community tenants through our new maintenance contracts to drive Employment ofdisadvantaged groups including across the inner city to provide ahousing first approach for homeless people Implement the NSW Government Connect 100initiative for our tenants improved environmental sustainability and lower costs features inBridgeHousing properties to support Participate inthe NSW pilotto retrofit energy saving to drive quality service delivery Establish anauditing regime withmaintenance providers service delivery support clear, transparent decision making and quality Develop arange ofnew Asset Policies and Procedures to needs maintained at standard, withinbudget, and meet tenant and planned maintenance services so that our homes are Implement new maintenance contract for responsive reduce tenant debt to address the underlying causes oftheir arrears to implementation review to provide anavenue for tenants Implement Hand-Up pilotand complete post service delivery to support clear, transparent decision making and quality Develop arange ofnew Housing Policies and Procedures fairness, respect and sensitivity organisation to ensure our services are delivered with Embed the Customer Service Standards across the Bridge Housing is responding to customer feedback Review our benchmarking approach to ensure that Status What we achieved from FACS. See Operations Report onpage 60 Fourteen tenants housed. Awaiting further referral solar panels onNBESP sites Following review ofcosts, decision made not to install Review started Review started Spotlight 5onpage 68 New contracts went live on2February 2016. See Operations Report on page 60 participants. Evaluation methodology developed. See Guidelines developed and launched. Seven be rolled out across 2016–17 Policies finalised through Policy User Group and will held. See Operations Report onpage 60 Face-to-face refresher training oncustomer service of how tenants use social media completed tenants raised inthe survey onalternate years. Survey survey/workshop to explore important areas for Tenant survey willnow beheld biennially. Smaller Operations Report on page 60 Workshop onthe results held withtenants. See Centre). See Operations Report onpage 60 project (inpartnership withCliffNoble Community Camperdown foyer beautification and poetry mapping Club, Sewing Club, South Coogee Gathering Space, Five projects funded to date –Saturday Morning Art Operations Report onpage 60 2016 NAIDOC Week, Mental Health Week. See including Anti-Poverty Week, 2015Harmony Day, Involvement inarange ofcommunity activities review Draft designguidelines paper developed and under Operations Report onpage 60 Two workshops delivered and evaluated. See contract under this item. See Spotlight 5onpage 68 to finalise approach for repairs and maintenance contracts. Contractors now returning withproposals Clauses included inall new maintenance head for new maintenance contracts Finalise and implement new audit regime Procedures Finalise review ofAsset Policies and maintenance contract Monitor and evaluate implementation ofthe Evaluate effectiveness ofHand Up pilot Ongoing policy review and development and embedded inPDPprocess for 2016–17 Online Customer Service Guide developed survey Review outcome oftenant social media Conduct biennial tenant survey initiative engagement withTenants Talk Design Finalise designguidelines and continue Two workshops to beheld in2016–17 contracts Finalise employment under maintenance Aims for 2016–17 Key: completed in progress delayed

Critical success Goal Target (performance measure) Status What we achieved Aims for 2016–17 factors

2. Deliver quality Engage our residents and Employment of disadvantaged groups including Clauses included in all new maintenance head Finalise employment under maintenance homes and work to strengthen local tenants through our new maintenance contracts to drive contracts. Contractors now returning with proposals contracts communities improved economic outcomes for our community to finalise approach for repairs and maintenance services to our contract under this item. See Spotlight 5 on page 68 residents Implement the Good Neighbours Project to encourage Two workshops delivered and evaluated. See Two workshops to be held in 2016–17 positive neighbourhood relations through an improved Operations Report on page 60 sense of safety and belonging in the community

Implement the Our Place Green Space initiative to give Draft design guidelines paper developed and under Finalise design guidelines and continue tenants a say in the provision and maintenance of their review engagement with Tenants Talk Design housing initiative

Implement the Bridge Housing in Communities initiative Involvement in a range of community activities to celebrate and strengthen the connections across our including Anti-Poverty Week, 2015 Harmony Day, diverse tenant community 2016 NAIDOC Week, Mental Health Week. See Operations Report on page 60

Implement the Big Ideas Grants Program to provide Five projects funded to date – Saturday Morning Art resourcing for tenants that want to work to improve Club, Sewing Club, South Coogee Gathering Space, outcomes for the tenant community Camperdown foyer beautification and poetry mapping project (in partnership with Cliff Noble Community Centre). See Operations Report on page 60 Drive a customer service Analyse the 2014–15 Tenant Survey and Customer Workshop on the results held with tenants. See Conduct biennial tenant survey culture across our Service benchmarking results to determine actions for Operations Report on page 60 business service delivery improvement Review our benchmarking approach to ensure that Tenant survey will now be held biennially. Smaller Review outcome of tenant social media Bridge Housing is responding to customer feedback survey/workshop to explore important areas for survey tenants raised in the survey on alternate years. Survey of how tenants use social media completed

Embed the Customer Service Standards across the Face-to-face refresher training on customer service Online Customer Service Guide developed organisation to ensure our services are delivered with held. See Operations Report on page 60 and embedded in PDP process for 2016–17 fairness, respect and sensitivity Deliver quality, proactive Develop a range of new Housing Policies and Procedures Policies finalised through Policy User Group and will Ongoing policy review and development applicant and tenancy to support clear, transparent decision making and quality be rolled out across 2016–17 management services service delivery Implement Hand-Up pilot and complete post Guidelines developed and launched. Seven Evaluate effectiveness of Hand Up pilot implementation review to provide an avenue for tenants participants. Evaluation methodology developed. See to address the underlying causes of their arrears to Operations Report on page 60 reduce tenant debt Deliver high quality Implement new maintenance contract for responsive New contracts went live on 2 February 2016. See Monitor and evaluate implementation of the asset services to ensure and planned maintenance services so that our homes are Spotlight 5 on page 68 maintenance contract our properties are at maintained at standard, within budget, and meet tenant standard and meet tenant needs need Develop a range of new Asset Policies and Procedures to Review started Finalise review of Asset Policies and support clear, transparent decision making and quality Procedures service delivery

Establish an auditing regime with maintenance providers Review started Finalise and implement new audit regime to drive quality service delivery for new maintenance contracts

Participate in the NSW pilot to retrofit energy saving Following review of costs, decision made not to install features in Bridge Housing properties to support solar panels on NBESP sites improved environmental sustainability and lower costs for our tenants

Increase opportunities Implement the NSW Government Connect 100 initiative Fourteen tenants housed. Awaiting further referral PERFORMANCE OUR to connect tenants to the to provide a housing first approach for homeless people from FACS. See Operations Report on page 60 21 services they need across the inner city 22 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 3. 3.  2. factors success Critical governance Effective (continued) our residents toservices and homes Deliver quality community outcomes business and enhance sustainability ofthe delivery to support the impact ofour service to measure the social Develop aframework associated reporting Plan, Business Plan and between the Strategic Maintain alignment responsibilities compliance and Meet our regulatory management and organisational corporate governance Maintain strong (continued) the services they need to connect tenants to Increase opportunities Goal Target measure) (performance Recommendations align to ASX Corporate Governance Principles and governance meets bestpractice and continues to Undertake internal review to ensure our corporate and tenants community building initiatives that support applicants Homelessness Hub to improve service coordination and establishment ofanInner City Housing and Complete abackground paper examining the community services isolation oftenants and improve connections with Implement the Local Links Initiative to reduce social and employment opportunities to improve their access to education, work experience Implement the Streets Ahead Initiative to support tenants and complex needs tenants business processes inplace to sustain tenancies for high to ensure BridgeHousing has strong procedures and Implement the outcomes ofthe Support Partners Review social impact measures framework for BridgeHousing Review and analyse the Net Balance Report to develop a place robust business planning and reporting processes are in Business Plan 2016–17 is approved by the Board and compliance Establish aframework, policiesand procedures for NRAS compliance obligations ofthe organisation are met Engage appropriate and sufficient resources to ensure the Maintain NRSTier 1registration papers Review costs/benefits ofimplementing electronic board requirements procedures to ensure ongoing relevance to organisational Undertake annual review ofcorporate policy and organisational efficiency and control Review Schedule ofDelegations to improve Establish three-year Internal Audit Program 2016–2018 Status What we achieved Framework incorporate the NSW FHAand FACS Outcomes Initial framing work completed. Deferred to Presented and approved at June Board meeting Framework and procedures put inplace Review completed and compliance officer appointed Report onpage 76 January 2016. See Finance and Corporate Services confirmation ofongoing registration received in Submission lodgedinDecember 2015and 2016 board meeting Review completed and to bepresented to August approved Policy compliance schedule reviewed, developed and approved Schedule ofDelegations reviewed, revised and Governance onpage 54 New internal auditor appointed inDecember. See Our 2016–17 a part ofthe next Board review to becompeted inQ2, A couple ofrecommendations are to beconsidered as relocation ofoffice accommodation Completed –future development dependent on development. See Operations Report onpage 60 place. New reporting underway and policy under Service Level Agreements withsupport partners in successful, willbeextended in2016–17. Majority of Pilot ofHousing Support Specialist role proved

inter-agencies Operations staff attending appropriate community initiatives project and are assisting withBuilding Bridges Eight councils have beenengaged inthe local links On site financial counselling established developed Home visit –Tenant Wellbeing Check form Work Experience and Volunteer Policy drafted completed. See Spotlight 1onpage 10 Orbit Launch Pad and OrbitSnapchat project and FACS policy directions business inalignment withsector framework Develop anoutcomes framework for the effectively communicated to stakeholders Business Plan 2017–18 is approved and reporting and compliance requirements Ensure ongoing adherence to NRAS National Regulatory System Maintain Tier 1registration under the Implement electronic board papers policies Undertake review ofselected corporate for Growth recommendations Review financial delegations to support Fit audit program Undertake Year 2ofthe three-year internal undertaken An independent Board review to be procedure Finalise supported housing policy and government, and link tenants in with local service providers and local Continue to build strong relationships Policy Launch Work Experience and Volunteer Aims for 2016–17 Key: completed in progress delayed

Critical success Goal Target (performance measure) Status What we achieved Aims for 2016–17 factors

2. Deliver quality Increase opportunities Implement the outcomes of the Support Partners Review Pilot of Housing Support Specialist role proved Finalise supported housing policy and homes and to connect tenants to to ensure Bridge Housing has strong procedures and successful, will be extended in 2016–17. Majority of procedure business processes in place to sustain tenancies for high Service Level Agreements with support partners in services to the services they need (continued) and complex needs tenants place. New reporting underway and policy under our residents development. See Operations Report on page 60 (continued) Implement the Streets Ahead Initiative to support tenants Orbit Launch Pad and Orbit Snapchat project Launch Work Experience and Volunteer to improve their access to education, work experience completed. See Spotlight 1 on page 10 Policy and employment opportunities Work Experience and Volunteer Policy drafted Implement the Local Links Initiative to reduce social Home visit – Tenant Wellbeing Check form Continue to build strong relationships isolation of tenants and improve connections with developed with local service providers and local community services On site financial counselling established government, and link tenants in Eight councils have been engaged in the local links project and are assisting with Building Bridges initiatives Operations staff attending appropriate community inter-agencies Complete a background paper examining the Completed – future development dependent on establishment of an Inner City Housing and relocation of office accommodation Homelessness Hub to improve service coordination and community building initiatives that support applicants and tenants 3. Effective Maintain strong Undertake internal review to ensure our corporate A couple of recommendations are to be considered as An independent Board review to be governance corporate governance governance meets best practice and continues to a part of the next Board review to be competed in Q2, undertaken and organisational align to ASX Corporate Governance Principles and 2016–17 management Recommendations Establish three-year Internal Audit Program 2016–2018 New internal auditor appointed in December. See Our Undertake Year 2 of the three-year internal Governance on page 54 audit program Review Schedule of Delegations to improve Schedule of Delegations reviewed, revised and Review financial delegations to support Fit organisational efficiency and control approved for Growth recommendations Undertake annual review of corporate policy and Policy compliance schedule reviewed, developed and Undertake review of selected corporate procedures to ensure ongoing relevance to organisational approved policies requirements Review costs/benefits of implementing electronic board Review completed and to be presented to August Implement electronic board papers papers 2016 board meeting Meet our regulatory Maintain NRS Tier 1 registration Submission lodged in December 2015 and Maintain Tier 1 registration under the and compliance confirmation of ongoing registration received in National Regulatory System responsibilities January 2016. See Finance and Corporate Services Report on page 76 Engage appropriate and sufficient resources to ensure the Review completed and compliance officer appointed compliance obligations of the organisation are met Establish a framework, policies and procedures for NRAS Framework and procedures put in place Ensure ongoing adherence to NRAS compliance reporting and compliance requirements Maintain alignment Business Plan 2016–17 is approved by the Board and Presented and approved at June Board meeting Business Plan 2017–18 is approved and between the Strategic robust business planning and reporting processes are in effectively communicated to stakeholders Plan, Business Plan and place associated reporting Develop a framework Review and analyse the Net Balance Report to develop a Initial framing work completed. Deferred to Develop an outcomes framework for the to measure the social social impact measures framework for Bridge Housing incorporate the NSW FHA and FACS Outcomes business in alignment with sector framework impact of our service Framework and FACS policy directions delivery to support the sustainability of the PERFORMANCE OUR business and enhance 23 community outcomes 24 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 5. 5. 4. 3. factors success Critical sustainability Business (continued) governance Effective our people our Develop and retain quality staff Attract, recognise, reward objectives to support strategic and roles are inplace organisational structure Ensure the right practices risk management improvement to strategic Undertake ongoing performance and organisational support customer service technologies that Implement and embed asset management whole-of-life approach to Continue astrategic operational performance management and Maintain strong financial operations and planning have areal say inour tenants to ensure they Work closely withthe Goal Target measure) (performance our tenants and is financially sustainable ensure the portfolio provides safe and secure housing for Leasehold Program (CHLP) management policy to Develop anaction plan for Community Housing is stillfit for purpose Update the Strategic Asset Management Plan to ensure it usability Enhance the 20year forecasting model to improve with banking covenants Effective management ofdebtfacilities and compliance and future requirements projections and securing long term debtto fund current Maintain our financial viability by meeting budget Work withtenants to develop a Tenant Code ofConduct promote Reconciliation Work withAboriginal tenants and service providers to Planning initiative new initiatives through the Tenants inOperations and Ensure involvement oftenants inbusiness planning and Review remuneration model / strategy Undertake review ofrecruitment policy and procedures develop anappropriate resourcing plan Review adequacy ofexisting level ofHRsupport and objectives organisational structure to meet long term business Review existing roles and responsibilities and realign Develop 2015–16Work Health and Safety Plan are embedded at the rightorganisational level Ensure the Risk Management Plan (RMP)responsibilities risk management is aligned to strategic and business plans Annual review ofthe risk management plan to ensure that Improve dashboard reporting for key operational KPIs management system Begin implementation ofelectronic document records undertake review at end ofYear 1 Implement use ofmobile technology strategy and of rent review through technology Examine options to improve efficiency and reduce costs deliver improved functionality Upgrade SDM to V2014 to address system issues and Status What we achieved consultants to undertake the work Discussion paper prepared. Currently sourcing implemented Review completed and revised recruitment policy Growth review and implementation Review completed but willform part ofthe Fit for incorporated into the Fit for Growth review the shape ofany property transfer program. Now Not yet begun. Delayed untilwe better understand Presented to the October board meeting embedded Review undertaken and allocations made but not fully and Corporate Services Report onpage 76 Approved at the August Board meeting. See Finance Not prioritised. Deferred until2016–17 Report onpage 76 Ongoing project. See Finance and Corporate Services implementation delayed until2016–17 Review completed and recommendation made but 76 page review. See Finance and Corporate Services Report on Testing completed and implemented for March rent Services Report onpage 76 Upgrade completed. See Finance and Corporate drive efficiencies Action Plan developed and new role established to Review started. See Operations Report onpage 60 Model reviewed and updated Corporate Services Report onpage 76 All banking covenants met. See Finance and Services Report onpage 76 KPIs met during the year. See Finance and Corporate Additional debtfunding secured and all financial Operations Report onpage 60 Code inconsultation withTAG Liaison Group. See Workshop held withtenants. Currently finalising page 60 Reconciliation Australia. See Operations Report on Reconciliation Plan drafted and submitted to Tenant Advisory Group leadership group Tenants consulted onnext year’s business plan via the Undertake remuneration model review Complete Fit for Growth action plan Complete Fit for Growth action plan Plan Develop 2016–17 Work Health and Safety throughout the organisation Fully embed RMPresponsibilities report quarterly Annual review ofrisk management plan and operational KPIs and performance outcomes Implement dashboard reporting for key management system Implement electronic document records Implement mobility strategy Implement changes to rent review process issues and deliver improved functionality Upgrade SDM to V2015to address system Program Policy and Procedure Develop aCommunity Housing Leasing ensure itis stillfit for purpose Update Strategic Asset Management Plan to delivery and fit for growth modelling accommodate new structures ofproject Refine 20 year forecast model to covenants facilities and compliance withbanking Effective ongoing management ofdebt facilities to fund future requirements budget projections and expanding our debt Maintain our financial viability by meeting Launch Tenant Code ofConduct Reconciliation Action Plan Launch and implement strategies under the initiative the Tenants inOperation and Planning Ensure the involvement oftenants through Aims for 2016–17 5. 5. 4. 3. factors success Critical sustainability Business (continued) governance Effective our people our Develop

asset management whole-of-life approach to Continue astrategic operational performance management and Maintain strong financial operations and planning have areal say inour tenants to ensure they Work closely withthe and retain quality staff Attract, recognise, reward objectives to support strategic and roles are inplace organisational structure Ensure the right practices risk management improvement to strategic Undertake ongoing performance and organisational support customer service technologies that Implement and embed Goal Target measure) (performance Review remuneration model / strategy Undertake review ofrecruitment policy and procedures develop anappropriate resourcing plan Review adequacy ofexisting level ofHRsupport and objectives organisational structure to meet long term business Review existing roles and responsibilities and realign Develop 2015–16Work Health and Safety Plan are embedded at the rightorganisational level Ensure the Risk Management Plan (RMP)responsibilities risk management is aligned to strategic and business plans Annual review ofthe risk management plan to ensure that Improve dashboard reporting for key operational KPIs management system Begin implementation ofelectronic document records undertake review at end ofYear 1 Implement use ofmobile technology strategy and of rent review through technology Examine options to improve efficiency and reduce costs deliver improved functionality Upgrade SDM to V2014 to address system issues and our tenants and is financially sustainable ensure the portfolio provides safe and secure housing for Leasehold Program (CHLP) management policy to Develop anaction plan for Community Housing is stillfit for purpose Update the Strategic Asset Management Plan to ensure it usability Enhance the 20year forecasting model to improve with banking covenants Effective management ofdebtfacilities and compliance and future requirements projections and securing long term debtto fund current Maintain our financial viability by meeting budget Work withtenants to develop a Tenant Code ofConduct promote Reconciliation Work withAboriginal tenants and service providers to Planning initiative new initiatives through the Tenants inOperations and Ensure involvement oftenants inbusiness planning and Status What we achieved Growth review and implementation Review completed but willform part ofthe Fit for incorporated into the Fit for Growth review the shape ofany property transfer program. Now Not yet begun. Delayed untilwe better understand Presented to the October board meeting embedded Review undertaken and allocations made but not fully and Corporate Services Report onpage 76 Approved at the August Board meeting. See Finance Not prioritised. Deferred until2016–17 Report onpage 76 Ongoing project. See Finance and Corporate Services implementation delayed until2016–17 Review completed and recommendation made but 76 page review. See Finance and Corporate Services Report on Testing completed and implemented for March rent Services Report onpage 76 Upgrade completed. See Finance and Corporate drive efficiencies Action Plan developed and new role established to Review started. See Operations Report onpage 60 Model reviewed and updated Corporate Services Report onpage 76 All banking covenants met. See Finance and Services Report onpage 76 KPIs met during the year. See Finance and Corporate Additional debtfunding secured and all financial Operations Report onpage 60 Code inconsultation withTAG Liaison Group. See Workshop held withtenants. Currently finalising page 60 Reconciliation Australia. See Operations Report on Reconciliation Plan drafted and submitted to Tenant Advisory Group leadership group Tenants consulted onnext year’s business plan via the consultants to undertake the work Discussion paper prepared. Currently sourcing implemented Review completed and revised recruitment policy Complete Fit for Growth action plan Complete Fit for Growth action plan Plan Develop 2016–17 Work Health and Safety throughout the organisation Fully embed RMPresponsibilities report quarterly Annual review ofrisk management plan and operational KPIs and performance outcomes Implement dashboard reporting for key management system Implement electronic document records Implement mobility strategy Implement changes to rent review process issues and deliver improved functionality Upgrade SDM to V2015to address system Program Policy and Procedure Develop aCommunity Housing Leasing ensure itis stillfit for purpose Update Strategic Asset Management Plan to delivery and fit for growth modelling accommodate new structures ofproject Refine 20 year forecast model to covenants facilities and compliance withbanking Effective ongoing management ofdebt facilities to fund future requirements budget projections and expanding our debt Maintain our financial viability by meeting Launch Tenant Code ofConduct Reconciliation Action Plan Launch and implement strategies under the initiative the Tenants inOperation and Planning Ensure the involvement oftenants through Undertake remuneration model review Aims for 2016–17 Key: Key: completed completed in progress progress in delayed 25 OUR PERFORMANCE 26 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 6.  6. 5. factors success Critical (continued) people our Develop relationships our extend reputation and Enhance our transfers and funding including property affordable housing, Advocate strongly for stakeholders residents, partners and communications with Continue to improve brand and reputation and build onour strong our value proposition Increase awareness of we grow and change organisational culture as Build onour positive workplace fit-for-purpose Create amore flexible, strategic objectives management aligned to and performance development Deliver training, staff (continued) reward and retain quality Attract, recognise, Goal Target measure) (performance Review and clarify the flexible work policy Develop and implement accommodation strategy career development Update PDPforms to incorporate agreater focus on management and remuneration the link between business plan objectives, performance Review KPIs and measurement effectiveness to refine support staff and deliver business plan objectives Review the learning and development program to development inthe community housing industry or traineeships inthe business to support career Examine opportunities to provide internships collaboration through team building Examine opportunities to increase cross team community stakeholders –private, government, local government, directions, and develop strategy for engagement withkey Advocate around affordable housing policy and funding Implement improved SMS communications withtenants areas for improvement to drive engagement Analyse how tenants are using our web site and identify stakeholders and community of social media as acommunication tool for our tenants, Develop aplan and execute strategy to increase the use Further develop and execute communication strategy Event Design and execute the delivery ofa30Year Celebration Develop amarketing strategy and acapability statement linguistically diverse communities we willtranslate key communications for culturally and Develop atranslations protocol to guide when and how Continue to build our brand, bothinand out ofthe sector the impact ofaGreat Place to Work Survey Review the frequency ofEmployee OpinionSurveys and Place to Work Survey 2015 Staff Engagement Survey and outcome ofAGreat Develop and implement anaction plan inresponse to the Status What we achieved affordable housing need through social media NSW Federation ofHousing Associations highlighting Advocacy has beenthrough our involvement with implemented in2016–17 Review undertaken and solution identified to be Review completed, and action plan developed has also increased. See CEO Report onpage 14 2015–16, and interaction withthe online community Social media profile has increased throughout Communication Plan. Increased use ofsocial media Undertook areview ofimpact of2014 Decided not to proceed statement willinclude Started consultation around what the capability Draft developed on page 90 media profile. See Bridge Housing inthe Community conferences and industry forums. Increased social professional groups. CEO and GMs presentations at Senior staff are members ofkey housing industry and Employee OpinionSurvey Completed and agreed to maintain through yearly CEO Report onpage 14 Plan developed and action plan implemented. See To berevisited in2016–17 identified through the policy review working group. Review and draft policy update completed, but issues Approved at December board meeting planning. See OurPeople onpage 46 implemented withaspecific focus ondevelopment New online performance management system objectives through to individual KPIs Flow-through link established from corporate Training program developed and implemented Delayed until2016–17 on page 76 delivered. See Finance and Corporate Services Report Four team building initiatives developed and communication system Implement anintegrated SMS Implement action plan media amongst staff Broaden understanding and use ofsocial effectiveness Undertake review ofsocial media capability statement Develop amarketing strategy and a Finalise and launch translations protocol achieve higher staff engagement score Undertake Employee OpinionSurvey and Survey response to the 2016Staff Engagement Develop and implement anaction plan in work arrangements Review remuneration model and flexible relocation strategy Develop long term accommodation business plan objectives program to support staff and deliver Review the learning and development program traineeship/intern/graduate recruitment Investigate the development ofa increase cross team collaboration Continue to explore new opportunities to stakeholders Continue to advocate for the sector withkey Aims for 2016–17 Key: completed in progress delayed

