14th AGM held 2nd May 2015

16
Deaf Ministries International Inc. 14th Annual General Meeting 2nd May 2015 Financial Statements and Reports

Transcript of 14th AGM held 2nd May 2015

Page 1: 14th AGM held 2nd May 2015

Deaf Ministries International Inc.

14th Annual General Meeting

2nd May 2015

Financial Statementsand Reports

Page 2: 14th AGM held 2nd May 2015

DEAF MINISTRIES INTERNATIONAL INC.

and

DEAF ACTION FUND

Elected Australian Board

Chairperson Rodney Chapman

Vice Chairperson Susan Shannon

Secretary Geoff Brooke

Treasurer Matthew Farmilo

Neville Muir

Lynne Graham

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DEAF MINISTRIES INTERNATIONAL INC.

Chairperson/Australian Director’s Report

On Behalf of the Australia Board of DMI I welcome all our members and support

I continuously thank God our father for all of you and for your prayers, support and service over

year.

DMI

God has been so good to us through our ups and downs during the year.

always provides for DMI need. I would like to thank Brenda, Matt, Jenny

for their hard work to get us through.

overseas. Without your support and prayer, nothing will have done.

Please keep on pray with us without stop

which is HIS work. I have been helping Matt and Jenny with their work so they lift up their shoulder of

loads.

Deaf Action

We thank God too for the success of Deaf Action which has been growing with more child support

found during 2014. I thank Jenny for her dedicated service as Sponsorship Co

hours of work in the office keeping up with all the work related to his mammoth task.

for this and the extra work that she does in contributing to reports

Action in many places around the State and interstate too.

their work and input.

Special Thanks of Appreciation

On behalf of the Australian Board I extend special thank

dedication in service to deaf people in many countries.

people around the world have been blessed and found Christ and have been given hope for the future.

also thank the members of the Australian Board for their s

wisdom, prayers and dedication.

party at Berwick Church of Christ, sale of handc

members and supporters, involvement and encouragement as together we share the tasks and challenges

in our service to Deaf people around the world.

newsletters.

I thank God for Neville’s cancer is gone

that the tumours do not return.

DEAF MINISTRIES INTERNATIONAL INC.

& DEAF ACTION FUND

ANNUAL GENERAL MEETING

Chairperson/Australian Director’s Report

1st

January – 31st

December 2014

On Behalf of the Australia Board of DMI I welcome all our members and support

I continuously thank God our father for all of you and for your prayers, support and service over

God has been so good to us through our ups and downs during the year. When we going down

I would like to thank Brenda, Matt, Jenny, Amy and our band of volunteers

for their hard work to get us through. I can see the work of DMI continuing to reach the deaf here and

Without your support and prayer, nothing will have done. Thank you for your support to DMI.

without stopping; that the lord will continue to provide for the work of DMI,

I have been helping Matt and Jenny with their work so they lift up their shoulder of

We thank God too for the success of Deaf Action which has been growing with more child support

I thank Jenny for her dedicated service as Sponsorship Co-ordinator and the many

hours of work in the office keeping up with all the work related to his mammoth task.

for this and the extra work that she does in contributing to reports for World Relief and representing Deaf

Action in many places around the State and interstate too. We are grateful also to Susan and Jeanette for

On behalf of the Australian Board I extend special thanks to Neville and Lill for their ongoing years of

dedication in service to deaf people in many countries. It has been through their service that many deaf

people around the world have been blessed and found Christ and have been given hope for the future.

also thank the members of the Australian Board for their service over the last year and for their support,

Board members were involved in fundraising for DMI t

hurch of Christ, sale of handcrafted cards and Chinese handcraft goods. To all the

, involvement and encouragement as together we share the tasks and challenges

in our service to Deaf people around the world. I would like to thank Vizma for doing volunteer

God for Neville’s cancer is gone and as he needs to keep receiving check up

On Behalf of the Australia Board of DMI I welcome all our members and supporters to 2014 AGM.

