Annual Report 2020

ANNUAL REPORT 2020

ACKNOWLEDGEMENT OF COUNTRY

Hume Community Housing acknowledges Aboriginal Australians as the original custodians and occupants of this land including the Dharawal, Cabrogal, Gadigal, Wonnarua, Worimi, Awabakal peoples and the Darug Nation whose traditional lands Hume Community Housing operates within. We pay our deep respect to the Elders past and present and acknowledge the longstanding relationship that the original custodians continue to have with this country and its peoples.

Hume at a Glance

Champions of change

Creators of connectivity

Builders of resilience

WHAT WE DO

We build connected and vibrant communities by:

• Developing and providing a wide range of high-quality housing solutions.

• Designing and delivering sector leading ‘wrap-around’ services for customers and communities.

Determined to succeed

OUR PURPOSE

To create opportunities for people to prosper.

Our values

CHAMPIONS OF CHANGE

• We advocate for those who are marginalised

• We create freedom through choice

• We drive continuous improvement

• We develop through self-reflection

• We inspire others to action and change.

OUR POINT OF DIFFERENCE

We use our expertise to partner with specialists and our customers to find real solutions that change people’s lives. We deliver value for money to our customers, government and investors by solving complex social needs.

WE ARE...

DETERMINED TO SUCCEED

• We do what is right

• We are dynamic, resourceful, and efficient

• We deliver positive social, environmental, and financial outcomes

• We get results

• We rigorously deliver value for money

• We make decisions that ensure longevity.

CREATORS OF CONNECTIVITY

• We are passionate about people, families, and communities

• We bring people together

• We support and encourage community empowerment

• We practice social justice

• We enable social inclusion

• We celebrate diversity.

BUILDERS OF RESILIENCE

• We step up to the challenge and make a positive impact

• We strive for balance and perspective

• We enjoy a laugh

• We take time to be grateful.

Overview

Our housing

HOUSING OPTIONS

Transitional housing

Our temporary and transitional housing provides short to medium term housing for those deemed homeless, and support customers to find longer term housing. Our supported housing, and housing independence programs help to secure sustainable and appropriate long term accommodation.

Social housing

We provide housing for eligible customers who are on very low to low income and unable to secure affordable or private rental properties.

Affordable housing

We provide housing to eligible customers earning low to moderate income, particularly to essential workers.

Youth housing

We work in partnership with support services to provide suitable housing for youth between 15 and 24 years.

How we deliver our housing and services

We provide an exemplary customer experience that instils high trust in Hume and guarantees minimal customer effort to resolve inquiries from first contact.

Our customerfocused, housing first approach, matches a customer’s needs with the right housing and supports them through the process of securing a home.

Our financial inclusion strategy supports customers in meeting their financial commitments, including rent and utilities.

We provide housing and community management so customers can sustain their tenancies and homes, and enjoy living in a vibrant and connected community.

Housing for people with disability

We are a registered NDIS provider, delivering SDA for people with disability that caters to high-support needs.

Seniors housing

We provide housing for people over 55, focussing on outcomes we know are important to them.

Private rental assistance

We provide private rental assistance for people in need who are eligible for this support and help secure private rental accommodation.

We provide customer support to create opportunities to prosper through customer independence planning, offering education, training and employment access via specialist Youth, Seniors and Aboriginal and Torres Strait Islander officers.

We ensure robust asset management to deliver quality homes and value for money. We also provide project management services for the development and construction of properties

Our History

1994

1999

Hume Community Housing is formed by the amalgamation of Fairfield Rental Housing Co and Liverpool Rental Housing Association.

Hume is the first organisation to be recognised for its 3-year accreditation status against the National Community Housing Standards and having 500 properties under management.

2003

2006

Hume wins our first tender in competition with commercial companies.

Hume introduces our Temporary Accommodation Program in partnership with the NSW Government.

2013

2014

Hume secures further NRAS allocations, bringing our total to 512.

Hume attains Tier 1 status under the National Regulatory Scheme for Community Housing. Our first community centre in Telopea is also opened this year.

2017

2011

2012

Hume secures 260 National Rental Incentives through round four of the National Rental Affordability Scheme.

Hume takes on management of 152 units at Telopea, creating a mix of social and affordable housing. Our office in Claymore is also opened this year.

2018

Hume attains full registration as a provider of Specialist Disability Accommodation under the National Disability Insurance Scheme.

Hume is awarded the largest social housing management transfer in Australia of more than 2,000 properties located in the Hunter region of NSW. Our Hamilton@ Fairfield flag ship development of 60 units is opened, in which we also have a new office.

Hume is the first community housing provider to be approved for a loan from the National Housing Finance and Investment Corporation.

2019

Hume welcomes 4,000 customers across the Hunter region, as part of the Social Housing Management Transfer program. Our offices are opened in Maitland and Raymond Terrace.

Hume customers Cheryl (L) and Janett (R) with Hume Program Officer, Marnie Fitzpatrick (middle).

Chair and CEO’s report

Welcome to Hume’s 2020 Annual Report. We are pleased to present this year’s report to our members, customers, partners, employees, and other stakeholders.

This year we delivered incredible achievements and battled extraordinary challenges. From securing outstanding growth by successfully delivering the largest transfer of social housing from Government to a community housing provider earlier in the year, to safeguarding customers through bushfires and floods, and responding to the ongoing impact of COVID-19 in the second half of the year, we have been both pro-active and responsive in ensuring services to customers remain in place throughout such difficult times.

This past year has demonstrated Hume’s determination to succeed and how we manage change with a sense of resilience and focus. We delivered on our strategic commitments while never losing sight of why we are here – to provide safe housing and opportunities for our customers, particularly during times of uncertainty.

Review of the year

Delivering the largest social housing transfer in Australian

history

As the third-largest Tier 1 Community Housing Provider in Australia, Hume secured the largest social housing transfer in New South Wales in 2018 under the Social Housing Management Transfers (SHMT) program, part of a broader program of around 14,000 properties across NSW transferring from the Department of Communities and Justice (DCJ) to nine registered community housing providers.

Hume worked closely with the NSW Government to deliver a seamless transition for new customers

The transfer of more than 2,200 properties and over 4,000 social housing customers to Hume was a project 18 months in the planning. This drew on our broad expertise in project and change management, customer relations and community building, new business development, property and asset management, and financial forecasting.

We identified and implemented a host of business improvements along the way to ensure Hume’s corporate structure, processes, and systems, as well as our housing and service options, were optimised to accommodate a thriving, growing organisation, and were easily replicable in the new region.

The transfer meant we forged new partnerships with local business, created 45 much-needed employment opportunities, opened two new offices – Maitland and Raymond Terrace – and importantly met with our 4,000 plus new customers to begin the important work of providing them with opportunities to prosper.

The outstanding work our team in delivering this mammoth growth on time, on budget, and in line with our contract cannot be underplayed. This growth has meant that Hume could secure economies of scale which have resulted in Hume achieving its objectives of representing value for money for our investors and stakeholders. We learned valuable lessons along the way that will now inform our ambitious growth targets towards 2025.

Reconciliation Action Plan development and submission

Hume acknowledges Aboriginal and Torres Strait Islander people as the Traditional Owners of this land. At Hume, we provide opportunities for all people to prosper and we commit to providing equal access to the opportunities available to all Australians, including access to safe, secure, and affordable housing and services.

Developing a Reconciliation Action Plan (RAP) has been an important goal for Hume and we have made progress this past year. Our move into the Hunter region saw our indigenous customer base grow by 9%, further emphasising the

Robert Vine, Chair Nicola Lemon, CEO

importance of delivering culturally sensitive, customer-centric services and programs reflective of customers’ needs.

In 2018, we hosted sessions with our partner organisation Tharawal Aboriginal Corporation to guide our Reflect RAP.

This year, we formed the RAP Working Group and recruited members reflecting Hume’s diversity, including positions for Aboriginal and Torres Strait Islander employees. The Working Group is responsible for ensuring the whole organisation’s education and awareness of our RAP development.

Our ongoing work will support an understanding of how to best identify and engage with Aboriginal and Torres Strait Islander customers, including the preferred way to seek feedback that forms our dealings with and support for these customers.

Telopea Communities Plus

Hume was delighted to be announced as the successful bid partner in the Communities Plus redevelopment of Telopea, working with the NSW Government and Frasers Property Australia to transform the North Western suburb into a dynamic integrated community.

Our role will be to deliver tenancy and property management and social wellbeing wrap-around services. Since 2012, we have provided affordable and social housing and services in the area, so we understand customers’ needs and what matters most to the local community.