Critical success Goal Target (performance measure) Status What we achieved Aims for 2016–17 factors

5. Develop Attract, recognise, Examine opportunities to increase cross team Four team building initiatives developed and Continue to explore new opportunities to our people reward and retain quality collaboration through team building delivered. See Finance and Corporate Services Report increase cross team collaboration on page 76 (continued) staff (continued) Examine opportunities to provide internships Delayed until 2016–17 Investigate the development of a or traineeships in the business to support career traineeship/intern/graduate recruitment development in the community housing industry program Deliver training, Review the learning and development program to Training program developed and implemented Review the learning and development development support staff and deliver business plan objectives program to support staff and deliver and performance business plan objectives management aligned to Review KPIs and measurement effectiveness to refine Flow-through link established from corporate strategic objectives the link between business plan objectives, performance objectives through to individual KPIs management and remuneration Update PDP forms to incorporate a greater focus on New online performance management system career development implemented with a specific focus on development planning. See Our People on page 46 Create a more flexible, Develop and implement accommodation strategy Approved at December board meeting Develop long term accommodation fit-for-purpose relocation strategy workplace Review and clarify the flexible work policy Review and draft policy update completed, but issues Review remuneration model and flexible identified through the policy review working group. work arrangements To be revisited in 2016–17 Build on our positive Develop and implement an action plan in response to the Plan developed and action plan implemented. See Develop and implement an action plan in organisational culture as 2015 Staff Engagement Survey and outcome of A Great CEO Report on page 14 response to the 2016 Staff Engagement we grow and change Place to Work Survey Survey Review the frequency of Employee Opinion Surveys and Completed and agreed to maintain through yearly Undertake Employee Opinion Survey and the impact of a Great Place to Work Survey Employee Opinion Survey achieve higher staff engagement score 6. Enhance our Increase awareness of Continue to build our brand, both in and out of the sector Senior staff are members of key housing industry and reputation and our value proposition professional groups. CEO and GMs presentations at conferences and industry forums. Increased social extend our and build on our strong brand and reputation media profile. See Bridge Housing in the Community relationships on page 90 Develop a translations protocol to guide when and how Draft developed Finalise and launch translations protocol we will translate key communications for culturally and linguistically diverse communities Develop a marketing strategy and a capability statement Started consultation around what the capability Develop a marketing strategy and a statement will include capability statement Design and execute the delivery of a 30 Year Celebration Decided not to proceed Event Continue to improve Further develop and execute communication strategy Undertook a review of impact of 2014 Undertake review of social media communications with Communication Plan. Increased use of social media effectiveness residents, partners and Develop a plan and execute strategy to increase the use Social media profile has increased throughout Broaden understanding and use of social stakeholders of social media as a communication tool for our tenants, 2015–16, and interaction with the online community media amongst staff stakeholders and community has also increased. See CEO Report on page 14 Analyse how tenants are using our web site and identify Review completed, and action plan developed Implement action plan areas for improvement to drive engagement Implement improved SMS communications with tenants Review undertaken and solution identified to be Implement an integrated SMS implemented in 2016–17 communication system Advocate strongly for Advocate around affordable housing policy and funding Advocacy has been through our involvement with Continue to advocate for the sector with key affordable housing, directions, and develop strategy for engagement with key NSW Federation of Housing Associations highlighting stakeholders PERFORMANCE OUR including property stakeholders – private, government, local government, affordable housing need through social media 27 transfers and funding community 28 BRIDGE HOUSING LIMITED across our operating region. housing affordable for demand and provides acontext for the moderate income households housing affordability for low-to- which measures and monitors report, Affordability Housing This is Bridge Housing’s sixth ANNUAL REPORT 2016 between markets by the Organization for Economic Cooperation and Development, the International Monetary Fund and The Economist Studies, Harvard University. The Median Multiple and other similar housing affordability price-to-income-multiples are used to compare housing affordability is widely used for evaluating urban markets, has been recommended by the World Bank and the United Nations, and is used by the Joint Center for Housing 7 transport and services can be essential costs like food, clothing, when itis priced so that other is considered to be“affordable” of FACS), which states: ‘Housing Affordable Housing (a division provided by the Centre for definition of ‘affordability’ Bridge Housing uses the Affordability How We Measure thriving communities. for individuals and to support the foundation for quality oflife and affordable housing provides of the community. Safe, secure and disadvantaged members support services for vulnerable organisation that provides housing providers but for every concern; not justfor community homelessness remain areas of for public housing, and affordability trends, demand Housing stress, housing soaring housing prices inSydney. income households, driven by pressures for low-to-moderate to show acute affordability operating region continues on housing affordability inour Our sixthconsecutive report Introduction Affordability Affordability Housing The Demographia International Housing Affordability Survey rates middle-income housing affordability using the ‘Median Multiple.’ The Median Multiple local area. They include: and appropriate housing intheir people cannot access affordable A diverse and growing range of income households.’ income for low-to-moderate 30 percent ofgross household where housing costs are lessthan adequately met. This is generally supply and itpoints to the record housing is increasing housing policy prescription for affordable The NSW Government’s main or 33,000dwellings peryear. new dwellings over 20years – will require anadditional 664,000 2031. Housing this population million in2011,to 5.8million,by by 1.6 millionpeople, from 4.2 Sydney’s population willgrow through population growth. continue to increase purely Pressure onhousing prices will Affordability Trends

other government benefit an aged ordisability pension or minimum wage orwho are on well as peopleearning the retail ormanufacturing, as lower-paid occupations like they live, such as workers in income depending onwhere of the NSW orSydney median defined as lessthan 50per cent people onavery low income, stages oftheir careers. particularly those inthe early police officers and nurses, income, such as teachers, of the NSW orSydney median 80 percent and 120percent income, defined as between people earning amoderate secretaries and cleaners some childcare workers, median income, such as cent ofthe NSW orSydney cent but lessthan 80per defined as more than 50per people earning alow income, from 5to 12.2. as amedian multiple, increased dwelling inSydney, expressed income required to purchase a Between 1981 and 2015,the 8.7 in2014. median multiple of9.7 upfrom the second inAustralia, witha after Hong Kong. Melbourne was affordable international market, Australia and the second least affordable housing market in distinction ofbeing the least of 9.8.Sydney has the dubious increase from the 2014rating of 12.2,which is asignificant ranked withamedian multiple unaffordable’. Sydney was 5 is regarded as ‘severely a median multiple over Demographia’s rating scale, – the ‘median multiple’ a multiple ofmedian incomes by calculating housing costs as international housing markets measures affordability in86 Affordability Survey, which International Housing in the Demographia 12th housing prices are illustrated The impacts ofpressure on the projected demand. dwellings peryear, itis well below production is higher, at 25,000 dwellings peryear. Whilecurrent 1995–96 and 2010–11 was 20,000 completion inSydney between average residential dwelling To put that incontext, the cent since 2011. prices have increased by 40per to increase supply,” but housing tackle housing affordability is “The most effective way we can Gladys Berejiklian has said 27,348 in2015.NSW Treasurer starts rose from 14,722 in2011to its electionin2011.Inthat period number ofhousing starts since 7 . On . On Rental Stress Number of households by income and region, 2011 Very low Low Moderate 8000 7000 6000 5000 4000 3000 2000 1000 0 Inner Sydney East Suburbs IW Sydney Cant-Bankstown CW Sydney

Rental Stress Percentage of households by income and region, 2011 Very Low Low Moderate 100

80

60

40

20

0 Inner Sydney East Suburbs IW Sydney Cant-Bankstown CW Sydney Sydney

Declining housing affordability, which decreases the number of Housing Stress affordable rental properties, affects households on very low and low incomes the hardest. Anglicare Australia’s 2016 Australia Rental People in NSW on low-to- Affordability Snapshot found 13,000 private rentals were advertised moderate incomes are increasingly for rent in Greater Sydney on the weekend of 2–3 April 2016. Of these, unable to access affordable only 431 properties were affordable and appropriate for people living housing. During 2009–10, almost on income support payments, without placing them in housing stress. half (45.7 per cent) of low-to- For people living on the minimum wage, 688 properties were affordable moderate income private renters and appropriate without placing them in housing stress. in NSW experienced housing stress, up from 39.9 per cent in Anglicare’s report reinforces the experience of many of the people 2007–08. This was even more who are now tenants of Bridge Housing or waiting to be allocated acute in the Sydney region, where affordable housing: in 2011 more than 69 per cent of low-to-moderate income private renters experienced rental stress, Housing unaffordability affects everyone. But for people living up from 41.4 per cent in 2007–08. on low incomes it is a constant struggle. The longer they are limited by the cycle of living on low incomes, the harder it is In the Sydney region, more than for them to extricate themselves from their circumstances. As 281,000 low-to-moderate income a result households – and that means families and individuals households are experiencing – become further entrenched in ongoing poverty, isolation and rental or purchase stress. This disadvantage. Little by little, the fabric that holds their lives includes 130,000 households together begins to unravel and it can take only one unexpected with significant purchase stress expense or event to entrench people into disadvantage, and 150,000 renters experiencing perhaps for the next and even subsequent generations. housing stress. The two rental stress charts show how these Anglicare Australia, 2016 Australia Rent Affordability Snapshot figures are distributed across Bridge Housing’s operating region, from the City of Sydney (inner Sydney) to the City of For many households, even those on moderate incomes, home Parramatta (central western ownership is a receding dream and renting needs to be of more Sydney), and how this compares

permanent tenure. Only five suburbs of the 540 in Sydney are affordable HOUSING AFFORDABILITY with the Sydney region. for renters on minimum wage, and a graduate nurse can only afford to rent in 293. Essential workers – nurses, police – are increasingly being 29 forced out to the city fringe if they want to buy, far from where they work. Many are shift workers. 2013-16 region, and by income of available properties Percentage Affordable purchase V.low 30 Parramatta

BRIDGE HOUSING LIMITED 2013 ANNUAL REPORT 2016 Low Mod V.low Inner Sydney 2014 Low three-bedroom dwellings on we completed 65affordable for rental. long-term InJuly 2016 112 social and affordable homes will have developed anadditional November 2016,BridgeHousing need for affordable housing. By and programs help to meet the Bridge Housing’s resources What We Are Doing the national housing market. region follow significant trends in The trends experienced inour home. a purchase low-income households unable to with the majority ofvery low and moderate-income households, Parramatta were affordable for and justover 20percent in of dwellings ininner Sydney period. Less than 10percent significantly over the same purchase ahome diminished The potential for peopleto moderate income households. in housing affordability for very marginal improvement LGA. There has beensome extent inthe Parramatta inner Sydney and to alesser Sydney region, particularly in income households across the low income and moderate properties for very low and supply ofaffordable rental there was adecrease inthe Between 2009and 2015, Affordable Properties Mod V.low Sydney Metro 2015 Low Mod V.low 2016 Low Mod state resources to meet the considerably more federal and housing sector requires However, the community No 70 –Affordable Housing. Environmental Planning Policy developers under the State agreements withprivate addition, we have management currently managing 24units. In program, through which we are for the SOPA affordable housing secured the management tender Housing Program (28 units), and Waverley Council’s Affordable Eveleigh (27 units). We manage at Wiley Park (eight units) and homes, including developments programs provide 98affordable Our existing affordable housing program. information onour construction on page 70 provides further The Development Report early 2019. affordable and private units by which willdeliver amixofsocial, development site inSeven Hills, Beyond this we have secured a two-bedroom units inParramatta. we willcomplete 38one and low incomes. In November 2016 and targeted to olderwomen on units, completed inJuly 2016 one-bedroom self-contained of units inAshfield into nine began converting anolderblock Estate, Blacktown. We also UrbanGrowth’s Bungarribee 20 30 25 10 15 0 5 2013-16 region, and by income of available properties Percentage Affordable rental V.low Parramatta 2013 Low Mod V.low Inner Sydney 2014 Low Mod section ofthis annual report. the Operating Environment discussed at greater length in the NSW Government. This is corresponding strategy from Government, mirrored by a strategy by the Australian national affordable housing development ofacomprehensive (NRAS) reinstated and the Rental Affordability Scheme We would like to see the National affordable housing challenge. time of between five and 10 years. housing, withanaverage wait households are waiting for social operating region, 15,000 Across BridgeHousing’s housing demand by region. chart shows the changes in The Social Housing Applicants of the iceberg. we noted above this is justthe tip to 60,000 households in2015.As from 55,000households in2012 NSW Housing Register increased number ofhouseholds onthe called the Housing Register. The households. In NSW, the list is housing needs oflow-income lists are astrong indicator ofthe State social housing waiting Social Housing demand V.low Sydney Metro 2015 Low Mod V.low 2016 Low Mod

100 40 80 60 90 20 50 30 70 10 0 Social Housing Applicants Homelessness Number of applicants by NSW Region, 000's 2012-14 How homeless people live by Sydney region, 000's 2011

60 BHL Region Sydney

20 50 18 16 40 14 30 12 10 20 8 6 10 4 2 0 0 BH Region Sydney Region NSW Rough Supported Temp Boarding Over- All homeless sleepers accom household house crowded persons

How homeless people live Percentages in NSW and nationally, 2011 NSW Nationally 50

40

What We Are Doing live chart shows where 30 homeless people live across Bridge Housing allocates NSW and nationally. dwellings to applicants on the 20 NSW Housing Register. In As the Homelessness 2015–16, we provided secure chart shows, homelessness 10 and affordable accommodation is concentrated in the to 246 households, compared Sydney metropolitan 0 to 281 households in 2014–15. area and predominantly within Bridge Housing’s Overcrowded Supported Temp Boarding Rough This was facilitated through accom households houses sleepers our capital and leasehold operating area. More than and fee-for-service programs 8,000 severely overcrowded and the 25 dwellings we households in the Sydney added to our portfolio. metropolitan area are within our operating region. Homelessness What We Are Doing The National Housing Bridge Housing meets the Supply Council stated in needs of homeless people its Housing Supply and through our mainstream Affordability Issues 2012–13 housing program and report that the decreasing specialised homelessness affordability of housing was programs, including My Place, a key cause of homelessness. the MISHA Project (Michael’s The most recent national Intensive Supporting Housing homelessness figures, from Accord) and Platform 70. the 2011 Census, show that In 2015–16, we delivered the number of people who Connect 100, through were homeless or living in which we have housed 14 marginal housing increased previously homeless people by 10.4 per cent between with secure and affordable 2001 and 2011. The number accommodation. We also of people living in severely use our capital properties overcrowded accommodation and those we lease from accounted for the majority the private rental market of this increase. The 2011 to provide further housing. Census showed that there This year we provided were 28,190 homeless people secure affordable housing HOUSING AFFORDABILITY in NSW, which is an increase for 221 households from of 5,971, or 27 per cent, on the Housing Pathways. 31 revised 2006 Census figure. The How homeless people Spotlight 2: Ashfield – a new model of housing and support for older women

Our Development team created According to 2011 Census data, a design that allowed for a high 36 per cent of older homeless In May 2014, Bridge Housing standard of accommodation as people are women. In March combined funding from the NSW well as creating an additional 2016, the Older Women and unit, increasing the capacity of Homelessness Working Group, Government, NRAS subsidies the block to house nine people chaired by Homelessness NSW, and a $500,000 financial in nine separate studios. Bridge launched A Plan for Change Housing is delighted that as – Homes For Older Women. It donation from a benefactor, well as all the common facilities highlighted that older women Sylvia Hale, to purchase a being wheelchair accessible who are homeless do not the building also boasts a fully always have complex needs run-down art deco unit block compliant disabled access unit. or require ongoing support. During the construction and in Ashfield. Our aim was to Their homelessness is related planning phase, Bridge Housing to their low incomes and their transform the building into nine identified the site as suitable to lack of assets – they can’t afford support the needs of a growing studio apartments. to pay a mortgage as a single group of people seeking social woman, they can’t afford to housing – older women. BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 32

Front view of the Ashfield block Rear view of the Ashfield block

pay market rents, and they tenants looking to downsize, it delivered a new type of often can’t even find housing and women from the YWCA’s housing development – studio that works well for them. supported housing programs. accommodation that is flexible in design and suitable for a variety Bridge Housing wanted to Tenants moved into their new of housing needs. The quality examine how we could develop homes in July 2016. Tenants of the building was enhanced, new types of housing, linked have been linked to the support for example with the inclusion to support, for older women. partner for the site, YWCA of engineered timber flooring, We approached YWCA NSW, NSW. The YWCA will work with extra cupboard space and an a service experienced in the tenants to ensure that they have additional fire alarm panel to delivery of support for older the support and services needed increase the safety of our tenants. women, to work with tenants to sustain their tenancies as well Our accessibility measures in the Ashfield properties. as working with Bridge Housing support women’s ageing in place. YWCA NSW was swift to staff to support the success of respond and the partnership the shared living arrangement. was formed in March 2016. Not only did Bridge Housing Eligible clients were identified develop new support from the NSW Housing partnerships in Ashfield, Register, Bridge Housing

Tenant story - A tenant’s perspective of her new home at Ashfield: Jane* was staying in a hotel funded by the FACS temporary accommodation program after she missed out on a work opportunity and was left without money to pay her rent. She had not been able to find somewhere more permanent to live and felt very alone. Jane was referred by FACS to the YWCA and met Tegan, her support worker. Jane was surprised at the level of respect and support she received from Tegan. She felt blessed by the kindness and support that was given to her by the YWCA and her new housing manager at Bridge Housing. If Jane had not been housed by Bridge Housing when she was, she felt it was going to be a very sad time for her. Jane had been feeling suicidal. She realised at her age it was not going to be easy to find somewhere to live and she felt like she was going to be sleeping on the streets.

Jane said before being housed by Bridge she was feeling ‘unsafe, sad and scared’ but with the SPOTLIGHT 2: ASHFIELD – A NEW MODEL OF WOMEN OLDER FOR SUPPORT AND HOUSING support of both Bridge Housing and the YWCA she now feels ‘safe, blessed and very lucky’. 33

*Name has been changed to protect anonymity 34 BRIDGE HOUSING LIMITED supply. property and resource allocation, contracting framework,policy funding, on governmentsdepends for Housing Bridge providers, housing providers. Like other community of environment operating the shaping in role policy settings play asignificant Federal and NSW government ANNUAL REPORT 2016 10 9 8 Environment 2015–16 Environment Operating

au/federal-politics/political-news/scott-morrison-says-housing-affordability-and-stock-shortage-at-the-centre-of-social-ills-20150722-gii15i.html Alana Schetzer, ‘Scott Morrison says housing affordability and stock shortage at the centre ofsocial ills’, Sydney MorningHerald, 22Julywww.smh.com. 2015, national-affordable-housing-agreement, Australian Government Department ofSocial Services, National Affordable Housing Agreement, www.dss.gov.au/housing-support/programmes-services/ Housing (NRSCH),www.nrsch.gov.au/ Tasmania. Victoria and Western Australia are not participating at this time. For further information goto National Regulatory System for Community The National Regulatory System for Community Housing (NRSCH)only operates infour states: Victoria, NSW, South Australia, Queensland and

community housing sector. effective advocacy from the Housing Working Group and the Government’s Affordable management, the outcomes of shaped by attitudes to budget Labor Opposition.This willbe Turnbull Government and the policy development from the It is likely we willsee further the 2016Federal election. Australia, as was evident during with this future housing reality in are attempting to come to terms the Liberal and Labor parties outstrip income growth. Both our major capitals continue to increases inhousing prices in enter home ownership because in Australia are struggling to and households low-to-moderate demographic fact that younger driver ofthis is the implacable address, ifunevenly. The key political parties are starting to and policy issue, which all major finally emerged as apolitical In 2015–16 housing affordability Introduction Federal Government housing sector in2015–16. Housing and the community environment affected Bridge describes how our operating This section ofour Annual Report minister for social services from his previous positionas interest inhousing affordability Morrison had developed an Treasurer inSeptember 2015. Hon. Scott Morrison MPas with the appointment ofThe the centre ofgovernment housing agenda moved to During the year, the affordable Government responses

8 . for Community Housing National Regulatory System benefits, and re-energise the income support and family for households receiving Commonwealth rent assistance the rental subsidy system and Agreement (NAHA) National Affordable Housing of social housing through the for federal and state financing policy and funding architecture implications. They change the actually have enormous the policy recommendations instruments appears narrow, but focus onoptions for financial households. Onthe surface, this paid by income low-to-moderate superannuation and the rent between the return required by subsidies willmeet the difference issuing bonds, while government which willraise funds through a national financial aggregator recommend the establishment of and we believe the paper will be released inlate September The final report is expected to January 2016for comment. Issues Paper was released in Housing Working Group: The discussion paper Affordable access to institutional investment. private rental market) through housing and housing inthe of affordable housing (social that increase the provision and structural reform models is to identifypotential finance Working Group. Its key objective the internal Affordable Housing portfolio, Morrison established While inthe social services paper willbe released inlate 2016. regulation. Itis expected the and comprehensive national paper was the need for strong responded to the discussion the financial institutions that One ofthe key points made by 9 , affect 10 . The Labor Opposition’s policy cost of support for independent reduce the compliance burden to restrict tax concessions living and the limited supply for community housing providers available through negative of affordable housing. The wishing to operate across gearing is another signal of the estimated unmet need for state jurisdictions, and provide ways housing affordability is affordable housing for NDIS confidence to government beginning to bite as a policy participants is between 83,000 and stakeholders, including and political issue. Over the and 122,000 properties. financiers. Community housing 2016 Federal election campaign, providers undergo an annual The NDIS housing funding housing affordability emerged as compliance assessment across paper, released in September one of the top three issues. While seven performance outcomes: 2015, was the only significant neither party has produced a tenant and housing services, housing policy announcement comprehensive policy response housing assets, community made at the federal level12. This during or after the election engagement, governance, probity, confirmed that $700m will be campaign, it is clear this issue will management, and financial available to build new affordable require some significant policy viability. The compliance housing from 2018, once the interventions over the near term. assessment is in proportion to the NDIS is fully operational. The risk exposure of the community The Turnbull Government policy provides community housing provider. Providers that went into the 2016 election housing providers with greater undertake property development pledging $2.3 billion in welfare certainty on the level of housing and borrow funds, like Bridge savings. These were to be subsidy the NDIS will pay, and Housing, are assessed as Tier effected through cuts to the this will assist in raising finance. One providers. Our performance energy supplement for those on In addition, it provides further against the NRSCH benchmarks the lowest incomes, including information on design criteria for is reported in the Our pensioners, sole parents, single building and modifying housing Performance table beginning on income families, family carers for people with disabilities to page 18 of this report. and Newstart recipients, was well ensure access accords with as cuts to family payments that Livable Housing Australia The NRSCH was established would see a sole parent with two universal design standards. around the premise that the teenage children lose $60 a week. community housing sector would Ninety per cent of community Regulation grow much more rapidly across housing tenancies are with Australia than it has, and that people on income support. Community housing providers the Commonwealth would play Assuming these cuts are passed are subject to two regulators: the a much more active role. This by the new Parliament, they Australian Charities and Not- has not happened because of will reduce the rental income of for-profits Commission and the different approaches by state community housing providers11. National Regulatory System for jurisdictions to community Community Housing (NRSCH) housing, each of which has National Disability (www.nrs.org.au). different policy agendas and Insurance Scheme National Regulatory priorities. However, as the growth of housing associations in the Our Annual Report 2015 System for Community United Kingdom shows, a strong described the National Disability Housing regulatory regime is required Insurance Scheme (NDIS) as one of the building blocks to (www.ndis.gov.au) as the most There has been little change ensuring a vibrant community significant reform to disability in the NRSCH, which came housing sector. As stated above, it services in the past 30 years. into effect in January 2014 is hoped that the outcomes from Many people with disabilities to replace the previous state- the AHWG will reignite this. are on low incomes and have based community housing difficulty finding affordable, regulatory systems and covers all safe, secure, accessible housing jurisdictions, except Victoria and that allows them to maximise Western Australia. The aim of the their economic and social NRSCH is to ensure regulatory participation. This is due to the consistency across Australia, OPERATING OPERATING ENVIRONMENT 2015–16