I continuously thank God our father for all of you and for your prayers, support and service over this past

When we going down, God

Amy and our band of volunteers

I can see the work of DMI continuing to reach the deaf here and

u for your support to DMI.

that the lord will continue to provide for the work of DMI,

I have been helping Matt and Jenny with their work so they lift up their shoulder of

We thank God too for the success of Deaf Action which has been growing with more child supporters

ordinator and the many

hours of work in the office keeping up with all the work related to his mammoth task. We are so thankful

for World Relief and representing Deaf

We are grateful also to Susan and Jeanette for

ill for their ongoing years of

It has been through their service that many deaf

people around the world have been blessed and found Christ and have been given hope for the future. I

ervice over the last year and for their support,

Board members were involved in fundraising for DMI through dinner

rafted cards and Chinese handcraft goods. To all the

, involvement and encouragement as together we share the tasks and challenges

I would like to thank Vizma for doing volunteer

check up, let us continue to pray

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Finally, I thank God, the Father of our Lord Jesus, Holy Spirit, for the privilege of serving Him as

Chairperson of the Australian Board of Deaf Ministries International and Australian Director of DMI/Deaf

Action, throughout this year.

Pastor Rod Chapman (Chairman)

Director for Australia

2 May 2015

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DEAF MINISTRIES INTERNATIONAL INC.

We are once again thankful to the Lord for seeing us through another year.

a year free from financial stress for most of it due to some extra large gifts from Monash

City Church of Christ and a couple of bequeaths.

that we thank the Lord again.

Without the help of our wonderful staff and volunteers nothing would get done.

International Office staff consisting of Brenda Clearwater, Matt Farmilo, Amy Jack and Rod

Chapman did their usual fantastic job serving God and DMI and going the extra mile so

many times. Jenny Reid, our tireless Sponsorship Coordinator

volunteers Susan Shannon and Jeanette Lee have kept our sponsorship program running

and growing. This is a huge task.

demands of mail outs and sales days need extra

Gwen McKelvie and others who help lighten the load.

Norway and works the sales days as well as providing hospitality to countless visitors

Muir continues to look after the IT aspects of the M

Broadbent have both provided very competent interpreting on many occasions.

this great team we could not service the fields where we are working.

Lill, Susan and Brenda have been active in sales of products made by the deaf in China and

the Philippines. This initiative

and groups; making contact with new people and developing relationship

and DMI/ Deaf Action.

Barry Cutchie has again lead teams to the Philippines and over th

great rapport with the school in Ligao

are planned for 2015 to the Philippines and Africa.

to the work as well as making people aware of the ministry and its needs.

involved in this way.

What took up most of our time this year was the preparation for and participation in our 6th

International Conference held

evangelist from the UK, was the key note speaker.

time in Australia and spoke at various deaf and hearing churches on the East coast.

speakers were from Japan, Korea

Africa, Europe, Australia and Asia

was held at the same time.

DEAF MINISTRIES INTERNATIONAL INC.

& DEAF ACTION FUND

ANNUAL GENERAL MEETING

International Director’s Report

1st

January – 31st

December 2014

We are once again thankful to the Lord for seeing us through another year.

a year free from financial stress for most of it due to some extra large gifts from Monash

City Church of Christ and a couple of bequeaths. This took much pressure of us all and for

that we thank the Lord again.

nderful staff and volunteers nothing would get done.

nternational Office staff consisting of Brenda Clearwater, Matt Farmilo, Amy Jack and Rod

Chapman did their usual fantastic job serving God and DMI and going the extra mile so

our tireless Sponsorship Coordinator, together with fellow

volunteers Susan Shannon and Jeanette Lee have kept our sponsorship program running

This is a huge task. Other volunteers drop in from time to time when the

and sales days need extra helping hands. Thanks to Vizma Jones,

e and others who help lighten the load. Lill Muir continues to liaise with

Norway and works the sales days as well as providing hospitality to countless visitors

after the IT aspects of the Ministry. Jeanette Lee and Grace

provided very competent interpreting on many occasions.

this great team we could not service the fields where we are working.

da have been active in sales of products made by the deaf in China and

initiative has enabled us to become better known by various churches

contact with new people and developing relationships

Barry Cutchie has again lead teams to the Philippines and over the years has developed a

ort with the school in Ligao in particular. More teams lead by Barry and

to the Philippines and Africa. This has been a fantastic

to the work as well as making people aware of the ministry and its needs.