The redevelopment will include close to 4,500 new homes, including affordable and social housing properties set in a master-planned neighbourhood with new transport links, a mixture of high-quality

housing types, and improved access to health, education, and jobs.

Hume’s services will include youth and seniors’ housing, women and children’s accommodation, education, training, and employment services, rental sustainment, and tailored support to transition from social housing and into private rental housing.

Project Management of new social housing development in Liverpool

In November 2019, we officially opened a new, environmentally sustainable social housing development in Liverpool, the culmination of a partnership with the NSW Government to project-manage the construction development of 23 units at 188–190 Moore Street. Hume was also contracted to undertake tenancy management and property maintenance for the new development.

New developments like Moore Street are contributing to relieving the pressure on the social housing waiting list Housing Pathways program. The Liverpool development brought the total of new social housing homes built under Hume’s partnership with the NSW Government to 52 delivered in the last two years.

Customer Experience – a truly customer-centric approach

In readying Hume for expansion into the Hunter and to meet our longterm growth goals, we reviewed our organisation structure, investing in international research to help inform our decision-making. High on our agenda was designing our business to ensure customer experience was fully integrated and driving trust, transparency, and accountability throughout Hume.

In October 2019, we introduced our new Customer Experience Team to ensure transactions with us required low effort from the customer and left the customer with a high trust in Hume. This year, the team have:

• Introduced an omnicommunications channel to provide a first-time inquiry resolution service delivering enhanced communication and follow-through, so a customer is informed as their inquiry is progressed.

• From February 2020 we halved rental arrears by working with high-risk customers and providing payment plan support and access to financial counselling services. A major achievement, particularly during COVID-19.

• Successfully delivered new access and demand services linked to temporary accommodation and private rental subsidies.

• Implemented an improved customer complaints management process.

A board Customer Experience Subcommittee was also established to provide oversight and governance to customer feedback and social impact. Moving forward, the Customer Experience Team will introduce Customer Feedback panels and ensure the Board remains closely attuned to customer insights, which will enable us to further deliver service excellence that is authentic and customer-informed.

Homelessness

In 2019–20, homelessness remained a key focus for Hume. There are many reasons people experience homelessness including a chronic shortage of affordable and available rental housing, domestic and family violence, intergenerational poverty, financial crisis, long term unemployment, and illness.

In conjunction with DCJ, we participated in our first Street Count in the Hunter region to identify the degree of rough sleeping. The initiative falls under the Premier’s commitment to ending homelessness and helped us learn more about the magnitude of the problem in our newest region and the appropriateness and scale of the services we need to provide.

COVID-19 put homelessness in the spotlight and highlighted the importance of access to safe and secure housing. We were pleased to be named a partner in the NSW Government’s Together Home program, a $36 million total investment into helping people who are sleeping rough to find suitable housing and support services.

Hume received $1.1 million to support people identified as sleeping rough in South West Sydney. We identified several people sleeping rough long-term that we are currently moving into homes, and over the coming two years, will support to maintain their tenancies and to achieve their personal goals.

Strategic Planning 2021-25

Throughout the year, the Board and Executive team invested in developing Hume’s strategic intent to 2025. The emergence of COVID-19 led the Board to reassess Hume’s business strategy under the lens of what key focus areas can be accelerated to address the economic downturn and the likely increase in demand for housing and services.

Critical opportunities, including potential government social housing construction stimulus and strategic advocacy work to spearhead investment in the sector, was a high priority, as is being prepared with shovel-ready projects should opportunities be announced. As a result, the Board agreed to lock in activities that have altered the strategic objectives to December 2021.

Work to finalise a strategic communications and stakeholder engagement plan to support growth and achievement of our business strategy, was completed and is ready to be implemented.

Outlook for the coming year

• Cementing our leadership in NSW by deepening and consolidating our footprint with profitable, diversified asset growth.

• Investing in housing for people with disabilities to solidify Hume as NSW’s leader in Specialist Disability Accommodation (SDA).

• Maximising social impact through customer driven services that change lives

• Executing our Customer Experience Strategy.

• Continuing to deliver value-for-money through a progressive and high achieving organisation

• Enhancing communications and advocacy focus to promote investment in social and affordable housing and to build Hume’s reputation as a trusted expert.

• Continuing to safeguard our employees and customers as we work within the pandemic restrictions.

In closing, we thank Hume’s employees who have worked tirelessly in an ever changing environment to support our customers. We also thank the volunteer customer representatives for their continued enthusiasm and support. Lastly, thanks to the agencies, partners and suppliers who have helped make this year an exceptional one.

Nicola Lemon CEO, Hume Community Housing

Robert Vine Chair, Hume Community Housing

Our Customers and Their Stories

Jean-Pierre (JP) and his pet rag doll cat Baby are happy in their Hume Specialist Disability Accommodation (SDA) home. Claire from Life Without Barriers supports JP to live a full and active life.

The Customer Journey

Our customer journey

How a customer becomes aware of Hume, their interactions with Hume and beyond. Instead of looking at just a part of a transaction or experience, the customer journey is the full experience of being a customer, including the various touch points with our organisation.

Hume is committed to delivering a a positive customer experience at every stage of the customer journey. We understand the importance of customer interaction and aim to deliver quality service, be transparent and accountable, and ensure we listen to the voice of our customers.

Delivering training, education and employment

Journey begins with the need for housing, then HOPs assist in assessing housing needs

Housing is secured

H&C Team help customers to understand their rights & responsibilities

TOUCH POINT

Supporting customers to ensure tenancy is sustained

Connecting to community

Paying their rent and receiving rental assistance

Repairs & Maintenance, ensuring quality homes

HUME VISION

Creating opportunities for customers to prosper.

The Housing Continuum: social housing and affordable housing to private rental and home ownership, plus the opportunity to bypass or exit social housing

Social impact and outcomes Iincludng social inclusion, connected communities and improved socio- economic status

Our customers

At Hume, we value our customers and respect their diversity. Recognising and understanding the needs of our customers helps us to offer safe, secure, and sustainable housing. Along with appropriate support services driven by a person-centred informed approach, we can provide our customers with a genuine opportunity to prosper.

AT 30 JUNE 2020

8,987 customers in

Dale’s story

Prior to coming to Hume, Dale lived out of his car with his dog, Halo. It had been a longterm situation and he needed a home that would accept his four-legged friend too.

Hume found a home that was within Dale’s means—and one Halo would be happy in too. Conveniently located near a shopping centre and a 10-minute drive from central Maitland, Dale and Halo love their new home.

“It’s a huge adjustment getting used to living in a house [instead of my car], and I love the garden,” he said.

“Halo loves playing in the big yard, and we’re tending to a frangipani tree out the front. It will look beautiful when it’s in full bloom. It’s unbelievable to have a place to call my home,” Dale said.

Hume worked with Dale to devise a financial plan. Now, he can save for his future and set some goals. As a Hume customer, he has access to education and training and other services provided by Hume and its service partners.

“I’m working on my mental health, and when I’m stronger I would like to learn about app development and to make a difference in the lives of people who are homeless. I’m looking forward to the chance of employment.

“I have so many plans for the future. Things are definitely looking up for Halo and me,” he said.

Dale and Halo. (Photo by Eden Samuel)

Melissa’s story

Proud Kamilaroi woman and single mum Melissa, and her three young children have experienced bouts of unstable housing over many years. From social housing to couch surfing, to months spent in a 1-bedroom apartment in a refuge, life for the young family has been far from easy. Their difficulties are compounded with all three children living with a range of learning difficulties including autism.

Children Mordakye (10), Domitius (8) and Zebastiyan (5) love school, and ensuring they live in a stable home environment has been a big part of their improved performance at school. We first met Melissa when she applied to enter our Temporary Accommodation Program (TAP).

“We were struggling and luckily my good friends helped us while we were homeless. It was a big ask to take on the four of us. I was desperate to find a stable home and Land and Housing suggested I speak with Hume,” said Melissa.

Melissa met with Hume’s Claymore team to determine her housing options and together decided the TAP program would be a steppingstone to a longer-term solution. Hume secured a home that was large

enough to house the family, close to schools and Melissa worked to build up a good tenancy track record for the next year.

“I have always been big on paying my rent and taking care of the property. It’s been great having stability for myself and the kids.”

The mum was on the look-out for her next move – a four-bedroom home.

“With their learning challenges, it’s much easier to manage them when they have space to get away from one another. I’m looking forward to finally having a bedroom to myself,” she says with a weary smile.