11 Australian Council of Social Services Media Release 23 May 2015, ‘New Report Confirms Budget Fails Fairness Test’, www.acoss.org.au/budget-fails-fairness-test/ 35 12 Luke Bosher, ‘NDIS Housing Funding Principles Announced’, Disability Services Consulting, 16 August 2016, www.disabilityservicesconsulting.com.au/ next-gen-housing/ 36 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 18 For more information onthe Social and affordable Housing Fund goto www.facs.nsw.gov.au/reforms/social-housing/SAHF 17  16 For more information onCommunities Plus goto www.facs.nsw.gov.au/reforms/social-housing/communities-plus 15 For more information onFuture Directions goto www.socialhousing.nsw.gov.au/?a=348442 14  13  to the social and affordable they willnot significantly add the community housing sector, these willresult ingrowth in housing. However, although on social and affordable announcements and activities Government is awhirlwind of Government, the NSW approach ofthe Federal Compared to the tentative NSW Government retain the ACNC Social Services indicated itwould In March 2016,the Minister of have threatened to abolish it. doubt as successive governments future ofthe ACNC has beenin only established in2012,the Commission (ACNC). Although Charities and Not-for-Profits are regulated by the Australian community housing providers As large registered charities, Commission and Not-for-profits Australian Charities Commission’, The Hon. Christian Porter MP, Minister for Social Services, media release 4March 2015,‘Retention ofthe Australian Charities and Not-for-profits Transfers Largescale Property Transfers, NSW Federation ofHousing Associations www.communityhousing.org.au/HousingMatters/May16/ Largescale Property au/business/the-economy/the-government-says-it-has-a-plan-to-fix-the-housing-affordability-crisis-this-chart-suggests-it-doesnt-20160902-gr7sbz.html See Sydney MorningHerald article. The government says ithas aplan to fixthe housing affordability crisis. This chart suggests itdoesn’t. www.smh.com. www.christianporter.dss.gov.au/media-releases/retention-of-the-australian-charities-and-not-for-profits-commission 13 . and 2023. The size and shape of management between 2017 properties to community housing 35 percent ofsocial housing a proposal to transfer upto Future Directions includes to significant levels ofrisk. shallow balance sheets, exposed housing organisations, with potentially leaves community ageing properties. However, it new build properties to replace provider capacity and deliver enhance community housing This is apositive start, as itwill affordable housing dwellings. management ofthe social and housing provider securing the the sites, withthe community private developers to redevelop be required to partner with housing organisations will which continue to rise are no brake onhousing prices, high rates ofhousing production over this period.Historically 660,000 additional new dwellings 1.6 millionby 2031 and requires Sydney’s population willgrow by affordable housing need. not meet existing and future housing supply and so will Ivanhoe Estate Seven Hills and the larger housing. Examples include private, affordable and social be redeveloped into amixof social housing sites that can available large and small Future Directions willmake Communities Plus initiative. properties, delivered through the 17,000 willberedeveloped additional supply –the remaining of the new properties willbe market opportunities inthe private rental and training and take up able to move into employment housing assistance for those customer service; and refocus service delivery and improve number ofprograms; reform housing properties through a plan to deliver 23,000 new social Future Directions is aten-year Social Housing inNSW Future Directions for 15 . However, only 6,000 16 . Community 14 .

re-development strategies more effective maintenance or manage the properties through housing providers to borrow to which would enable community terms from three to 35years, transfer and increasing lease organisation, has argued for title Associations, the state sector The NSW Federation ofHousing Cabinet approval inlate 2016. the program is subject to NSW of social and affordable housing supply $1.1billionfor the delivery Housing Fund (SAHF) will The Social and Affordable Housing Fund Social Affordable and open to longer leases. title transfer but may bemore NSW Government has rejected the New South Wales Federation program level our industry body, affordable housing sites. At the managing mixed social and and housing outcomes, and delivering and measuring tenant housing –contract management, capacity building for community SAHF provides significant being assessed by FACS. Tender phase, which is currently that moved into the Request for which was one ofthe parties community housing providers, Consortium withfour other tendered as part ofthe Plenary 24 EOIs. BridgeHousing interest process that attracted conducted anexpression-of- property can besold. FACS supply, at which pointthe years ofsocial and affordable consortiums, which willbuy 25 from private and not-for-profit purchase service packages In Phase One, the SAHF will tenant support coordination. support services through NSW, withaccess to integrated in metropolitan and regional social and affordable homes will deliver 3,000additional number ofphases. Phase One program willberolled out ina invest the funds and the The NSW Government will

17 . The 18 . of Housing Associations, is The Planning Minister, The advocating for the SAHF to Hon. Rob Stokes MLC, is A assist in the introduction of an undertaking a smaller review affordable housing financing of the Environmental Planning body for NSW, should the Federal and Assessment Act 1979. While Government decide not to this review includes the section proceed with what we believe of the Act on affordable housing the Affordable Housing Working and the planning instrument Group will recommend. SEPP 70, it is unclear if there is the political will to expand the The NSW planning system scope of the existing provisions and impose inclusionary In our 2015 Annual Report, we zoning or use value-capture analysed the NSW Government’s mechanisms to provide funds for failure to use the NSW social and affordable housing. planning system effectively as a policy lever to promote the Relative to other state development of new affordable jurisdictions, the NSW housing. We stated the NSW Government has the most Government’s metropolitan dynamic approach to affordable strategy, A Plan for Growing housing initiatives and the best- Sydney, fell short, as it lacked developed community housing targets for affordable housing sector. However, with the lowest and instruments to deliver levels of housing affordability, it affordable housing, particularly needs to do much better. in those regions and districts While there are many initiatives, earmarked for redevelopment, there is no clear overall strategy most of which fell within Sydney’s across government as to how to Global Economic Arc, a region grapple with the supply of social that will provide significant and affordable housing and the job growth19. We stated the role of the community housing proposed redevelopments, which sector. Future Directions, which it involve density uplift, provide has been promising since 2011, is opportunities to secure planning a start but there is little evidence gains, particularly on government of coordination between central sites, as affordable housing. agencies such as the NSW Regrettably we cannot report Department of Premier and any significant improvement Cabinet, Treasury, Department of per cent target is approved by on the planning front this year. Planning or FACS / LAHC. To a the NSW Cabinet, but there is The NSW Government can large extent policies are captive no clear industry development point to the establishment of the to the logic and interests of their strategy to articulate the role and Greater Sydney Commission, a line departments – for example, function of community housing new planning body that will sit the LAHC is not interested providers. For example, we would between the state government in seeing FACS relinquish its like to know what governance and the newly-amalgamated control of social housing or arrangement will be put in place councils20. It is tasked with advocate for title transfer to to ensure there is system wide- developing district housing community housing providers. planning when providers control plans across the metropolitan Future Directions and SAHF, 35 per cent of social housing region, but it is unclear what while welcome and important properties. A business-as-usual powers it will have and if it will initiatives, are a drop in the ocean approach to governance or policy set affordable housing targets. of existing and future housing development will no longer be UrbanGrowth NSW, the NSW needs for low-and-moderate adequate or sufficient to deliver a Government’s redevelopment income households. sustainable supply of social and affordable housing. authority, is still yet to deliver its In regards to the growth of the housing affordability strategy for community housing sector, the Central to Eveleigh Corridor, Future Directions provides a path which could add up to 26,000 to growing our share of social residents, or the Bays Precinct21. housing, assuming that the 35 OPERATING OPERATING ENVIRONMENT 2015–16 19 Plan for Growing Sydney www.planning.nsw.gov.au/Plans-for-Your-Area/Sydney/A-Plan-for-Growing-Sydney 20 Under the NSW Government’s local government reform through its Fit for the Future Strategy it proposes to reduce the number of Councils in Greater Sydney from 43 to 25 and in regional NSW from 109 to 87. See www.fitforthefuture.nsw.gov.au 37 21 UrbanGrowth NSW is the NSW Government’s urban transformation agency, responsible for leading the redevelopment of the Bays Precinct and the Central to Eveleigh www.urbangrowth.nsw.gov.au. Development Development 38 critical success factors. success critical Performance Our See on page 18 for adescription of how we met our Business Plan 2015–16 and business plan. Meet our Directors on page Meet our executive 40. team on page 42. critical success factors.However, our divisions must work together to fulfil our strategic plan divisionEach of Bridge Housing has primary responsibility and ownership of particular Manager Manager BRIDGE HOUSING LIMITED Assistant ANNUAL REPORT 2016 Development Director Communities Development Community How We Operate Sustainable Officer (x2) Manager, Administrator Team Leader Coordinator Executive Pathways Pathways Manager Housing Income Review Officer Officer Policy Rent (x4) Chief Executive Officer General Manager Manager (x3) Team Leader Floating HM Operations Leader West Director Housing Board Arrears / Manager Housing Housing Housing Support Officer Team East (x4) Maintenance Maintenance Maintenance Coordinator Officer (x2) Officer (x3) After hours Call Centre Leasehold Director Technical Manager Assets Asset Asset Finance and Corporate Services General Manager Management Compliance Accountant Accountant Executive Assistant Controller Accounts Assistant Financial Officer Officer (x2) (x3) Administrator Receptionist Consultant Manager Business Systems System (x2) HR Michele - Team Leader Housing - talking to attendees at the launch of Hand Up HOW WE OPERATE HOW 39 40 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Sydney. He graduated Funds Management in executive director at EG Mark is currently an investment company. of anAsian property GPT, and chairman and Lease Lend at management roles Group, fund and asset at DEXUS Property funds management including the head of senior executive roles, Asia. Mark has held Australia, the UKand management in in real estate funds 30 years’ experience Mark has more than Procurement Committee Member: Asset and real estate development, finance, Skill area: property 2015 Elected chair December Director since 2014 Chairman MRICS, GAICD Mark Turner BSc , meeting inNovember 2016. by Alan’s departure. Graham’s appointment willbesubmitted for ratification at the annual general Following arigorous selection process Graham Monk was Selected to fillthe casual vacancy created years ofservice and wish them well for their future. The Board and Management ofBridgeHousing would like to thank Vicki and Alan for their many served for eightyears. On26April 2016,Alan Revell resigned from the board after four years ofservice. On 15December 2015,Vicki Allenresigned from the Board as bothChairman and Director. Vicki had executive Directors, which means they are independent ofmanagement. is responsible for establishing our strategy and managing risks. AllDirectors are independent non- procurement, law, social policy development, information technology and HRmanagement. The Board or more areas: social housing management, finance, community welfare, property development and The BridgeHousing Board is askills-based board. Directors are chosen based ontheir expertise inone Our Board of Directors

newly-formed Northern administrator for the and is currently senior public servant, Dick is anexperienced Committee and Marketing Resources, Nominations Chair: Human administration and government management works procurement; local government; capital policy; planning and Skill area: Housing Director since 2009 FAIM, FAPI Dick Persson AM, BA, of Vicki Allen. following the resignation in December 2015, was elected chairman agent inNSW. Mark a licensed real estate member ofthe RICS and Administration, is a Science inUrban Land with aBachelor of of Portsmouth UK from the University

Foreshore Authority. the Sydney Harbour term as Chairman of completed athree-year and he recently Federal Government, Policy Review for the National Housing Director ofthe 1997–98 Services. Dickwas of Public Works and NSW Department of Health; and the Queensland Department and Planning; the Local Government Department ofHousing, for the Queensland respectively) including (in 1989 and 2003 Queensland and NSW general positions in He has held director Beaches Council. Audit Committee Chair: Finance Risk and risk management Skill area: and Finance Director since 2009 FAICDMIIA, Finance, FCPA, FTIA, MBA, Grad Dip Appl Shirley Liew,BBus,

and NSW Trains. Local Health District Blue Mountains member of Nepean and independent audit Credit Union Limited United Employees Group Limited, Hunter of Lantern Hotels the Audit Committee director and chair of director roles include firms. Her current chartered accountancy partner roles inmajor and held practice-led and business advisory, risk assurance, finance, 25 years experience in 2011. She has more than firm she co-founded in management advisory consulting and financial Services Pty Ltd, a Liew Probus Advisory while leading Shirley business interests, She is also owns various and audit committees. various risk, finance directorships and chairs with several board non-executive director Shirley is aprofessional Gary has retired Skill area: Corporate from a 40-year career and project funding, as a professional management and engineer in the NSW governance; property Government, where finance and structuring; he helped manage property development; the state’s buildings acquisitions, asset and and infrastructure portfolio management. in diverse roles encompassing policy, Alan has more than planning, evaluation, 40 years senior Carolyn Scobie, design, procurement Helen Wood, BSc management and BA LLB, Grad Dip and construction (Hons) Psychology, board experience in Vicki Allen, BBus, CSP, MA (Japanese), management. MRICS, MAHI the corporate and MBA, DFP, FAICD GAICD He is a trained property industries. Director since 2002 He is a professional Chairman Director since 2015 company director Director since 2007 with experience Skill area: Social non-executive director, is pre-qualified as a Chair since 2009 Skill area: Legal on the boards of housing from the Resigned December perspective of a NSW Government Member: Human several community 2015 organisations. provider; property independent chair and Resources, development member of audit and Skill area: Human Nominations and Member: Asset risk committees and resources Marketing Committee and Procurement was inaugural chair of Vicki is an experienced Carolyn has 25 years Committee a NSW Government- sponsored property non-executive director of legal experience Helen is a chartered and consultant. Her in corporate and entity. He is principal surveyor with 35 and chair of a property long executive career, commercial property years experience as a primarily in the and is responsible for and corporate advisory property professional, consultancy. Alan was property and financial all aspects of legal risk specialising in social, services sectors, management for QBE. founder, managing affordable and aged director and chairman includes senior roles She was previously housing development with companies such with the Goodman of the management and operations in companies of a as The Trust Company, Group, an integrated Graham Monk, the UK and NSW. MLC Limited and Lend commercial and BComm (Hons), FCPA, publicly listed real She was formerly estate investment Lease Corporation. industrial property MAICD CEO of a charitable Vicki is an independent group. Prior to trust; was managing Director since 2016 housing association director of Lend Lease non-executive Goodman, Carolyn in Central London. director of MTAA spent three years in Skill Area: Finance, Investments managing Helen has considerable all that company’s Superannuation Fund, the legal profession Real Estate and Funds experience in Deputy Chairman and six years as in- Management commercial property partnerships between in Australia, a director of Mirvac Funds house counsel with the Member: Finance Risk the not-for-profit Management Limited Japanese construction and Audit Committee of various other Lend sector and the private Lease subsidiaries and a non-executive company, Kumagai sector and until early director of a number Australia Group. Graham has and a director of the extensive financial 2013 was Manager of General Property Trust of subsidiary entities Carolyn is a member Capital Investment of BT Financial Group. of the Governance and commercial (GPT). Previously he experience, having at UnitingCare was General Manager She holds an MBA Institute of Australia Ageing, overseeing from The University of and a graduate of the worked for CSR, Lend of Westfield shopping Lease, Lion Nathan, its billion-dollar centres, responsible Melbourne as well as Australian Institute of property development a Bachelor of Business Company Directors. and Investa Property for the management Group. He now works program. She is of all that company’s from University of as a consultant and currently Director of Australian assets. A Technology Sydney, professional director, Independent Living at qualified accountant and is a Fellow of the advising Investa and UnitingCare Ageing and company secretary, Australian Institute of Westpac, and sitting NSW and ACT. Alan is a graduate Company Directors. on the boards of Tenix of the Harvard Vicki resigned from her Group, 151 Property School of Business position as chairwoman Core Plus Management Administration, and as a director in and Arcadia Funds International Senior December 2015. Management. Graham Management Program was appointed director and of the Australian in April 2016 Institute of Company Gary Milligan BSc, Directors. Alan BEng (Electrical) resigned from the (Hons 1), Grad Cert Board in April 2016. Human Resource Development, MIVMA Alan Revell, MBA Director since 2007 (Sydney), FCPA, FAICD, FCIS, FGIA, Skill area: Asset FAIM, FAPI, SMP management (Harvard) OUR BOARD DIRECTORS OF Chair: Asset and Procurement Director 2012 to 2016 41 Committee Resigned April 2016 42 BRIDGE HOUSING LIMITED compliance. and information management technology community welfare, development, finance, property public policy, management, HR combined experience of the executive team covers and tenancy property management, bring awealth of experience from the private, public and not-for-profit The sectors. Bridge Housing’s executive is an experienced and dedicated team of professionals that and is charged with delivering Bridge Housing’s strategic plan and business plan objectives. The executive is responsible to the Bridge Housing Board of Directors through the CEO ANNUAL REPORT 2016 Our Executive Team The Senior Executive Team pictured left to right: David Miller, Christopher Dib, Rebecca Pinkstone, John Nicolades John Pinkstone, Rebecca Dib, Christopher Miller, David to right: left Team pictured Executive Senior The

John Nicolades, BA, BSW, Partnership Agreement on Christopher Dib, BComm GradDipAppFin Remote Indigenous Housing, and (Land Economics), CPV played leading roles in significant Chief Executive Officer Director Development service delivery reforms. This John has led Bridge Housing includes the development of Christopher was appointed Limited since 2006, growing the Housing Pathways and new Development Manager in April organisation from 650 to 1,767 programs for homeless people 2013 and promoted to Director, properties. As CEO, he guides and women escaping domestic Development in September the company’s strategic focus. violence, and programs to 2014. He is responsible for encourage tenancy sustainability. delivering Bridge Housing’s Prior to joining Bridge Housing, development projects - most John held senior positions in David Miller, BBus, MBA (CPA), recently Bunya, Ashfield and the NSW Government and the GAICD Parramatta, and sourcing new community services sector. General Manager, Finance and development opportunities. John led affordable housing Corporate Services Christopher is a registered policy development in the NSW David was appointed General property valuer and an Associate Department of Planning and Manager, Finance and Corporate of the Australian Property NSW Housing from 2000-05. Services in October 2012. He is Institute with considerable From 1990-99 he was Community responsible for Bridge Housing’s property development Services Manager with the financial management, reporting experience. He previously Uniting Church Board for Social and compliance, as well as worked for AV Jennings, Responsibility. developing and managing where he undertook various He has also advised federal IT systems, best-practice HR developments valued at more and state governments on management, and risk and than $100 million. More recently, housing policy. compliance frameworks. Christopher worked for LAHC, acquiring and developing 130 Rebecca Pinkstone, BA, MPS David is a Certified Practising social housing properties valued Accountant and has extensive General Manager, Operations at around $25 million. senior financial, IT and general Rebecca joined Bridge Housing management experience. He has Christopher was also responsible in June 2013. Promoted in worked in the property industry for the Boarding House program April 2015 to General Manager, for the past 25 years, for large for Ageing, Disability and Operations, Rebecca is private and public companies Home Care. responsible for Bridge Housing’s including Jones Lang LaSalle, applicant, tenancy management Investa Property Group and and fee-for-service functions Clarendon Homes. as well as our community and These roles have provided tenant engagement initiatives, David with experience across supported housing programs and the commercial real estate, asset management operations. property management, property Rebecca has held senior development and residential positions in FACS and has construction sectors. David strong experience in delivering has had financial responsibility affordable housing initiatives, for budgets of more than $100 having been active in the NSW million and has extensive Government’s Property Transfer experience in developing Program and the Nation Building and managing best-practice Economic Stimulus Program. corporate services. OUR EXECUTIVE TEAM She also led the delivery of 43 the $397 million National Spotlight 3: The Community Team

A day in the life of a community team member is exciting and varied. The Bridge Housing Community We work across the whole organisation and with tenants from all walks of life. A typical day might involve organising the program for Team works with residents to an art exhibition while checking that our translations for an invitation implement a range of initiatives have gone through; talking to tenants about the impact of a particular project on their life or scoping a community garden site with tenants at designed to improve wellbeing their block; figuring out a way to hear young tenants’ views on services and strengthen a sense of and getting feedback from the Tenants Advisory Group; analysing data from one of our surveys, or running a workshop on good neighbourly community. relations. We talk, plan, involve, research, write and celebrate with our colleagues, tenants and other community organisations.

Community Team, from left to right: Rosie, Ha and Francesca BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 44 The Team is led by Francesca Vietnam. On moving to Australia, The team is focused on working Cathie, the Sustainable she worked as a bilingual with tenants and communities Communities Manager, who support assistant, assisting to implement a range of works on policy and project new migrants learning English. new initiatives developed development, project leadership, Ha has a Masters of Business under the plan, aimed at and event development. Prior Administration from the Asian the following key areas: to joining Bridge Housing, Institute of Technology, Thailand. 1. supporting successful Francesca worked for over 20 Ha says, “As a new starter at tenancies years in community and cultural Bridge Housing, I’ve received 2. making sure that tenants development in the government, amazing support from managers have a real say in the the arts sector and specialist and colleagues. I really enjoy the way we do things homelessness services. She has participatory approach, which a Bachelors Degree in Theatre, has been integrated in the way we 3. increasing access to Theory and Practice from the work together and with tenants!” opportunities University of Western Sydney. 4. strengthening neighbourhoods Rosie has worked in a number and community connections. Francesca says: “Whatever of administration roles and I have done throughout my is currently completing her The strength of the Building working career it has always been Certificate IV in Youth Work at Bridges Strategy and the work of about working with community TAFE. Rosie prides herself on the Team has been recognised strengths – I love my work with the providing good customer service, in the industry. In 2015, Bridge tenants and their families – and building strong relationships Housing was awarded the being part of an organisation and enabling tenants and their Excellence in Community that is true to their values”. families to access opportunities. Engagement Award at the NSW Awards for Excellence Ha Nguyen and Rosie Robinson The team is responsible for in Community Housing and are both new to the team, leading the implementation in the same year won the commencing in May and June of Building Bridges – Bridge Leading Tenant Engagement 2016 respectively. Ha and Rosie Housing’s Community Building Practice Award for Professional are responsible for working and Engagement Strategy. Excellence in Housing at the with tenants and assisting Building Bridges includes Australasian Housing Institute Francesca to implement a a three-year Community Awards for Professional number of projects and initiatives Action Plan, developed in Excellence in Housing. under Building Bridges. collaboration with tenants, household members, and Before joining Bridge Housing, our service partners. Ha worked for many years as a project manager in community development and training in SPOTLIGHT 3: THE COMMUNITY TEAM 45 46 BRIDGE HOUSING LIMITED services to our applicants and residents, and enable usto strive for greater success. business areas, our employees ensure Bridge Housing continues to provide high-quality Through acombination of their diverse skills, capabilities and experience across our developing and retaining talented employees, we can better deliver our vision and mission. The passion and commitment of is our the staff key to driving our success. By attracting, ANNUAL REPORT 2016 year we report on: a Human Resource Improvement Program. This of 2012–15, when we systematically implemented the platform laid inthe strategic planning period In 2015–16, BridgeHousing continued to build on Our People Our Ariana, Receptionist, assisting with a tenant enquiry atenant with assisting Receptionist, Ariana,

development needs ofstaff and the company career planning to balance the training and system, withafocus onstaff capabilities and changes to our performance management what is stillasmall company challenges ofproviding opportunities for staff in opinion survey, which inpart reflect the the results ofour fifth consecutive employee skills across our growing company brought onboard to ensure we have the right our changing staff profile as new staff are

in the workplace and onservice delivery. impact ofdomestic violence against women Accreditation to bring to the foreground the Program through seeking White Ribbon we extended our Equity and Diversity help build cross-unit cooperation program as we focused onusing this to this year extended our volunteer day our Health and Wellbeing Program community housing providers inAustralia in the top 25 percent oflarger Tier 1and 2 pay over-award salaries, which places us Significantly, Bridge Housing continues to available to BridgeHousing employees. which sets out the salary and benefits refreshing our Total Rewards Program, Departments Employee (percentage), 2013-16 Education Executive Housing and Community Assets Level achieved (percentage), 2014-16 Development Finance and Corporate Services 2014 2015 2016 100 45 90 40 80 35 70 30 60 25 50 20 40 30 15 20 10 10 5 0 0 PHD Postgraduate Bachelor Diploma Certificate Secondary Other 2013 2014 2015 2016 Degree Degree Education Education