What took up most of our time this year was the preparation for and participation in our 6th

Conference held in Seoul, South Korea. Bob McFarland, a deaf pastor and

was the key note speaker. Prior to going to Korea he spent some

time in Australia and spoke at various deaf and hearing churches on the East coast.

akers were from Japan, Korea and Africa. Delegates came from over 20 countries in

Africa, Europe, Australia and Asia - both deaf and hearing. Our International Board meeting

We are once again thankful to the Lord for seeing us through another year. We actually had

a year free from financial stress for most of it due to some extra large gifts from Monash

This took much pressure of us all and for

nderful staff and volunteers nothing would get done. Our

nternational Office staff consisting of Brenda Clearwater, Matt Farmilo, Amy Jack and Rod

Chapman did their usual fantastic job serving God and DMI and going the extra mile so

together with fellow

volunteers Susan Shannon and Jeanette Lee have kept our sponsorship program running

Other volunteers drop in from time to time when the

Thanks to Vizma Jones,

Lill Muir continues to liaise with

Norway and works the sales days as well as providing hospitality to countless visitors. Erik

Jeanette Lee and Grace

provided very competent interpreting on many occasions. Without

da have been active in sales of products made by the deaf in China and

become better known by various churches

s between them

e years has developed a

More teams lead by Barry and others

fantastic encouragement

Our thanks to all

What took up most of our time this year was the preparation for and participation in our 6th

a deaf pastor and

Prior to going to Korea he spent some

time in Australia and spoke at various deaf and hearing churches on the East coast. Other

Delegates came from over 20 countries in

Our International Board meeting

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Some delegates came from Nigeria where they made official application to become part of

DMI. Another group of churches from Malawi have also applied for affiliation with DMI and

Gunnar Delhi from Norway has been working with a group of deaf people in Macedonia. So

the influence of DMI spreads.

This year has seen a few personal challenges. In January a group of us visited the work in

the Philippines and Myanmar. We dedicated a mango plantation to the Lord for the benefit

of DMI in the Philippines and encouraged the children and staff at the school in Myanmar as

well as the deaf churches there. In April I went to Korea for Conference preparations and

then for a series of deputation meetings in Japan. Later I was able to visit the US for

another deputation tour, during which time I developed some strange symptoms that

turned out to be cancer-related. Some surgery and chemo got me up and going again so I

was able to take part in the conference as well as take another two trips to the Philippines --

one for the retirement of Mrs Luna, our school Directress, and the other for a worker’s

daughter’s wedding. I was not able to get much further afield so did not visit any other

areas of our ministry in Africa or the Middle East during this reporting year. Hopefully things

will be better in 2015.

We are thankful to the Lord for helping us get through a year almost free from typhoon

damage but, it ended sadly with a motor bike accident in the Congo which left one person

dead and the Director of our work in the Congo in a coma in hospital. He is now much

improved. The work continues to thrive in Syria in spite of the current situation. Our

prayers to the Father for his constant protection and provision are a vital part of the

ministry.

To God be the Glory

Neville Muir

International Director

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2014 FINANCE REPORT

If you are the kind of person that gets excited by finances, 2014 was a very good year. Our income

was up to record highs and our administration costs were down to the same level as 2012. This

allowed us to significantly increase the amount sent to our fields during the year, and also to set

aside some funds that will be used to help our fields become financially sustainable in the future.

Total income received by DMI and Deaf Action

during 2014 was just over $1.1 million, which is

an increase of $196,000 from the previous

year. This is a significant milestone for DMI

and Deaf Action, as it is the first time that our

combined income has exceeded the $1 million

mark. Income received from Australian

donations also reached an all-time high of

$595,000, which is an increase of $163,000

from the previous year. This is the second

consecutive year where income has increased,

and these figures should be celebrated.

