2013 Annual ReportMelbourne Youth Music

Our Board of ManagementPresident Jeanette WardVicePresident Sharon MeehanTreasurer Carol BensonSecretary Raghava DasikaBoardMembers Sarah Bartak Jo Beaumont Leanne Beveridge Regan Engelhardt Peter Garnick Tiffiny Lewin Gary McPherson Michelle Wright

Our Team

AdministrationChiefExecutiveOfficer Dorian Jones* FinanceManager Shriti DagaAdministrationCoordinator Syrie Payne

Artistic OperationsManagerofArtisticPlanning Michelle Forbes OperationsManager Daniel BoadenOperationsCoordinator Murray Walker EnsembleConductors Jemima Bunn Kieran Casey Mary Johnston Hamish Paterson Rick Plummer Mark ShiellEnsembleCoordinators Yvette Leach Christopher Robson Anna van Veldhuisen

MYM AmplifiedProgramManager Jade Norfolk DigitalJournalist Cat Wall

*commenced 2014

Strategic Partner Presenting Partner

Event Partner Education Partner

Contents

WhoWeAre 2

OurProudHistory 3

OurPhilosophy 4

2013InNumbers 5

President’sReview 6

CEO’sReport 7

Activity StatementsSummerSchool 8

EnsembleProgram 10

SpecialProjects 12

Financial StatementsTreasurer’sReport 14

FinancialStatements 15

Auditor’sReport 33

OurDonors 34

OurPartners 34

Who We AreOur dream is that music is embraced and celebrated in Victoria, since it is instrumental in building community and developing the best in young people.Since 1967, Melbourne Youth Music has been enriching young lives through the power of music. 47 years later, we continue to grow our community on a reputation of excellence, developing the best in young people, unleashing creativity and empowering tomorrow’s leaders through dedication and teamwork.

Each year we offer an inclusive and stimulating range of artistic and social activities designed to instil a lifelong love for ensemble music playing.

Our programs seek to create positive public awareness of youth, to increase youth involvement in music and more broadly an appreciation of the Arts in Victoria.

At all levels, our program focuses on building strong communities and encouraging participation across all religious, ethnic, cultural, social and educational backgrounds.

We have a commitment to improving both the quality and capacity of music education in Victoria, playing a leadership role in collaborating with education and music partners to ensure that a high quality music education is available for all students in Victoria.

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Our Proud History

Melbourne Youth Music began in 1967 when an enlightened State Government introduced free instrumental tuition into government schools throughout Victoria. At the same time, the Secondary Schools’ Concert Committee (now known as Melbourne Youth Music) was formed under the leadership of Dr Alexandra Cameron OBE with a vision to provide music students with the opportunity to participate in ensemble music making and to take part in public performances.

Our first rehearsal consisted of a 70-piece orchestra under the direction of Eric Austin Phillips, and in 1972, to mark the centenary of education in Victoria, the ensemble was renamed the Melbourne Youth Orchestra, with a performance taking place in the Melbourne Town Hall.

Our annual Summer School began in 1971, held for two days at the University High School, Parkville. 41 years on, our Summer

School brings people together from all over Australia for one week of music making each January at the Victorian College of the Arts.

In 1974, growth in numbers and standard of students enrolling in our program necessitated the formation of the Percy Grainger Youth Orchestra, with its founding conductor Bruce Worland AM.

1976 saw the addition of the John Antill Youth Band and Junior Strings Program, and the formalisation of the now more familiar tiered structure of ensembles began to develop. Over the following four decades, our ensembles have continued to grow under the leadership of some of the finest conductors, tutors and music educators, bringing together young people for a range of engaging social and musical activities.

Throughout Melbourne Youth Music’s life many of our orchestras also travelled Australia and the world on tour, from the United States, Germany, the United Kingdom and Japan, giving many of our musicians some of the fondest memories that they take away with them.

In excess of 30,000 people have benefited from attending one of our programs, many of who today are playing leading roles in the business, arts and education communities.

Our program is now recognised as one of the finest ensemble music training programs across Australia.

Our PhilosophyOur Spirit

Coming together for the joy of music

Our Beliefs

• Inspiring young people to reach their potential through music

• Empowering tomorrow’s leaders through a commitment to excellence

• Creating inspirational learning environments

• Unleashing creativity through dedication and teamwork

• Strengthening our legacy by honouring tradition and embracing change

• Creating a sustainable arts future through community partnerships

• Building an enduring Melbourne Youth Music community

• Proving pathways to music for life

Our Greatest Imaginable Challenge

To be a well loved brand, celebrated in Victoria for our educational and artistic achievements.