Employee status Employee contractual status (percentage), 2013-16 Tenure Permanent F/T Permanent P/T Employee length of service by year (percentage), 2013-16 Fixed Term F/T Fixed Term P/T 0-1 1-2 2-3 3-5 5-10 100 100 90 90 80 80 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 2013 2014 2015 2016 2013 2014 2015 2016 Gender Salary band Employees (percentage), 2013-16 Staff salary band (percentage), 2014-2016 Female Male 2014 2015 2016 100 50 90 45 80 40 70 35 60 30 50 25 40 20 30 15 20 10 10 5 0 0 40-50 50-60 60-70 70-80 80-90 90-100 100+ 2013 2014 2015 2016

Employee age Employee age distribution (percentage), 2013-16 2013 2014 2015 2016 60

50

40

30

20

10 OUR PEOPLE 0 47 18-24 25-34 35-44 45-59 60+ average (percentage), to 2012-16 sector compared Housing Bridge Employee engagement 2011-12 48 BRIDGE HOUSING LIMITED CHP Sector Av ANNUAL REPORT 2016 2012-13 Bridge Housing 22 service areas: Redfern, across three operate from our head office in 46 FTE. Ourstaff members Housing staff complement was As at 30June 2016,the Bridge Profile Staff number ofnew roles, including: the appointment ofpeopleto a of the organisation through we also expanded the capability the business. During the year operations across all parts of reflect Bridge Housing’s growing The increase instaff numbers future growth. organisation as we prepare for the depthand skills ofthe These specialist roles add to

Compliance Officer Manager Assistant Development Services. Finance and Corporate Development Services Asset services) Operations (Housing and Officer an additional Asset Technical Specialist Arrears Management Executive Policy Officer Supported Housing Manager with asector specific benchmark with which to compare our progress. specifically for the Community Housing sector. Since that time, 12 community housing organisations have completed the survey which provides us people across 3,000organisations. In2013-14, the VoiceProject and Blooming HRwiththe support ofthe NSW Housing Federation developed asurvey at Macquarie University that specialises inemployee opinionand engagement surveys. The company has conducted surveys ofmore than 1million Bridge Housing contracted Voice Project inSeptember 2011to undertake its firstEmployee Opinion Survey (EOS). Voice Project is a research company 2013-14 2014-15

2015-16 appointed inJune 2016. candidates, withanew director very qualified and experienced interest inthe role from 24 process. We were able to attract role during the recruitment a staff member to act inthis development program enabled note that our succession and in May 2016.Itis pleasing to take upacontract at LAHC Director ofAssets leaving to with the exception ofour stable throughout the year, Our executive team remained with internal candidates. leader positions were filled returns. Two vacant team 2014, is also starting to provide program, undertaken since Our leadership development (EOS) fifth Employee Opinion Survey In 2015–16, we conducted our Survey Employee Opinion note significant improvements in We are particularly pleased to areas measured inthe survey. there were increases in most score remained relatively stable, Whilst the headline engagement below the sector average. engagement score was slightly 75 percent last year. The 2015–16 engagement, slightly down from achieved 74 percent employee per cent response rate and 40 80 60 90 50 20 30 70 10 0 22 . We received a100 Bridge Housing compared to sector average (percentage), to 2016 sector compared Housing Bridge Employee opinion survey Mission Mission Bridge Housing Comm Org Direction Org CHP Av Leader- ship survey: action plans after last year’s the areas we focused onspecific to this result, including: drivers that are contributing and there are anumber of through planning workshops has beenexamined withstaff low intention–to-stay score. This being held back by arelatively the overall engagement score is Further analysis identifiedthat 93 percent). and values 97 year percent (last year 81percent) and mission job satisfaction 84percent (last yearper cent (last 86percent); organisational commitment 85 organisational measures: strongly inother key We continue to score very

to 61percent cross-unit cooperation from 36 appointed into acting uproles. security as aresult ofstaff being some uncertainty withjob organisational growth lack ofcertainty about future grow into lack ofavailable positions to 48 to 62percent. recruitment and selection from safety from 64to 81percent 84 percent grievance-handling from 65to per cent risk management from 40to 75 Learning & Dev & Remun- eration

Satisfaction Satisfaction Job Intention to stay to stay

100 40 80 60 90 50 20 30 70 10 0 Separation reasons (percentage) 2015 & 2016 2015 2016 60%

50%

40%

30%

20%

10%

0% Career Performance Family/personal Contract Development reasons finished

A number of these organisational We undertake a comprehensive This transparent system is issues can only be addressed by exit interview when a staff available on smart phone, the growth of the organisation. member leaves, which in addition tablet or PC. This is something that is clearly to our EOS, provides additional Cognology is also used to targeted through our 2016–18 information on our strengths provide induction training Strategic Plan and 2016–17 and where we can improve. In to onboard new employees Business Plan, in particular 2015–16, of the ten staff who left and track their progress and our Fit for Growth Plan which Bridge Housing, half cited career performance through the aims to place Bridge Housing development, which is consistent probationary period. The in a good position to increase with our staff engagement induction process includes its portfolio through the results, with a further 40 per modules on preventing bullying Property Transfer Program. cent being for personal reasons and harassment, customer such as family relocation. We A review and planning session service and introduction to also recognise that in some will be held with all staff in August community housing, which are areas of the work, particularly 2016 to report on the results and added to each new employee’s housing management, the develop an action plan to address probationary performance plan. average employment period areas of concern. This is in Completion of these compliance is about three years because addition to a number of initiatives modules, as well as assessment of of the demands of these already identified in the 2016–17 the employee’s behaviour against face-to-face positions. Business Plan that will directly the corporate values, forms part address concerns identified of an employee’s probation through survey results, including Performance and underpins their successful various IT initiatives Management transition to permanent employment. In addition, we development of a long term In 2015–16, Bridge Housing provide new employees with accommodation/office plan continued to embed and shadowing opportunities implement our new online talent focus on process and across all the functional areas of management system, Cognology. procedure improvement. Bridge Housing, so employees Our talent management system understand the totality of Bridge Staff Turnover is used to: Housing operations. In 2015–16, our staff turnover was 1. assess capability and develop Cognology also provides 22 per cent, or ten of our 46 FTEs, individual development plans staff and managers with a up from 16 per cent in 2014–15. 2. request and track training reporting tool where we can We believe that a certain level of 3. monitor progress and rate look at capability strengths staff turnover is healthy, as new overall performance against and weaknesses across the employees bring fresh ideas, individual and corporate KPI’s organisation, which helps with although the current turnover is determining training needs at the 4. document individual career slightly above our target range. individual and organisation level. plans

5. document evidence, OUR PEOPLE performance discussions and 121 meetings. 49 50 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 7. 6. 5. 4. 3. 2. 1. of what is available to them through the program, which includes: week’ communication email to ensure that all staff members are aware members to the program and also introduced aweekly ‘benefit ofthe We launched our annual Total Rewards Program to introduce new staff Total Rewards Program Conferences organisation Cross- Finance Assets community Housing and Executive 2015–16 saw usundertake the following training and development: management system. plans that each staff member completes inthe online talent derived from the individual capability assessments and development Each year BridgeHousing develops atargeted training calendar that is job training. Bridge Housing continued to offer face-to-face, eLearning and onthe people for succession, significantly reducing our risk. these opportunities supports our growth plans and also prepares the opportunity for promotion, higher dutiesoracting up. Offering During 2015–16 we offered nine people(18percent ofour workforce) employee opinionsurvey. scores inthis area at its highest level since the commencement ofour opportunities helped BridgeHousing maintain employee satisfaction Housing. Ourcommitment to learning and development and career Learning and development continues to beafocus for Bridge Learning Development and 10. 9. 8.

recognition awards packaging salary discount food and coffee from local retailers study assistance flexible working arrangements a day offfor your birthday annual flu shots and skin checks weekly delivery offresh fruit gym discounts paid parental leave (above the government scheme).

NSW Residential Conference Planning Issues Update Bullying and Harassment (on commencement) Leadership Program Writing Skills Business Writing Skills and Advanced Respectful Workplaces Training Demystifying Asset Management Finance for Non Finance Managers Assets Forum Work Health &Safety Training Residential Tenancy Act Change management Partnerships Masterclass Neighbourhood Masterclass Strengthening Workplace Communication Complex Needs and face-to-face delivery Mixed Tenure Housing Seminar Applications and Allocations at the Melbourne Business School CEO attended Leading for Strategic Success Directors Course General Managers attended Company face and telephone support. members through bothface-to- Program was used by nine staff Our Employee Assistance from 85percent to 90percent. cooperation, and teamwork to 61percent incross-unit increasing from 36percent survey withthese categories clearly measurable through our cohesiveness. The results were cooperation and improve team strategies to build cross-unit aligned withour HR All these events and programs and Community. raised $4,170 for Weave Youth members ofour staff ran and September 2015.Twenty-four Blackmores BridgeRunin paid their entryto the annual training program for staff and charity we held aneight-week to getfitand raise money for massages. For those wanting which offers monthly seated reflexology with our program program by introducing We also extended our health 3. 2. 1. the following organisations: choose to volunteer at one of additional days leave and can Each staff member is given an department volunteering days. We introduced cross department communication. relationships and cross resilience, improving internal included afocus onbuilding Our Wellbeing program business. demographic and needs ofour and adjusted based onthe Wellbeing program was aligned Our 2015–16 Health and Program Health Wellbeing and the industry benchmark. cent, which is 11percent above continues to behigh at 91per our Total Rewards Program Our employee satisfaction with or inthe soup kitchen). (working withhomeless Exodus Foundation (working withchildren) Ronald McDonald House RSPCA (animals) Diversity Workforce diversity (percentage), 2015-16 % staff Management 100

80

60

40

20

0 Women CALD

Equity and Diversity Arabic, Cantonese, French, Our People Strategy Greek, Mandarin, Portuguese, Bridge Housing is committed to Spanish and Tagalog and we During 2015–16 we developed employment equity and diversity. have budgeted to employ an a three-year people strategy to In 2012–13, we formalised this Indigenous-identified Housing support the delivery of our 2015– commitment by approving a new Manager in 2016-17. 18 Strategic Plan. The following Diversity Policy. are the key strategic objectives: Our policy states that we are White Ribbon 1. plan – Align the structure committed to workplace diversity, Accreditation and capability for our staff we value and respect our to deliver current and future differences, and our workplace is In 2015–16 Bridge Housing business goals fair, accessible, flexible, inclusive commenced the journey to be 2. source – Attract and retain the and free from discrimination and an accredited White Ribbon best people who are engaged harassment. By drawing on a Workplace. This program is and deliver high performance wide range of points of view, we being sponsored by our CEO and outcomes for the organisation it will be embedded throughout can work to our full potential in 3. perform – Drive performance our people strategy in a number achieving our business goals. by aligning the business goals of its elements including: Women make up 76 per cent of to individuals and managing 1. training and development our employees, consistent with misalignment – all staff will receive the gender balance in the health 4. develop – Develop skill and training in regards to and community services sector. capability to enhance outcomes identifying and responding We met or exceeded our target for the organisation, its people to violence against women for diversity in management, and its stakeholders 2. we will adjust and re write with 50 per cent of the senior 5. reward – Drive employee HR policies to include management team positions engagement and performance our response to violence held by women. In the Senior through fair and leading against women Executive Team, women edge reward and recognition comprise 25 per cent. 3. we will volunteer at a programs White Ribbon event on As at 30 June 2016, we continue 6. measure – To ensure the HR White Ribbon day to exceed the gender targets strategies and programs are established in our Diversity 4. we have signed the delivering the desired results Policy. Consistent with best pledge and have branded and outcomes. practice we have committed to no our email signatures, fewer than 40 per cent of board webpage and intranet with positions being held by either White Ribbon logo gender – currently 43 per cent of 5. we will work with our Bridge Housing Board positions suppliers and customers to are held by women. ensure they are educated to identify and respond to We embrace a culturally diverse violence against women. workforce, which reflects the breadth of diversity of our We will join the growing list of applicants and tenants. Our accredited organisations by 2017. staff members variously speak OUR PEOPLE 51 52 BRIDGE HOUSING LIMITED Governance Council in 2014. issued by the ASXCorporate third edition, the against practices Housing’s governanceBridge Recommendations. We measure Governance Principles and based on the eight ASX Corporate GovernanceOur Principles are ANNUAL REPORT 2016 good corporate governance. to reflect our commitment to voluntarily follow the principles community housing provider, we principles. However, as aleading no obligation to adopt these charity, BridgeHousing has duties. As anot-for-profit diligence incarrying out their reasonable care, skills and responsibilities and exercise legal, and financial and audit address their corporate, Principles ensure our directors The Corporate Governance Governance Principles Our Governance Dick Persson responding to a question from a tenant at the 2015 AGM 2015 the at atenant from to aquestion responding Persson Dick are detailed below. Principles and Recommendations ASX Corporate Governance conforming to the aims ofthe Bridge Housing’s actions in ethical corporate citizen. contractor and aresponsible and as atrading entity, anemployer, a Constitution and its obligations Bridge Housing abides by its legislation, and ensure under federal and state aware oftheir responsibilities Bridge Housing’s directors are  1. responsibilities are to: The Board’s primary The role of theBoard

management between the Board and balance ofresponsibilities separation of authorities and ensure the appropriate achieve those goals approve strategic plans to establish goals long-term and oversight for management and Lay solid foundations

developments and divestments expenditures, acquisitions, and plans, including capital strategies, financial objectives review and approve major activities monitoring ofcompliance together withappropriate systems ofinternal control, ensure that there are adequate manage these risks strategies are inplace to risks and ensure effective identify significant business resources and support has the necessary skills, ensure that the organisation and financial performance, and budgets, monitor management review and approve annual and monitoring performance set the conditions ofservice select and retain the CEO and responsibly. remunerate fairly and Board meetings and expertise in one or more of objectives for achieving gender committees the following areas: social diversity. Companies must report housing management, finance, annually on their achievement The Board meets every second community welfare, property against those objectives and month and has established development and procurement, on the proportion of women three standing committees – law, social policy development, employed by the organisation, in the Finance, Risk and Audit accounting, asset management, senior management roles and on Committee; the Asset and information and technology, and the board of directors. Procurement Committee; HR management. The Bridge Housing Board and the Human Resources, To provide effective governance determined that diversity Nominations and Marketing and direction to Bridge Housing, on the board and within the Committee – to help it consider the Board will seek and appoint organisation is critical to and make decisions about directors who meet the skill effective governance and good operational matters. From categories, and who, between organisational practice, as it time to time it may establish them, can reliably carry out all the encourages alternative views. time-limited committees. necessary functions of the Board. In December 2012, we approved How we do this How we do this a Diversity Policy that applies Bridge Housing directors to the Board and company. The We regularly assess the skills regularly review their own Diversity Policy calls for at least held by Board members to performance. The directors 40 per cent of directors to be of identify gaps or areas that need approved a Deed of Access either gender. As at June 2016, 43 enhancement to support our and Indemnity at the October per cent of directors were female. strategic plan and business plan 2013 Board meeting for all However, we recognise that objectives. We also advertise to directors and senior managers diversity goes beyond gender get the best-qualified director of Bridge Housing. and incorporates culture. We for the position. Information had hoped to establish a Bridge To assist new and existing about the skills, experience Housing Diversity Council in directors, we established a Board and expertise of directors 2015–16, chaired by the CEO, Charter in December 2011. This and executives is available at to help drive a comprehensive augments the Bridge Housing www.bridgehousing.org.au. company Diversity Strategy. This Governance Principles by setting The Bridge Housing Board has been delayed and the council out the role, responsibilities, approved and introduced will now be formed in 2016–17. structure and processes of the the Bridge Housing Board Bridge Housing will call on its Board. It also details the support Charter and Director Induction experience as a member of the that will be provided to directors, Program in 2011–12 to provide Diversity Council of Australia to including an annual training more comprehensive advice help develop this strategy. budget of $2,000 per director. on the terms and conditions All directors are encouraged of appointment, procedures What we did this year to undertake the Company for taking independent Directors Course run by the With the resignations of Vicki advice, and access to training Australian Institute of Company Allen and Alan Revell from programs to maintain director Directors (AICD) within the first the Board, we searched for a effectiveness. The Induction year of their directorship. replacement director. We used Program provides access to the skills matrix to confirm that Bridge Housing’s operations the financial expertise that would What we did this year through structured meetings with be lost with Alan’s departure general managers and site visits, Our only new director, Graham would be a key consideration which enable directors to gain Monk, had completed the AICD in selecting a replacement. a deep understanding of Bridge course prior to his appointment The Board interviewed four Housing’s business. as a director so there were no candidates and appointed actions this year. In July 2010, the ASX Corporate Graham Monk in line with the Governance Principles casual vacancy provision in the 2. Structure the Board and Recommendations Bridge Housing Constitution. to add value adopted diversity-related See Our Directors on page 40 for

amendments. These included details of Graham’s experience. OUR GOVERNANCE The Bridge Housing board the recommendation that listed is skills-based. The board companies adopt a diversity 53 chooses directors who have policy that sets measurable 54 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Corruption Risk Assessment. the 2015–16 Fraud and that were identifiedduring risk mitigation strategies the improvements to our During the year we implemented What we did this year bridgehousing.org.au. details are available at www. has beenavailable. More in the two years this facility Bridge Housing’s activities reports have beenmade on report fraudulent activity. No suppliers and customers to Housing employees, vendors, with OnCall to enable Bridge the online reporting portal Blower Policy, we renewed To enhance our Whistle the highest ethical standards. and other staff members act to directors, the executive team of ethicspoliciesensures that do business with.Oursuite and employees and those we relationships between directors and guidelines for appropriate business withBridgeHousing, required by those who do out the standards ofbehaviour Statement ofBusiness Ethics sets values are listed onpage 3.The of our directors and staff. These culture and behaviours required provided the framework for the set ofvalues in2011–12 that Bridge Housing adopted anew How we dothis policies and documents: are expressed inthe following highest ethical principles, which and employees. Itadheres to the when dealing withcustomers integrity, respect and fairness the highest standards ofhonesty, Housing conducts its business to The Board ensures that Bridge  3.

Whistle Blower Policy. Tenants’ Rights Statement Statement ofBusiness Ethics Register ofInterests Policy Managing Conflict ofInterest Gift Policy Fraud and Corruption Policy and Staff Code ofEthics for Directors Code ofConduct for Directors making responsible decision Promote ethical and from Tim Sheeny, ARA Chairman ARA Sheeny, Tim from Award Gold fourth our receiving Turner Mark and Nicolades -John Awards ARA formal charter to: Risk and Audit Committee witha We have established aFinance, How we dothis standards. accounting accordance withinternational in all material respects and in condition and operational results of the organisation’s financial present atrueand fairview Housing’s financial statements The Board ensures that Bridge  4. indicators to our stakeholders. the importance ofthese key viability measures to explain commentary onour key financial report card withadditional In 2012–13, we augmented the performance oncritical KPIs. on page 86,measures our Our Five-Year Report Card, performance indicators (KPIs). financial and operational key performance against comparative reports that track our financial receive comprehensive financial Management and the Board

adequate. is coverage insurance ensure BridgeHousing’s audit functions are effective ensure external and internal financial communication statements and external ensure the integrity offinancial internal controls including compliance and management framework, maintain aneffective risk financial reporting Safeguard integrity in 2015–16 financial years. reappointed for the 2014–15 and our external financial auditor, and appointed inNovember 2013as known as CLERP9). BDOwas Disclosure) Act 2004(also (Audit Reform and Corporate Law Economic Reform Program the principles inthe Corporate independence, and to adhere to to maintain objectivity and auditor rotation is important The Board believes that external Report onpage 76. Finance and Corporate Services internal audit are detailed inthe forecasting. The outcomes ofthe modelling, and budgeting and focused onfinancial reporting, Board. The 2015–16 internal audit Audit Committee, and to the chair ofthe Finance, Risk and by adirect reporting line to the of our internal audit process We protect the independence the next three years. conduct our internal audits for subsequently appointed PFKto Services during 2015–16, and We tendered our Internal Audit What we did this year objectively expressed. is factual and clearly and staff, and that the information funding bodies,members and support agencies, regulatory and Housing’s stakeholders, clients, in atimely manner to Bridge information is made available The Board willensure that  5. balanced disclosure balanced Make timely and

Carolyn Scobie responding to a question from a tenant at the 2015 AGM

How we do this operations (and its response) How we do this that damages or has the potential Bridge Housing is not subject to to damage the reputation of the Bridge Housing has members the ASX Continuous Disclosure community housing sector. but not shareholders. We hold our rules but adopts the principles. AGM in November and make our We are committed to a culture Bridge Housing’s Notifiable Annual Report available to our of strong governance and Incidents Policy guides our members and other stakeholders transparency, and to being a practice in this area. There were through our website or office. leader in the not-for-profit and no notifiable incidents during As discussed under principle community housing sectors. 2015–16. Our Media Policy delegates media comments 5, securing transparency and Our transparency and to the CEO or chairman. reporting awards shows our governance has been externally commitment to providing reviewed and validated through What we did this year information with enough detail the PwC Transparency Awards, to enable Bridge Housing Australasian Reporting Awards Bridge Housing received a Gold to be held to account. The and NSW Awards for Excellence Award for its Annual Report 2015 Chairman and the CEO report in Community Housing23. in the Australasian Reporting to members at the AGM, Awards – the fourth year in a and directors are available We are subject to the disclosure row that the Annual Report to answer any questions. provisions of the National has achieved this distinction. Regulatory System for Our external auditor attends our Community Housing, specifically AGM and is available to answer the Probity Performance 6. Respect the rights members’ questions about the requirement 5(d) of Performance of Bridge Housing finances of the organisation. Outcome 5 in its Evidence members Guidelines. To maintain the What we did this year reputation of the community The Board will ensure that Bridge housing sector, community Housing has policies, systems There were no specific actions housing providers are required and procedures that promote the this year. to notify the primary registrar interests and rights of members of any incident related to their and allow them to effectively OUR GOVERNANCE exercise those rights. 55

23 PwC Transparency Awards ceased in 2013. Bridge Housing won the Best New First Time Entrant for our 2011 Annual Report. It was included in the Best Top 10 Report from 2010 to 2013. 56 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 program for 2015–2018. approved aninternal audit During the year, the board appropriate cash reserve. policy helps determine the development program, the required to deliver our property example, given the borrowings the Board’s risk appetite. For financial risks and determines framework to manage our provides acomprehensive Treasury Policy in2011–12 that Bridge Housing developed a Services Report onpage 76. the Finance and Corporate Plan 2015–16 is outlined in team. The Risk Management Board by the management risks reported quarterly to the mitigation actions ofhigh-rated annually, withthe status and the Risk Management Plan board formally approves NZS ISO31000:2009.The management framework AS/ transition to enterprise risk In 2012–13, we completed the Plan objectives. our Strategic Plan and Business us inorstop usfrom fulfilling manages risks that may hinder internal and external risks. It Management Plan identifies Our comprehensive Risk How we dothis ensure goodinternal controls. systems and procedures that sound risk management policies, Housing has comprehensive and The Board willensure that Bridge 7.  risk Recognise manage and chair since July 2015. filled the role ofindependent of Jattca Property Solutions has committee meetings. Tina Tang and afresh perspective to the an additional level ofexpertise expert inthe field, to provide chaired by anindependent Management Committees be requested that the Development development arena, the board Housing further into the associated withmoving Bridge To further mitigate the risk Committee meetings. the Assets and Procurement meeting, and are discussed at reported to the board at each Updates oneach project are progress onamonthly basis. Committee that oversees the Development Management Each development has a processes inthat area. enhance risk management Housing has prompted usto activity undertaken by Bridge The increased development What we did this year accommodation. including travel, meals and related to board activities are reimbursed for expenses for their services. Directors and donot receive payment serve onavoluntary basis Bridge Housing directors How we dothis including the CEO. qualified and motivated staff, practices help retain and attract and employment policiesand Bridge Housing’s remuneration The Board willensure that  8. responsibly Remunerate fairly and Services Industry Award. Home Care and Disability above the Social, Community, Bridge Housing employees award-based staff, placing and benefits package for an improved remuneration Housing Board approved In 2012–13, the Bridge government sectors. the community service and for comparable positions in that take into account salaries regular remuneration reviews Executive salaries are set via facilitated by the AICD. Company Directors Course, members to undertake the director and pays for board of $2,000perannumfor each also allocates atraining budget Bridge Housing Board Charter As noted inprinciple 1,the Risk and Audit Committee. Alan’s place onthe Finance, replacement director, taking Monk was appointed as a from the board, and Graham April 2016,Alan Revell resigned resigned from the board. In In December 2015,Vicki Allen addition to committee meetings. board meetings were held in During the financial year, six 2015–16 directors of Meeting senior executive team. external salary review for the We conducted the scheduled What we did this year Attendance by each director during the year is shown in the table below.

