VFFF Annual Report 2015 Cover image: New England Conservatorium of Music Side by Side choir winter 2014 Creating a lasting legacy (photo credit Simon Scott) As the inheritor of a long family philanthropic tradition, and a belief that wealth and position bring a responsibility to serve the community, Sir Vincent Fairfax established the Vincent Fairfax Family Foundation in 1962. ‘This action was taken on the basis that my children are well provided for and, hopefully, in their turn will contribute further assets to this family pot of gratitude for all the benefits we have received since landing in Australia in 1838.’ Sir Vincent Fairfax, CMG 1973 Vincent Fairfax Family Foundation has distributed in excess of $120 million across Australia. Sir Vincent and Lady Nancy Fairfax’s children and grandchildren continue the family philanthropic tradition today. VFFF strives to honour its Founders’ legacy and to play the most useful role it can, joining the efforts of many to meet contemporary Australia’s challenges and opportunities. InVision honouring our founders’ VFFFMission aspires to a stronger and beliefs and intentions, the brighter future for Australians in (photo credit: Michael Holmes) Vincent Fairfax Family NSW and remote areas of the north. Condobolin Annual Show 2014 Foundation seeks opportunities We help disadvantaged young to benefit and care for – Christianity 22 people reach their educational Australians and our country. Contents – Community Wellbeing 26 and social potential. Introduction 01 Strategic programs Sir Vincent and Lady Nancy Fairfax 02 We enhance services and opportunities – Place-Based 32 Chairman’s report 03 for rural and regional communities and – Children and Prison 34 Chief Executive Officer’s report 04 support the viability of the Australian – Social Impact Investment 36 Finance and investment report 05 agricultural sector. Supporting Australian philanthropy 37 Highlights 2015 06 Founders’ interest distribution 38 We support a spiritually rich society Our work in 2015 08 New Generation philanthropy 38 that values Christian faith in action. Thematic grant making Vincent Fairfax Ethics in Leadership – Education 10 Foundation 39 – Agriculture 18 Our Board and Team 40 VFFF ANNUAL REPORT 2015 1 We also continued to devote Ruth has been on several not time, expertise and funding for profit boards which focus to enhance capacity in on early intervention, young Chairman’s Condobolin and we thank children and youth and is a the community for assisting current member of the Board us to target areas they see of The Boys and Girls Brigade. as important. Report Sue Cridge is a passionate We continue to seek systemic educator with over 30 years’ change through our Children experience and is the Director of and Prison program. Further, Bright Spots School Connection VFFF continues to I am pleased to see that by for Social Ventures Australia. In Sir Vincent and Lady Nancy Fairfax find collaboration working closely with the 2003 Sue was acknowledged Dusseldorp Forum we are as an Outstanding Education an effective way to responding to the findings Leader by the state of Victoria of our research report, and awarded a Sir Winston increase the impact Dubbo Conversations, most Churchill Fellowship in Education. Sir Vincent and of our work. significantly by supporting Sue spent five years as Executive A grant to the Centre for a capacity building position Director of Citizens Schools New Healthy Brain Ageing towards in Dubbo. Mexico, establishing expanded learning opportunities for Lady Nancy Fairfax The Dementia Momentum You may read about this was made in conjunction with important work to decrease underserved public schools and The imprint of Sir Vincent and Lady Nancy Fairfax remains the Yulgilbar Foundation, the over-representation of led the Innovation Program at the providing VFFF with valuable indigenous children in the Australian Institute for Teaching strong across the work of the VFFF today. access to their medical experts juvenile justice system further and School Leadership. during the due diligence on in this report. I look forward to their ‘When a man has been VINCENT FAIRFAX was NANCY FAIRFAX was an process. We worked with contribution to the Board given much, much will born in rural Queensland Social Ventures Australia I formally note my thanks to my in the coming years. advocate for the needs fellow Directors for generously be expected of him; and and maintained links to and the Origin Foundation to extend to Western Sydney the giving their time and insights Tim Fairfax AC the land throughout his and rights of young the more a man has had National Exceptional Teachers to VFFF, to members of the Chairman entrusted to him, the life. He held numerous children and the value of for Disadvantaged Schools Audit Finance and Investment more he will be required directorships and official early childhood education. Program, with the Cages Committee for protecting positions in the business Foundation to assist Barnardos our corpus and to CEO Jenny to repay.’ (Luke 12:48:) She was VFFF Chairman and media fields. to establish partnerships in Wheatley and her team for from 1993 to 2001 and Indigenous-led out of home their contribution to the smooth He was a Christian man Patron until her death in care organisations and with operations of the Foundation 2007. the Caledonia Foundation and and engaging with the wider who was patient, generous Dusseldorp Forum to provide philanthropic sector. Lady Fairfax bequeathed and set people from all ongoing operational support In accordance with our rotation a large part of her estate walks of life at ease. His to The Social Outfit. policy and having served the to the Foundation and integrity and interest in We sought innovative ways VFFF very well Joy Yeo and was awarded an OBE, an to assist our grantees, such Annabel Dulhunty have retired others were strong and Honorary Doctorate of as providing a ‘challenge’ and we warmly welcomed as a family man, Vincent Letters and an Order of grant to the Refugee Advice Ruth Armytage and Sue Fairfax was in his element. Australia for her work. and Casework Service and Cridge as new Directors. Ruth supporting the Australian Armytage is the youngest In 1960 he was made a Futures Project to convene daughter of Sir Vincent and Commander of St Michael Actions for New South Wales Lady Nancy Fairfax and was and St George (CMG) and Agriculture. an early childhood educator and teacher. created a Knight Bachelor in 1971. 2 VFFF ANNUAL REPORT 2015 VFFF ANNUAL REPORT 2015 3 Chief Executive Finance and Officer’s Report Investment Report In 2014/15 VFFF embarked on a program The investment of the corpus of VFFF and VFELF in a to approach our grant making in a diversified portfolio is overseen by the Audit, Finance different way and determine levers that and Investment Committee (AFIC) with the assistance would improve educational equity in of Cambooya Pty Limited and JANA Asset Consultants. New South Wales. The Fair Education Working I thank Pete Goss from the We continue with our VFFF VFELF Group was established in Grattan Institute and Eric Grants Trainee program, December, comprising Board Jamieson from the New South farewelling Rebecca Ninness 2014/15 2013/14 2014/15 2013/14 members, family members, Wales Education Department and welcoming Candice Van Portfolio market value $186.6m $177. 5m $6.4m $6.5m subject matter experts and for giving freely of their time Doosselaere. Rebecca has Distributions $7.1m $6.4m $0.4m $0.35m the VFFF team. and expertise to the Working taken her learnings and is Cumulative distributions $122.6m $115.5m $4.92m $4.52m Group. This was a rich and making a valuable contribution Over the next six months, challenging experience and to another family foundation Distributable income 2014/15 $7.8m $6.3m $0.48m $0.52m through a series of sets VFFF up well for further while continuing her studies. presentations, reviewing Future commitments* $6.1m $3.2m $1.6m $2.0m impactful grant making in research and considering Candice has been instrumental * Future commitments are conditional on available funds in the distribution account. the area of Education. what might be a key area in improving the experience upon which to focus, the We also enhanced our grant for our grantees by enhancing Directors have set a distribution target of $8.7 million for VFFF in the 2016 financial year. Working Group defined a goal making process by increasing processes and providing that if implemented would the remit of the (formerly effective guidance to those Combined operating expenses 2015 2014 improve educational equity. “small”) Grants Committee, with early stage enquiries. Operating expenses $868,214 $842,039 which consists of younger It also defined a series of Thank you to the Board, family members, from $25,000 Operating expenses as a % of distributions made 11.60% 12.50% outcomes aimed at helping members of AFIC, the to $50,000 allowing the Operating expenses as a % of net assets 0.50% school leaders in low socio- Cambooya investment 0.40% Board to focus on larger more economic areas involve parents team and the VFFF team for complex opportunities. and communities in student your support, energy and During the financial year AFIC met on four occasions in relation to the financial governance of VFFF learning. Recognising the importance commitment to having the and VFELF. The Board extends their appreciation to KPMG who provide their audit services on an of transparency and feedback, VFFF deliver the best possible honorary basis. You may read more about the VFFF will participate in the impact. workings and outcomes from next round of benchmarking of Audit, Finance and Investment Committee Members the Fair Education Working I look forward to another James Millar AM, Chairman philanthropic organisations and Group, later in this report.