However, the main reason for this increase is the receipt of two large one-off donations during the

year, totalling $213,000. While we can be very thankful for these donations, we also need to keep in

mind that if we had not received them, our income in 2014 would have been lower than in 2013.

This indicates that although our total income has increased, the underlying level of regular giving has

actually decreased slightly.

The extra donations we received has allowed us to set aside $50,000 to create a ‘Sustainability Fund’

which will be used to fund new income producing projects in our fields. These projects will provide

training and employment for the communities in which we work, as well as helping to reduce the

dependence on funds from DMI by providing a local source of income. Already this fund has been

used to start 4 new projects and expand 2 existing projects. Donations have also been received for

the Sustainability Fund that has meant that the balance in the fund is still around $45,000. It is

essential for the future growth of DMI that we continue to expand this side of our work.

The total spent on administration costs during 2014 was $295,000, which is a decrease of $15,000

from the previous year. In fact, the total spent on administration costs during 2014 was almost

exactly the same as was spent in 2012. This was another pleasing result, especially after some

difficult discussions by the board about how to reduce costs.

An increase in income combined with a

decrease in administration costs means that

we were able to send $765,000 to our

ministry fields during 2014, which is an

increase of $163,000 from the previous year.

Again, this is an achievement that should be

celebrated, as funding ministry is our aim.

However, we also need to keep in mind that

this does not come close to fully funding the

-

500,000

1,000,000

1,500,000

2012 2013 2014

Total Income

Total Australia International

-

500,000

1,000,000

2012 2013 2014

Expenses

Ministry Administration

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needs of our fields. In order to do that, we need to receive $1.8 million in donations, which will

allow us to send $1.4 million to our fields.

So while 2014 was a year of significant improvement in our finances that should be celebrated, there

is still a lot of work to be done. Moving forward, there are two areas that need to be focussed on.

The first is continuing to work with our fields to create income producing projects that reduce their

dependence on regular support from DMI. The sustainability fund is a good start, but this work

needs to continue so that our existing fields can become self-sufficient, allowing us to expand our

ministry into more places.

The second area is in increasing the income we receive through donations. In many ways, this is the

most difficult challenge. Many of our existing supporters are of retirement age, which makes it hard

for them to continue financial support at the level they have in the past. It is also difficult to attract

new supporters, as many people are already fully committed to supporting other organisations. But

for DMI to continue to grow, it is important that we not rely on the same people who have been

faithfully supporting DMI in the past.

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2014 2013 2014 2013 2014 2013

IncomeDonations

Australia 382,359 238,652 212,591 203,636 594,950 432,167

Norway 194,007 204,659 - - 194,007 204,659

USA 165,261 171,483 - - 165,261 171,483

Japan 46,922 45,762 - - 46,922 45,762

UK 27,622 15,681 - - 27,622 15,681

Korea 7,661 12,373 - - 7,661 12,373

Germany 17,565 24,342 - - 17,565 24,342

Total Donations 841,397 712,952 212,591 203,636 1,053,988 906,467

Membership Fees 1,520 730 - - 1,520 730

Interest 1,703 1,440 379 242 2,082 1,682

Conference Income 47,332 - - - 47,332 -

Total Income 891,952 715,122 212,970 203,878 1,104,922 908,879

ExpensesMinistry 566,638 452,747 198,203 149,024 764,841 601,771

Payroll 192,531 199,951 - - 192,531 199,951

Travel 19,970 23,209 7,944 9,084 27,914 32,293

Fundraising 5,563 9,393 9 525 5,572 9,918

Other Administration 45,623 47,256 23,520 30,472 69,143 67,607

Conference Expenses 43,930 - - 43,930 -

Depreciation 647 507 - - 647 507

Total Expenses 874,902 733,063 229,676 189,105 1,104,578 912,047

Surplus (Deficit) 17,050 (17,941) (16,706) 14,773 344 (3,168)

AND

DEAF MINISTRIES INTERNATIONAL

DMI Deaf Action Total

PROFIT AND LOSS STATEMENT

DEAF ACTION

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2014 2013 2014 2013 2014 2013