Human Resources and Assets and Nominations Procurement Finance, Risk Board meetings Committee Committee and Audit

A B A B A B A B

Vicki Allen 2 2 3 3 X X X X

Shirley Liew 6 4 X X X X 6 6

Gary Milligan 6 6 X X 6 6 X X

Dick Persson, AM 6 6 6 5 X X X X

Alan Revell 4 2 X X X X 4 3

Carolyn Scobie 6 6 6 5 X X X X

Mark Turner 6 6 X X 6 5 X X

Helen Wood 6 6 X X 6 6 X X

Graham Monk 2 2 X X X X 2 2

A: Number of Meetings Eligible to Attend Chair of meeting Eligible to attend B: Number of Meetings Attended X: Not a Member of the Committee OUR GOVERNANCE 57

Guest speaker Professor Peter Phibbs at 2015 AGM Spotlight 4: Community building and tenant engagement at South Coogee Estate

Building Bridges – Bridge Housing’s Community Building and Engagement Strategy outlines our community building and tenant participation approach. We have a diverse property portfolio across 20 LGAs. We recognise that in areas where there are concentrations of social housing tenants, either in particular geographic locations or in multi-unit dwellings, a place- based approach works best to engage with tenants. Bridge Housing currently manages 98 properties across 13 blocks on the South Coogee estate that house 160 tenants. Some of these are mixed-management blocks including public housing tenants, where Bridge Housing has responsibility for the common area maintenance.

Since assuming management Bridge Housing has also led In 2015, tenants from the South under the Property Transfer the development of Stickybeak Coogee estate were invited Program, we have been Tours, as a way of encouraging to take part in a participatory working with residents and tenants to get to know the budgeting process. Twenty local local community organisations range of services available in tenants attended the workshop on a range of initiatives to their local community. Bridge and were given information improve amenity and enhance Housing partnered with the local about the funding available for community cohesion. neighbourhood centre, FACS common area improvements. South East Sydney District, and Tenants were then provided Bridge Housing has an active several local services to organise with the opportunity to discuss program of block meetings two tours – one for parents and the asset works they thought that form a core element of our one for seniors. were needed and to prioritise tenancy management approach. those for action. Residents at Block meetings give tenants Housing managers work to the workshop prioritised the the opportunity to meet their identify and engage socially installation of bin bays followed housing manager and their isolated tenants to participate by external fencing as key asset neighbours. They also assist to in the tours, which each take 25 works to address amenity and bring neighbours together to tenants. There was a high level waste management issues. discuss and develop collective of satisfaction and ongoing solutions to neighbourhood benefit for tenants linked in to issues including waste new services. As a result of these management and parking, as well tours, FACS has identified a as collaborating on community need for accessible community gardens or grants projects. They transport in the estates and has are a great opportunity for Bridge proposed a joint working group Housing staff to meet with and to address this issue. involve hard-to-reach tenants and gain a deeper understanding of the tenant community. BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 58 Bridge Housing worked with a of the community, council and from Bridge Housing and the pro bono architect firm, MAPA, FACS, which owns the properties. Community Greening Project to engage tenants in a design run by the Royal Botanic As a result of this work, five process, working in partnership Gardens. Randwick Council tenants have signed up to with Randwick Council’s waste has also agreed to run a waste establish a community garden management team. The final education program in the estate in their block, with support design meets the requirements to support waste management. SPOTLIGHT COMMUNITY 4: BUILDING AND ESTATE COOGEE SOUTH AT ENGAGEMENT TENANT 59

Tenants participating in the Our Space Green Space workshop Operations Report

employment clauses to managing new fee-for-service enhance employment arrangements for affordable The Operations team is Bridge outcomes for disadvantaged housing and developing Housing’s major customer service groups including tenants partnerships to grow our portfolio (see Spotlight 5 on page 68) under management. team, combining responsibility for reviewed and tendered for The team is also responsible for tenancy management services; our new lawns, grounds and allocating properties in a timely allocations and accessing housing; cleaning contracts manner and overseeing the improved our Customer large numbers of management asset management services; Service Standards and transfers across our leasehold and leading Bridge Housing’s developed an online portfolio. These transfers Customer Service Guide are primarily driven by the community building and tenant implemented Year Two constrained rental market and engagement initiatives. of our Building Bridges increases in rental prices. community building and Deliver quality homes engagement strategy and services to our launched Hand Up, a residents This section of the Annual new innovative arrears management program Report: Through our proactive tenancy established a new partnership and asset management we presents the Operations team with YWCA to support older ensure our properties are safe highlights for 2015–16 women at our new Ashfield and secure, and provide a reports on how the Operations development (See Spotlight 2 platform for tenants to engage in team has delivered on its on page 32) their broader community. critical success factors established a new Housing Ensure business provides an overview of the key & Support Specialist role activities undertaken during to drive our supported sustainability the year housing partnerships Operations also worked closely outlines our objectives for and sustain tenancies with Finance and Corporate 2016–17. implemented a tenant Services to help achieve the communication survey critical success factor of ‘ensuring Highlights of 2015–16 with a 47 per cent response business sustainability’. rate, to better target our In 2015–16, the Operations team: They ensured the organisation’s communications extended our partnership arrears, vacancies and voids achieved an overall with Caretakers Cottage, a were kept to a minimum to satisfaction level of 90 per youth homelessness agency, reduce revenue loss, and cent for our responsive by assuming property and reviewed rents every six months maintenance services. tenancy management of 19 to ensure our residents were properties used to house paying the correct rent. Critical Success Factors homeless young people in The introduction of a new Eastern Sydney The Operations team played position to manage complex extended our partnership a key role in delivering the tenancies with high arrears has with Sydney Olympic Park following critical success had major benefits, with tenant Authority (SOPA) with 24 factors to meet our Strategic debt levels dropping during the affordable housing properties Plan 2015–18 and Business Plan year from 1.9 per cent to 1.3 per under management 2015–16 goals. cent and greater numbers of at- risk tenants receiving appropriate implemented Connect 100 Enable strategic portfolio Homeless Persons Initiative support services. with 14 people housed and growth their tenancies sustained The Operations team’s job is to implemented a new head support strategic portfolio growth

BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL contractor model for repairs that delivers quality homes and and maintenance services services. They contribute to this 60 worth $3.4m, which included objective by negotiating and Business Plan 2015–16 The Operations team played a key role in helping us meet the critical success factors laid out in our Business Plan 2015–16, as shown below. Key: completed in progress not completed

Measure How did we do?

Strategically grow the portfolio to meet affordable housing needs in the community

Transfer and tenant 19 SOPA properties 24 under management

Proactively identify fee-for-service opportunities 19 properties for young homeless young people under management in partnership with Caretakers Cottage

Review of NDIS to determine opportunities for Implemented NDIS action plan for Bridge affordable housing and service expansion Housing

Deliver quality homes and services to our residents

Implement Year 2 of the Building Bridges 60 per cent of projects completed and 40 per Strategy cent in progress and due for completion Q1 2016–17

Embed Customer Service Standards Face-to-face training for new starters and online Customer Service Guide for staff

Implement the Good Neighbours Project to Two workshops delivered in Balmain and encourage positive neighbourhood relations Granville, with 100 per cent of tenants satisfied or very satisfied with the workshop

Employment of disadvantaged groups Clauses established in new repairs and including tenants through our new maintenance maintenance head contracts and embedded in contracts lawns, grounds and cleaning contract

Implement the Bridge Housing in Communities Community events held for Anti-Poverty Week initiative to celebrate and strengthen our 2015, Harmony Day 2016, and NAIDOC connections with residents and communities Week 2016. Bridge Housing also supported the Redfern Waterloo Volunteer Awards, Homelessness Connect, Mental Health Week, NAIDOC Week and Yabun Festival

Implement the Big Ideas Grants Program to Five projects funded to date – Saturday Morning provide resourcing for tenants that want to work Art Club, Sewing Club, South Coogee Gathering to improve outcomes for the tenant community Space, Camperdown foyer beautification, and Poetry mapping project (in partnership with Cliff Noble Community Centre)

Implement an action plan to respond to the Action plan completed. New biennial survey 2014–15 Tenant Survey and customer service and benchmarking approach to customer REPORT OPERATIONS benchmarking and review our benchmarking satisfaction developed in consultation with 61 approach. tenant community 62 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 the business Embed our Customer Service Standards across connections withcommunity services social isolation oftenants and improved Implement the Local Links Initiative to reduce opportunities education, work experience and employment support tenants to improve their access to Implement the Streets Ahead Initiative to needs tenants place to sustain tenancies for highand complex strong procedures and business processes in Partners Review to ensure BridgeHousing has Implement the outcomes ofthe Support decision-making and quality service delivery and Procedures to support clear, transparent Develop arange ofnew Housing Policies Homelessness Hub establishment ofanInner City Housing and Complete abackground paper examining the for homeless peopleacross the inner city 100 initiative to provide ahousing first approach Implement the NSW Government’s Connect providers to drive quality service delivery Establish anauditing regime withmaintenance and lower costs for tenants support improved environmental sustainability saving features in BridgeHousing properties to Participate inthe NSW pilotto retrofit energy within budget and meet tenant needs so that our homes are maintained at standard, responsive and planned maintenance services Implement new maintenance contract for Program Implement the Hand Up Tenant Arrears Measure Measure How did we do? Key: Volunteer Policy developed held for tenants inMay 2016. New Tenant session withemployment and training services our youth scholarship program. Information provide information into the development of for children and young peoplecompleted to Orbit Launch Pad and OrbitSnapchat project negotiations signed in2015–16and another seven infinal Eight new partnership agreements were partnership working and tenancy sustainment. drive new partnership development, better Housing and Support Officer recruited to and Rent Policy reviewed and/or developed Management Policy, Affordable Housing Policy Domestic Violence Policy, Leasehold and online training guide Development ofCustomer Service Guidelines Customer Service refresher training for all staff. office accommodation will bedependent ongrowth and relocation of Paper completed –future development ofahub 14 clients housed under initiative new contracting regime Existing audit approach under review inlightof Did not pursue dueto funding priorities to 90percent over the period arrangements and tenant satisfaction increased 2016. The change has streamlined contracting New head contracts went live on2February engaged inprogram arrears to sustain their tenancies. Seven tenants Hand Up Program to enable tenants with Worked withLegal AidNSW to develop the interagencies across our operating area regularly attend housing and homelessness counselling for residents. Staff members Good Shepherd to provide onsite financial cent oftenants intheir homes. Partnered with focus ontenant wellbeing, visiting 80per Revised our annual property inspection to completed inprogress not completed Key: completed in progress not completed

Measure How did we do?

Effective governance

Develop a framework to measure the social Initial framing work completed. Finalisation on impact of our service delivery to support the hold pending completion of work by NSW FHA sustainability of the business and enhance and FACS Outcomes Framework. Included in community outcomes 2016–17 business plan

Work closely with tenants to ensure they have a Workshop held with tenants to develop Tenant real say in our operations and planning Code of Conduct. Due for launch 2016–17. Reconciliation Plan developed and drafted with Aboriginal and Torres Strait Islander Tenant Advisory Group and submitted to Reconciliation Australia for endorsement. Will be launched in 2016–17

Ensure business sustainability

Keep arrears at or below the regulator’s Arrears fell from 1.95 per cent to 1.26 per cent in benchmark 2015–16

Keep voids and vacancies at or below the sector Voids at 26 days, which is in line with last benchmark year. Vacants at 17 days, still slightly above the benchmark

Implement an action plan to improve the Established a dedicated Leasehold Manager management of leasehold program position to drive efficiencies in securing rental properties

Achieve tenant satisfaction with asset Achieved 90 per cent satisfaction with maintenance services of at least 75 per cent maintenance services

Continue a strategic whole of life approach to Ten year Strategic Asset Management Plan asset management underway. Due for completion due in Q1 2016–17

Delivering Quality Applying for housing and ongoing need for affordable housing in Sydney. Services to Applicants Demand for affordable housing, and Tenants including social housing, far The Pathways team completed exceeds supply in NSW. At 282 allocations into Bridge The Operations team engages June 2015, around 59,035 people Housing’s property portfolio directly with our tenants through are registered on Housing during 2015–16, an average of our application and allocation Pathways, the NSW Housing 24 allocations per month. This services, tenancy management Register (waiting list). The represents an increase of 139 services, rent review, asset Bridge Housing Pathways per cent from the previous management services, and team assesses applications year’s 118 allocations. The large community building and for social housing assistance increase can be attributed to engagement work. and allocates Bridge Housing an increase in the number This year was particularly properties to applicants from of overall properties under busy for the team with a the NSW Housing Register. The management from the previous focus on embedding our team also assesses applications year, including a higher number customer service approach, for and allocations to our of transitional housing tenancies establishing a new head affordable housing properties. under management. Allocations contractor model for our repairs to our properties are prioritised During 2015–16, the Pathways and maintenance services, in line with the Bridge Housing team assessed 515 applications tenanting new social and Allocations Policy to ensure for social housing assistance – an affordable housing properties, current tenants of Bridge average of 43 applications per strengthening our partnerships Housing and clients from the REPORT OPERATIONS month. This was a slight decrease with service providers and NSW Housing Register are from the previous year when 525 implementing Year 2 of the provided with suitable housing 63 applications were received, but it Building Bridges Strategy. based on their household needs. demonstrates the high demand 64 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 needs clients. housing managers withcomplex providing specialist advice to new support arrangements and partner strategy, establishing implementing our support The role has been focused on Support Specialist position. introduced aHousing and In 2015–16 BridgeHousing program ofblockmeetings. neighbours through our annual to build connections between tenant welfare checks, and work conduct property inspections and nuisance and annoyance issues, neighbourhood level to address work individually and at a their tenancy at risk. They or behaviours that may place for clients withcomplex needs to sustain tenancies, particularly partnership withsupport services Housing managers work in arise inatenancy. tenant enquiries orwhen issues often the firstpointof contact for management services. They are flexible and responsive tenancy a critical role inproviding Our housing managers play the east orwest areas. defined geographical area within manager is responsible for a managers. Each housing team leader and four housing west operating regions have a 2,969 people. Boththe east and providing accommodation for managing 1,767 tenancies and teams, Eastern and Western, Bridge Housing has two tenancy Managing tenancies Ministerial Guidelines. the NSW Affordable Housing service is provided inline with Social Housing Register. This requirements for the NSW may not meet the eligibility moderate income earners who options for very low, low-and- alternative affordable housing private developers to provide for-service arrangements with and Canterbury. These are fee- Housing SEPP, at Strathfield secured through the Affordable owned affordable housing, addition, we manage privately our Bunya Development. In Council and new investors at specifically for SOPA, Waverley developments withinSydney, in managing affordable housing Bridge Housing also participates streamlined process. level ofcustomer service and a rent review, offering ahigh and efficiently approach each Bridge Housing can proactively right allocation ofresources, the previous year. With the increased by 12percent over rent review before the duedate supplied information for the the number oftenants who satisfaction. Over the past year, overall improvement intenant the rent review period,withan and complaints throughout received fewer appeals, queries improvements, BridgeHousing process for tenants. As aresult of improvements to simplify the and continuously seek efficiency of rent reviews We frequently review the increase ofapproximately $257,411. $676,452 perannum,withanet gross rent by approximately In 2015–2016, we increased our households. huge impact onvery low-income little as $5perweek can have a with calculations as errors ofas tenancies. Extreme care is taken process involving about 1,650 review is aresource-intensive sustainability. Ourbiannual rent is the basis oforganisational provider, as collecting rent function ofacommunity housing Rent reviews are animportant Rent review housing response inthis location. the inner city and who willneed a for clients withaconnection to funding for 25 additional spaces City ofSydney has provided their community oforigin.The response that returns them to by providing arapid housing the inner city to access services, the driftofhomeless peopleinto The initiative aims to address initiative called Connect 100. new three-year homelessness In 2015–16, FACS announced a Connect 100 participation inConnect 100. rough sleepers through our a housing first approach to commitment to providing we built onour ongoing social housing. In2015–16 people to access and sustain to assisting the most vulnerable Bridge Housing is committed Housing theHomeless Domestic Violence NSW. and Moving OutMoving On– Mission Australia, NEAMI, including StVincent dePaul, support to sustain tenancies, organisations that provide partnering withanumber of homes for 14people. We are June 2016,we had provided under the initiative and by 30 to housing 15homeless people Bridge Housing has committed Building BridgesStrategy we: In 2015–16 under Year 2ofour and their families. to positive change for tenants and initiatives that can contribute deliver service improvements programs and resources to services, tenant participation existing housing and community decision-making. Itbuilds onour involving tenants and partners in concepts ofworking together and heart ofBuilding Bridgesare the engagement activities. At the our community building and provides aclear direction for year Building Bridgesstrategy The development ofour three- want to live. neighbourhoods inwhich people sustainable communities and – to creating and supporting to community development our services. We are committed communities inthe way we deliver tenants, residents and wider importance ofinvolving our engagement. We recognise the achieving effective community Bridge Housing is committed to Bridges Building engagement: Community building and improve their community identify opportunities to to discuss issues and staff and their neighbours so tenants could meet with held nine blockmeetings have attended the service a month. To date 37tenants counselling to tenants once provide onsite financial with GoodShepherd to established apartnership engaged inthe program debt issues with seven tenants that address the causes oftheir through voluntary activities of debtto pay oftheir debt complex needs and highlevels initiative to enable tenants with launched the Hand Up conducted two Good Neighbours Workshops to give tenants tips on dealing with difficult neighbours or situations provided opportunities for engagement with kids and young people through the Orbit project (see Spotlight 1 on page 10) Worked with the Aboriginal and Torres Strait Islander Tenant Advisory Group (ATTAG) to develop our Reconciliation Action Plan and Songlines, a tenant art exhibition for NAIDOC week; and held workshops with ATTAG and local organisations continued producing Our Place, a tenant Operations Leadership Team friendly newsletter with useful information and a tenant sub-editor spending maintenance funds Planned maintenance for non-urgent upgrades ensured tenants have a voice Bridge Housing has a diverse in their community in the way we do things by portfolio of properties, with 30 engaging tenants through gave tenants a voice in per cent of our capital properties a conference subsidy, assessing our design and built 50 or more years ago. Our involving tenants in the building work through planned maintenance program Bridge Housing Strategic and assisting the Development is critical to managing one of Business Planning process, Team to develop the the most significant risks to contributing through the Your Tenants Talk Design Bridge Housing: understanding Views E-Panel and holding feedback framework and costing our long-term four tenant workshops on key funded five tenant projects maintenance liability and initiatives such as the Tenant through the Big Ideas ensuring our properties meet Code of Conduct and review of Grants initiative list regulatory standards. We do our Tenant Survey approach gave more tenants the this by completing a property improved the way we engage opportunity to meet and audit/condition report (technical with tenants from culturally celebrate their success through scopes) every three to four years. diverse backgrounds through the End of Year Party. During 2015–16, we completed events such as “Preguntale a planned maintenance to Bridge (Ask Bridge)”. Sixty- Maintaining Homes the value of $655,250 on 96 nine tenants attended to ask properties, including common The Assets team is responsible senior management questions areas. The majority of this for delivering Bridge Housing’s and have their issues resolved expenditure was undertaken to planned, responsive and cyclical in the main languages found resolve a backlog of maintenance maintenance programs. These in our tenant community – identified through our technical asset programs are designed to Arabic, Chinese (Mandarin scoping program, works to ensure that our properties are and Cantonese), Spanish and ensure that our vacant properties safe, clean, habitable and meet Vietnamese. We also ensured are of an appropriate standard, tenant needs. The LAHC audits our website can be translated and upgrades to common areas Bridge Housing properties into the major community on Balmain and Coogee estates. languages to further facilitate through its Property Assessment access to information Survey (PAS) program to ensure Responsive maintenance compliance with maintenance connected 13 tenants and cyclical maintenance standards. According to the audit into work and education in 2014–15, 96 per cent of our In 2015–16 we completed opportunities through the properties are well maintained responsive maintenance Streets Ahead initiative or maintained providing strong to the value of $891,699 assisted tenants in four blocks evidence of our proactive on 3,697 work orders. Our to set up their own community asset management approach. responsive maintenance works gardens in Chippendale, This year we spent $3.3m on are undertaken to resolve Leichhardt and Camperdown planned, responsive, cyclical immediate issues that arise in

trialled participatory and leasehold maintenance. the management of properties or REPORT OPERATIONS budgeting at South Coogee to address failure of items such to give tenants a voice in as toilets and hot water systems. 65 Properties scoped, No 2013-16 No scoped, Properties Technical scopes 2013–14 66 BRIDGE HOUSING LIMITED Target ANNUAL REPORT 2016 2014–15 Scoped private landlords’ contractors. work was undertaken by properties in2015–16, where work requests for leasehold 1,458 responsive maintenance We also managed afurther works and removals. repairs, maintenance handback compensation, and real estate agents, including properties to private owners of tenancy and handback of costs associated withthe end expenditure incorporates Our leasehold maintenance $304,835 onleasehold properties. maintenance to the value of In 2015–16, we completed Leasehold maintenance services programs. and gutter repairs, and hydraulic amounts spent onliftsafety, roof termite/pest control, withsmaller safety, technical scoping and and grounds maintenance, fire works included cleaning, lawns Our major cyclical maintenance annually orat other intervals. an agreed cycle, which can be maintenance is carried out on value of$1,098,792. Cyclical maintenance services to the In 2015–16, we completed cyclical locksmiths (5 percent). appliances (14percent) and cleaning (2 percent), repairing expenditure onitems such as works (16percent), withsmaller works (26 percent) and electrical (24 percent), handyman/builder work comprised plumbing works In 2015–16, the majority ofthis 2015–16 2016-17 2017-18 400 200 300 250 350 100 Benchmarking Australia. undertaken by Customer Service Survey, and mystery shopping Repairs and Maintenance Housing Associations, our by the NSW Federation of Satisfaction survey conducted Our principal tools are our Tenant feedback onour service delivery. performance by seeking tenant continually improve our Bridge Housing strives to Delivery Assessing our Service indicate that: rate. Initial survey findings received a47 percent response internet and social media. We tenants’ engagement withthe communication preferences and survey to investigate tenant a tenant communication In May 2016we conducted measurement activities. online surveys, and other delivery through focus groups, trends and aspects of service years, to further investigate and willallow us,inalternate our regulatory requirements cycle. This continues to meet to runthe survey onatwo-year tenants, have made the decision framework and, with input from Recently we reviewed our survey across all areas ofthe business. areas for service improvement measure satisfaction and identify Tenant Survey since 2006to We have undertaken anannual Approach Reviewing our Survey 150 50

0 use the internet orsocial media 45 per cent oftenants donot Maintenance by category ($millions), by category Maintenance 2012-16 Maintenance Leasehold andFFS Responsive 2012 2013 Planned Total 2014 up from 86percent in2014–15. provided by Bridge Housing, were ‘satisfied withthe service’ cent of tenants stated they per cent. In2015–16, 90 per period. Ourreturn rate is 12 have beenundertaken inthe who live inhomes where works satisfaction survey to all tenants a repairs and maintenance Bridge Housing distributes Survey Repairs and Maintenance housing residents. improve the digital skills of social social enterprise that aims to partnership withDigihouse, a digital access for tenants, in be looking at ways to improve the next year BridgeHousing will website to communicate, over use ofsocial media and the In the context ofour increasing