Our Attributes

Inspirational Passionate Collaborative Inclusive

Innovative Nurturing Professional

Enriching young lives through the power of music.

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2013 In Numbers

21534

Works studied by our ensembles

Concerts performed by our ensembles

Youth participants in our program

Visitors to our website across 97 countries

Minutes of online viewing of MYM-produced videos

Music Programs

Digital Beginnings

Specialist music educators

Hours of rehearsal

1075

37,63911,688

919108

Youth participation grew to more than one thousand, our reach in Victoria’s music education community spread through various online initiatives, and special projects provided our young musicians with some wonderful opportunities. All of these great achievements confirmed Melbourne Youth Music as one of the finest music education organisations in Australia.

We also experienced change in the leadership of Melbourne Youth Music, with the loss of our Chief Executive Officer in the last quarter of 2013. This has been a catalyst for revitalisation with the team at Melbourne Youth Music embracing opportunities to broaden their experience and roles.

The Board of Management acknowledges and sincerely thanks everybody involved in the program for working so tirelessly to ensure we finished strongly in 2013 and were in the best possible position to kick off 2014 and welcome our new Chief Executive Officer, Dorian Jones.

Although many of our challenges are not new, they never get easier. Some of the key challenges we face in the next few years are:

• Pressure on government budgets threatening our single largest source of funds from the Department of Education and Early Childhood Development (DEECD), with the next triennial funding round commencing in 2015. In 2013, MYM received

$143,667 from DEECD which represented about 14% of our revenue.

• Increasing competition for the Philanthropy dollar as many Not-for-Profit organisations seek to broaden their source of funds. In 2013, MYM received $141,512 from Foundations and private donors (14% of our revenue).

• Increasing fees for our rehearsal and performance venues. The Victorian College of the Arts is also preparing for major redevelopment works which are anticipated to disrupt our program in the coming years.

The Board of Management is confident that Melbourne Youth Music will successfully withstand these challenges despite the potential disruption they may cause. The key to our success will be ensuring Melbourne Youth Music has the best people to deliver an inspirational and innovative music program and online presence that excites and inspires our young musicians, unleashes their creativity, and elevates their and Melbourne Youth Music’s influence in the music community.

We have a great team of inspirational and talented music educators, a strong and capable Board and management team, and vital support from a range of funders, partners, and donors. I thank all of these people and groups for making Melbourne Youth Music such a success in 2013 and look forward to working together to build the organisation’s reputation for excellence and inspiration in 2014.

In 2013, we made great progress toward achieving our greatest imaginable challenge: to be a well-loved brand, celebrated in Victoria for our education and artistic achievements.

President’s Review Jeanette Ward

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Since commencing at Melbourne Youth Music in early 2014 I have been deeply impressed by the passion and drive that permeates our organisation, from President Jeanette Ward and fellow board members, through to the management team, musical personnel, funders, supporters, members and families. All are working towards a common goal; enabling Victoria’s most talented young musicians, instruments in hand, to hone their craft and pursue their musical ambitions.

Looking back over Melbourne Youth Music’s performance in 2013, I commend the team for the delivery of a solid program of educational initiatives and musical events building on our proud 47-year tradition. Of particular note are the highly successful 2013 Summer School and the ongoing development and success of the weekly Ensemble Program.

Artistic highlights of 2013 included presentation of music from Chicken Run in the Melbourne International Comedy Festival, the Victorian premier of Elena Kats-Chernin’s Golden Kitsch conducted by Richard Gill, and Share the Chair, in which Melbourne Youth Orchestra musicians benefited from direct mentoring with their Melbourne Symphony Orchestra counterparts.

Extending our strong foundation of live music participation, a Digital Learning Project piloted in 2013 saw the production and distribution of online and digital learning resources, which

have since been accessed by thousands of students. This inroad into extending the Melbourne Youth Music offering across the state has evolved as a key component of our educational outreach program, MYM Amplified.

I am inspired by the number of Ensemble Program participants who commute each week from Regional Victoria – from as far afield as Albury, Bairnsdale and Mildura. As we look to the future, we embrace a vision of extending our reach, and enabling participation from all of Victoria’s gifted and talented young musicians through MYM Amplified – utilising both digital and face-to-face teaching.

As our 50th birthday approaches in 2017, we turn our attention to building a connected community of alumni to join us in celebrating this milestone. Participation in our program brings life-long benefits, and our members can enjoy life-long learning and participation through a vibrant Alumni Program.

The success of our 2013 program was possible thanks to the ongoing support of the Victorian Government through the Department of Education and Early Childhood Development Strategic Partnerships Program. We profoundly value the continuation of our relationships with our Presenting Partner Freemasons Victoria, our Program Partner Federation Square, and our Education Partner the University of Melbourne - Faculty of VCA & MCM.

