Te Kahu Pairuri Hospice Taranaki Foundation Chairman's Annual Report 2021/2022

It is again a privilege to report on behalf of the Taranaki Hospice Foundation for the year 1st July 2021 to 30 June 2022.  This year indicates the start of the new normal where the structures we have put in place over the last three to five years are being tested to ensure we are not only able to help support the Te Kahu Pairuri Hospice Taranaki Incorporation's budgeted deficits but also plan forward to endeavour to future proof the continuation of free Hospice care services throughout the Taranaki District.

FINANCIAL SUMMARY

This is again summarised in three sections:

• Craigs Investment Partners, a major sponsor, continue to manage our shares and bonds
• The Share Portfolio has shown a decline of $300,000 reflecting the share market decline in the later part of the reporting year
• However the 12 month Gross Yield from interest and dividends has increased to $121,871, while the Indicative Gross Yield declined from 14.8% to 3.3%, again reflecting the overall market decline.

We continue to hold substantial cash in a laddered maturing investment fund with our bankers TSB, Toi Foundation also being major ongoing sponsors.  This remains near stable at $3,625,000.  This fund has been built from the substantial amount of community support given over a significant time from bequests and donations. 

In addition, the Foundation continues to manage fixed assets including land, buildings, plant and equipment, which when including the latest rateable valuation for land and buildings has increased in this reporting period by $368,032.

At the commencement of the reporting period 7/21 to 6/22 the budget deficit was confirmed at at $444,500.  Although any previous budget deficits would have been managed by a lump sum grant from the Foundation to the Incorporated Society, it was agreed that a more manageable approach would be made by providing monthly distributions to the INC of $40,000 from the FDN and this has continued throughout the financial year.  In association with well managed trading in our HospiceShops further fundraising initiatives, our Hospice Champions, a share of a Government Grant to Hospices with DHB contracts, and substantial funder support from large bequests, the initial projected deficit has been managed. 

The above managed, at the end of the reporting year we are now faced with a projected budget deficit for the 7/22 to 6/23 year of in excess of $1,000,000 which reflects static funding under the new Central Government Health Initiative, service cost increases due to inflation and increased demand for our services.

Financial challenges to one side, the Foundation has continued capital investments to deal with the future needs of Te Kahu Pairuri Hospice Taranaki, our community, and not least our environment.  We have purchased an adjoining section at 3 David Street, which in the medium term will allow us to further support and develop even greater nursing services.  We have also completed, with the substantial assistance from Toi Foundation, a contract to install a solar energy system that will meet the major part of our energy needs in the short to medium term for Te Rangimarie and the Tukapa Street HospiceShop.

Finally a giant thanks to the Hospice team so ably lead by CEO Paul Lamb, the nursing staff, doctors, administrators, hundreds of volunteers, our sponsors and our small Foundation Committee of Brian Busing, Paul Bourke, Mike Brooke (Inc Soc Chair), Tim Coleman and minute secretary Sandy Smith.

Roger Malthus, Chair, Te Kahu Pairuri Hospice Taranaki Foundation