Bridge Housing news request arepair, and to read contact details, followed by to website is to look upour visiting the BridgeHousing the most popular reason for computer (48 percent) per cent) ortheir own home access by smart phone (51 use the internet, the majority of the 55percent that do via social media. with BridgeHousing interested inconnecting respondents would be 18 percent ofsurvey with friends and family social media doso to connect the majority oftenants that use survey respondents and is used by 41percent of social media program by far Facebook is the most popular Cyclical 2015 2016 0.0 4.0 0.5 2.0 3.0 4.5 2.5 3.5 1.0 1.5 Property age Responsive maintenance Percentage of capital properties, 2015-16 Percentage of work orders by trade, 2016 45 35 40 30 35 25 30 25 20 20 15 15 10 10 5 5 0 0 0-5yrs 6-15yrs 16-30yrs 31-50yrs 51-100yrs 101+yrs Plumber Builder Electrician Cleaner Appliance Locksmith Pest Out Technician Control of Hours

Tenant satisfaction Tenant satisfaction Overall satisfaction as a percentage, 2011-15 Comparison with sector average percentage, 2015 Bridge Housing overall satisfaction Average (NSW Tier 1) Bridge Housing NSW Tier 1 Average Regulators benchmark 100 100 90 90 80 80 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 Property Neighbour- Commun- Tenant Repairs Complaints 2011 2012 2013 2014 2015 condition hood ication Engagement

The survey acts as a develop a proposal to develop implement the new lawns, supplementary audit and and implement a not-for- grounds and cleaning head augments our annual Tenant profit real estate function contract and fire safety Survey through monitoring for Bridge Housing contract so that our homes and satisfaction with quality of work, implement Year 3 of open spaces are maintained responsiveness of service request, the Building Bridges at standard, within budget and contractor performance. Community Building and and meet tenant needs Engagement Strategy review the Housing and 2016–17 Operations develop Bridge Support Partnerships Strategy Objectives Housing’s Community and Policy to ensure we Regeneration Strategy support sustainable tenancies Aside from maintaining high for complex needs clients quality applicant, tenancy and embed the Customer Service develop Bridge Housing’s asset management functions Guidelines and Standards outcomes framework in and finalizing some outstanding across the organization alignment with sector deliverables from 2015–16, develop a range of new frameworks and FACS in the next financial year the Housing and Assets policy directions. Operations team aims to: Policies and Procedures to achieve 80 per cent, or support clear, transparent higher, satisfaction levels decision making and for asset maintenance and quality service delivery housing services in the complete a post Annual Tenant Survey and implementation review maintenance survey of the Hand Up arrears undertake CSBA management initiative to benchmarking to externally support successful tenancies evaluate our service delivery

tenant 38 new dwellings REPORT OPERATIONS at Parramatta 67 68 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Assett Contractor fitting non-slip strips to external steps to external strips non-slip fitting Contractor Assett tender was designed to: the organisation for growth. The approach was to better position portfolio. The aimofthe new maintenance services across the provision ofrepairs and contractor model for the implemented anew principal In 2015–16, BridgeHousing A new contracting regime for our portfolio Contracts New Maintenance Spotlight 5:

head contractors over 50separate trades to two arrangements –moving from streamline our contracting maintenance contracts value for money from our Housing was receiving ensure that Bridge been excellent withboth 2016 and the transition has operational on1February The contracts became our eastern area portfolio. Asset Group Services for western area portfolio and SR Construction for our Bridge Housing appointed procurement process, Following an extensive

outcomes from the contract. and Aboriginal employment ensure the delivery oftenant our contracting regime, and embed customer satisfaction in

also established aninternal standard. BridgeHousing has service is continued at ahigh ensure that the maintenance held withthe contractors to Bi-monthly meetings are contract commencement. level of90percent since the services have remained at ahigh with the standard ofmaintenance Overall tenant satisfaction results contract reporting templates. operational protocols, and plan, development of on astaged implementation contractors working withus Asset Group Services

Maintenance Management recruitment undertaken Committee to oversee the by the contractors. Asset previously provided contract. This committee Bridge Housing is single-trade services to contains a tenant member continuing to consolidate its Bridge Housing and it has to ensure that we continue maintenance regime into a been inspiring to see Bridge to maintain the focus on more systematic approach Housing move towards best our customers through to support potential future practice in the maintenance contract implementation. growth and has recently industry and implement a Works are carried out in completed a tender process head contractor model. accordance with the Bridge for Lawns, Grounds and Since commencement of the Housing maintenance Cleaning services. As with head contractor model we standards with costs being the Responsive Maintenance, have noticed an improvement awarded under the NSW tenant and/or Aboriginal in our ability to reciprocate LAHC’s Schedule of Rates. employment outcomes are and achieve best practice in a contract requirement. In As part of their services, our service delivery and we 2016–17, Bridge Housing will the principal contractors look forward to continuing to continue to review cyclical have agreed to achieve do so in the years to come. maintenance contracts social outcomes including to determine if there are Joe Puccio, Managing tenant and/or Aboriginal any other works that can Director, Assett Group employment. Bridge Housing be consolidated under the Services. is working with contractors Principle contractor model. to advertise roles, with

SR Construction Pty Ltd is very happy to have won the tender for the West Area contract of the multi-trade services for Bridge Housing Ltd. SR Construction believes that Bridge Housing’s move to the multi-trade contract model will assist in delivering quality maintenance services to tenants. This will build upon the already great reputation of Bridge Housing in the community housing sector. SR Construction is excited to be a part of the Bridge Housing’s success and looks forward to continuing to build on this partnership in the future as Bridge Housing continues to grow. Sam Eisho, Managing Director, SR Construction. SPOTLIGHT 5: CONTRACTS NEW MAINTENANCE 69 Development Report

Completed the purchase of Strategic Portfolio residential building containing Growth The Development team is 4 two-bedroom flats in joint responsible for managing and venture with Waverley During the 2015–16 financial year, Council for affordable Bridge Housing grew its portfolio delivering Bridge Housing’s housing in Randwick development pipeline via new property acquisitions and Submitted an expression projects at Bunya (34 dwellings of interest for the Ivanhoe via management and 31 that are development to increase Communities Plus project managed and owned by Bridge Bridge Housing’s affordable with Mirvac as a joint Housing) and Ashfield (nine venture. This will develop a studio apartments owned and housing portfolio. former LAHC estate of 243 managed by Bridge Housing), dwellings into 2,473 units delivering 74 new dwellings comprising 1,800 private over this period. A further four units, 550 social units and 123 properties were added via affordable housing units the purchase of the Randwick This section of the Annual Report: property in a joint venture Shortlisted and submitted a presents highlights for 2015–16 with Waverley Council. Bridge tender for the Communities Housing will own two of the units reports on how the team Plus Seven Hills project, in a but will manage all four units delivered on its critical joint venture with Newbuild under our affordable housing success factors Developments, for 100-plus management agreement with provides an overview units (approximately 40 per Waverley Council. of activities undertaken cent of the units will be social during the year and affordable housing with Our development project at outlines our objectives the remainder private market Collett Parade, Parramatta is for 2016–17. housing available for sale) forecast to reach completion in Plenary Consortium, of which November 2016, adding a further Highlights of 2015–16 Bridge Housing is a member, 38 social and affordable housing shortlisted to proceed to tender units to Bridge Housing’s Completed construction for Social and Affordable portfolio by the end of 2016. of 65 affordable housing Housing Fund. Will provide dwellings at Bunya Estate, Bridge Housing has attended a Bridge Housing 150 social and Bungarribee. Dwellings number of NSW Government affordable housing units under available for occupation information sessions on the 25 year management contract. commencing July 2016 property transfer program, which will transfer up to 23,000 Completed construction of Critical Success Factors social housing properties to the New Generation Boarding community housing providers. House at Ashfield. Dwellings The Development team plays Program details will be released available for occupation a key role in delivering the shortly. If Bridge Housing were commencing July 2016 following critical success factors to secure only 10 per cent of in our Strategic Plan 2015–18 and Commenced construction these properties, our portfolio Business Plan 2015–16: of the 38 residential units at would double in size to over 4,000 Collett Parade, Parramatta in Strategic Portfolio Growth properties by 2023. October 2015. Completion – meet affordable housing forecast for November 2016 need by increasing our Commenced the Cowper property portfolio Street, Glebe development Delivering Quality Homes. with LAHC. The development will deliver 158 one and two- bedroom units by June 2018 BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 70 Business Plan 2015–16

Measure How did we do?

Strategic portfolio growth to meet affordable Key: completed in progress not completed housing needs in the community

Complete and tenant 65 new dwellings at Bunya Dwelling construction – completed Dwelling occupation – in progress and forecast to commence occupation from mid July 2016

Complete and tenant 38 new dwellings at Parramatta Commencement delayed due to both Parramatta Council delaying finalisation of their recommendation report to the Joint Regional Planning Panel until mid July 2015 and difficulty securing a suitable builder to deliver the project. There have also been 30 lost days due to inclement weather

Complete and tenant 9 new dwellings at Ashfield Dwelling construction – completed Dwelling occupation – in progress and forecast to be completed July 2016

Finalise Cowper Street negotiations and participate Cowper Street Deed of Agreement negotiations – in progress in design and delivery Participate in design and delivery – completed

Work in partnership with Waverley Council to deliver Four dwellings delivered 6 new affordable housing dwellings

Pursue opportunities from the $1b Affordable Plenary Consortium shortlisted to participate in Social and Housing Infrastructure Fund Affordable Housing Fund tender

Influence urban renewal opportunities, for example Attended Bays Precinct community engagement sessions Bays Precinct, Eveleigh to Central

Engage with identified councils to build relationships Held various meetings with Parramatta Council to assist with to enhance affordable housing supply their affordable housing policy Assisted the industry peak NSW Federation of Housing Associations on affordable housing policy papers

Implement the Our Place Green Space initiative to Preparation of design guidelines commenced give tenants a say in the provision and maintenance of their housing

Meeting Leveraging Delivering Quality The benefits of this approach are Targets Homes twofold, providing our tenants with high quality properties Bridge Housing made Bridge Housing has closely that they enjoy living in from a commitment to NSW monitored the design and commencement of their lease Government in 2009 to meet construction of the various and reducing Bridge Housing’s affordable housing leveraging social and affordable housing long-term maintenance liabilities. targets through the Nation developments to ensure all The Tenants Talk Design and Building program, which homes are delivered to a high Design Guidelines projects required Bridge Housing to standard of workmanship. Our (part of the Building Bridges deliver 75 new dwellings by June approach to defect management initiative) provide our tenants 2021. Completion of the Bunya, during construction and prior to with the opportunity to Ashfield and Parramatta projects completion ensures that defects provide positive and negative will see Bridge Housing satisfy are identified early and rectified feedback on Bridge Housing and exceed this commitment before they become major developments. This information four years ahead of schedule. issues. Our asset management is used by the Development team undertakes a design team to help inform the design review to ensure the use of on future social and affordable quality finishes and fittings.

housing developments. DEVELOPMENT REPORT This work is ongoing. 71 72 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Jacqui and Chris from the Development Team Development the from Chris and Jacqui 32 ofthis report. See Spotlight 2on page Ashfield 74 ofthis report. See Spotlight 6 on page Bunya included developments at: our development projects. This commencement and progress of Report we reported onthe Program. Inthe 2015Annual Fund and the Property Transfer Social and Affordable Housing Communities Plus program, the opportunities we secure from the will beprimarily driven by the Our future portfolio growth property development cycle. completed its firstsignificant Bridge Housing willhave Parade, Parramatta projects, Bunya, Ashfield and Collett Following the completion of growth Managing portfolio Waverley Cowper Street Glebe Parramatta Ashfield Bungarribee forecast, predominantly dueto 4 weeks later than originally completion inNovember 2016, The project is forecast to reach basement level parking. the lower levels including the rough inhas commenced to Internal plumbing and electrical external windows and doors. the roof and installation of ready for commencement of structure has beencompleted, of June 2016,the concrete on program and as at end The project has progressed executed on1October 2015. the builder (Construction Profile) July 2015and the contract with Joint Regional Planning Panel in approved by the Sydney West 38 affordable housing units was The development application for access for peoplewithdisability. units meeting ahigher level of standard, withaminimumof6 Housing Australia’s Silver designed to meet Livable level. The building has been each unitwithinthe basement and additional storage for will provide 25 parking spaces level liftaccess building and bedroom units within afour- a mixofstudio, one and two The development willcontain Parramatta program contingency. remains withinthe project January 2016period.Completion weather over the December 2015- lost time as aresult ofinclement for mid2018completion. of NRAS. Units are forecast million, subject to the availability Housing willstillinject $10 vesting agreement. Bridge conditions ofthe proposed parties agreeing the pertinent has also progressed, withthe LAHC and BridgeHousing The agreement between achieve approval inJuly 2016. 2015. The DA is forecast to which was lodgedinDecember application to City ofSydney, to progress the development LAHC and the designteam with representatives from Control Group (PCG) meetings fortnightly designProject Bridge Housing attended completed by the end of2013. development was expected to be estate redevelopment. The forming part ofthe planned the Cowper Street, Glebesite, housing homes for seniors at develop and build 158social work withthe NSW LAHCto competitive tender in2010to Bridge Housing won a Cowper St,Glebe University of NSW Built Environment students visit to the Parramatta development site

Waverley Council Avenue, Randwick, comprising explore development 4 two-bedroom units was opportunities using the In 2013–14 Bridge Housing purchased in early June 2016. financial interest in the secured $1,092,000 in developer The property was purchased Social Housing Subsidy contributions to purchase on a 50:50 basis with Waverley Program (SHSP) affordable housing in the Council. Bridge Housing will influence urban renewal Waverly LGA. During the manage all four 2-bedroom units, opportunities, for example Bays 2014–15 and 2015–16 financial with Waverley Council units Precinct, Eveleigh to Central years, Bridge Housing was able managed under the existing engage with identified to secure further funds through fee-for-service agreement. These councils to build relationships the Affordable Rental Housing properties will be rented as to enhance affordable (2009) State Environmental affordable housing. Planning Policy, administered housing supply. by the NSW Department of 2016–17 Development Planning, increasing the total amount available to $1,405,900, Division Objectives and obtained approval Our Development division to utilise the funds in the objectives for 2016–17 are detailed adjoining LGA of Randwick. in the Business plan 2016–17. Following a number of In summary these are: unsuccessful bids to purchase develop replicable models properties in Waverley and to be able to respond Randwick LGA’s, a suitable to Communities Plus property located at 8 Roberts opportunities on smaller sites DEVELOPMENT REPORT 73 Spotlight 6: Affordable housing developments – Bunya

Throughout 2015–16 Bridge Housing has continued the construction of 65 homes in Bungarribee. This innovative project demonstrates how Bridge Housing delivers mixed- tenure, higher density development, working with a private sector development partner, on behalf of government, in outer metropolitan Sydney. Following construction completion and receipt of occupation certificates for all 65 homes the project is now moving into the tenancy management phase and progressively being handed over from the Development team to the Operations team, who are commencing tenant allocations.

Background To solidify the success of the fund the development of the 34 development and to ensure dwellings being offered for sale The Bunya development site a high quality build, Bridge to investors, and manage the was purchased in December Housing held discussions construction of 31 dwellings to 2013 via a select tender issued by with a number of developers/ be retained by Bridge Housing UrbanGrowth NSW. The tender project home builders with a share the risk and return from sought interest from community view to forming a joint venture the sale of the 34 dwellings on housing providers to purchase partnership to deliver the project. a 50/50 basis, with the sales and develop 10 super lots located Bridge Housing successfully proceeds representing the within a new residential estate agreed terms with Lindsay developer’s management fee. in Bungarribee. The estate was Bennelong Developments approved for up to 820 dwellings. (LBD) who engaged Clarendon As part of the agreement with UrbanGrowth, Bridge Housing A key term in the contract Homes to construct the dwellings committed to managing all 65 for sale of the super lots with (LBD and Clarendon are part homes for a minimum of 10 UrbanGrowth NSW required of the same group, leading to years following construction Bridge Housing to ensure that all cost savings). The joint venture completion. This allowed dwellings remained as affordable required LBD and Clarendon Bridge Housing to expand its housing and were rented to low- Homes to obtain development tenancy management business, to-moderate income households approvals, construct all 65 increasing revenues generated for a minimum of 10 years from dwellings, and sell 34 dwellings from our fee-for-service property building completion. In order to investors. management portfolio. to reduce Bridge Housing’s risk The agreement negotiated exposure and capital outlay, by Bridge Housing required The structure also allowed Bridge the development structure was the developer to complete the Housing to redirect debt and predicated on selling half of the following: equity that would have been homes to private investors off required to fund the development obtain Development the plan. This required Bridge of the 34 dwellings to other Approval for a minimum Housing to put in place a number affordable housing projects of 62 dwellings (final DA of legal agreements to ensure all under construction including the achieved 65 dwellings) current and future purchasers Parramatta and Ashfield projects. of the homes were contractually provide a turnkey solution required to retain the dwellings for all 65 dwellings at a fixed as affordable housing for the price negotiated at time of minimum ten-year term. This entering into a Development also allowed the development to Management Agreement and prior to submitting the

BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL benefit from NRAS incentives that would otherwise have been lost tender to UrbanGrowth NSW. 74 to the sector in NSW, generating over $6.5m over the 10-year period. Bunya exterior

Design Standardisation of the design across the 65 dwellings allowed significant construction cost savings without compromising the final built form, which was highly regulated by Blacktown Council and the Bunya Design Review Panel. Overall, we were able to produce a high quality design when compared against other dwellings in the estate and also ensured that the affordable housing was indistinguishable from the private market housing. A number of environmental sustainability measures have been incorporated into the design, including photo-voltaic solar cells, grey water reuse, 100 per cent native plants, and LED Bunya interior lighting, while approximately 60 per cent of the dwellings have been designed to achieve for quality affordable housing Overall, the project has returned silver level under the Livable in the Blacktown area was a net development profit in Housing Guidelines. demonstrated when over 130 excess of 30 per cent, which was applications were received for utilised to pay down debt and as Results leases of the 65 dwellings. seed funding for other social and affordable housing opportunities The Bunya project is a The proposal to share some currently under investigation by highly successful example of the development and Bridge Housing. of how community housing, construction risk with a government and private sector high-quality developer and organisations can work together builder has ensured that the to find innovative solutions ongoing maintenance costs to deal with the affordable to Bridge Housing and our 6: SPOTLIGHT BUNYA – HOUSING DEVELOPMENTS AFFORDABLE housing issues faced by Sydney investors are minimised. 75 families. The high demand Finance and Corporate Services Report

Highlights of 2015–16 upgraded our office facilities reviewed and updated The Finance and Corporate In 2015–16 the Finance and our Recruitment and Corporate Services team: Services team provides strategic Selection Policy met most financial and financial services to the business reviewed and updated our operational key performance Procurement Policy and support services across indicators (KPIs) expanded our social media use developed a new costing finance, information technology, and our SMS communication model to better understand with tenants. human resources, work health program profitability and more accurately price fee- and safety, and risk management. Critical Success Factors The team played a key role in for-service opportunities negotiated the increase of The Finance and Corporate helping us meet the critical our National Australia Bank Services team played a key success factors laid out in our debt facility from $18m to role in delivering the following $25m to fund our Parramatta critical success factors in our Business Plan 2015–16. social and affordable housing Strategic Plan 2015–18 and development which will Business Plan 2015–16: deliver 38 new dwellings governing effectively by November 2016 managing business This section of the Annual developed an innovative sustainability Report: financing model for our supporting our people and successful Communities Plus presents highlights of 2015–16 improving our workplace tender for the Seven Hills site, reviews 2015–16 performance which will deliver over 100 units enhancing our against Business Plan objectives communications and successfully upgraded our IT summarises other key support increasing our profile. system to the latest version areas, including information which included greater These critical success technology, human resources, automation of the Rent factors ensure our financial risk management, internal audit, Calculation Module to manage sustainability, drive process and work health and safety our twice yearly rent reviews and efficiency improvements, presents our 2016–17 objectives. for 1,600 tenancies manage our risk and compliance The 2015–16 Financial Summary re-tendered our three year obligations, help us develop our section on page 84 reports on our internal audit program, people, create an engaging and financial position, including our developed a new 3 year inclusive work environment, and comparative five-year financial internal audit plan and improve our communication with performance for 2012–16. competed year one of the tenants and key stakeholders. audit program, see page 78 Key objectives are reported reviewed and updated on below but a full summary our Business Continuity can be found in Our Plan (BCP) Performance on page 18. implemented four team building initiatives to drive cross team collaboration BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 76 Key: completed in progress not completed

Measure How did we do?

Managing the business sustainably

Deliver an operating surplus Achieved an operational surplus of $1.1m, strengthening (EBITDA) of $1.27m Bridge Housing’s balance sheet. Most key financial ratios and other metrics were within benchmark

Secure additional debt facilities Negotiated an increase of corporate debt facility from $18m to to fund the ongoing development $25m to fund the Parramatta development program

Ensure compliance with all All covenants met at all times during the year banking covenants

Enhance financial models Detailed costing model developed to better understand program profitability and more accurately price fee-for-service opportunities

Update Strategic Asset Well underway but scheduled for completion in Q1 of 2016–17 Management Pan business plan

Investigate different funding Discussions have been progressed both at a government mechanisms and association level, and a draft discussion paper has been prepared to develop a debt amalgamation-type model

Implement and embed Implemented a number of initiatives during the year, technologies that support including: customer service and upgraded SDM to latest version organisational performance implemented new rent calculation module implemented online rent statements. A number of initiatives are still underway, including: implement mobile technology strategy implementation of electronic document records management system dashboard reporting solution.