I see a bright future for Melbourne Youth Music as we continue to refine, expand and explore new ways to do what we do best – enriching young lives through the power of music.

Chief Executive Officer’s Report Dorian Jones

Summer School

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Our 41st annual Summer School was another successful start to a year of music-making and education and a highlight in Melbourne’s arts calendar.

The Summer School brings together students from across all backgrounds to acquire skills through interaction and an intensive schedule of rehearsals, tutorials and workshops.

In 2013 we celebrated the depth of talent working in Victorian music education, providing access to our team of conductors and tutors, drawn from this state’s finest school, tertiary, professional and community music programs.

The outstanding team of conductors, tutors and educators assembled ensured that all participants were able to excel through the experience. Through the enthusiasm demonstrated by these mentors, a nurturing and inspirational environment was created to allow students to develop both musically and socially.

Experiencing another increase in participants, the Summer School’s reputation for high-quality music-making amidst a fun-filled and friendly atmosphere attracted participants from beyond metropolitan Melbourne through regional Victoria to Australia-wide.

The week concluded with three fantastic performances; a showcase of Jazz at Federation Hall and two concerts at Dallas Brooks Hall featuring the bands and string and orchestra groups, respectively.

Symphony Orchestra (73)

Philharmonic Orchestra (66)

Chamber Strings (69)

Sinfonietta (61)

Camerata (41)

Symphonic Wind Band (55)

Concert Band (51)

Intermediate Band (45)

Junior Band (27)

Big Band (17)

Jazz Improvisation (25)

Conductor Development (11)

Distribution of total Summer School participants in 2013 (541)

14–19 January

The 2013 Ensemble Program consisted of rehearsals and tutorials held across the school year at the Victorian College of the Arts, University of Melbourne and offered young musicians the opportunity to develop advanced instrumental and ensemble skills.

Our rehearsal tutorial program is designed to complement and enhance individual lessons, school and university programs. Each of our ensembles undertake an active and engaging performance program throughout the year, showcasing their talents and developing themselves as musicians and leaders of our community.

The overarching goal of the Ensemble Program is to motivate members to take their individual and ensemble playing to a whole new level – growing in ability and confidence – while learning valuable interpersonal and teamwork skills.

Led by an outstanding team of specialist music educators, participants perform great music together with like-minded young musicians.

9 February–9 November

Ensemble Program

MYO (114)

PGYO (73)

MYCS (43)

MYS (71)

MYJS (75)

MYWS (61)

MYJO (14)

Distribution of total Ensemble Program participants in 2013 (451)

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Percy Grainger Youth Orchestra (PGYO)

Mark Shiell brought his wealth of experience conducting and training young orchestral musicians to PGYO in 2013. For a number of members, this was their first experience in a full symphonic orchestra, and throughout the year built respect for the music making process and a strong rapport with their fellow members. The achievements of the ensemble were demonstrated at three performances, most notably concluding the year with a rousing rendition of Rimsky-Korsakov’s Cappricio Espagnol.

Melbourne Youth Chamber Strings (MYCS)

2013 was a year of virtual travel for MYCS members as director Mary Johnston took them around the musical world to experience varying styles and musical genres. The ensemble members experimented with subtle phrasing, dynamics and string colours - challenging themselves musically and technically. A particular highlight was the performance of Mary’s own composition, Aurora Borealis – the string players ably depicting the wash of colours that dance across the sky.

Melbourne Youth Strings (MYS)

Hamish Paterson led MYS through an exciting program full of new experiences and technique development. Great progress was made by the ensemble, proving so popular that it reached maximum capacity. A favourite performance broke away from standard repertoire, with a rendition of the theme from Peter Gunn, complete with a special feature from one of the MYWS percussionists.

Melbourne Youth Junior Strings (MYJS)

A professional and committed line-up led by conductor Kieran Casey and our team of tutors, oversaw a significant growth in the standard and ensemble size of MYJS in 2013. Also reaching maximum capacity, these young instrumentalists strengthened the foundation knowledge of their instruments and enjoyed learning to create music as a team.

A highlight for the ensemble was performing Sarasate’s Gypsy Airs – a more advanced composition than the ensemble had previously attempted.

Melbourne Youth Jazz Orchestra (MYJO)

MYJO performed only one program in 2013 under the expert directorship of saxophonist Paul Williamson. The ensemble worked with outstanding vocalists and performed a selection of jazz high tea classics in the Famous Spiegeltent.