Melissa is completing a Certificate 1V in Social Work.

“I push my kids to do well. My eldest daughter, who does not live with me,

is completing Year 12 and is enrolling at University to studying Midwifery. I am really proud of her.”

Melissa, in her hunt for a new home, applied for more than 70 private rentals before finally being accepted.

The day we met Melissa and the kids they were packing up their old home ready for the move. Julie, a Housing Independence Officer from Hume checked in to see how Melissa was going.

“We so pleased to see Melissa stay focussed and improving the lives of her children. She is a great example of how you can move through the housing continuum, in this case securing a private rental. It’s been wonderful to see this family prosper,” said Julie.

JP’s story

In 1984, Jean-Pierre De Villecourt, affectionately known as JP, a young Australian teenager of Mauritian descent, was ecstatic to pass his driving license and buy his first car, a bright orange VW Beetle. He was 18 years old and life was just beginning. Sadly, within weeks, the teenager was involved in a horrific car accident that nearly robbed him of his life.

The impact of the car crash left JP in a coma. The once bright and gregarious young man suffered acquired brain injury, leaving him with just 10% of his eyesight, no mobility, and limited speech. His family was told JP would potentially spend years in hospital and rehabilitation, with the prospects of ever living independently highly uncertain.

Today JP is 53 years old. Under JP’s NDIS plan, he was eligible for Specialist Disability Accommodation (SDA) and was pleased to find a group home in St Clair that suited his needs, including that his Ragdoll cat, Baby, could live with him.

JP’s father, Jacques, was relieved to have finally found a home that was safe, warm, and welcoming.

“His mother and I have spent the last 20 years trying to find somewhere JP would be happy,” he said.

JP experienced a range of housing before arriving at his new home with Hume.

“I was so lonely. People came to help me during the day but I was on my own a lot and I did not go out or doing anything much,” he said.

JP’s Supported Independent Living manager, Claire from Life Without Barriers, said welcoming JP and Baby into their home has been a fantastic experience and JP’s housemates, three other men living with disability, are equally happy to have a pet.

“Hume has been great to work with. They agreed Baby could live with us and arranged to install a cat door. Having a pet makes it a real home. Baby brings a lot of comfort to all the guys and we love her too,” said Claire.

Life without Barriers also arranged for JP to access a range of support services to assist with his mobility and exercise. His home is located on a quiet, level suburban street so JP enjoys regular walks using a walking frame. He likes the routine of his new home. With meals and supervision, his physical and mental well-being has improved.

JP is busy setting up his room, working out how he wants to decorate it. There are large photos of his family and friends pinned to the walls. Baby is curled up asleep on the bed and it’s starting to feel like his own personal space. We asked JP if he has any new goals since moving into his new home.

“I want a girlfriend”, he beams. “I love 80’s music and I like dancing. I think I will meet a lovely lady soon.”

Marlene’s story

Marlene is a hard working single-mum in her forties, who until recently was living in a small granny flat in Southwest Sydney with her 14-year-old son, Alex.

“We never spent any time at home and it was too embarrassing to invite anyone over. I felt especially bad for my son not wanting his friends to visit our place,” said Marlene, a medical receptionist.

“I earn a low income so there were no options other than the granny flat. It was what I could afford. We lived there for a couple of years, but with Alex growing into a teenager, I knew we needed to find something more suitable,” Marlene said.

“I was stunned to learn that I could access an affordable rental property based on my income, and even more astounded that I could live in a brand new 2-bedroom unit,” she said.

“I made contact when I saw on Facebook they were advertising a new development in Southwest

Sydney and the rents were 20% less than the market rate.”

Marlene completed screener questions over the phone and Hume arranged to meet her on site to show her the unit.

“I could not believe how beautiful the development is. It is bright and spacious. There is a roof garden and barbecue areas and I like the security cameras and secure lock up garage,” Marlene said.

She said she often felt nervous living in the granny flat and the idea of neighbours close by was attractive.

When Marlene was approved to rent the unit, she burst into tears.

“Alex is close to his school and sport, and with the cheaper rent I can afford to spend a little extra on his afterschool sports and activities,” she said.

“We now prefer to stay in, to cook, entertain and enjoy our home,” Marlene said.

Hume Community Housing

Barry’s story

Barry, 74 has had a life filled with twists and turns—from building his own home to being without a home and sleeping in his car. After losing his father when he was a teenager, Barry was forced to leave school when he was in Year 9, and work to support his mum and siblings.

“I worked a wide variety of jobs over the years, in sawmills, mechanical work, managing a macadamia farm, and driving a school bus,” Barry said.

Later in life, discovered his passion for writing. When Barry enrolled in a writing course through Maitland TAFE, his teacher noticed his potential when he submitted his first essay.

“She asked if I had considered going onto university, which I thought was a crazy idea at first since I’d never finished high school,” he said.

Barry was “over the moon” to be accepted into a bachelor’s degree at the University of New England when he decided to apply.

Barry completed part of his degree online, however, some subjects required him to attend week-long residential schools.

“I would drive to Armidale to attend lectures and sleep in the back of my station wagon because I didn’t have money to pay for accommodation. It was freezing!” he laughs.

In 2004, after much hard work and determination, Barry successfully graduated with a Bachelor of Arts majoring in English and Communication.

Barry has since authored love poems and science fiction stories, one of which a publisher has requested he work on. Having moved around throughout his life, Barry has experienced a range of housing situations.

At one point, he owned land in Nambucca and built a house. He also lived in a caravan, a boarding house, and even in his car when things were grim. Barry has been living in his Hunter region home for several years, and became a Hume customer in 2019 when Hume took over the management of more than 2,00 social housing homes from the NSW Government.

Hume saw that Barry would benefit from home care services to help him continue to live independently. Hume connected him with local services, and he feels pleased there are people who take an interest in his well-being.

“I really like my home; it has plenty of space for me to tinker and to write when I feel the urge. Overall life is pretty good. I love life and learning, and I have a long list of projects that I still need to find time to do,” he said.

Our Homes

We manage a range of property types in several local government areas across NSW.

AT 30 JUNE 2020

HUME HAD:

2,237 Homes under Hume’s management

4,193 properties in total

147 SDA properties

1,412 units

154 rooms in boarding houses

101 town houses

8 duplex-style homes

1,566 cottages

610 houses

283 villas

57 studio bedsits

328 fee-for-service properties

2 crisis refuges

DURING 2019–20:

764 customers supported with temporary accommodation

150 customers assisted with private rental subsidies

534 affordable housing customers

46 Housing Independence Program customers

Our housing programs

Hume continues to focus on homelessness through our service delivery and housing programs.  Our Housing Options service supports customers who are experiencing homelessness, providing suitable temporary accommodation and housing advice and assistance to support customers into short term or long term housing as determined by their housing needs.

We have partnered with many specialist homelessness services by providing special support that creates opportunities for customers to receive the assistance they need to be able to sustain a tenancy and prevent further homelessness. Our Housing Programs in Metro Temporary Accommodation and Housing Independence Programs provide short to medium term housing with supports to assist customers into longer term housing, building independent living skills that demonstrates ability to sustain a tenancy long term.

Temporary Accommodation Program (TAP)

Hume’s focus on reducing homelessness was addressed in this year’s TAP. In all we supported 764 families and single people with rapid rehousing options. During 2019-20, 36% exited TAP into the private rental market, illustrating the effectiveness of the program in reducing homelessness and providing better outcomes for social housing customers by supporting them to transition out of the social housing system. This is in line with the Government’s Future Direction for Social Housing in NSW strategy.

These results were achieved through collaboration with our local NSW Department of Communities and Justice colleagues, as well as other support services, and through strategic relationships with local real estate agents.

During the COVID-19 pandemic, TAP staff continued supporting customers not only with shelter, but also with food, toiletries and other necessities.

Housing Independence Program (HIP)

Our program provides an innovative solution to vacant homes and has operated successfully since 2009. HIP reduces homelessness and makes effective use properties that may otherwise be overlooked. The program also supports community safety by maintaining stable tenancies and avoiding vacant properties which can attract anti-social behaviour and vandalism.

HIP takes a housing first approach for homeless people or those at risk of homelessness - including people sleeping rough so they can stabilise their lives and move to more secure, permanent accommodation. Our teams provide person-centred, trauma-informed support. Customers with complex needs are case-managed and linked with specialist services. We provide support to the household during the tenancy period so they can build their living skills, sustain a tenancy, secure a private rental or seek social housing.