Undertake Scenario Planning Work commenced on our Fit for Growth plan. Completed to ensure the organisation is initial gap analysis and developed 29 project streams, positioned to take advantage of including scenario planning, for execution through the first Property Transfer Program half of 2016–17

New contractor model See Spotlight 5 on page 68

Governing effectively

Establish 3-year internal audit New internal auditor, PKF, appointed and a 3-year internal program audit plan approved by the Board Year 1 of the Plan was completed which focused on financial reporting, forecasting, financial modelling and debt funding. Three improvement recommendations were received all with ratings of low

Meet our regulatory and National Regulatory compliance assessment completed, with compliance obligations Tier 1 registration maintained All Work, Health and Safety compliance obligations were met with zero lost working days All incidents and all compliance and reporting matters completed

Develop a framework to measure Deferred to understand the NSW Government’s outcomes social impact of our services based framework as part of Future Directions strategy. In CORPORATE AND FINANCE SERVICES REPORT addition the sector has been doing some work on Social 77 Values Bank. Held over to 2016–17 78 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 aligned to strategic objectives and performance management Deliver training, development increase cross team collaboration Examine opportunities to long term business objectives organisational structure to meet responsibilities and realign Review existing roles and Develop our people System (NRAS) compliance for National Rental Affordability internal policies and procedures Establish aframework and modelling and debt funding. reporting, forecasting, financial 2015–16 audit was onfinancial requirements, the focus for the the associated debtand servicing into property development and Board. Given our recent move which was approved by the three-year Internal Audit Plan, PFK to develop acomprehensive During the year we worked with three years to 2018. Internal Auditor for the next PKF were appointed as our new review ofthe assessment criteria incumbent, and after adetailed were shortlisted, including the program 2011–15. Four firms completion ofour internal audit audit services, following the decided to re-tender its internal During 2015–16 BridgeHousing Internal Audit Program our operations and planning Ensure tenants have areal say in Governing effectively (Continued) Measure Measure as follows: An overview ofthe scope is How did we do?

event ofdefault. controls to respond to corrective Management covenants monitoring offinancial rate risk managed exposure to interest and monitoring treasury policy –effectiveness reporting to the Board monthly monitoring and cash flow monitoring forecast setting process organisation budget and new and live projects financial modelling for processes for raising debt including 3volunteer days and aplanning /team building day Four initiatives developed and delivered during the year, Plan and willbeundertaken inthe first half of our 2016–17 Business This work has beenrolled into our Fit for Growth planning compliance withNRAS regulations. and relevant staff trained to ensure bothinitial and ongoing Framework established, polices and procedures developed Several initiatives are well underway the performance planning process development plans and gaps incapabilities identifiedthrough Expanded training calendar developed from ananalysis of

Tenant code ofconduct to befinalised by Q12016–17. completion end ofQ12016–17 Reconciliation Action Plan, which is scheduled for Aboriginal tenant reference group established for processes Tenants involved instrategic and business planning Key: completed

and the Board’s attention: three matters for Management however, the audit identified considered to beappropriate, currently inplace are largely found the controls and policies The internal audit report addressed by Management. with them but are being had alow risk rating associated Each ofthese recommendations

financial reporting. documentation for improvement ofprocedural documentation –suggested in the risk register suggested for inclusion of minor low rated risks risk register –anumber industry trends are considered against all budget assumptions budget assumptions –ensure inprogress not completed This requires BridgeHousing to: development and borrowing. includes property procurement, management to abusiness that transition from pure housing face risks associated withthe Bridge Housing continues to on all high-rated risks. quarterly reporting to the board the year, inaddition to our system, to monitor risks through management and compliance our online enterprise risk continued to use CompliSpace, NZS ISO31000:2009,and we plan, which complies withAS/ our previous risk management During 2015–16, we built upon 2015–16 PlanRisk Management Day Volunteer Housing Bridge for Foundation Exodus at Collette and Aarti Elizabeth, Becky, Andrew, Rebecca, Ana-Maria, Agnes,

asset management finance, development and in housing and community, internal workforce expertise services by strengthening our while maintaining existing to manage growth and change, build organisational capacity Plan 2014–15 (including the and the Risk Management internal operating environments team’s review ofour external and on the Executive Management Management Plan 2015–16 based We developed the Risk of staff to manage. allocated to anexecutive member task is assigned aduedate and is linking tasks to each risk. Each manage risk control strategies by risk. CompliSpace enables usto strategies to avoid ormitigate identified high-level risk control us from meeting our objectives. It potential risks that may prevent enables usto identifyand record Our Risk Management Plan

community housing sector. policy environment for the and uncertain external operate inadynamic property development process development risks through our manage acquisition and servicing loans financial risks by securing and manage increased exposure to and reviewing risks, and has: is responsible for monitoring Bridge Housing’s management Business Plan 2015–16. to our Strategic Plan 2015–18 and re-rated other risks, having regard risks inthe Risk Register and existing risks, introduced new Risk Register). We re-evaluated identified as high-risk. on areas ofoperation Following is commentary

of the associated risk. risks based on the nature reviews for some individual allocated more frequent business planning process annually as part ofour annual reviewed risks and risk ratings on aquarterly basis extreme risks to the Board reported onhighand Management meeting exception, at the Executive tasks monthly by monitored individual

79 FINANCE AND CORPORATE SERVICES REPORT 80 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Government Budget Cuts Policy Change ofGovernment Community Objections Property Transfers Maintenance Contractors Leasehold Management Financial Viability Staff Engagement Succession Planning Integration Policy Development & Risk Comment / Action / Comment As above but no specific action at this stage. their affordable housing discussion paper. the Federal Government are re-engaging inthe housing problem through appears that the pursuit offederalisation considerations has diminished and may impact onour cash flow, through a reduction in rental income. It from Parenting Payment to New Start and changes to pension indexation, budget changes. Changes inthese areas, such as the transfer ofsole parents peak body. At afederal level, the major issue is the shape ofany ongoing program and the sector continues to work withthe government through its Property Transfer Program. Greater clarity is stillrequired onthe transfer Future Directions and the NSW Government’s commitment to re-initiate the policy and the future ofthe community housing sector, after the release of There is now greater clarity at state level inthe direction ofsocial housing management strategy. development. Each development requires acommunity engagement and Community objections may arise witheach affordable housing ‘fit for growth’. program and have now prepared adetailed plan to ensure we are We have begun our scenario analysis for apossible property transfer trade contract implementation. contractor performance standards and measures as apart ofthe new multi- as well as anonline induction system. We are currently implementing We have also implemented anoutsource compliance management system Compliance and developed bestpractice processes and documentation. The National Safety Council ofAustralia have reviewed our Contractor monthly finance reports. incorporated specific reporting onthe leasehold program funding inthe we continue to finalise our review ofthe leasehold program and have months and re–affirmed this positioninthe 2016–17 budget. In addition We have appointed arole to oversee leasehold management for 12 price tender opportunities. have developed arobust costing model that allows usto more accurately particularly inlightofthe Social and Affordable Housing Fund. As such we Fee-for-service income is also becoming animportant income stream, Parramatta to provide asound basis to model any further opportunities. incorporating our commitments for Bunya, Cowper StGlebe, Ashfield and tender wininDecember 2014 we have now modelled anew base line scenario especially withregard to Bunya and Parramatta. Following our Parramatta Significant work was previously undertaken in modelling various scenarios, separately at page 48. Business Plan 2016–17. The outcomes ofthe 2016EOS are reported on In June 2016we undertook our 4thsuccessive EOS to inform our Employee OpinionSurvey (EOS) results. We have developed and executed anaction plan based onthe 2015 way to address this risk. organisation structure under various growth scenarios, which willgosome Scenario planning, as apart ofour fit for growth plan, will focus onthe of succession. We have restructured our management to provide greater depthand levels funding inthe 2016–17 budget to finalise this work. new key polices. This work has not beencompleted and we have provided are inthe process ofreviewing all key operational policiesand developing We appointed and funded apolicy officer role inthe 2015–16 budget and

The plan focused onseveral areas. Health and Safety Action Plan. implemented its 2015–16 Work through its WHSCommittee, During 2015–16, Bridge Housing, Health and Safety Program. Bridge Housing’s Workplace and continually reviewing for developing, implementing employees, are responsible in consultation with The board and management, responsibility ofmanagement. information is primarily the the dissemination ofWHS and maintenance ofWHSand workplace. The promotion safety ofall persons inthe contribute to the health and a shared responsibility to contractors and visitors, have and employees, as well as All BridgeHousing managers to beofutmost importance. and safety (WHS)responsibilities we regard our workplace health affect ontheir performance and that staff wellbeing has amajor premises. BridgeHousing knows our behalf and visitors to our contracted to perform work on workplace for our staff, those to providing asafe and positive Bridge Housing is committed Health Safety and David and Asrar John, Sinead, left: from Committee Safety and Health Work Tree: Incident Classification Decision Chief Executive Officer. to aGeneral Manager orthe whether to report itdirectly developed, staff mustdetermine Decision Tree that has been Using the Incident Classification our Risk Management System. it by recording itinCompliSpace, aware ofaWHSincident to report member ofstaff who becomes The framework requires any consistency ofreporting. clarity to staff and to ensure framework to provide greater formalised its incident reporting During the year BridgeHousing Framework Incident Reporting

must bereported to the Board. when property-related), and notifiable to WorkCover (except than $1m.These incidents are and property damage ofmore amputation orspinal injury, fatalities, incidents involving Category 1:This includes Board, and are distinguished and mustbereported to the (except when property-related) also notifiable to WorkCover $1m. These incidents are damage between $100kand injury, major fires and property other types ofserious personal Category 2:This includes Safety Act 2011No10. required by the Work Healthand and safety representatives, as who act as the designated health the employee representatives, Corporate Services. Staff elect General Manager Finance and representatives: the CEO and the as well as two management comprises two employees Housing. The WHSCommittee work Health and Safety at Bridge A WHSCommittee manages management and training Work Health and Safety

statistical analysis. the purposes ofreporting and from Category 1incidents for Bridge Housing statistics. incidents are not included in Housing control. These that were not under Bridge damage and tenant incidents no injuries orproperty very minor incidents with Category 4:This includes Bridge Housing control. where the incidents were under in BridgeHousing statistics the Board, but are recorded notifiable for WorkCover or These incidents are not fires and security breaches. and medical treatment, minor serious near misses, injuries Category 3:This includes

81 FINANCE AND CORPORATE SERVICES REPORT 82 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 contract implementation. system withour new multitrade compliance management embedding our contractor consultancy firm, to assist in Cap, anexperienced WHS services. We appointed Green and planned maintenance for delivery of responsive contractorsinto multi-trade During 2015–16 we moved compliance management system. with the Cm3 contractor system for contractors together implemented anonline induction During 2014–15 Bridge Housing Framework Contractor Compliance during the year includes: list ofWHStraining provided completed every year. Afull staff, which is mandatorily provide online training to We also continued to report for the board each quarter. Committee prepares aWHS workplace inspections. The in 2015–16 and carried out four The committee met four times Housing staff. management ofWHSby Bridge importance placed in the overall the position,highlighting the number ofstaff nominated for it was encouraging that alarge positions. Onbothoccasions were held to fillthese vacant as aresult separate elections representatives resigned and During the year bothstaff elected safe work environment. engage withusto create a staff, contractors and all who and we continue to work with important at BridgeHousing Health and safety is critically year, no work hours were lost. reportable incident during the Although there was one WHS record during the year. We maintained anexcellent

(Safety Committee). WHS harmonisation technical staff) working from heights (asset administration staff) workers (reception and manual tasks for managers)supervisors (line duty ofcare for managers and WHS fundamentals (all staff)

audit strategy. our quality and environmental assist withthe development of developed tools/templates to audit strategy. Green Cap has and willguide our revised WHS risk inrelation to contractors system to manage our WHS comprehensive framework/ are designed to provide a System Guidelines (CSMG) The Contractor Management were undertaken this year. systems, two important initiatives stakeholders. To improve our to internal and external to monitor our performance and provide timely reports data to analyse our business and having the most accurate ensure efficientoperations a robust business platform to is acritical component ofhaving best use ofthe technology as it on ensuring that we make the Housing is very muchfocused system, and reporting. Bridge asset, and financial management providing anintegrated tenancy, 2013. Itis now well-embedded, System, SDM, inFebruary its Information Management Bridge Housing implemented Information Technology specific initiatives: improve our system through two In addition we continue to quarterly unit-level submission. the data collected through our to improve the outcomes from as we worked withgovernment This was particularly important interface and access to data. as well as improving the user functional issues inthe system a number oftechnical and major upgrade that addressed Upgrade to V2014. This was a SDM Upgrade

successfully implemented some time but has now been development and testing for This module has beenunder of each individual tenant. based onthe income attributes requires the calculation ofrent consuming exercise which is bothacomplex and time- community housing provider rent review process for a Calculation Module. The implementation ofthe Rent the EDRMS project include: business risks. The benefits of greater accountability and reduce business efficiency, provide An EDRMS can increase Management System (EDRMS). Electronic Document Records and development ofour to continuous improvement In 2015–16 our attention turned System Records Management Electronic Document several stages to: This project willtake place over be completed in2016–17. across the organisation and will change management focus term growth. Itrequires amajor and systems required for long- internal business infrastructure IT project that willprovide the Installing the EDRMS is amajor

rent changes. timelier information onany providing our tenants with error, increasing accuracy and thereby reducing human the level ofdata handling, it willsignificantly reduce reviews each year. Inparticular, and process over 3,000rent the time required to calculate and willconsiderably reduce first half of2016–17. and implemented inthe This willbecommissioned mobility requirements. solution to meet our ongoing during 2015–16 to identifya review was undertaken mobility solution. Adetailed and train users. develop user documentation selected system configure and implement the select asystem brief develop asystem requirements Management Framework develop aRecords requirements. with key standards and assists withcompliance improved governance reduced business risk and increased business efficiency management capability improved information on page 46. For more details see OurPeople fundamental to our success. our staff realise their potential is staff as we know that helping culture and workplace for our improving the environment, stay committed to continually measurement areas and we in ratings across most ofthe by the general improvement in 2015–16, we are heartened staff engagement survey result shown anincrease inthe overall Whilst these efforts have not and Development Program. and improving our Training our Total Rewards Program and procedures, enhancing and refining our HRpolicies on improving our HRoffering such, we continued to focus company performance. As capacity and passion to drive calibre staff withthe skills, to attract and retain high- is determined by our ability The quality ofour services Human Resources aBridge Preguntale at to tenants talking Accountant, Assistant Rowena, 2016–17. Insummary these are: are detailed inthe Business plan Services objectives for 2016–17 Our Finance and Corporate Objectives Corporate Services 2016–17 Finance and

Business Plan 2015–16 and objectives outlined inthe short and long term goals of $1.521million,to meet depreciation and amortisation) (earnings before interest, taxes, achieve anoperating EBITDA requirements facilities to meet future funding manage and expand debt management framework develop acontractual accounting system implement a stand alone trust board review undertake anindependent action plan implement the Fit for Growth

communication strategy. statement that builds uponour strategy and capability development ofamarketing Ribbon accreditation work towards achieving White accommodation strategy develop long term program a formal staff recognition develop and implement review remuneration model objectives to meet business long-term the organisational structure responsibilities and realign review existing roles and develop long term ITstrategy Management System Documents Records implementation ofElectronic implement mobility solution Program impact ofthe Property Transfer costing model to forecast the develop scenario planning and

83 FINANCE AND CORPORATE SERVICES REPORT Financial Summary 2015–16

Bridge Housing recorded an operating surplus before depreciation of $1.1 million in 2015–16, compared to $0.5 million in 2014–15. Our operating surplus is shown in the Financial Results graph on page 5. The net profit for the year is affected by a mark-to-market fair value adjustment on an interest rate swap of $2.3 million.

Financial Position Revenue Economic dependency Total revenue increased by $0.5 Bridge Housing relies on government subsidies, grants and million in 2015–16, due mainly resources, and income generated from our tenants’ rent. We to increases in rental revenue do not rely on donations to fund our operations. Our major though indexation and additional sources of revenue are identified in the revenue graph. properties. The revenue breakdown for 2012–16 is shown in the Revenue chart on page 85. Bridge Housing’s net assets Financial Performance increased by $4 million to 2012–16 Expenses $105 million during 2015–16. Expenses increased by $1.2 Movements are as follows: A five-year comparative analysis million in 2015–16. This was cash increased by $1.1 million, of our financial performance, affected by the following from $7.2 million in 2014–15 to including our 2015–16 results, one-off items: $8.3 million is available on page 88. This is an extract from our audited a $1.3 million one-off the value of other property, Financial Report 2016, available impairment charge in 2014–15 plant and equipment at www.bridgehousing.org. increased by $20.4 million to a fair value adjustment as au or by phoning the Bridge $115.5 million as a result of noted above of $2.3m in Housing office on 02 8324 0800 investments in development 2015–16. or emailing customerservice@ projects ($15 million) and bridgehousing.org.au. The expenses breakdown the revaluation of existing for 2012–16 is shown in the properties ($5.4 million) Our 2012–16 report card Expenditure chart on page current liabilities increased 85 but after adjusting for We have analysed Bridge by $2.3 million, primarily these one off items, expenses Housing’s key financial and as a result of an increase increased by $200k. operational ratios against KPIs in deferred income over five years to 30 June 2016. non-current liabilities increased The trend analysis shows that by $14.3 million, primarily as we performed well against our a result of debt drawdown to financial and non-financial KPIs fund development projects, during 2015–16. Profitability increasing debt by $12 million, has improved and arrears from $4.9 million to $16.9 continue to trend down well million, and the provision for below benchmark. Our voids the fair value adjustment noted are at benchmark and vacant above of $2.3 million. days slightly above benchmark – this requires ongoing focus. BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 84 Financial Results Revenue (millions), 2012-16 Revenue composition (millions), 2012-16 Operating EBITDA Net profit before abnormal items Rental Income Govt Grants - Operating Other Net operating profit before depreciation Bank Interest Govt Grants - Non Operating 3.0 32 30 2.0 28 26 24 1.0 22 20 18 0.0 16 14 -1.0 12 10 8 -2.0 6 4 2 -3.0 0 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016

Expenditure Expenditure composition (millions), 2012-16 Equity Rents paid Maintenance Insurance & other property expenses Total equity (millions) 2012-16 Depreciation Management expenses Rates and utilities Equity Administration expenses Bank Fees Other expenses 120 32 30 100 28 26 24 80 22 20 18 60 16 14 40 12 10 8 20 6 4 2 0 0 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 FINANCIAL FINANCIAL 2015–16 SUMMARY 85 86 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 *  Void days* Market rent lossvia vacancy (%) Market rent lossvia void (%) Arrears (%) Housing management ($m) Reserve for future planned maintenance Net profit ($m) Operating EBITDA ($m) Cash at end ofyear ($m) operating revenue (%) Profitability ratio –operating EBITDA/ total revenue (%) Administration cost as apercentage of revenue (%) Property costs as apercentage oftotal revenue (%) Staff cost as apercentage oftotal Finance management Total number ofhousing properties Service development (%) Overall satisfaction withthe organisation Tenant satisfaction Staff turnover (%) Ratio ofstaff to lettable properties Staff engagement Human resources Eviction rate (%) because ofpossession order enforcement Number oftenants exiting the service Vacant days* Return onassets –EBITDA/assets (%) interest expense (%) Interest cover ratio –operating EBITDA/ operating cash outflows Cash flow ratio –operating cash inflows/ liabilities Liquidity ratio –current assets/current Number offulltime equivalent staff Loan to value ratio (%) Benchmarks established by the National Regulatory System for Community Housing (NRSCH).See Registration Return Guide, www.nrsch.gov.au. five year analysis Key indicators performance Benchmark 2.5* 2.5* 2.5* 28 10 35 75 14 2

2012 1,552 N/A N/A 72.0 10.6 1:46 11.3 4.6 2.2 2.4 4.3 3.5 86 1.6 64 1.2 1.2 1.2 28 5.1 34 67 35 1.1 17 5

2013 1,628 N/A 14.0 13.0 10.7 77.4 1:41 0.6 0.6 6.0 2.2 0.7 2.3 3.8 40 0.1 1.0 1.0 85 23 72 18 21 15 0 0

2014 1,649 N/A 75.0 1:39 12.7 11.3 0.4 3.0 0.7 9.4 3.8 3.6 5.3 1.0 1.9 84 82 42 16 1.1 1.1 19 31 11 0 0

2015 1,716 1:39 13.8 77.3 -1.8 0.6 4.0 6.2 0.5 0.5 5.4 1.0 1.0 30 1.9 1.8 7.2 44 7.5 75 16 81 15 17 0 0

2016 1,767 N/A 75.4 1:38 14.4 14.7 -2.5 0.9 0.3 4.4 8.3 6.3 1.0 3.7 1.9 46 1.2 22 1.3 27 74 16 1.1 0 0 8

Key Financial Viability Measures The following graphs highlight the key measures that demonstrate the financial health and sustainability of our business.

Cost structure Cash balance Costs as percentage of revenue, 2012-16 End of year cash balance ($ millions), 2012-16 Staff cost Property costs Administration cost 100 12 80 10 8 60 6 40 4 20 2 0 0 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 Our cost structure remains reasonably consistent with that Our cash balance at 30 June 2016 was $8.3 million. This is of the 2014–15 financial year. After adjusting for one off an increase of $1.1 million on the previous year’s results and abnormal non cash items, costs have increased by $200k and reflects the sound management of our overall cash position have decreased as a percentage of revenue. as we invest equity and debt into new developments. Bridge Housing has negotiated an increase in its debt facilities to continue to fund development projects and we continue to maintain a strong cash position to deliver affordable housing to low and moderate income earners.

Profitability ratio Liquidity ratio EBITDA/operating revenue, 2012-16 Current assets/current liabilities, 2012-16 6 5 5 4 4 3 3 2 2 1 1 0 0 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 This ratio measures earnings before interest, tax, depreciation The working capital (liquidity) ratio measures Bridge and amortisation (EBITDA) as a percentage of operating Housing’s ability to repay its short-term debt using short-term revenue. The percentage has increased this year as we grow assets. Bridge Housing’s liquidity ratio at 30 June 2016 was the income line whilst constraining cost increases. 1.9 per cent, which indicates our strong capacity to meeting short- term financial commitments.

Arrears Voids and vacants Rent arrears as percentage of revenue, 2012-16 Average days void and vacant, 2012-16 Void Days Vacant Days 3.5 35 3.0 30 2.5 25 2.0 20 1.5 15 1.0 10 0.5 5 0.0 0 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016

This ratio measures our rental arrears as a percentage of Average void days refers to the number of days on average operating revenue. The ratio has decreased to 1.3 per cent, that our properties are unavailable for letting due to down from 1.9 per cent last year, and is well below the industry maintenance work requirements. Average vacancy days benchmark of 2.5 per cent. refers to the average number of days a property is vacant once it is available for letting. Both of these have improved slightly from last year and are generally in line with benchmark. 87 88 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 utilities Spent onproperty rates & Total expenditure properties Spent onmaintaining the Spent renting properties expenses Spent onadministration expenses Allocated onother property expenses Spent onother property adjustments accounting cash Non costs Spent onsalary and related go? Where doesall the money other contributions) Total revenue (excluding Receive from government Receive from other activities surplus funds Receive from investment of Receive from government Receive from government the properties Charge tenants for living in How muchdidwe (In AUD) ‘000 Five-year financial results at aglance Rates and utilities Maintenance Rents paid overhead expenses Administration and Depreciation property expenses Insurance &other Value adjustments Impairment /Fair expenses Management – properties vested Other contribution reimbursement recharge, tenant water usage Fees for service, Interest received Operating grants capital grants such as SEPP10, grants received Non-operating Rents from? come money Where doesthe -24,015 $ ‘000 26,418 2012 –14,401 13,520 10,575 -2,983 -2,144 -1,307 -1,215 -1,177 1,321 -787 649 352 0 0

-26,909 27,048 $ ‘000 –15,920 2013 14,954 11,284 -2,552 -1,629 -3,513 -1,482 -980 -833 426 384 0 0 0

-29,539 30,540 $ ‘000 2014 –16,702 24,490 16,095 12,354 -3,226 -3,876 -1,450 -1,534 -1,140 1,002 -1,611 314 775 0

29,804 -31,616 $ ‘000 2015 -16,977 12,987 15,876 -4,007 -4,120 -1,566 -1,837 -1,341 -1,271 -497 308 633 0 0

-32,805 30,333 $ ‘000 2016 16,600 -17,635 12,907 -3,304 -2,336 -4,372 -1,483 -1,912 -1,319 -445 666 160 0 0

Five-year financial results at a glance 2012 2013 2014 2015 2016 (In ‘000 AUD)

Where does the How much did we money come $ ‘000 $ ‘000 $ ‘000 $ ‘000 $ ‘000 from?