Melbourne Youth Wind Symphony (MYWS)

The members of MYWS presented many great performances during 2013, tackling some demanding modern compositions by Erickson, Markowski and Melillo. Conductor Rick Plummer’s approach to building the overall ensemble sound developed expression in playing and a sense of collegiality among the ensemble members. This group reached new heights in 2013 through an overwhelming sense of enthusiasm and unity within the ensemble.

Melbourne Youth Orchestra (MYO)

We were delighted to welcome Guest Conductors Daniel Carter and Richard Gill, as well as returning Guest Conductors Brett Kelly and long-time MYO conductor, Peter Bandy, to work with the ensemble in 2013.

The orchestra also undertook a number of collaborative projects including Share the Chair with Melbourne Symphony Orchestra and a performance of selections from the Chicken Run movie soundtrack for its Melbourne International Comedy Festival debut. A highlight was a special concerto workshop that provided the opportunity for MYO members to rehearse a work of their own choice accompanied by a full orchestra comprised of their colleagues.

Working with Richard Gill, MYO performed the Victorian debut of Elena Kats-Chernin’s concerto for percussion, Golden Kitsch, supporting esteemed Melbourne percussionist, Eugene Ughetti.

MYJS at RCH23 September 2013

Selected members of Melbourne Youth Junior Strings were invited to perform at the Royal Children’s Hospital as part of a lunch time series of concerts. These concerts assist with rehabilitation and add enjoyment to what can be a difficult time for patients and their families. These young musicians were offered the opportunity to showcase their talents in a fantastic new venue and acoustic atmosphere while inspiring the children to recovery.

This performance was streamed live on the hospital television network for all patients to experience.

MYO Concerto Workshops15 & 22 June 2013

Members of Melbourne Youth Orchestra were invited to nominate their chosen concerto to work through with their peers in an open rehearsal. Guest Conductor, Dan Carter, led the ensemble and budding virtuosi through the repertoire, assisting in the final selection of MYO trumpeter, Jeremy O’Sullivan, to perform with Percy Grainger Youth Orchestra in their final concert of 2013.

String Leadership Program

Under the expert tutelage of renowned violinist Jo Beaumont, 31 Ensemble Program members were invited to extend their knowledge of leadership techniques. These senior string players had the opportunity to learn and develop important skills such as how to actively lead a section, bow parts and communicate effectively with a conductor and their section. Armed with these new-found techniques, these future leaders were able to further enhance their individual ensembles and rounded off the experience by attending an open rehearsal with the Australian World Orchestra conducted by Zubin Mehta.

John Antill Youth Band

Melbourne Youth Music was proud to announce the return of the John Antill Youth Band – an ensemble that was originally founded in 1976 but discontinued after drastic funding cuts. Originally reinstated as a pilot project, this ensemble was met with resounding support and popularity and was continued to the end of 2013.

46 members participated in the ensemble and gave a fantastic debut performance at the Melbourne Youth Music Bands Festival before continuing to work with a dedicated team of tutorial staff and their specialist conductor, Jemima Bunn.

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Special Projects

Bands Festival25 May 2013

Our annual Bands Festival has been one of Melbourne Youth Music’s most popular community events. The 2013 festival featured more than 650 performers from 12 guest ensembles across 3 concerts. Guest bands represented professional, university, school and community ensembles as well as our own Melbourne Youth Wind Symphony and the debut return performance of the John Antill Youth Band.

Share the Chair18 – 31 May 2013

This event is one of the highlights of the calendar for Melbourne Youth Orchestra creating opportunities for our members to interact with mentors from Melbourne Symphony Orchestra in an environment that replicates professional working conditions. Guest Conductors Yan Pascal Tortelier and Maxime Tortelier were inspirational as they took the ensemble through a challenging program including French impressionistic masterpieces La Mer and La Valse. The week of mentorship and music culminated in a free public concert at the Melbourne Town Hall, side-by-side with professional musicians as part of MSO Education Week.

MYO CD recording

Offering an opportunity to experience a new facet to the professional music industry, Melbourne Youth Orchestra undertook a recording project under the direction of John Foreman. Working with Anthony Callea of Australian Idol fame, and industry professional mentors, they produced a celebrated CD of Christmas Carols – “This is Christmas” – for the ABC Classics label.

The 2013 financial year was one of further improvements in operations, finances, and risk management.

With a dedicated, energetic, and resourceful executive team and an experienced and focused Board, Melbourne Youth Music achieved an operating surplus of $45,077. This is an increase on the surplus for 2012 of $25,812, primarily due to strong enrolments in the 2013 Summer School and Ensemble Programs as well as some expense savings. It is another good result as we continue to build a strong financial basis to support us into the future.