Please note figures have

Please note figures have been rounded.

Homes for people with disability

Hume is proud to be one of the leading providers of Specialist Disability Accommodation (SDA) in NSW. Our focus is on the individual. We offer a person-centred approach enabling a customer to be involved and driving important decisions about their service delivery.

Highlights from 2019–20

• As a provider of SDA under the NDIS, Hume was required to undergo a re-registration process with the NDIS Quality and Safeguards Commission. We passed our registration with no conditions implemented.

• We worked with Supported Independent Living (SIL) providers, maintenance contractors, and our customers and their guardians, to ensure strict measures were put in place to keep everyone safe during the natural disasters and COVID-19 pandemic

Asking our customers to have their say

To ensure our services centre on a customer achieving their goals, we first needed to better understand their needs. We took time to really get to know our customers and how to best communicate with them. We asked about their preferred method of communication and many said that communicating via mainstream methods was not ideal.

Hume collected detailed data on communication requirements, such as Auslan, assistive technology and interpreter services. We use this data to provide personcentred services to our customers. This data has also influenced how we provide responsive maintenance and tenancy services for the entire portfolio.

Choice and control are only possible when customers have accessible pathways to express their wants and needs. We have improved our website, policies and procedures, and external communication to improve accessibility.

Auditing our performance

The NDIS Quality and Safeguards Commission is an independent Australian government body that provides a nationally consistent approach to quality and safeguards in the NDIS.

The NDIS Commission is responsible for the registration of NDIS providers. To be registered, an organisation must meet NDIS Practice Standards in the services and supports they provide.

Hume was required to undergo a re-registration process with the NDIS Commission.

We engaged a third-party auditor, SAI Global, to verify our compliance with NDIS practice standards. We are pleased to report that we passed our registration with no conditions implemented. As a result of the process, we developed a variety of person-centred fact sheets and procedures further empowering our customers to participate in influencing the services provided to them.

OUTLOOK FOR 2020–21

In the coming year, we will:

• Continue to implement our customer engagement strategy

• Launch our person-centred responsive maintenance program

• Expand the accessibility of our documentation for our customers with disability

• Seek further opportunities to deliver disability accommodation support services.

Australia’s housing outlook

The environment and market conditions continue to remain challenging. The influences informing Hume’s strategic planning towards 2025 are:

• Political—with government decreasing investment in social and affordable housing and transferring management responsibility and asset ownership to community housing providers (CHPs), it is up to CHPs to grow the sector.

• Economic—as the Australian economy moves downward, there is a high probability of a recession in the next financial year.

• United Nations Sustainable Development Goals there is a global shift towards making these goals ‘front and centre’ of doing business, focusing on evidencebased delivery. The 17 Sustainable Development Goals address the global challenges we face, including poverty, inequality, climate change, environmental degradation, peace, and justice. They are the blueprint to achieve a better and more sustainable future for all1.

• Environmental Sustainability—lower carbon footprint must be delivered in every aspect of business performance. Given the prevalence of bush fires in 2019–20, property design and surrounds are front and centre of Hume’s thinking.

• Demand is greater than supply—for all categories of social, affordable, and special purpose disability housing. The number of people experiencing homelessness continues to grow.

• Increasing social complexity—new service combinations and solutions will be required to meet increasing needs.

• Customer focus—on customers’ needs, and their voice must be heard and met.

• Sector polarisation—economics, compliance and policy setting will mean that only CHPs that are either niche or large scale will thrive.

• Changing competitive dynamics—new non-traditional providers will enter the housing sector to meet demand.

• Talent scarcity—there is a low supply of quality professional talent across the Australian hosing sector.

• Technical innovations—digital and automation solutions are essential to meet customers’ needs and operating efficiencies.

• Operating efficiency—unit cost reductions (property and services) must be delivered.

• Regulation—there is an escalating compliance burden, which is increasing operating costs.

• Evaluation and measurement—social impact and economic benefit must be valid and quantifiable to provide evidence of our work.

• Corporate responsibility—there is a heightened community interest and expectations on how companies behave with greater reputational risk for organisations.

• Public health threat—a pandemic outbreak and the associated social and economic consequences of the COVID-19 will affect the community housing sector.

Homelessness

In 2019–20, homelessness remained a key focus for Hume. There are many reasons people experience homelessness including chronic shortage of affordable and available rental housing; domestic and family violence; intergenerational poverty; financial crisis; long term unemployment; and illness.

Social housing

In 2017–18, more than 800,000 Australians were in social housing, living in more than 400,000 dwellings across the country. Most were in public housing, with increasing numbers in community housing. Social housing supported not just those on low incomes but people experiencing homelessness or at risk of homelessness as well as people with disability.

The number of community housing dwellings more than doubled during the decade to 2017–18, from 39,800 to 87,800, partly due to the transfer of ownership or management of public housing dwellings to community organisations.2

1. United Nations, https://www.un.org/sustainabledevelopment/sustainable-development-goals/, viewed August 2020.

2. Housing Assistance in Australia 2019, Australian Institute of Health and Welfare, 2019, Cat. no. HOU 315

Sally Regan and Jazmin Williams, members of our Reconciliation Action Plan Working Group.

Housing and community

Highlights from 2019–20

• Development of an events calendar for our community cohesion and customer driven programs, which were also part of our response to the COVID-19 pandemic. Events included creating the Telopea community garden, holding community connect barbecues for our regional customers, and setting up the Phone-a-Buddy program.

• We also set up draft a Reconciliation Action Plan (RAP) to further our commitment to Australia’s Aboriginal and Torres Strait Islander communities. This was submitted to Reconciliation Australia for endorsement.

Creating community cohesion

When you have socially connected, cohesive communities better social outcomes are achieved. Hume’s role is not only to deliver quality housing services, but also to support our customers to sustain tenancies, build resilience and self-sufficiency, and to lead healthy, happy and safe lives in their community.

We achieve community cohesion by building capacity and resilience in our customers facilitating community-led change and leadership, and by building partnerships with customers and other local services.

In collaboration with our customers, partners and the wider community, we developed a Neighbourhood Plan for each of our communities. These detail the environment in which our customers live as well as identify local strengths, leaders, services and new partners

Some examples of community cohesion activities throughout the year are detailed on the following pages.

Post code 2168 community

We are the leading agency for delivering community services in the Liverpool-area suburbs in the NSW post code of 2168. This year we had two key outcomes.

Miller employment expo

Thanks to funding from Liverpool City Council and the NSW Department of Communities and Justice (DCJ), Hume and service partner, CORE delivered the 2168 Employment Expo in November 2019. The event was organised in response to needs identified through a series of community listening barbecues collaboratively held by DCJ, Hume, Mission Australia, Wesley Mission, and CORE.

Around 150 participants from the Southwestern Sydney region came along and about 100 people signed up for a range of courses and employment related activities.

Ashcroft community safety project

Hume delivered the Ashcroft community safety project again thanks to another Liverpool City Council grant. This was in response to the community’s concerns about safety. The project allowed Hume customers and other

TELOPEA COMMUNITY GARDEN

At Hume we listen to our customers! In response to many requests, we arranged for the Royal Botanic Gardens Sydney to provide a six-session gardening course for our customers and local residents in Telopea.

The comprehensive theoretical and practical course included a fun field trip to several established community gardens in Western Sydney.

Following the course, the ‘Telopea Gardineers’ group of customers was formed.

Following the course, Hume purchased two large raised gardening pods for the Telopea Gardiners to use and approved for a faucet to be installed to water the garden.

Both the Gardineers and the gardens are flourishing.

residents to make connections and discuss issues. We also arranged weekly walking groups, coffee catchups, barbecues and even a team in the 2019 City2Surf event. The goal was to establish and gain support for a 2168 Neighbourhood Watch program, which will be run by local volunteers. The inaugural meeting was scheduled to take place in late March but due to the COVID-19 pandemic this was postponed to a later date.

Tomaree Food Drive

Hume’s regional team supported the COVID-safe Tomaree Food Drive in Port Stephens. The Tomaree Interagency COVID-19 Response group was formed to identify real and potential vulnerabilities within the region; take mitigating action; and to find pathways to long-term resilience.

Among a range of key issues identified was the potential for an increase in the need for food relief, so the Tomaree Food Drive was created. The day was a huge success, with involvement from many service agencies, as well as support from Port Stephens Council, its Mayor, Ryan Palmer, and local media.

