1.0 Objects of the Trust
“The Trustees shall stand possessed of the Trust Fund upon trust to be applied for charitable, cultural, philanthropic, recreational and other purposes being purposes beneficial to the community principally in the specified area.”
Amended Trust Deed – 30 March 2015, Section 4. Paragraph a.
2.1 The purpose of making donations is to:
2.1.1 Generally provide supplementary funding support rather than act as a principal funding source.
- Focus on supporting an organisation by providing funding at a time best suited to their needs.
- Recognise the continuing and invaluable work of the voluntary sector.
2.2 The Trustees will assess applications for donations against this policy, the criteria and any guidelines that may be developed and reviewed from time to time by the Trust.
2.3 This Policy will be reviewed annually by the Trust with any reviews taking into account feedback received from donee organisations and the results of any surveys that are conducted from time to time by the Trust.
3.0 Criteria for applications
3.1 Donation applications will be categorised using the John Hopkins Funding Index as provided on Te Kete Putea Database. This Index defines the Project, not the organisation.
3.2 Generally organisations should apply for funding only once within the Trust’s financial year.
3.3 Applications will be considered from:
- An incorporated society
- A registered charitable trust
- A body or club controlled by an association of persons under an adopted constitution that has audited or reviewed accounts and an annual report.
- Not-for-profit community based, parent-led playcentres, playgroups and youth groups.
- The above organisations that will govern and/or manage and/or own the activity/project/asset. Consideration will be given to applications from lease holders, dependent on the conditions of the lease agreement.
- Community owned Trusts, or other similar incorporated entities, that hold monies on behalf of other community organisations or event organisers. In such cases applications should be completed in the name of the community-owned Fundholder/Trust, and they will assume responsibility for meeting all the Community Trust’s accountability requirements
3.4 Applications will not be considered from:
- Individuals or groups seeking to provide funding assistance to individuals.
- Organisations and groups operating for private profit
- Commercial entities
- Primary Schools, Secondary Schools, Kindergartens and community based teacher-led Early Learning Centres that are eligible for annual formula funding from the Trust. (Subject to the policies relating to Early Learning Centre, Kindergarten, Primary and Secondary Schools Donations below)
- Fundraising organisations when the individual organisations, that they are fundraising for, may apply directly to the Trust
3.5 Applications will not be considered for:
- Projects that the trustees consider are the primary responsibility of local or central government
- Completed or retrospective projects as at the time of applications being considered.
- Projects that do not specifically benefit the community of the Mid and South Canterbury region.
- Costs relating to attendance at out-of-region conferences, education, tournaments, competitions, tours etc.
3.6 A Community Trust donation is exempt GST.
4.0 Closing dates for applications
4.1 Applications for up to $10,000 will close on the 3rd Friday of each month other than November and December. Applications up to $10,000 are considered at the Trust meeting the month following the closing date, apart from December and January.
4.2 Applications for more than $10,000 will close on:
- 3rd Friday in March (to be considered in May)
- 3rd Friday in September (to be considered in November)
4.3 Trust meetings are usually held the last Monday of each month. There is no Trust meeting in December.
5.0 Conditions of Donations
5.1 The following conditions will be attached to any donation made by the Trust
- The recipients shall complete an Accountability Report
- A standard donation will be spent within twelve months from the date that it is uplifted unless special arrangements can be made with the Trust.
- When a donation has not been uplifted within 12 months a written update of the project may be requested, detailing why this has not occurred. The Community Trust may wish to review the terms of the donation
- The donation will not be paid unless the Trust is satisfied that the balance of the funding is in hand and that the project can be completed.
- If required by the Trust, the recipient agrees to a project audit being carried out.
- Unless specifically authorised by the Trust, the donation must be used for the specific project applied for, with any conditions applied by the Trust to the donations being adhered to.
- It is the responsibility of the donee to declare any income received from the Trust and to pay any taxes that may be incurred as a result of that donation income.
- The Trust has the right to publicise any donation made.
- The donee organisation shall acknowledge any donation made by the Trust in the Annual Report of the organisation.
6.0 Special Project Funding
6.1 The Community Trust may commit to funding Special Projects from time to time. Such projects would be considered where specific benefits within the community are the focus of the funding.
6.2 The funding of Special Projects may be a one-off donation or the Community Trust may undertake to make it a multi-year funding project (See #7.0 Multi-year Donations)
7.0 Multi-year Donations
7.1 The Community Trust may choose to support an organisation through multi-year funding commitments where it is considered that such support will enable the organisation to:
7.1.1 Better achieve its mission and provide ongoing quality services
7.1.2 Undertake long term planning, service delivery or programme development
7.1.3 Strengthen organisational capability and capacity
7.2 Organisations can request to be considered for multi-year funding or the Community Trust can proactively identify such organisations as part of the application enquiry process
7.3 Multi-year donation commitments are preferably to be made from the current year’s budget but can be allocated to subsequent budgets at the discretion of the Board
7.4 Multi-year funding will be spent within the conditional timeframe (up to 3 years) set by the Community Trust.
7.5 Multi-year donations and projects are to be monitored and reviewed on an annual cycle, or more frequently if requested, and milestone reports must meet the satisfaction of the Community Trust prior to the payment of the next instalment.