Philanthropic grants and sponsor income continues to grow due to the sustained efforts of the Board and Management. This income supplements the essential triennial funding received from the Department of Education and Early Childhood Development (DEECD), underpinning the organisation’s confidence in its future.

While Melbourne Youth Music has successfully diversified income, we continue to manage our costs responsibly, ensuring that we can devote as much as we can of the available resources to delivering and augmenting our program.

The balance sheet remains strong, with sizeable cash reserves, $1,176,980 as at 31 December 2013 and no debt.

We continue to focus on longer term funding options that will sustain our ability to deliver our program in the event that any one key sponsor withdrew its financial support.

Our planning for the 2014 financial year indicates that we should successfully deliver an operating surplus and maintain our cash reserves.

The Finance & Risk Committee of the Board of Management continues to develop and implement appropriate policies, responding to the need to manage the risks and responsibilities we assume.

We have a comprehensive set of corporate policies; we continue to assess and monitor risks; management reporting has improved further; there is an ongoing focus on funding strategies; and we continue to provide operational and financial information that is more understandable and relevant for our members and other stakeholders.

With the energy of our executive management and the engagement of a professional Board of Management, we can confidently look forward to securing Melbourne Youth Music’s place in the cultural life of Victoria.

While Melbourne Youth Music has successfully diversified its income, we continue to manage costs responsibly, ensuring we can devote as much as we can to delivering and augmenting our program.

Treasurer’s Report Carol Benson

Financial StatementsFor the year ended 31 December 2013Melbourne Youth Music Council Inc

ABN 54 089 059 805

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1 Statement of Significant Accounting PoliciesThis financial report covers Melbourne Youth Music Council Inc. as an individual entity. Melbourne Youth Music Council Inc. is an association incorporated in Victoria and operating pursuant to the Associations Incorporation Reform Act 2012. The financial statements were authorised for issue on 16 April 2014 by the members of the committee.

Basis of Preparation

The financial statements are general purpose financial statements that have been prepared in accordance with Accounting Standards (including Australian Accounting Interpretations) and the Associations Incorporation Reform Act 2012. The association is a not-for-profit entity for financial reporting purposes under Australian Accounting Standards.

Australian Accounting Standards set out accounting policies that the AASB has concluded would result in a financial report containing relevant and reliable information about transactions, events and conditions to which they apply. Material accounting policies adopted in the preparation of these financial statements are presented below and have been consistently applied unless stated otherwise.

The financial statements, except for the cash flow information, have been prepared on an accruals basis and are based on historical costs, modified, where applicable, by the measurement at fair value of selected non-current assets, financial assets and financial liabilities. The amounts presented in the financial statements have been rounded to the nearest dollar.

Accounting Policies

(a) Income TaxNo provision for income tax has been raised as Melbourne Youth Music Council Inc. is exempt from income tax under section 50-5 of the Income Tax Assessment Act 1997.

(b) Property, Plant and EquipmentPlant and equipment

Plant and equipment are measured on a cost basis and are therefore carried at cost less accumulated depreciation and any accumulated impairment losses. In the event the carrying amount of plant and equipment is greater than the estimated recoverable amount, the carrying amount is written down immediately to the estimated recoverable amount and impairment losses are recognised either in profit or loss or as a revaluation decrease if the impairment losses relate to a revalued asset. A formal assessment of recoverable amount is made when impairment indicators are present.

Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the association and the cost of the item can be measured reliably. All other repairs and maintenance are charged to the income statement during the financial period in which they are incurred.

Depreciation

The depreciable amount of all fixed assets, including buildings and capitalised lease assets, is depreciated on a dminishing value basis over the asset’s useful life commencing from the time the asset is available for use. Leasehold improvements are depreciated over the shorter of either the unexpired period of the lease or the estimated useful life of the improvements.

The depreciation rates used for each class of depreciable assets are:

Class of Fixed Asset Depreciation Rate

Music Library 22.50%

Musical Instruments 15%

Percussion Instruments 30%

Computers 37.50%

Office Furniture 7.5%-15%

Other Equipment 22.5%-30%

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Depreciation

The assets’ residual values and useful lives are reviewed and adjusted, if appropriate, at the end of each reporting period.

Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These gains and losses are recognised in profit or loss when the item is derecognised. When revalued assets are sold, amounts included in the revaluation surplus relating to that asset are transferred to retained surplus.

(c) LeasesLease payments for operating leases, where substanially all the risks and benefits remain with the lessor, are recognised as expenses on a straight-line basis over the lease term.

Lease incentives under operating leases are recognised as a liability and amortised on a straight-line basis over the life of the lease term.