AssetsCurrent Assets

Operating Accounts 57,341 58,663 38,079 53,009 95,420 111,672

Investment Accounts 30,908 26,263 - - 30,908 26,263

Debtors and Receivables 824 62 - - 824 62

Other Current Assets 7,169 5,504 66 35 3,034 2,870

96,242 90,492 38,145 53,044 130,186 140,867

Non-Current Assets

Equipment & Furniture 3,270 881 - - 3,270 881

3,270 881 - - 3,270 881

Total Assets 99,512 91,373 38,145 53,044 133,456 141,748

LiabilitiesAccounts Payable 7,440 28,388 4,400 4,125 11,840 32,513

Payroll Liabilities 54,234 42,583 54,234 42,583

Other Liabilities 14,010 13,624 4,201 2,669 14,010 13,624

Total Liabilities 75,684 84,595 8,601 6,794 80,084 88,720

Net Assets 23,828 6,778 29,544 46,250 53,372 53,028

TotalDADMI

DEAF MINISTRIES INTERNATIONAL

AND

DEAF ACTION

BALANCE SHEET

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Deaf Ministries International Inc.

ABN: 96 832 871 076

Independent Review Report to the members of Deaf Ministries International Inc. Deaf MinistriesInternational Inc.

Report on the Financial Statements

We have reviewed the accompanying financial report, being a special purpose financial report, of Deaf Ministries International Inc. (theentity), which comprises the statement of financial position as at 31 December 2014 and the statement of profit or loss and othercomprehensive income, statement of changes in equity and statement of cash flow for the year ended on that date, a summary ofsignificant accounting policies and other explanatory notes and the statement by members of the committee.

Committee’s Responsibility for the Financial Statements

The committee of the entity is responsible for the preparation of the financial report, and has determined that the basis of preparationdescribed in Note 1 is appropriate to meet the requirements of the Australian Charities and Not-for-profits Commission Act 2012, theAssociations Incorporation Reform Act 2012 (Vic) and is appropriate to meet the needs of the members. The committee’s responsibilityalso includes such internal control as the committee determines is necessary to enable the preparation of a financial report that gives atrue and fair view and is free from material misstatement, whether due to fraud or error.

Assurance Practitioner’s Responsibility

Our responsibility is to express an opinion on the financial report based on our review. We have conducted our review in accordance withthe Auditing Standard on Review Engagements ASRE 2415 - Review of a Financial Report: Company Limited by Guarantee or an EntityReporting under the Australian Charities and Not-for-profits Commission Act 2012, in order to state whether, on the basis of theprocedures described, anything has come to our attention that causes us to believe that the financial report is not satisfy therequirements of Division 60 of the Australian Charities and Not-for-profits Commission Act 2012 including: giving a true and fair view ofthe registered financial position as at 31 December 2014 and its performance for the year ended on that date; and complying with theAustralian Accounting Standards and the Australian Charities and Not-for-profits Commission Regulation 2013. ASRE 2415 requires thatwe comply with the ethical requirements relevant to the review of the annual financial report.

A review of financial report consists of making enquiries, primarily of persons responsible for financial and accounting matters, andapplying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance withAustralian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significantmatters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Independence

In conducting our review, we have complied with the independence requirements of Australian professional ethical pronouncements.

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Deaf Ministries International Inc.

ABN: 96 832 871 076

Independent Review Report to the members of Deaf Ministries International Inc. Deaf MinistriesInternational Inc.

Basis for Qualified Conclusion

Deaf Ministries International Inc. receives income from donations. It was found that there are not appropriate controls over incomereceived prior to entry into the accounting records. Accordingly, as the evidence available to us regarding income was limited, our reviewprocedures with respect to income was be restricted to the amounts recorded in the financial records.