Achieving social outcomes

In 2019–20, we established our Social Outcomes Team to further develop Hume’s commitment to designing and implementing strategies to meet customer needs and then measuring our social impact - one of Hume’s strategic pillars. The team consists of specialist program officers focusing on seniors, youth and Aboriginal and Torres Strait Islander customers.

Customer feedback sessions

In 2019–20, there was a significant increase in customer participation in the Tenants’ Voice forums in Fairfield, Liverpool and Telopea. Tenants’ Voice forums are open to all Hume customers, their family and friends. The forums are an opportunity for customers to have their say, learn about what’s happening at Hume and in their community, as well as getting to know their fellow neighbours and the Hume team.

Barbecues connect the community

Hume’s Community connect barbecues were a perfect opportunity for the Hunter community and Hume to get to know each other. From Raymond Terrace, Metford, Woodberry and Rutherford to Nelson Bay, East Maitland, Telarah and Tenambit, our Community Cohesion team made more than 260 connections within the Hunter community, discovering something new about the places they visited along the way.

Our customers welcomed Hume to their neighbourhood and provided us with insights into local history, geography, connections, programs and services, never failing to share the stories that brought their communities to life. One customer at our Parkway Avenue barbeque said that in her 26 years in the area, she had never seen the community come together like this.

PARTNERING WITH THE BENEVOLENT SOCIETY IN THE HUNTER

Hume and The Benevolent Society (TBS) partnered this year to to address gaps in service provision and deliver tailored programs to respond to local needs in the Hunter region, whilst meeting SHMT service commitments.

As a result, TBS is offering Hume customers a tailored youth service and family violence service.

Hume’s Youth Program officer will continue to engage with young people to determine their key issues and priorities, alongside TBS plus any other relevant stakeholders in a consultation capacity.

Developing our Reconciliation Action Plan

Developing our draft Reconciliation Action Plan (RAP) draws on our ambition, our mandate, and our moral responsibility to foster authentic reconciliation across every aspect of our business and interactions at Hume.

We would like to thank the Gidgee Group, whose expertise and guidance helped us effectively engage with our Aboriginal staff and wider team to develop the draft RAP.

Overall, our RAP will contribute to the national reconciliation movement by building strong relationships, respect and opportunities within Hume, and the community. It supports our strategic plan and guiding principles, while including many practical actions that will drive greater awareness and recognition of Aboriginal and Torres Strait Islander peoples.

We worked with the Gidgee Group to support our commitment to improve the lives of Hume’s Aboriginal and Torres Strait Islander customers and the wider community; and to recognise and redress past and current injustices.

At the time of publication of this annual report, the draft Reflect RAP has been submitted to Reconciliation Australia for endorsement.

Hume’s RAP development team, Sally Regan and Jazmin Williams.

Partnering with Carrie’s Place

Looking after those affected by domestic violence and homelessness are a key focus of Hume’s work. The team at Carrie’s Place is a perfect Hume fit as it has provided support for men, women, children in the Maitland and Lower Hunter region for over 30 years.

Hume’s regional team partnered with Carrie’s Place to provide safe housing and support to vulnerable customers who struggle to find a home in which to feel secure and safe – a basic human right that alludes so many.

Jenna Nadiotis, Hume’s Housing Options Manager, said domestic violence is the leading cause of homelessness for women, children, and young people.

“Hume and Carrie’s Place are working together to support people on the pathway out of homelessness,” she said.

“The partnership allows local women and children to access Hume’s Temporary Accommodation Program, receive support to maintain their new tenancy, as well as specialist domestic violence support so they can remain safely housed and secure stable housing in the longer term.”

Hume works on a collective impact model, seeking deliberate and mutually beneficial partnerships with expert and like-minded organisations.

Therese Janissen, Specialist Homelessness Service Coordinator at Carrie’s Place, said there is a clear link between domestic and family violence and homelessness reinforces why cross-organisational partnerships like the one between Carrie’s Place and Hume are essential.

“Both organisations understand the time sensitivity that is present in domestic violence situations. The Hume team is trained in managing trauma and homelessness. They understand the speed we have to work at to get women to safety,” Therese said.

Johanna Weatherstone, Carrie’s Place and Jenna Nadiotis, Hume’s Housing Options Manager.

Our senior customers

Our senior customers have have told us what is important to them. Hume is now developing a seniors’ strategy that focuses on key outcomes to support them.

At Hume, we continue to engage with our seniors via a range of activities designed to build a strong understandings of their issues. One common experience senior customers feel is loneliness so our activities to date have focused on helping them build wider connections with their communities.

Seniors morning teas

During October and January, Hume conducted five Seniors Morning Teas as part of a consultation strategy to develop a specific program for our regional senior customers. Events were held in Raymond Terrace, East Maitland, Woodberry, Rutherford and Salamander Bay, and offered an opportunity for customers to meet new people and enjoy socialising.

SING events

Singing is good for the soul so Hume organised two seniors’ singalongs held in Maitland and Raymond Terrace, which were a hit! Free of charge and open to the wider community, SING was led by a professional choir facilitator who obligingly deviated from the planned program with plenty of impromptu songs and special requests from the group. Kate Washington, Member for Port Stephens, dropped in to join in and we even had a centenarian present who wholeheartedly sang out loud!

AT 30 JUNE 2020

51 customers enrolled in the 6-month Phone a Buddy program

36 customers participating after three months

NSW SENIORS’ FESTIVAL

Around 40 Hume customers attended the Premier’s Gala Concert at the International Convention Centre, Darling Harbour, Sydney earlier this year. A highlight for some was meeting Australian Idol singer, Paulini. One customer told us they had a wonderful time, and the concert was the first time in six years they had been on an outing.

Phone a Buddy program

The Phone a Buddy program connects senior customers with a peer ‘buddy’ for regular phone calls. This increases social connection and alleviates feelings of loneliness. The program was conceived during the COVID-19 crisis to combat the disconnection associated with self-isolation and social distancing.

When Hume customers Cheryl and Janett signed up for the Phone a Buddy program, neither imagined that they would actually make a new friend in the process.

They quickly discovered common ground and conversation flowed easily during their weekly calls.

The Hunter region-based buddies soon chose to shift their connection from the phone to real life by meeting in person to share a cuppa and lots of laughs.

Hume customers and employees at the NSW Seniors’ Festival.

Phone a Buddy program participants Cheryl and Janett.

Building more homes

Highlights from 2019–20

• In partnership with the NSW Government and Frasers Property Australia, Hume was named as a partner in the Communities Plus redevelopment of Telopea.

Telopea Communities Plus redevelopment

In December 2019, Hume was named a partner in the Communities Plus redevelopment of Telopea, working with the NSW Government and Frasers Property Australia to transform the north-western suburb into a dynamic integrated community.

The redevelopment includes close to 4,500 new homes, including new affordable and social housing properties. It will be a master-planned neighbourhood with new amenities, more transport links, a mixture of high-quality housing types and improved access to health, education, and jobs.

Hume will deliver services including youth and seniors’ housing, women and children’s accommodation, education, training and employment services, rental sustainment and tailored support to transition out of social housing and into private rental housing.

Frasers Property Australia are currently in the early phases of the planning process with Parramatta City Council and the Department of Planning and Environment. This major urban renewal project will be delivered over the next 20 years.

Affordable Housing program

Through our relationships with builders and developers, and our reputation for providing fee-for-service tenancy and property management services, Hume negotiated an additional 28 affordable housing units into our affordable portfolio. The properties are located at Canley Vale, Maitland, and Granville and we will manage them for an initial period of 10 years.

Reducing fuel poverty

Since 2008, Hume has had strategic objectives around the reduction of fuel poverty. This is because we understand

that many factors impact the affordability of a home in addition to the amount of rent a customer pays.

In line with our strategic intent, and as detailed in our Strategic Asset Management Plan, Hume installed solar photovoltaic systems at a cost of $142,000 on 35 properties in Warwick Farm and Guilford to reduce fuel poverty. These systems will decrease grid consumption and therefore the cost of energy for our customers, many of whom are on limited incomes.

Hume has assessed tenders for a further installation of solar systems on a further 52 dwellings in the Maitland and Port Stephens areas, deepening our commitment to address fuel poverty for as many of our customers as possible.

Growth strategy

As part of our strategic intent, we updated our growth strategy which highlights a range of activities and initiatives that will increase our portfolio of homes.

Hume will continue to look for construction opportunities, provision of fee for service property and tenancy management services for private landlords; and for buildto-rent schemes financed by the private sector.

OUTLOOK FOR 2020–21

In the coming year we will:

• Identify our maintenance multi trade supplier for the next two years through a competitive tender process. The new maintenance multi trader contracts aim for better value for money, in addition to providing sector leading customer service.