(d) Financial InstrumentsInitial Recognition and Measurement

Financial assets and financial liabilities are recognised when the entity becomes a party to the contractual provisions to the instrument. For financial assets, this is equivalent to the date that the association commits itself to either purchase or sell the asset (ie trade date accounting adopted).

Financial instruments are initially measured at fair value plus transactions costs except where the instrument is classified ‘at fair value through profit or loss’ in which case transaction costs are expenses to profit or loss immediately.

Classification and subsequent measurement

Financial instruments are subsequently measured at fair value, amortised cost using the effective interest rate method or cost. Fair value represents the amount for which an asset could be exchanged or a liability settled between knowledgeable, willing parties. Where available, quoted prices in an active market are used to determine fair value. In other circumstances, valuation techniques are adopted.

Amortised cost is calculated as the amount at which the financial asset or financial liability is measured at initial recognition less principal repayments and any reduction for impairment, and adjusted for any cumulative amortisation

of the difference between that initial amount and the maturity amount calculated using the effective interest rate method.

The effective interest rate method is used to allocated interest income or interest expense over the relevant period and is equivalent to the rate that discounts estimated future cash payments or receipts (including fees, transaction costs and other premiums or discounts) over the expected life (or when this cannot be reliably predicted, the contractual term) of the financial instrument to the net carrying amount of the financial asset or financial liability. Revisions to expected future net cash flows will necessitate an adjustment to the carrying amount with a consequential recognition of income or expense in profit or loss.

The association does not designate any interests in subsidiaries, associates or joint ventures entities as being subject to the requirements of Accounting Standards specifically applicable to financial instruments.t

(i) Financial assets at fair value through profit or loss

Financial assets are classified at ‘fair value through profit or loss’ when they are held for trading for the purpose of short-term profit taking, derivatives not held for hedging purposes, or when they are designated as such to avoid an accounting mismatch or to enable performance evaluation where a group of financial assets is managed by key management personnel on a fair value basis in accordance with a documented risk management or investment strategy. Such assets are subquently measured at fair value with changes in fair value (ie gains or losses) being recognised in profit or loss.

(ii) Loans and receivables

Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market and are subsequently measured at amortised cost. Gains or losses are recognised in profit or loss through the amortisation process and when the financial asset is derecognised.

(iii) Held-to-maturity investments

Held-to-maturity investments are non-derivative financial assets that have fixed maturities and fixed or determinable payments, and it is the association’s intention to hold

these investments to maturity. They are subsequently measured at amortised cost. Gains or losses are recognised in profit or loss through the amortisation process and when the financial asset is derecognised.

(iv) Available-for-sale investments

Available-for-sale investments are non-derivative financial assets that are either not capable of being classified into other categories of financial assets due to their nature or they are designated as such by management. They comprise investments in the equity of other entities where there is neither a fixed maturity nor fixed or determinable payments.

The are subsequently measured at fair value with any remeasurements other than impairment losses and foreign exchange gains and losses recognised in other comprehensive income. When the financial asset is derecognised, the cumulative gain or loss pertaining to that asset previously recognised in other comprehensive income is reclassified into profit or loss.

Available-for-sale financial assets are classified as non-current assets when they are not expected to be sold within 12 months after the end of the reporting period. All other available-for-sale financial assets are classified as current assets.

(v) Financial liabilities

Non-derivative financial liabilities other than financial guarantees are subsequently measured at amortised cost. Gains or losses are recognised in profit or loss through the amortisation process and when the financial liability is derecognised.

Impairment

A financial asset (or group of financial assets) is deemed to be impaired if, and only if, there is objective evidence of impairment as a result of one or more events (a ‘loss event’) has occurred, which has an impact on the estimated future cash flows of the financial asset(s).

In the case of available-for-sale financial assets, a significant or prolonged decline in the market value of the instrument is considered to constitute a loss event. Impairment losses are recognised in profit or loss immediately. Also, any cumulative decline in fair value previously recognised in other comprehensive income is

reclassified to profit or loss at this point.

In the case of financial assets carried at amortised cost, loss events may include: indications that the debtors or a group of debtors are experiencing significant financial difficulty, default or delinquency in interest or principal payments; indications that they will enter bankruptcy or other financial reorganisation; and changes in arrears or economic conditions that correlate with defaults.

For financial assets carried at amortised cost (including loans and receivables), a separate allowance account is used to reduce the carrying amount of financial assets impaired by credit losses. After having taken all possible measures of recovery, if management establishes that the carrying amount cannot be recovered by any means, at that point the written-off amounts are charged to the allowance account or the carrying amount of impaired financial is reduced directly if no impairment amount was previously recognised in the allowance account.