7.6 Where multi-year funding occurs for a specific project the Community Trust, at its discretion, will consider a donation application from that organisation, for another project, at 12 monthly intervals.
8.0 Guidelines for applicants
8.1 When submitting an application for funding assistance, the applicant should ensure that the following information, where applicable, is clearly evident. Advice may be sought from the Community Relations Manager at the Community Trust.
8.1.1 The way in which the donation will contribute to the benefit, well-being and/or enjoyment of the community.
8.1.2 The number of people in the local community who will benefit from the project.
8.1.3 The amount being contributed by the Applicant to the project – generally at least half the cost is expected to be raised by the Applicant.
- The extent to which projects and amenities will have a multipurpose use.
- The extent of collaboration with other funders.
- For any restoration project, the historical category classification, amount of community use and historical significance.
- The ownership of any capital items purchased as part of the project.
- The availability of other services or projects that may overlap with the Applicant’s service or project.
- How the ongoing costs of the project will be sustained.
- Where an application is made by a national or regional body applying on behalf of a local branch for a specific local project or for the local aspects of a national project, financial information, including budgets and financial statements, must be provided for the local branch or the local project. Details of the way in which the local community will benefit, including numbers of people, should also be provided.
9.0 Early Learning Centre, Kindergarten, Primary and Secondary School Donations
To provide funding which would assist in enabling disadvantaged students to take an active role in the organisation’s core activities. Core activities are defined as those activities in which all students participate. The use of such funding is at the discretion of the head of education within the organisation.
9.2 Early Learning Centres
Donations will be made to each community based teacher-led Early Learning Centre at the same rate as that for Kindergartens (#9.3 below). Community based parent-led Early Learning Centres do not receive the formula funding, but can apply for general donations.
Donation to be made to area associations in accordance with an agreed formula.
|Mobile Kindergarten||$500 only|
9.4.1 The funding formula is based on the March roll, with a minimum amount of $600 and decile rate weighting as below. The following exceptions apply;
- Waihi School – fully private – no funding
- Craighead Diocesan School funded at 50% of the rate for same decile school, as agreed with the Principal.
|School Decile rating||Funding per pupil|
|Average per pupil||$12.00|
9.4.2 Without detracting from the present policy of making formula based donations to early learning centres, schools and kindergartens, Trustees may consider the special needs of the early learning centres, schools and kindergartens when the asset is vested in community ownership. The Trust must be satisfied that some long term improvement can be achieved for the pupils and that there will be long term benefit for the community.
9.5 Method of Allocation
9.5.1 The Community Relations Manager of the Trust will, on an annual basis, obtain the roll and decile rating of the schools to be funded, along with the number of kindergartens and mobile kindergartens and present a report to the Trustees detailing costs for the year ahead.
9.5.2 Each early learning centre, kindergarten and school funded is expected to complete an Accountability Report detailing how the donation was utilised.
10.0 Collaborative Funding
10.1 Collaborative Funding
- From time to time the Community Trust may wish to approach another funder, or funders (other than a Community Trust), towards the collaborative funding of a project.
- Any such strategy shall first be presented to the Community Trust Board of Trustees, in the form of a discussion document and the proposal agreed to by the trustees, before any formal approach is made to other funders.
- Should Trustees decide to proceed with a collaborative funding project this may be achieved by way of special funding or through the application process.
- Should a funder (other than a Community Trust) approach this Trust regarding a collaborative funding project, the Trust Chair and staff will meet with them to discuss the proposal. All Trustees are to be notified of the meeting.
- The representatives will remain non-committal and bring the proposal to a meeting of the full Trust where a decision will be made regarding the merits of collaborating and the benefits to the community of the project.
- Should Trustees decide to proceed on a collaborative funding basis with another Funder or Funders, this may be achieved either by special funding or through the application process.
10.2 Collaboration with Community Trusts
- From time to time all Trusts receive applications that have national benefit. The following process has been agreed by all Trusts
- Before an application is promoted to other Trusts it must be within the policy and guidelines of the host Trust, or recommended by the Chairpersons Group for consideration.
- If an application is considered worthy of national consideration the host Trust is to circulate:
10.2.3. 1 A covering memo to the Chief Executives from the host Trust outlining the merits of the project,
10.2.3.2 A copy of the application on the application form of the host Trust,
10.2.3.3 The applicant’s annual accounts and taxation status, and
10.2.3.4 A pro-rata guideline based on the most recent comparative data of net assets of individual Trusts, unless otherwise agreed.
- The host Trust will remain the point of contact and the financial controller throughout the project unless otherwise agreed.
- All Trusts are to advise the host Trust of their decision
- The host Trust should not be obligated to fully fund the shortfall, but would be expected to contribute their pro-rata amount as a minimum.
- If there is a lack of collective support the host Trust is able to decline the application.
- Once all Trusts have reported their decision the host Trust will invoice each supporting Trust for the amount approved, payable to the host Trust.
- A mandatory audit of the donation is the responsibility of the host Trust and should be advised to the participating Trusts once completed.
Approved March 2017