• We will continue to respond to tender opportunities that diversity our portfolio of managed properties.

Social housing

In partnership with the NSW Department of Communities and Justice and the Land and Housing Corporation NSW, Hume successfully delivered the largest public housing transfer in Australian history on 2 September 2019.

This saw us welcome over 4,000 new customers in the Maitland and Port Stephens local government areas. In order to service these people our Maitland office opened on 2 September and our Raymond Terrace office on 18 November 2019. During this time, we took our services into the community with our mobile office reaching suburbs further afield including Anna Bay and Salamander Bay.

This was monumental moment for Hume and a busy time for the team. During the transition our Project Highway Team prioritised customer and stakeholder engagement, recruitment and induction of new employees, and a change management strategy and technology.

Key result areas and outcomes from the Social Housing Management Transfer project.

KEY RESULT AREA OUTCOME

Deliver transition activities on time and budget to commence Hume’s operations in the Hunter region from 2 September 2019.

Avoid adverse impacts on existing Hume customers and operations during the transition period.

Prepare required systems and IT to receive relevant customer, assets and contract data at the point of transfer.

Successfully receive all relevant data without loss.

Inform new customers in the region of Hume’s engagement, and what services are available to them.

Ensure successful customer engagement for completion of Commonwealth Rental Assistance paperwork in advance of transition.

Deliver successful customer and stakeholder engagement in Maitland and Port Stephens LGAs.

Ensure Hume opens a new office operating from the 2 September 2019

Other outcomes associated with achieving successful and integrated services in the Hunter region included:

• A boost to the local economy through using local tradespeople, caterers, and other service providers.

• Opportunities for people and communities.

• Attractive services in the region.

• Seamless Hume culture experience across the organisation and customer base.

• Reduction in overhead cost/unit by 31% due to the economies of scale from doubling in size.

#OneHume

We have continued to drive our #OneHume message to ensure that our teams are united. Despite the distance between all five of our offices our customer receive the same experience regardless of their location, The message is underpinned by strong culture and values alignment and seamless service delivery. We deliver local services to local communities and put customers at the heart of everything we do.

We successfully recruited 40+ positions as we embedded our new organisational design. As part of our learning and induction program, our metro and regional teams collaborated and travelled between offices in both areas to build relationships and understand our customers’ needs and expectations across our new portfolio.

(L-R)

Melanie Gibbons MP, Maitland Mayor Loretta Baker, Hume CEO Nicola Lemon, Hume Board Chairman Robert Vine, Hume Board member The Hon. Robyn Parker, and James Wilson-Miller, member of Wonnarua Nation Aboriginal Corporation at the opening of the Maitland Office

Homeless customer Ruby was safely housed under the Together Home program during COVID-19.

Responding to COVID-19 – a special feature

COVID-19 has clearly demonstrated the importance of having a safe and secure home, especially for those in need. Hume provides homes for some of NSW’s most vulnerable community members and our COVID-19 approach allowed us to protect and nurture customers at this difficult time. We did this by activating our Business Continuity Planning team which initiated important decisions and information distribution designed to help protect our customers and employees.

Looking after everyone at this time was our major priority, while ensuring an agile work environment that complied with government pandemic guidelines. We are proud of our teams achievements in keeping everyone safe. The feedback from our customers has been very positive and we are grateful for their role in helping support the safety of our communities.

Hume’s board was keen to understand the impacts of COVID-19 on Hume, from a customer, employee and financial perspective. From early March Hume’s board met regularly, using specific data informed performance metrics, revenue forecasting and financial stress testing, to ensure ongoing viability. Working in partnership with the Executive, the board agreed to expenditure controls and realigned strategic priorities to the COVID-19.

Remaining customer focused

During the pandemic our focus was on continuing to provide efficient and effective customer services within the restrictions of COVID-19 guidelines. This was where our business continuity plan and risk management strategy was applied.

The first stage implemented business continuity by:

• enabling technology to maximise the number of employees working from home

• ensuring services were still delivered and customers could easily contact us

• transitioning to appointment only and promoting other customer contact points, such as phone and email.

The second stage entailed a risk assessment which identified customers most impacted by the pandemic. Our teams then commenced customer wellbeing calls to address their situation such as health and wellbeing concerns, loss of income and challenges paying rent. We had a specific focus on our wage earning customers, encouraging them to contact us if they were experiencing financial difficulty.

We also implemented a shift in service delivery towards an online, phone and office appointment service. For frontline face to face services and operations, we implemented a service continuity plan that included:

• a risk assessment framework to ensure we remained engaged with our most vulnerable and at-risk customers

• solid communications across all platforms – online, phone and SMS – including physical signage at offices

• work practice reviews to incorporate work health and safety (WHS) guidelines aligned with NSW Health directives.

Outcomes at June 30, 2020 found:

• Our Customer Service Centre had a 13% increase in calls, primarily to our customer service and maintenance call queues.

• An increase in demand for our temporary accommodation and private rental assistance programs.

• A 100% increase in homelessness presentations compared to average monthly figures.

Hume also worked on identifying longer term housing outcomes for customers in temporary accommodation and identified as sleeping rough. This was done via the Together Home program and in collaboration with the NSW Government.

The Phone a Buddy program

Our Phone a Buddy program helped combat the community disconnection associated with self-isolation and social distancing. It still continues and connects our older customers with a peer ‘buddy’ for regular phone calls to keep them more socially connected.

Virtual open homes

To ensure potential customers were kept informed, Hume developed open home videos to provide virtual 360-degree tours. These were promoted on our website and social networks as well as advertised on Domain and Realestate.com.au with success.

For those in self isolation or did not feel comfortable attending inspections, our teams conducted a ‘live open home’ using Facetime or Zoom to schedule a private view of the property.

Repairs and maintenance

There were challenges during COVID-19 when it came to our maintenance programs. Some were temporarily delayed or altered in the delivery approach, with contractors needing to alter their safe work method statements and processes in order to deliver COVIDsafe maintenance. This was particularly important for our Housing for People with Disability portfolio.

But among the challenges where were also opportunities. For example, the NSW Government stimulus program helped us significantly improve some of our social housing properties in regional areas.

NSW Government assistance for social housing maintenance

As part of its COVID-19 assistance package, the NSW Government provided funds for maintenance works and upgrades to social housing, including regional NSW. This went towards the extensive internal and external renovation of 27 properties, external painting and guttering on 147 properties and new fencing on 43 properties, representing a $3.5 million investment in our properties.

Hume identified properties where urgent, extensive maintenance was required in Woodberry, Rutherford and Raymond Terrace. The program included remediation of several homes due for demolition and sitting vacant for some time. The properties became homes for people who urgently needed housing, and Hume funded 50% of this work.

Working with our disability customers

Keeping homes safe for our disability customers was a key concern. We worked closely with these customers, their guardians and our Supported Independent Living (SIL) partners and maintenance contractors, to ensure the strict COVID-19 measures were followed to stop the virus entering our homes.

In addition, we must not forget that before COVID-19, we had the devastating bush fires. During this time of natural disaster, our focus was on efficient and effective evacuation planning. With 140 properties and 550+ Housing for People with Disability customers covering Greater Western Sydney, Murrumbidgee, Blue Mountains, Nepean and Central Coasts regions, communication and precise coordination were keys to achieving positive results: keeping our customers and employees safe.

Technology’s role

Our IT team played an important role in supporting Hume’s COVID-19 response. The key point in fact was that Hume was already set up as a flexible workplace, which meant most of our employees were equipped to work from home. Video calling systems such as Zoom were also already in place and the Facebook Workplace platform already operational – continued to be an extremely useful resource for employee internal communication.

Business continuity was also protected by IT implementing recovery software with the ability to restore or migrate servers to the cloud within minutes.

Our telephone systems were also enhanced by fasttracking the implementation of an ‘omnichannel’ helpdesk – launched in mid-June to provide customer support across multiple channels, in addition to phone and email. Customers can now contact us through a live chat function on our website that connects directly with our customer service team. Additionally, our website now has a searchable ‘Customer Service Centre’ of frequently asked questions and answers, and contact channels via WhatsApp and Facebook Messenger.

The pandemic brought with it a dramatic increase in the number of spear-phishing email campaigns, increasing pressure on email security. Luckily we had already implemented email security software, cloud access security, firewall protection, and two-factor authentication, so we quickly caught, responded and shut down potential threats before they could be successfully executed.