Qualified Conclusion

Based on our review, which is not an audit, except for the effects on the financial report of the matters referred to in the Basis forQualified Conclusion paragraph, nothing has come to our attention that causes us to believe that the financial report of Deaf MinistriesInternational Inc. does not satisfy the requirements of Division 60 of the Australian Charities and Not-for-profits Commission Act 2012including:

a. Giving a true and fair view of the registered entity's financial position as at 31 December 2014 and of its financial performance and cash flows for the year ended on that date; and

b. Complying with Australian Accounting Standards to the extent described in Note 1, and Division 60 of the Australian Charities and Not-for-profits Commission Regulation 2013

Basis of Accounting

Without modifying our conclusion, we draw attention to Note 1 to the financial report, which describes the basis of accounting. Thefinancial report has been prepared for the purpose of fulfilling Deaf Ministries International Inc's responsibilities under the AustralianCharities and Not-for-profits Commission Act 2012. As a result, the financial report may not be suitable for another purpose.

Saward Dawson Chartered Accountants

Peter Shields

Partner

Blackburn VIC

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Deaf Action Fund

ABN: 31 884 272 774

Independent Audit Report to the members of Deaf Action Fund

Part A: Financial Statements

Report on the Financial Statements

We have audited the accompanying financial report, being a special purpose financial report, of Deaf Action Fund, which comprises thecommittee’s report, the statement of financial position as at 31 December 2014, the statement of income & expenditure and othercomprehensive income, statement of changes in equity and statement of cash flow for the year ended on that date, a summary ofsignificant accounting policies and other explanatory notes and the statement by members of the trustee.

Committee’s Responsibility for the Financial Statements

The Trustee of Deaf Action Fund is responsible for the preparation of the financial report, and has determined that the accountingpolicies described in Note 1 to the financial report are appropriate to meet the requirements of the Australian Charities and Not-for-profitsCommission Act 2012, the Public Ancillary Fund Guidelines 2011 and the trust deed, and are appropriate to meet the needs of themembers. The Trustee’s responsibility also includes such internal control as the Trustee determines is necessary to enable thepreparation of a financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on the financial report based on our audit. We have conducted our audit in accordance withAustralian Auditing Standards. Those standards require that we comply with relevant ethical requirements relating to audit engagementsand plan and perform the audit to obtain reasonable assurance whether the financial report is free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. Theprocedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financialreport, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to theassociation’s preparation of the financial report that gives a true and fair view, in order to design audit procedures that are appropriate inthe circumstances, but not for the purpose of expressing an opinion on the effectiveness of the fund’s internal control. An audit alsoincludes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by thecommittee, as well as evaluating the overall presentation of the financial report.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Basis for Qualified Opinion

Deaf Action Fund receives income from donations. Controls over donation income received prior to entry into its accounting records arelimited. Accordingly, as the evidence available to us regarding income was limited, our audit procedures with respect to income havebeen restricted to the amounts recorded in the financial records. We therefore are unable to express an opinion on whether donationincome that Deaf Action Fund received is complete.

Qualified Opinion

In our opinion, except for the possible effects of the matter described in the Basis of Qualified Opinion paragraph, the financial report ofDeaf Action Fund is prepared in accordance with Division 60 of the Australian Charities and Not-for-profits Commission Act 2012,including:

(a) giving a true and fair view of the registered entity’s financial position as at 31 December 2014 and of its financial performance and cash flows for the year ended on that date; and

(b) complying with Australian Accounting Standards to the extent described in Note 1, and Division 60 of the Australian Charities and Not-for-profits Commission Regulation 2013

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Deaf Action Fund

ABN: 31 884 272 774

Independent Audit Report to the members of Deaf Action Fund

Basis of Accounting and Restriction on Distribution

Without modifying our opinion, we draw attention to Note 1 to the financial report, which describes the basis of accounting. The financialreport has been prepared for the purpose of fulfilling Deaf Action Fund's financial reporting requirements under the Trust Deed. As aresult, the financial report may not be suitable for another purpose.

Part B: Compliance

We have audited the compliance of Deaf Action Fund with the requirements of the Public Ancillary Fund Guidelines 2011 for the periodended 31 December 2014.

Trustee's responsibility for compliance

The trustee is responsible for complying with requirements of the Public Ancillary Fund Guidelines 2011.

