CENTRAIDE of GREATER MONTREAL March 31, 2017 TABLE of CONTENTS
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FINANCIAL STATEMENTS CENTRAIDE OF GREATER MONTREAL March 31, 2017 TABLE OF CONTENTS Independent Auditor’s Report 2-3 Statements of operations and fund balance Operating Fund 5 Stabilization Fund 6 Capital Asset Fund 7 Development Fund 8 Collective Impact Project Fund 9 Balance sheet 10-11 Statement of cash flows 12 Notes to the financial statements 13-23 Schedule 1 – Allocations to agencies — Operating Fund 24-34 Schedule 2 – Allocations to agencies — Collective Impact Project Fund 35 2 FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL 1 FINANCIAL STATEMENTS OF CENTRAIDE OF GREATER MONTREAL March 31, 2017 Independent Auditor’s Report To the Members of Centraide of Greater Montreal We have audited the financial statements of Centraide of Greater Montreal, which comprise the balance sheet as at March 31, 2017, and the statements of operations and fund balance of Operating Fund, Stabilization Fund, Capital Asset Fund, Development Fund and Collective Impact Project Fund and the statement of cash flows for the year then ended, and a summary of significant accounting policies and other explanatory information. Management’s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with Canadian accounting standards for not-for-profit organizations, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. 2 FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion, the financial statements present fairly, in all material respects, the financial position of Centraide of Greater Montreal as at March 31, 2017, and the results of its operations and its cash flows for the year then ended, in accordance with Canadian accounting standards for not-for-profit organizations. May 23, 2017 1 CPA auditor, CA, public accountancy permit No. A120628 Member of Deloitte Touche Tohmatsu Limited 2 FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL 3 OPERATING FUND STATEMENT OF OPERATIONS AND FUND BALANCE Year ended March 31, 2017 Notes 2017 2016 $ $ Revenue Subscriptions 55,597,019 53,455,363 Uncollectible subscriptions ( 1 , 678 , 437 ) (1 , 605 , 000 ) 53,918,582 51,850,363 Interest 147,013 137,519 54,065,595 51,987,882 Expenses Fundraising and operating cost 6 7,479,572 7,475,709 Result before allocations and assistance to agencies 46,586,023 44,512,173 Allocations and assistance to agencies Allocations to agencies (Schedule 1) 42,023,922 42,195,230 Assistance to agencies and community and operating cost 6 3,241,087 3,353,301 45,265,009 45,548,531 Net result (deficit) 1,321,014 ( 1 , 036 , 358 ) Fund balance at beginning 37,172,992 38,209,350 Change in revaluation and other recognized elements (12 , 100 ) – Interfund transfers (370 , 000 ) – Fund balance at end 38,111,906 37,172,992 The accompanying notes are an integral part of the financial statements. FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL 5 STABILIZATION FUND STATEMENT OF OPERATIONS AND FUND BALANCE Year ended March 31, 2017 2017 2016 $ $ Revenue Investments 555,166 (137 , 452 ) Net result (deficit) 555,166 (137 , 452 ) Fund balance at beginning 4,778,349 4,915,801 Fund balance at end 5,333,515 4,778,349 The accompanying notes are an integral part of the financial statements. 6 FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL CAPITAL ASSET FUND STATEMENT OF OPERATIONS AND FUND BALANCE Year ended March 31, 2017 2017 2016 $ $) Revenue Donation from Centraide of Greater Montréal Foundation 380,000 115,000 Interest 7,363 6,841 Other revenue 32,150 32,150 419,513 153,991 Expenses Amortization of fixed assets 189,622 196,839 Other 188,991 164,562 378,613 361,401 Net result (deficit) 40,900 (207 , 410 ) Fund balance at beginning 5,009,162 5,216,572 Interfund transfer 500,000 – Fund balance at end 5,550,062 5,009,162 The accompanying notes are an integral part of the financial statements. 