With increased number of employees working remotely via virtual private network (VPN), we immediately met the challenge by increasing the bandwidth in our Fairfield data centre and load balancing connections in the cloud.

Communications

Our communications team worked closely with Operations, Customer Experience and Assets in designing targeted communications for stakeholders which included:

• preparing information about office closures, policy changes, and other operational changes, all shared on our website and social media

• SMS alerts to customers explaining operational changes

• customer postal mail-outs customers explaining operational changes

• posts and advertisements on social media, RealEstate. com.au and Domain.com.au with information regarding open homes changes

• sharing hygiene and Government posts on social media

• producing and sharing a video explaining the Phone A Buddy program, designed to prevent isolation in quarantined senior customers

• publishing COVID-19 resources in Easy Read (for people with disabilities) and in several different languages on our website

• promoting Information and updates on appointments and payments options

• delivering virtual inspections/videos of available rentals

• expanding our customer and employee magazine

Humelife to include fun things to do whilst in lockdown, like crosswords and puzzles, as well as providing important COVID-19 information and special stories.

Flexible working arrangements and office splitting

When we activated our organisation-wide response to COVID-19, 80% of our employees could immediately work from home. The remaining 20% were in customer facing roles or unable to work from home.

As the pandemic gained momentum, our People and Culture and IT teams worked hard to enable 100% of employees to work from home. However for some employees we made the decision to allocate them to designated offices, with strict social distancing protocols to reduce the potential for cross-contamination. However, when one employee tested COVID-19 positive, we had to close that office for a time, while maintaining customer service in other offices.

Flexibility arrangements are now in place for most of our workforce, many of whom continue to work from home, including those caring for or home-schooling young children. Such arrangements have included adjustment to hours and days of work; Safe Work Method Statement (SWMS) for Declared Pandemic (COVID19); WHS home assessment checklist; activation of leave entitlements, requests to work outside the span of hours, and a series of working from home tips posted to Workplace.

Specific safe work procedures continue to be developed in response COVID-19.

Ensuring employee wellbeing

This pandemic has taken its toll on many households, placing great stress on families. This can naturally impact

of employees have agreed that they have had regular updates from the Executive Leadership Team

of employees felt they had clear communication between managers and their team members

an employee’s ability to function at normal levels, particularly those in customer facing roles. Hume has done as much as possible to reduce employee stress and build confidence.

For example, in March, 2020 our CEO, Nicola Lemon, hosted several live video broadcasts providing encouragement and transparency around Hume’s pandemic position. Hume’s intention has been to keep everyone in work, resulting in cross skilling for several customer facing roles to other activities. Our employees’ responses to these posts have been positive.

Other ways we have helped our employees is to implement the employee assistance system called ‘Uprise’ – an online mental health safety management system; working from home tips on our internal social media system, Workplace; and ‘Wellbeing Wednesday’ which takes place on Workplace each week, featuring education on different wellbeing topics.

Post-lockdown wellbeing and leave survey

In late May 2020, we began planning life after COVID-19 and what a “new normal” may look like. To help start this process to best manage business as restrictions eased in NSW, we conducted an employee survey to find out about their plans for breaks away from work in the coming year. We also wanted to ensure that everyone will be getting some down time, as well as managing excessive leave accruals. This survey has helped us plan to ensure employees are not disappointed and can get a break, whilst business continuity is not interrupted.

of employees felt supported in their role

of employees are coping well with the disruption due to COVID-19

of employees know where to get help if they are feeling emotionally unwell or unsafe

Operations and Performance

Our partners

We could not deliver the opportunities and positive results for our customers without the support of our service partners. Hume forges deliberate partnerships with organisations that share our ethics and commitment. Our partners support Hume’s capacity to address housing affordability growth and expansion of service offerings.

In 2019–20, we worked with more than 50 service partners. We would like to express our thanks for the support they have provided throughout the year. Our partners were:

• Allambi Care

• Anglicare

• The Benevolent Society

• Bonnie Womens’ Support Services

• Carrie’s Place

• Centrelink

• Cerebral Palsy Alliance

• Claymore Action Group

• Compass Housing

• Core Community Services

• Craze Lateral Solutions –Dr. Leanne Craze

• Daystar Foundation

• DigiHouse

• Dundas Area Neighbourhood Centre

• Habitat for Humanity

• Hunter New England Mental Health Service

• Infoxchange

• Kari Aboriginal Resources

• Land and Housing Corporation NSW

• Legal Aid

• Life Without Barriers

• Liverpool Migrant Resource Centre

• Liverpool Neighbourhood Connections

• Liverpool PCYC

• Macarthur Homelessness Steering Committee

• Macarthur Real Estate Project

• Maitland Neighbourhood Centre

• Mai-Wel

• Mindaribba Local Aboriginal Land Council

• Mission Australia

• National Rugby League (NRL)

• NEAMI National

• Northcott

• Not For Profit Alliance

• NSW Department of Communities and Justice

• Partners in Employment

• Port Stephens Family & Neighbourhood Services

• Royal Rehab

• Samaritans

• Save the Children

• Seed Harvest Spoon

• Small Shift

MAJOR EVENTS IN 2019–20

Hume opened its office in Maitland, NSW and welcomed over 4,000 new customers, living in more than 2,200 properties, in the Maitland and Port Stephens local government areas. They transferred to Hume from the NSW Government as part of the Social Housing Management Transfer program.

Our new organisational structure came into effect. It is designed to create and onboard our growth and have a greater social impact. The new structure was informed by international evidencebased research and driven by five key principles agreed by the Board and Executive Leadership Team. This will enable Hume to thrive. We have structured the organisation to deliver an outstanding customer experience, complimented by tailored services to meet community

4 OCT 2019

• South West Mental Health –Liverpool

• St Vincent De Paul Society NSW

• SwSi TAFE

• Sydney Self Defence

• Telopea Connections

• Tharawal Aboriginal Housing Corporation

• The Collectives

• The Smith Family

• The Uniting (Campbelltown)

• Ungooroo Aboriginal Corporation

• United Way Australia

• Wariga Ngurra

• Wellways

• Wesley Mission

• Western Sydney Partners in Recovery

• Western Sydney University

• Westfield Liverpool

• Whitelion

• Womens’ Homelessness Service

• Woodberry Family Centre

• Yfoundations

• Yourtown

and neighbourhood-specific needs. Hume’s organisational design will assist in the attainment of our strategic pillars and therefore lead to the creation of more opportunities for people to prosper.

Hume opened its office in Raymond Terrace, NSW making our faceto-face services more accessible to customers in the Port Stephens Council area, and to strengthen our presence in the Hunter region.

18 NOV 2019

Our strategic plan to 2025

Hume has three strategic pillars informing our work through to 2025. In 2019–20, Hume worked to achieve the following objectives, within each pillar.

1

GROWTH

Achieve profitable, diversified growth

2

SOCIAL IMPACT

Maximise social impact through customer driven services that change lives

3

THRIVING ORGANISATION

Deliver value for money through a progressive and high achieving organisation

• Successful and integrated services in the Hunter

• Built a deserved reputation as a leading disability service provider

• Contributed to increasing affordable housing supply.

• Enhanced customer voice to drive and shape services

• Set our business apart with a contemporary, relevant customer service

• Delivered outstanding homes and quality refurbishments

• Supported customers to prosper and maximise their potential

• Ensured vibrant and connected communities

• Improved evaluation and evidence of our work and impact.

• Strengthened governance

• Empowered our people, our leaders, and enhanced our valuesbased culture

• Delivered efficiencies via technology and simplification

• Ensured value for money

• Contributed to the sector through leadership and advocacy.

Hume was a regional finalist the NSW Business Awards categories of Outstanding Employer of Choice and Outstanding Business Leader (Nicola Lemon).

22 NOV 2019

Hume officially opened a new, environmentally sustainable social housing development in Liverpool, under a partnership with the NSW Government to project-manage the development of 23 units at 188–190 Moore Street.

10 DEC 2019

Hume was announced as a partner in the Communities Plus redevelopment of Telopea, working with the NSW Government and Frasers Property Australia to transform the north-western suburb of Sydney into a dynamic integrated community.

During the COVID-19 pandemic, Hume expanded its agile work environment to enable most of our employees to work remotely

11 DEC 2019

MAR 2020

and continue to deliver accessible services to our customers and meet our service-level obligations.

We made a significant investment into a customer management system that allows us to manage a customer’s inquiry holistically from start to finish. The innovative technology allows us to keep the customer informed at each stage, enhance the customer experience, and effectively manage the inquiry to ensure a resolution is achieved.