When the terms of financial assets that would otherwise have been past due or impaired have been renegotiated, the association recognises the impairment for such financial assets by taking into account the original terms as if the terms have not been renegotiated so that the loss events that have occurred are duly considered.

Derecognition

Financial assets are derecognised where the contractual right to receipt of cash flows expires or the asset is transferred to another party, whereby the entity no longer has any significant continuing involvement in the risks and benefits associated with the asset. Financial liabilities are derecognised where the related obligations are discharged, cancelled or have expired. The difference between the carrying amount of the financial liability extinguished or transferred to another party and the fair value of consideration paid, including the transfer of non-cash assets or liabilities assumed, is recognised in profit or loss.

(e) Impairment of AssetsAt the end of each reporting period, the association assesses whether there is any indication that an asset may be impaired.

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The assessment will consider both external and internal sources of information. If such an indication exists, an impairment test is carried out on the asset by comparing the recoverable amount of that asset, being the higher of the asset’s fair value less costs to sell and its value-in-use, to the asset’s carrying amount. Any excess of the asset’s carrying amount over its recoverable amount is immediately recognised in profit or loss.

Where it is not possible to estimate the recoverable amount of an individual asset, the association estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Where an impairment loss on a revalued asset is identified, this is recognised against the revaluation surplus in respect of the same class of asset to the extent that the impairment loss does not exceed the amount in the revaluation surplus for that class of asset.

(f) Employee ProvisionsShort-term employee benefits

Provision is made for the association’s obligation for short-term employee benefits. Short-term employee benefits are benefits (other than termination benefits) that are expected to be settled wholly before 12 months after the end of the annual reporting period in which the employees render the related service, including wages, salaries and sick leave. Short-term employee benefits are measured at the (undiscounted) amounts expected to be paid when the obligation is settled.

Other long-term employee benefits

Provision is made for employees’ leave entitlements not expected to be settled wholly before 12 months after the end of the annual reporting period in which the employees render the related service. Other long-term employee benefits are measured at the present value of the expected future payments to be made to employees. Expected future payments incorporate aniticipated future wage and salary levels, durations of service and employee departures. They are then discounted at rates determined by reference to end-of-reporting-period market yields on government bonds that have maturity dates approximately the terms of the obligations. Any remeasurements of other long-term employee benefit obligations due to changes in assumptions are recognised

in profit or loss in the periods in which the changes occur.

The association’s current obligations for long-term employee benefits are presented as non-current provisions in its statement of financial position, except where the association does not have an unconditional right to defer settlement for at least 12 months after the reporting date, in which case the obligations are presented as current provisions.

(g) Cash on HandCash and cash equivalents include cash on hand, deposits held at-call with banks, other short-term highly liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities in the statement of financial position.

(h) Accounts Receivable and Other

DebtorsAccounts receivable and other debtors include amounts due from members as well as amounts receivable from customers for goods sold in the ordinary course of business. Receivables expected to be collected within 12 months of the end of the reporting period are classified as current assets. All other receivables are classifed as non-current assets.

(i) Revenue and Other IncomeNon-reciprocal grant revenue is recognised in profit or loss when the association obtains control of the grant and it is probable that the economic benefits gained from the grant will flow to the assocation and the amount of the grant can be measured reliably.

If conditions are attached to the grant which must be satisfied before it is eligible to receive the contribution, the recognition of the grant as revenue will be deferred until those conditions are satisfied.

When grant revenue is received whereby the association incurs an obligation to deliver economic value directly back to the contributor, this is considered a reciprocal transaction and the grant revenue is recognised in the statement of financial position as a liability until the service has been delivered to the contributor, otherwise the grant is recognised as income on receipt.

The association receives non-reciprocal contributions of assets from the government and other parties for a zero or a nominal value. These assets are recognised at fair value on the date of acquisition in the statement of financial position, with a corresponding amount of income recognised in the statement of profit or loss and other comprehensive income.

Donations and bequests are recognised as revenue when received.

Interest revenue is recognised using the effective interest method, which for floating rate financial assets is the rate inherent in the instrument. Dividend revenue is recognised when the right to receive a dividend has been established.

Revenue from the rendering of a service is recognised upon the delivery of the service to the customer. All revenue is stated net of the amount of goods and services tax.

(j) Goods and Services Tax (GST)Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Tax Office (ATO).

Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or payable to, the ATO is included with other receivables or payables in the statement of financial position.

Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are recoverable from, or payable to, the ATO are presented as operating cash flows included in receipts from customers or payments to suppliers.

(k) Accounts Payable and Other PayablesAccounts payable and other payables represent the liability outstanding at the end of the reporting period for goods and services received by the association during the reporting period that remain unpaid. The balance is recognised as a current liability with the amounts normally paid within 30 days of recognition of the liability.