Auditor's responsibility

Our responsibility is to express a conclusion on compliance with the Public Ancillary Fund Guidelines 2011, in all material respects. Ouraudit has been conducted in accordance with applicable Standards on Assurance Engagements (ASAE 3100 Compliance Engagements)to provide reasonable assurance that the Deaf Action Fund has complied with the Public Ancillary Fund Guidelines 2011. Ourprocedures included examination, on a test basis, of evidence supporting compliance with those requirements of the Public AncillaryFund Guidelines 2011. These procedures have been undertaken to form a conclusion as to whether the Deaf Action Fund has compliedin all material respects, with the Public Ancillary Fund Guidelines 2011 for the period ended 31 December 2014.

Use of Report

This compliance audit report has been prepared to meet the needs of the trustee's of Deaf Action Fund. We disclaim any assumption ofresponsibility for any reliance on this report to any persons or users other than the trustee of Deaf Action Fund, or for any purpose otherthan that for which it was prepared.

Conclusion

In our opinion, the trustee of Deaf Action Fund has complied, in all material respects, with the requirements of the Trust Deed, and thePublic Ancillary Fund Guidelines 2011, for the year ended 31 December 2014.

Saward Dawson Chartered Accountants

Peter ShieldsPartner

Blackburn VIC

Date:

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DEAF ACTION INC. ABN 31 884 272 774

2014 AGM Sponsorship Report

Student and School Sponsorship in Australia has increased by 26 in 2014. The number of Regular Supporters who make donations but do not sponsor a particular student or school, have remained the same. The table below shows the number of Sponsors and Supporters for the last 5 years in Australia. The total amount designated is indicated in the Financial Report.

Student & School Sponsorship, & Regular Supporters for the years 2010 to 2014

The cost of Student Sponsorship was increased to $40 per month ($480 per year) in October 2013 and has remained the same during 2014. School Sponsorship donations can be any amount, chosen by the sponsor.

School Attendance for Years 2012 to 2014

The student enrolments fluctuate during the year as home situations change for many of the disadvantaged families whose children attend these schools. There has been an increase in the number of students accessing education this year but government expectations and general costs in all overseas projects have increased, severely limiting expansion. The amount sent to each project is indicated in the Financial Report. Matt Farmilo, our Finance Manager is now completing the 6 monthly Deaf Action Reports required by World Relief Australia, in order to retain DGR recognition in Australia. The data used in these reports is taken from questionnaires that are completed by the School Principals or Project Leaders in recipient countries. The Ligao figures below include ex-students who are still completing Vocational Training. They are given small loans and are taught how to start small home based businesses to support themselves.

New sponsorships have been obtained mainly through presentations to churches or small groups associated with churches. Some new sponsorships have commenced through word of mouth. Sponsors and Supporters receive two Deaf Action Newsletters each year; and a Christmas card, Student Report or Photo Pages with the Newsletter. Some sponsors like to send Christmas cards or letters to their students. These are sent to the office then mailed to the schools. Many Sponsors appreciate the personal cards and updated information they receive. Student updates also act as a reminder and encourage sponsors to continue their financial support.

Not all students in the schools have sponsors because it is difficult to obtain up to date photographs and information unless a DMI Representative visits the school; so many students have 3 sponsors. I would like to thank Susan and Jeanette who assist me with scanning, printing and processing the hundreds of Cards and Reports that we send to sponsors each year. I am also grateful to Brenda, Matt and Rod for their increased assistance in 2014 as I have needed to reduce the number of days I can give to the Sponsorship Program.

Most importantly, thank you to our loyal Sponsors and generous Supporters who contribute financially to Deaf Action. Some Sponsors give more than $40 per month, while others do not pay the full amount each year. Those who fall behind in payments are sent Reminder Letters. Some Supporters give large donations and we are highly dependent on and very grateful to every person who supports Deaf Action.