Retain to help with future Surplus for the year 2,404 139 1,001 -1,812 -2,472 activity

Retain of previous years’ Retained profits 53,504 57,484 89,683 103,182 107,828 surpluses brought forward

Transfer to reserve for planned Transfer to Reserve for PMP -2,233 0 0 0 0 maintenance program

Transfer to Reserve for Transfer to assets 0 -1,577 -9,148 -21,647 -28,106 property revaluations revaluation reserve

Transfer to other Transfer to Reserve for reserve for property -2,120 0 0 0 0 property development development

Retain to help with future Retained profits 51,555 56,046 81,537 79,723 77,250 activity carried forward

Balance sheet

Owed by our tenants and Debtors 3,226 3,301 1,772 1,803 1,933 others

Banked Cash assets 10,610 10,734 11,332 7,175 8,260

Paid for property, furniture Property, plant and 46,106 47,377 81,212 99,733 120,036 and equipment equipment

Owed to members & others Other Liabilities -4,035 -3,788 -3,632 -2,404 -7,975

Owed to financial Debt 0 0 0 -4,938 -16,898 institutions

Net assets 55,907 57,623 90,685 101,369 105,356

Retained to provide for future planned maintenance Reserve 2,233 0 0 0 0 program

Retained to provide for Assets revaluation 0 1,577 9,148 21,647 28,106 assets reserve

Retained to provide for Other reserve 2,120 0 0 0 0 future property development

Retained for future activities Retained profits 51,555 56,046 81,537 79,723 77,250

Total equity 55,907 57,623 90,685 101,369 105,356 FINANCIAL FINANCIAL 2015–16 SUMMARY

Our comprehensive Financial Report 2016 is available on the CD with this Annual Report and at www. 89 bridgehousing.org.au Bridge Housing in the Community

banner of the Bridge Housing this LGA, to help measure Harriers, our staff runners the effectiveness of the City’s Bridge Housing staff members raised $4,170 for Weave Youth Homelessness Services and other engage with the communities and Community Services. local initiatives. in which we live and work in Weave Youth and Community Bridge Housing works to resolve Services is a not-for-profit chronic homelessness through different ways. We are proud to community organisation programs such as Platform 70, so support the good work of other that has been working with Bridge Housing staff were willing disadvantaged and vulnerable to volunteer, for the seventh organisations that contribute to young people, women, children consecutive time, in the early the wellbeing of our communities, and families in the City of Sydney hours of the morning in August and South Sydney areas for over 2015 to help the City of Sydney and collaboratively engage with 35 years. They offer practical collect the data it needs. Bridge stakeholders who can have a support, housing referral Housing remains committed to support, counselling, mental this important task and will be profound effect on the future health services, drug and alcohol volunteering again. direction of the housing sector. support, and access to education, employment opportunities and Other fundraising and connections to other services. community activities Bridge Housing partnered with 2015 Bridge Run 2015 street count Redfern Community Centre to The City of Sydney conducts present a flag-raising ceremony In September 2015, 24 Bridge biannual street counts of rough for NAIDOC Week 2015. We also Housing staff members entered sleepers in the heart of the city as attended the Yabun Festival in Blackmores’ Bridge Run. part of its Homelessness Strategy. January 2016. This annual run goes from The aim is to collect up-to-date North Sydney to the Botanic In December 2015, the Assets information about the numbers Gardens. Running under the team of Bridge Housing ran of people sleeping rough in its annual food collection BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 90

Bridge Housing presenting the money raised doing the Bridge Run 2015 to Weave Youth and Community Services drive for a local play school in McDonald House spent their NSW Federation of Housing Redfern. In a new initiative for day doing maintenance work on Associations, PowerHousing 2015, the Reception team ran the property and cooking lunch Australia and the Australasian a program of donating gifts for the residents and staff. The Housing Institute. for the children at that same team that visited the Exodus On 10 June 2016, our CEO, play school. Both were well- Foundation did food preparation John Nicolades, resigned supported by Bridge Housing for the lunch the foundation as chairperson of the NSW staff members, who welcomed provides to the community on Federation of Housing the opportunity to support an a drop-in basis, and for an event Associations (FHA), having held organisation doing such great that the foundation was hosting that role since in February 2014. work in our local community. the following day. Everyone John remains a director of the who participated enjoyed FHA, and the NSW delegate Volunteering the hands-on opportunities to the Community Housing to work with organisations Bridge Housing provides one Industry Association (CHIA), that share Bridge Housing’s paid volunteering day per year a position he has held since 2014. for each staff member. Over 2015– mission to improve lives and 16, the staff of Bridge Housing strengthen communities. Rebecca Pinkstone, General utilised their volunteering days to Manager Operations, is work in groups supporting three Services to Our Industry a member of the AHURI very different charities – RSPCA, Inquiry Panel and Chair of Exodus Foundation, and Ronald Membership the AHI NSW branch. Bridge Housing has continued to McDonald House. The team that Bridge Housing plays an active provide meeting facilities visited the RSPCA spent the day role in the community housing for the NSW branch of the helping with maintenance work industry as a member of industry Australasian Housing Institute. and playing with puppies, while organisations including the the team that visited Ronald

Presentations

Title Presenter Date Conference/seminar

Implementing a housing first Rebecca September Linking Housing & approach in the private rental Pinkstone 2015 Homelessness Services market

Who bears the costs of a housing Rebecca October 2015 National Housing first model? The learnings from Pinkstone 2015 Conference, Perth Platform 70

Experiences in NSW with the Rebecca November Community Housing Common Housing Register Pinkstone 2015 Federation of Victoria 2015 AGM

Attracting institutional finance: A John February Financial Models for CHP perspective Nicolades 2016 Affordable Housing Conference, Sydney

Housing and Prevention Initiatives Rebecca April 2016 Homelessness NSW 2016 – Platform 70 Experience Pinkstone Conference

Time for a Game Change: John April 2016 7th Annual Affordable financing social and affordable Nicolades Housing Projects Conference, housing in Australia Kuala Lumpur Malaysia

The Coming Wave: Exploring the John June 2016 Australasian Housing Institute relationship between affordable Nicolades Professional Practice Seminar, and social housing Sydney

Meeting our State Members Between July and October 2015, the CEO completed a series of meetings with all 15 state Members of Parliament within our operating region: Liberal, Labor and Greens. The purpose of the meetings was to introduce Bridge Housing, discuss the role of the community housing sector, discuss respective housing BRIDGE HOUSING IN THE COMMUNITY policies and encourage bipartisan support for more affordable housing. The meetings have been very productive in assisting local Members to appreciate the diversity of community housing operations and 91 initiating some positive policy discussions. Facts and Figures

This section of the Annual Report shows the changing profile of Bridge Housing by examining our property portfolio, tenancies and the diversity of our tenants.

Properties Location The number of people How many? Our properties are housed predominantly located in Inner We accommodated 246 new Bridge Housing’s property Sydney, as well as the Inner West tenants in 2015–16, through portfolio increased from 1,716 and Eastern Suburbs. Since 2010, vacancies and additions to our to 1,767 properties in 2015–16. we have increased our presence property portfolio. There were The additional properties came in western Sydney (including 103 tenants living in our capital primarily from new management the Blacktown and Parramatta properties; 34 accommodated by for Caretakers Cottage and LGAs) and the Canterbury and our fee-for-service program, and additional properties under Bankstown areas following the 109 by our leasehold program. Connect 100 and Domestic transfer of NBESP properties and This shows the importance of Violence Response Enhancement our successful tender to manage vacancies in creating additional Funding. In addition we properties in Canterbury and housing opportunities for people completed the redevelopment Bankstown and developments in on our waiting list. Internal of our Ashfield property as Bungarribee and Parramatta. transfers – that is, existing Bridge well as the management of Housing tenants moving to the remaining fee-for-service Type another Bridge Housing property properties for the Sydney – helped us meet the changing Olympic Park Authority (SOPA). Our properties are housing needs of our tenants predominantly one and two- We lease capital properties from through the Housing Pathways bedroom units in two, three and FACS on recurrent three-year system by making under- four-storey buildings. We have leases. Our capital property occupied properties available for a smaller number of two and portfolio also includes 242 households with more members. three-bedroom houses. We seek properties vested to us under properties that will best match the National Building Economic How long tenants stay the type and size of our tenant Stimulus Plan (NBESP). and applicant households. Bridge Housing provides long- We manage fee-for-service term secure accommodation properties on behalf of other Tenancies for low-and-moderate income organisations. Social Housing households in regions with low Subsidy Program properties Who we house rental and purchase affordability. are targeted at households Of our tenants, 38 per cent have on moderate incomes. The majority of our tenancies are been with Bridge Housing for single-person households (59 per more than five years and 63 per cent). The second-largest tenant cent for more than two years. group is sole-parent households (14 per cent). Couples with and without children make up 13 per cent of the tenancies we manage. Women predominantly head our tenant households. Their demand for social housing

BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL reflects the lower incomes of female-headed households. 92 Property type Property location Percentage of property by dwelling type and number of bedrooms, 2014-16 Percentage of properties by Sydney metropolitan region, 2012-16 2014 2015 2016 Inner Sydney Inner West Eastern Suburbs

45 Canterbury-Bankstown Central West 100 40 90 35 80 30 70 25 60 20 50 40 15 30 10 20 5 10 0 0 Boarding 1 Br H 2 Br H 3 Br H 4 Br H 4 plus Studio I Br U 2 Br U 3 Br U 4 Br U 2012 2013 2014 2015 2016 House

Household composition New tenancies Household type (percentage), 2012-16 Number of new tenancies and transfers, 2012-16 Single Sole parent Couple New Tenants Transfers Couple w children Other 100 450 90 400 80 350 70 300 60 250 50 200 40 30 150 20 100 10 50 0 0 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016

Tenancy Gender and age Percentage of tenancies by duration in years, 2012-16 Head tenant by age and gender (percentage), 2016 <1Y 1 to 2 2 to 5 5 to10 10 to15 15 + Female Male 35 100 30 90 80 25 70 20 60 50 15 40 10 30 20 5 10 0 0 0 to 15 16 to 17 18 to 24 25 to 54 55 to 64 65 to 74 75 or Over 2012 2013 2014 2015 2016 FACTS AND FACTS FIGURES 93 94 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Preferred language (percentage),Preferred language 2016 Language or Torres Strait Islander background. per cent oftenants are from anAboriginal almost 20percent ofall tenants. Seven languages, which together account for are Arabic, Asian and European English, the major languages represented They speak more than 45 languages. After diverse, bothculturally and linguistically. Bridge Housing tenants and applicants are Identification Language Cultural and housing programs. many ofwhom are inour affordable account for 16percent ofour tenants, Payment (7per cent). Wage earners Allowance (19 percent) and Parenting Support Pension (25 percent), Newstart the Aged Pension (21 percent), Disability (84 percent), the major categories include: predominantly supported by Centrelink Bridge Housing tenants are Income Tenant (percentage), 2016 ethnicity identification Cultural Australian English Vietnamese ATSI Vietnamese Arabic Chinese Spanish Lebanese Cantonese Tenant income source (percentage), 2016 Income New Zealander DSP Russian Age Sudanese Mandarin Parenting British Newstart Turkish Russian O/Pensions Greek English Wages Other Other O/ Income 40 40 60 50 20 20 20 30 30 30 70 45 65 25 25 25 55 35 35 10 10 10 15 15 15 0 0 0 5 5 5 Acknowledging Our Partners

Thank You

Our support partners assist Community, Homes and Place Pamela Pryor, Julia Nunes, Bridge Housing maintain and the Land and Housing Kim Ryan, and Clive Matthews sustainable tenancies for Corporation in the Department (Chair and Leadership the most vulnerable in our of Family and Community Team - Bridge Housing’s community: Services for contracting Tenant Advisory Group). properties and other housing Neami National and Community The many tenants who services to Bridge Housing. Housing Providers who have contributed to the development supported our Platform 70 Elton Consulting for facilitating of initiatives under Building Initiative by taking on properties our Strategic Planning process Bridges - Bridge Housing’s as part of this program: Hume for 2015-18 and Business Community Building and Community Housing, Metro Planning process for 2016-17. Engagement Strategy.

Community Housing, North Donors to the Bridge Run Coast Housing and St George fundraiser. Community Housing. ACKNOWLEDGING ACKNOWLEDGING OUR PARTNERS 95 Spotlight 7: Caretakers Cottage – Options Youth

Under our partnership, Bridge The journey for each young Housing provides property person will be different and Caretakers Cottage (Caretakers) and tenancy management below is a case study example. has been providing specialist services so that Caretakers can focus in delivering support to Case Study Snapshot homeless youth services since young people. Caretakers has a 1977. Caretakers is currently strong focus on child protection 18-year-old Sonia* was referred and creating supportive and to Options Youth Housing the lead agency, in conjunction nurturing environments within through a local youth outreach with the Ted Noffs Foundation, which young people can grow service because she was in need and realise their best potential. of stable housing. Sonia was providing youth homelessness Support provision is tailored sleeping on couches between services across the South East to meet the individual needs friends’ houses but was unable of a young person. This may to return to her family home due Sydney region. include intensive support, to her father’s mental health. where young people are in daily Sonia was regularly asked to contact with support workers, to leave home at a moment’s notice less intensive drop-in support because of her father’s erratic for young people on the road behaviour. She had high levels Bridge Housing and Caretakers to living independently. The of anxiety and depression due to have worked in partnership support programs provide young the unpredictability of her family for 13 years and in 2015–16 people with the opportunity home. This had continued on- this culminated in Bridge to learn critical life skills and-off for around five years. Housing taking over property before exiting the program management for all 19 Specialist In between the four months and living independently. Homelessness Service properties. of Sonia’s initial referral and Caretakers provides crisis Caretakers’ data demonstrates availability of a placement accommodation and wrap- a proven track record with the with Options, Sonia became around support for 11 young most vulnerable of young people pregnant. After discussion with people under 18 years old and enabling impressive education Bridge Housing regarding transitional accommodation with training and specialist support Sonia’s situation she was offered support for 54 young people aged outcomes, including: transitional housing in a studio apartment for which Options 16 to 25 years old. 53 per cent of clients obtaining held the nominations. This was and sustaining employment a temporary housing solution 25 per cent sustaining for Sonia and while not ideal, participation in education because she was pregnant 18 per cent completing formal Sonia accepted the offer. She education remained well-engaged in 49 per cent commenced or case-management support maintained mental health from Options Youth, who were support working to find more suitable, longer term housing for Sonia 14 per cent maintained support and the baby she was expecting. for alcohol and other drug addiction. Further information can be found at: www.caretakers.org.au. BRIDGE HOUSING LIMITED 2016 REPORT ANNUAL 96 * Name has been changed to protect anonymity Caretakers Cottage Team

Within a short period, and From this more suitable housing, partnered effectively to support probably as a consequence of Sonia worked with Options on the safe transition of Sonia from living in stable accommodation, a savings plan and building homelessness and couch surfing, Sonia was able to secure part- links with parenting supports. to safe and secure housing time work. This meant Sonia was The main goal for Sonia and her within which to welcome a new able to purchase baby items and baby is exiting the supported baby. Sonia is making good household items she needed to housing into private rental progress on the challenging prepare for the birth. In the weeks with her partner once she is road to parenthood and has before the birth, a property under confident in her parenting and kept up to date with her tenancy the Specialist Homelessness independent living skills. responsibilities, which bodes well Services package with Options for her exit to private rental. Presently, Sonia is on unpaid Youth became available. leave from her part-time job and Bridge Housing managed the employer is happy to hold her both properties and was able position for her. She has given to facilitate a management birth to a healthy, happy baby transfer from one property to the girl and both are thriving. Bridge other to better support Sonia’s Housing and Options Youth have pathway to independence. SPOTLIGHT 7: – OPTIONS YOUTH CARETAKERS COTTAGE 97 98 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Housing Pathways Property Transfer Program (NRAS) Affordability Scheme National Rental Council National Housing Supply Stimulus Plan (NBESP) Nation Building Economic Lower-income household Housing stress Homelessness Community housing Assistance (CRA) Commonwealth Rent Affordable housing Glossary Abbreviations and Glossary org.au www.homelessnessaustralia. Australia Homelessness visit information, For further properties on the South Coogee and Balmain Estates. Balmain and Coogee South on the properties 196 allocated was Housing Policy. Bridge Allocation Housing Community 2008–09 the under providers housing community to selected 2009–10 over properties of 3,000 transfer the involved This providers. housing to community estates housing of public or part of all management the to transfer program Services Community and A Family 2014 May in abolished was The Scheme rents. market below cent per at 20 families income moderate and to low income rented properties rental affordable new 50,000 to create for 10 years bodies eligible other and investors to institutional incentives annual providing 2008, on 1July commenced that scheme Government Australian An 2014 May in abolished was The Council household. from demand supply and housing between gaps potential and current to highlight and Australia, in affordability supply and demand, housing to monitor 2008 May in Government Australian the by established was The Council Bankstown. and Parramatta in predominantly dwellings, 240 secured Housing Bridge tender. through providers housing to community vested title have to scheduled were dwellings 6,000 of the The majority homes. housing social 31,000 upgrade and of maintenance, backlog the to reduce 2009–10 and 2008–09 periods for the million $130 and homes, 3,000 additional an to deliver billion $1 additional an invested Government The NSW 2012. June by homes housing social 6,000 around deliver to $2 billion received NSW 2008–09. in crisis financial global the during economy the stimulating in investment billion $42 Government’s The Australian distribution. income household of all cent per 40 bottom the in income with A household repayments. or rental on mortgage income gross of their cent per 30 more than paying distribution) of income cent per 40 bottom the (in of households The condition organisation. anot-for-profit by owned community sometimes and managed is that Housing thresholds. rent applicable above market rental the private in rent who people of payment family or benefit to the added payment supplementary Government Commonwealth A non-taxable incomes. of household cent per 40 bottom the in for occupants income of household cent per 30 than less be should costs housing For example, costs. living long-term basic other to meet household low the enough to enable are costs housing when incomes, on low to moderate for households affordable is that Housing NSW Housing Register ( Register Housing NSW on the logged are applications new All maintained. previously lists separate the replaces and providers housing community participating and Services Community and Family of lists waiting the It combines list. waiting statewide asingle is Pathways Housing arrangement: living current their if homeless considered are they alternatives accommodation suitable have not does aperson When is: of homelessness definition statistical The ABS debate. and discussion of years some after of homelessness, definition its released (ABS) of Statistics Bureau Australian the 2012, In OECD nations. other and Australia in used and developed been have of homelessness definitions various years, 20 past the Over

does not allow them to have control of, and access to space for social relations. for social to space access and of, control to have them allow not does or notextendible; and short is tenure initial their or if no tenure, has or inadequate; is that adwelling in is www.housingpathways.nsw.gov.au ). Rough sleepers See Homelessness

Social housing Rental housing that is provided and/or managed by government or non-government organisations, including public and community housing.

State Environmental SEPPs deal with issues significant to the state and people of NSW. The SEPP No 70: Planning Policy (SEPP) Affordable Housing (2009) establishes a consistent planning regime for the provision of affordable rental housing. The policy provides incentives for new affordable rental housing, facilitates the retention of existing affordable rentals, and expands the role of not-for-profit providers. It also aims to support local centres by providing housing for workers close to places of work, and facilitate development of housing for the homeless and other disadvantaged people. For further information, visit www. planning.nsw.gov.au.

Sydney Metropolitan Area This incorporates the following local government areas: Ashfield, City of Auburn, Bankstown City, Blacktown City, Blue Mountains City, Botany Bay City, Burwood, Camden, Campbelltown City, Canada Bay, Canterbury City, Fairfield City, Hawkesbury City, Holroyd City, Hornsby, Hunters Hill, Hurstville City, City of Kogarah, Ku-ring-gai, Lane Cove, Leichhardt, Liverpool City, Manly, Marrickville, Mosman, North Sydney, Parramatta City, Penrith City, Pittwater, Randwick City, Rockdale City, Ryde City, Strathfield, Sutherland Shire, City of Sydney, The Hills Shire, Warringah, Waverley, Willoughby City, Wollondilly and Woollahra.

Vacancy rate This indicates sufficient turnover of rental properties to accommodate demand from renters. It is generally acknowledged to be 3 per cent of rental properties.

Abbreviations

AHWG Affordable Housing Working Group ICT Information and communication technology AGM Annual General Meeting JTAP Joint Tenancy Accommodation Program AICD Australian Institute of Company Directors KPI Key performance indicator ASX Australian Securities Exchange LAHC Land and Housing Corporation ATTAG Aboriginal and Torres Strait Islander Tenant Advisory Group LGA Local government area

CEO Chief Executive Officer NAHA National Affordable Housing Agreement

CHLP Community Housing Leasehold Program NBESP Nation Building Economic Stimulus Plan

CLERP 9 Corporate Law Economic Reform Program NDIS National Disability Insurance Scheme (Audit Reform and Corporate Disclosure) Act 2004 NRAS National Rental Affordability Scheme

DA Development application NRSCH National Regulatory System for Social Housing EBITDA Earnings before interest, tax, depreciation and amortisation NSWFHA NSW Federation of Housing Associations

EOS Employee Opinion Survey PDP Professional Development Process

FACS Family and Community Services SAHF Social and Affordable Housing Fund

FDSH Future Directions for Social Housing SEPP State Environmental Planning Policy GLOSSARY AND GLOSSARY ABBREVIATIONS HNSW Housing NSW SOPA Sydney Olympic Park Authority 99 HPA Home Purchase Assistance TAG Tenant Advisory Group 100 BRIDGE HOUSING LIMITED ANNUAL REPORT 2016 Elena Rega –www.elenarega.com John Kung –www.johnkung.com Tim Jones –www.timjones-photography.com Rita Cardoso –www.photosphera.com.au Photography: Karl Reimann – www.deepspace.com.au Internal Audit Housing Pathways Highlights Governance principles Five-year Report Card Five-year FinancialPerformance Financial Viability measures Financial Report Financial forecast model Federal Government Employee OpinionSurvey Donations 84 Diversity Policy Developer Contributions Department of Family andCommunity Services Cyclical Maintenance Program Customer Service Cowper Street, Glebe Compliance Compliments, Complaints andAppeals Community HousingLeasehold Program Community Building Commonwealth Rent Assistance Canterbury/Bankstown newsupplyprogram Business Plan Business Continuity Plan Bunya Building Bridges Block Meetings Awards Australian CharitiesandNot-for-profits Commission(ACNC) Australasian Reporting Awards Australasian HousingInstitute Awards Ashfield development Arrears Annual General Meeting Affordable HousingSEPP/70 Affordable HousingProgram Achievements 18 Aboriginal andTorres Strait IslanderTenants Advisory Group (ATTAG) Index Paul Gosney –www.elbow-room.com.au Graphic Design: 8, 19, 22,24, 26, 49, 53, 56,61,63,65,70, 71,73,76, 78, 79,

22, 24, 35,43,49, 52,54,65,76, 77, 78, 79, 80,82 4, 5,13,15,16,23,45, 58,60,61,63,64,67, 71,95 4, 14, 20,24, 36, 45, 49, 60,61,62,63,66,77 4, 13,14, 15,22,45, 58,60,63,64,67, 95 4, 15,20,48,60,62,63,67, 84,86,87 4, 12,14, 18,43,64,70, 71,72,74, 80 4, 8,12,14, 18,30,32,60,70, 71,80

14, 16,26, 46,48,50,80 43, 58,63,64,67, 92, 95

3, 4,9, 21,23,29, 33, 36, 16, 22,54,56,76, 77, 78

4, 14, 18,70, 71,72,80 13, 30,34,37, 52,80

9, 31,63,92, 98 4, 17, 60,70, 76 4, 13,15,45, 55 16, 54,84,89 15, 65,66,69 8, 14, 30,94 80, 83,95 40, 52,55 37, 64,88 9, 34,98 13, 51,53 5, 15,45 4, 13,55 58, 64 64, 67 54, 87 35, 36 22, 52 9, 24 9, 92 88 86 65 73 76 16 NSW Government NSW Federation of HousingAssociations Newsletter New Generation Boarding House National Neami National Rental Affordability Scheme National HousingSupplyCouncil National Affordable HousingAgreement Nation BuildingEconomic StimulusPlan Michael’s Intensive Supported HousingAccord (MISHA) ofMeeting directors Managing portfolio growth Maintenance survey satisfaction Leasehold Program Leadership Development Program Land andHousingCorporation Property Transfer Program Program descriptions PowerHousing Australia Portfolio Growth Platform 70 Planned Maintenance Program development Parramatta chart Organisational Work andSafety Health Waverley Council Voids andVacants Voice Project Vested Properties UrbanGrowth NSW Total Rewards Program Tenant Survey Satisfaction Tenant Advisory Group (TAG) Sydney OlympicPark Authority Plan Strategic ToursStickybeak Staff Engagement Seven Hills Risk Management Plan Responsive Maintenance Rent Review post-consumer fibre and FSC certified. carbon neutral paper. EcoStar is made from 100%recycled The BridgeHousing Annual Report is printed onEcoStar

3, 4,8,9, 12,13,14, 16,20,28,30,32,34,36,37, 62,70,

3, 4,8,12,14, 19, 22,49, 51,52,56,60,70, 76, 79, 95 4, 8,12,14, 18,29, 30,67, 70, 71,72,76, 77, 80,92 13, 15,16,18,25,49, 58,70, 72,77, 80,83,99 3, 4,9, 15,20,62,65,82,86,89 13, 23,30,32,72,74, 78, 98 8, 14, 18,30,60,61,64,92 3, 8,19, 37, 65,69, 70, 72 4, 9, 14, 15,60,70, 71,72 14, 18,30,64,70, 71,73 4, 8,26, 49, 80,83,86 16, 19, 27, 36,66,71,91 4, 8,14, 30,36,70, 76 16, 24, 63,64,76, 82 4, 15,60,63,84,87 15, 60,65,66,69 16, 24, 56,79 71, 77, 80,98 13, 25,63,95 31, 90,91,95 14, 30,37, 74 9, 63,80,92 8, 43,71,98 8, 9, 88,92 46, 50,83 24, 76, 81 16, 17, 65 64, 95 14, 66 31, 98 13, 34 16, 91 48 48 66 58 70 56 38 72 31 9

Street address: Level 9, Tower 1, Lawson Square, Redfern, NSW 2016 Postal address: PO Box 1835, Strawberry Hills, NSW 2012 www.bridgehousing.org.au

Follow us