6 FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL 7 DEVELOPMENT FUND STATEMENT OF OPERATIONS AND FUND BALANCE Year ended March 31, 2017 2017 2016 $ $ Revenue Donation from Centraide of Greater Montréal Foundation 150,000 – Other donation 75,500 – Interest 2,480 4,211 227,980 4,211 Expenses Training, research and development costs 189,473 368,072 Net result (deficit) 38,507 (363 , 861 ) Fund balance at beginning 340,777 704,638 Fund balance at end 379,284 340,777 The accompanying notes are an integral part of the financial statements. 8 FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL COLLECTIVE IMPACT PROJECT FUND STATEMENT OF OPERATIONS AND FUND BALANCE Year ended March 31, 2017 2017 2016 $ $ Revenue Donations 2,740,000 1,440,000 Interest 15,904 2,085 2,755,904 1,442,085 Expenses Allocations to agencies (Schedule 2) 772,716 – Operating costs 381,379 111,304 1,154,095 111,304 Net result 1,601,809 1,330,781 Fund balance at beginning 1,330,781 – Interfund transfer ( 130 , 000 ) – Fund balance at end 2,802,590 1,330,781 The accompanying notes are an integral part of the financial statements. 8 FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL 9 BALANCE SHEET As at March 31, 2017 Notes 2017 2016 Operating Stabilization Capital Assets Development Collective Impact Fund Fund Fund Fund Project Fund Total Total $ $ $ $ $ $ $ Assets Current assets Cash 418,480 – – – – 418,480 1,954,996 Investments, 0.71% to 2.15% (0.65% to 3.05% in 2016) 30,302,731 – – – – 30,302,731 23,581,550 Subscriptions receivable (net of a provision for uncollectible , , , , , , subscriptions of $2,717,650; $2,926,074 in 2016) 16 188 913 – – – – 16 188 913 17083 984 Interfund receivable – – 1,622,357 379,284 2,802,590 – – Other assets 4 1,036,083 – – – – 1,036,083 1,090,871 47,946,207 – 1,622,357 379,284 2,802,590 47,946,207 43,711,401 Investments – 5,335,915 – – – 5,335,915 4,780,749 Fixed assets 3 – – 3,927,705 – – 3,927,705 4,090,307 47,946,207 5,335,915 5,550,062 379,284 2,802,590 57,209,827 52,582,457 Liabilities Current liabilities Accounts payable and accrued liabilities 4,110,635 2,400 – – – 4,113,035 3,407,271 Balance payable to agencies 280,186 – – – – 280,186 6,224 Interfund payable 4,804,231 – – – – – – Deferred revenue 639,249 – – – – 639,249 536,901 9,834,301 2,400 – – – 5,032,470 3,950,396 Commitment 7 Fund balances Invested in fixed assets – – 5,550,062 – – 5,550,062 5,009,162 Externally restricted – – – 379,284 2,802,590 3,181,874 1,671,558 Internally restricted 38,111,906 5,333,515 – – – 43,445,421 41,951,341 38,111,906 5,333,515 5,550,062 379,284 2,802,590 52,177,357 48,632,061 47,946,207 5,335,915 5,550,062 379,284 2,802,590 57,209,827 52,582,457 * These items are not reported in the Total column because they offset each other. The accompanying notes are an integral part of the financial statements. Approved by the Board Nathalie Bernier, Chair of the Board 10 FINANCIAL STATEMENTS 2016-2017 | CENTRAIDE OF GREATER MONTREAL Notes 2017 2016 Operating Stabilization Capital Assets Development Collective Impact Fund Fund Fund Fund Project Fund Total Total $ $ $ $ $ $ $ Assets Current assets Cash 418,480 – – – – 418,480 1,954,996 Investments, 0.71% to 2.15% (0.65% to 3.05% in 2016) 30,302,731 – – – – 30,302,731 23,581,550 Subscriptions receivable (net of a provision for uncollectible , , , , , , subscriptions of $2,717,650; $2,926,074 in 2016) 16 188 913 – – – – 16 188 913 17083 984 Interfund receivable – – 1,622,357* 379,284* 2,802,590* – – Other assets 4 1,036,083 – – – – 1,036,083 1,090,871 47,946,207 – 1,622,357 379,284 2,802,590 47,946,207 43,711,401 Investments – 5,335,915 – – – 5,335,915 4,780,749 Fixed assets 3 – – 3,927,705 – – 3,927,705 4,090,307 47,946,207 5,335,915 5,550,062 379,284 2,802,590 57,209,827 52,582,457 Liabilities Current