Jenny Reid Deaf Action Sponsorship Coordinator

Year 2010 2011 2012 2013 2014

Student and School Sponsors 161 175 208 221 247

Regular Supporters 75 69 59 61 61

TOTAL 236 244 267 282 308

ENROLMENT AT DECEMBER 31st 2012 TO 2014

School or Dormitory 2012 2013 2014

Deaf Ministries Institute, Davao, Philippines 84 111 115

F.C.L.C. and Livelihood Project, at Ligao, Philippines 59 57+15 90 + 30

Visayas (Bacolod and Borongan Dormitories), Philippines 35 17 23

Muir School in Kalay and Mary Chapman School, Yangon, Myanmar 31 34 30

ICSD, Ringa, and Kuja High School, Kenya 101 82 98

Ugandan students at various schools and tertiary Institutions 29 31 25

Individual students in Zambia and Rwanda 3 3 3

TOTAL 342 350 414

Page 16: 14th AGM held 2nd May 2015

DEAF MINISTRIES INTERNATIONAL INC.

ABN: 96 832 871 076

2014 AGM Sponsorship Report This ‘Deaf Ministries International’ Sponsorship report covers the general operation of the sponsorship program in all supporting countries. The previous ‘Deaf Action’ report related to sponsorship in Australia only, where the Australian Government requires a separate organisation for tax deductibility (DGR).

The International Sponsorship Coordinator maintains the spreadsheet of all worldwide sponsors and writes the Sponsorship Newsletter. Japan and Norway use the information to write newsletters in their own language. A second spreadsheet of Student Details is kept with the information needed for the Sponsorship Cards. Cards for all countries except Norway and Japan are made in Australia; and all Christmas cards, student reports and new photos are processed in Australia.

The Country Coordinators collect payments and issue receipts in their particular currency, and report changes to the International Coordinator. Mrs Gabi McFarland has agreed to be the Coordinator in the United Kingdom and will contact sponsors and follow up payments. The Sponsorship Newsletter is mailed within the U.K. to reduce postage costs. Sponsorship Cards will still be made in Australia.

This table shows international sponsors or supporters. The Financial Report shows actual income. DMI Sponsors and Supporters

Country December 2011

December 2012

December 2013

December 2014

Japan 62 47 55 72

Europe/Germany 14 15 23 24

Norway 70 76 75 75

Pacific Countries (+ China) 7 5 5 6

United Kingdom 31 42 32 43

United States of America 54 51 50 48

South Korea 7 3 38 26

TOTAL 245 239 278 294

News from each sponsor’s individual student is considered to be of paramount importance to maintain continuity of financial support. The aim is to send something personal from the student with the Sponsorship Newsletter at least twice per year. Christmas cards, student reports, Photo Pages and new cards are processed in Australia, and bulk mailed to Country Coordinators to mail with the Sponsorship Newsletter. The newsletter for Germany (and other European sponsors) is translated into German then mailed from Australia, but some sponsors have requested it in English. Several versions of the newsletter are made to cater for different countries.

Materials for making Christmas Cards are delivered by DMI representatives or mailed to the schools and dormitories. Ligao is very thorough in making beautiful Christmas cards without assistance. If needed Christmas cards are computer made and printed at the Head Office. The production of Christmas Cards is very time consuming but also important. The aim is for every sponsor or supporter who has made payments that year to receive a Christmas card. Sponsors comment that they do appreciate the personal information and cards from their students.

Ligao supplies student reports yearly, and I am now asking other schools to assist the sponsorship program by obtaining permission from parents to photocopy the end of year report for the sponsor.

Worldwide Sponsors for 2011 to 2014 (including Deaf Action in Australia) NOTE: The 2014 numbers for Norway and South Korea are estimated. 2013 figures are shown.

YEAR Australia Norway Japan EU/Germ Pacific U.K. U.S.A. China. S. Kor. Total

2011 244 70 80 14 7 31 54 2 5 507

2012 267 76 47 15 5 42 51 2 1 506

2013 282 75 55 23 5 32 50 3 38 560

2014 308 75 est 72 24 5 43 48 1 26 602

I am very thankful for the contribution made by Country Coordinators. It is greatly appreciated and highly valued. This sponsorship program shows the cooperation between DMI workers worldwide; who all seek to bring education and the gospel to our deaf brothers and sisters.

Jenny Reid DMI Sponsorship Coordinator