(l) ProvisionsProvisions are recognised when the assocation has a legal or constructive obligation, as a result of past events, for which it is probable that an outflow of economic benefits will result and that outflow can be reliably measured. Provisions recognised represent the best estimate of the amounts required to settle the obligation at the end of the reporting period.

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The association has no significant concentrations of credit risk with respect to any single counterparty or group of counterparties. The main source of credit risk to the association is considered to relate to the class of assets described as ‘program fees receivable.’The association does not hold any financial assets whose terms have been renegotiated, but which would otherwise be past due or impaired.

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Annual Statements Give True And Fair View Of Financial Position And Performance Of Incorporated AssociationMELBOURNE YOUTH MUSIC COUNCIL INC.

ABN 54 089 059 805

We, Jeanette Ward and Carol Benson, being members of the management committee of Melbourne Youth Music Council Inc, certify that-

The financial statements attached to this certificate give a true and fair view of the financial position and performance of Melbourne Youth Music Council Inc during and at the end of the financial year of the assocation ending on 31 December 2013.

Dated this 16th day of April 2014

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Independent Auditor’s ReportTO THE MEMBERS OF MELBOURNE YOUTH MUSIC COUNCIL INC.

ABN 54 089 059 805

Report on the Financial Report

We have audited the accompanying financial report of Melbourne Youth Music Council Inc. (the association) which comprises the statement of financial position as at 31 December 2013 and the statement of profit or loss and other comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, notes comprising a summary of significant accounting policies and other explanatory information, and the certification by members of the committee on the annual statements giving a true and fair view of the financial position and performance of the association.

Board of Management’s Responsibility for the Financial Report

The board of management of the association is responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards (including Australian Accounting Interpretations) and the Associations Incorporation Reform Act 2012 (Vic) and for such internal control as the board of management determines is necessary to enable the preparation and fair presentation of the financial report that is free from material misstatement, whether due to fraud or error.

Auditors’ Responsibility

Our responsibility is to express an opinion on the financial report based on our audit. We conducted our audit in accordance with Australian Auditing Standards. Those standards require that we comply with relevant ethical requirements relating to audit engagements and 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. The procedures selected depend on the auditors’ judgement, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation of the financial report that give a true and fair view 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 the board of management, 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.

In our opinion, the financial report of Melbourne Youth Music Council Inc is in accordance with the requirements of the Associations Incorporation Reform Act 2012 (Vic), including:

i. giving a true and fair view of the Association’s financial position as at 31 December 2013 and of its performance for the year ended on that date; and

ii. Complying with Australian Accounting Standards as disclosed in Note 1.

Haines Muir Hill A J MuirCharteredAccountants PartnerLevel1,888DoncasterRoadDONCASTEREASTVIC3109

Datedthis16thdayofApril2014

Melbourne Youth MusicABN 54 089 059 805

PO Box 1368

Kensington

Victoria 3031

T (03) 9376 8988

E mym@mym.org.au

W mym.org.au

FB MelbYouthMusic

IG @MelbYouthMusic

TW @MelbYouthMusic

Our Partners

Our Donors$1-$99Belinda Bicknell, Raelene DiCocco, Adele and Brianna Fazzolari, Raymond Hanna, Brittany Hay, Sophie Layton, Philip Leung, John Soong Swee Lim, Vince Mammone, Paul Marciniak, Linda McCallum, Simon Musgrave, Jacinth Nolan, J Rizopoulos, Thompson Family, Anonymous (6)

$100-$999Byrne Family, Mr John Ding & Mrs Qing Yao, Dr Graeme Duke, Olive Hamilton, Peter & Barbara Kolliner, Gippsland Lakehouse, Dr Xiao Li, Luznik Family, Eric McCann, Am Able Steel Fabrication, Barry & Marie Misiurak, Haines Muir Hill, Theodore Ong, Rawdanowicz Family, Mr Peter Sheko, Graham & Yolande Turner, Mr Andrew Yeoh, Anon (12)

$1000+Jonathan Beach QC, Caulfield Grammar School, Pamela Jenkins, Integral Alliance Pty Ltd, Lewin Family, Timothy Ong, Jeanette & David Ward, Anon

Anna Chmiel Memorial FundThis fund was established to remember Melbourne Youth Music member Anna Chmiel, who died in 2012. The fund is a lasting tribute to recognise the significant contribution music plays in the lives of young people.

Geoff & Marlene Marriott, Martijn & Barbara (Netherlands), Elaine & Graeme Jenkins, Judge Julie Nicholson, Judge John Bowman, Anonymous (4)

Personnel listed as at 31 December 2013.