15 JUN 2020

Customer experience

We know that vibrant, connected communities could not be created without customer input. Meaningful engagement and a range of ways for customers to connect with Hume is vital for us to deliver a customer-centred experience that meets their needs and expectations.

We are committed to improving our services and acting on customer feedback is what will make Hume able to deliver a customer centred experience that understand and aims to meet customer needs and expectations.

Highlights from 2019–20

• We established our Customer Experience Team and implemented our customer service centre.

• We invested in innovative technology offering more ways for customers to contact us and access our services.

• We established the Customer Experience subcommittee of the board.

• We expanded our Housing Options Service in Maitland and Port Stephens local government areas, with the provision of temporary accommodation and private rental assistance subsidies.

• In collaboration with the Housing and Communities teams, we implemented our arrears management strategy which has resulted in a reduction in arrears overall.

OUR SERVICE DELIVERY PRIORITIES IN 2019–20:

Customer experience subcommittee of the Board playing a key role in our governance, scrutiny, and complaints. COMMENCED

Customer Experience Strategy

Customer focus panels

Our new customer experience team

In October 2019, Hume reshaped our organisational structure and introduced our Customer Experience Team. The team aims to deliver an authentic experience that includes:

• frontline services based on customer need

• a low effort, high trust customer experience through first-time resolution of inquiries

• better communication and follow through with customers

• service excellence through customer insights, scrutiny, and feedback.

Undertaking the 2019 Annual Customer Survey

Hume is committed to improving services for our customers. One of the main ways we receive feedback is through our Annual Customer Survey in association with the Community Housing Institute Australia. The survey measures our customer service against two sets of benchmarks—Community Housing Industry Association (CHIA) and National Regulatory System for Community Housing (NRSCH), as well as these categories:

• overall satisfaction

• housing services

• repairs

• property condition

• complaints

• neighbourhood

• communication

• tenant engagement.

During the year, Hume engaged consultants ThinkPlace Global, to assist us in reviewing our satisfaction results over the past five years and identify key trends, influencing factors and perceptions that drive dissatisfaction with Hume’s services.

2019 SURVEY RESULTS HIGHLIGHTS

The findings highlighted that our customers’ ability to influence decisions, and the perception that customers’ rights are upheld, was a prevalent theme across the survey responses and a key driver in customer satisfaction.

74% of customers say Hume listens to them

We have now implemented our Customer Experience Improvement Plan and we have made some progress to enhance the customer experience and improved satisfaction. Below are some of the changes we have made in response to customer feedback.

✔ Customers told us it was challenging to get in touch with us and difficult to understand the status of their request or complaint.

We aim to resolve each customer request in the first instance and have introduced a range of new ways to contact us via Live Chat, WhatsApp, and Facebook Messenger. We have also invested in new technology that allows full engagement from first contact through to resolution. This improved efficiency should translate to a speedier resolution and peace of mind for the customer.

There is also a new customer ‘knowledge bank’ on our website, which provides answers to a lot of general questions. Called the Customer Service Centre, it allows customers to resolve their own inquiries quickly and efficiently. We can now track every inquiry through the Customer Service Centre, and we can monitor how each inquiry is being resolved. We can keep customers informed on the progress of their inquiry.

The 2019 Annual Customer Survey returned the following results against the NRSCH benchmarks:

✔ Customers told us they wanted to be able to provide feedback easily.

We have introduced online forms that customers can simply fill in to submit a complaint, compliment, or request through our website. It is then sent directly to our Customer Service Team to action and the customer receives an acknowledgment.

✔ Customers told us they wanted to have a say and be involved in how services and programs are planned and delivered.

The Phone a Buddy program was formed because of our customer welfare calls. They told us they wanted to reduce feelings of social isolation during the lockdown, and we designed a program that helps meet those needs. See page 30 for more information.

✔ Customers told us that communication could be improved.

Along with Humelife Magazine, we share all important customer information on our Facebook page. We also send urgent information via SMS, particularly during emergency events like bushfires, floods and other natural disasters.

Achieving our goals

Reduction in arrears levels

Our Customer Accounts Management Team and Housing and Communities teams worked together to deliver our Arrears Management Strategy. The strategy supports customers to successfully sustain their tenancy with us through early engagement and intervention.

This reduction is significant considering the financial hardships that some of our customers have faced as a result of the COVID-19 pandemic.

Providing housing options to regional customers

During 2019–20, Hume commenced delivery of our Housing Options Service in the Hunter region, which includes supporting customers who require temporary accommodation when experiencing homelessness and providing private rental subsidies to eligible customers. This is in addition to managing inquiries for housing assistance for those seeking social housing or our Affordable Housing program.

Continuous improvement of business processes

In early 2020, Hume commenced intensive consultation across our business to identify improvement opportunities in line with our strategic goal to improve our customer experience through a high-trust and low effort relationship with our customers.

We focused on three areas that we know have a direct impact on customer satisfaction and wellbeing, as well as on Hume’s reputation as a Tier 1 community housing provider.

They key areas were:

• vacancy management

• customer account management

• responsive maintenance.

The consultations took place over eight weeks between multiple teams, resulting in around 80 improvement opportunities across the three key business areas to be progressed over the next nine months.

Business Improvements taken forward in 2019–20 included:

• developing an agreed void standard

• establishing a maintenance audit regime across the organisation

• user-directed improvements to our housing management and reporting system

• establishing an operational risk register and incident reporting system

• reviewing our arrears management strategy.

The Connect program

A priority for Hume when we extended our service to Maitland and Port Stephens was to understand the priorities and needs of our customers and their communities.

The Housing Connect Team was established, and from October 2019 to January 2020, the team connected with our customers in the Hunter region, conducting more than 2,000 visits to customers’ homes to understand the condition of their property and their wellbeing.

OUTLOOK FOR 2020–21

In the coming year, we will enhance our engagement with our customers and further improve our service delivery and customer experience. This includes key strategic focus on the Customer Experience Team, customer focus panels, and our Customer Experience Strategy.

Communications and marketing

Highlights from 2019–20

• Achieved 88% growth across all socials through our focused effort to increase reach and frequency.

• Launched Humelife – a new, enhanced customer magazine.

• Introduced virtual real estate tours, launched Instagram real estate presence and created video explainers to simply and educate people about Specialist Disability Accommodation.

• Attracted 216 expressions of interest for a Talent Team recruitment drive using video promotion boosted to socials.

• Launched electronic direct mail updates to improve communication to landlords and to Specialist Disability Accommodation partners.

• Launched Workplace and Facebook Live events to support employee communications during Covid-19

Social media

Raised Hume’s profile in Australian housing sector and as an employee of choice by increasing our presence on LinkedIn from 529 at 30 June 2019 to 1,404 at 30 June 2020.

Real estate marketing

Our ‘agent style’ real estate video posts promoting affordable housing properties are geo-targeted to audiences on Facebook. Our early adoption of video and virtual tours meant that during the lockdown, we continued to maintain occupancy levels virtually promote and fill vacancies.

In 2020, we commenced marketing Hume’s Specialist Disability Accommodation (SDA) properties using an electronic direct mail campaign to target stakeholders including supported independent living providers, social workers, and allied health professionals. We commenced a series of explainer videos to demystify SDA and position Hume as a leader in providing housing for people with disability.

Humelife customer magazine

Improving the likelihood of a customer engaging with Hume via our communication channels continued to be a focus. We conducted customer focus sessions in Fairfield and Maitland to understand how we could transform our previous Tenants’ Voice Newsletter into a vibrant new publication. The new Humelife magazine features customer success stories, simple easy-to-understand information about rent, water bills and tips to save money, recipes, and competitions. The quarterly magazine is available in print and online formats and has been warmly received by customers and stakeholders.

AT 30 JUNE 2020

Delivered an overall growth in the number of followers on Facebook from 1,168 at 30 June 2019 to 1,802 at 30 June 2020.

Our growth on Twitter was slower, with followers increasing from 694 to 780 during the same period.

88% Increase in social followers

165% Increase in Linkedin

54% Increase in Facebook

12% Increase in Twitter

We introduced Instagram real estate advertising and have posted four campaigns and are gradually building followers.

Our awards 2019-2020

2019 Macarthur Business Awards

• (won) Outstanding Employer of Choice: Hume Community Housing

• (won) Outstanding Business Leader: Nicola Lemon

2020 Australasian Reporting Awards

• (won) Silver: 2019 Annual Report

2020 Australian HR Awards

• (shortlisted) Employer of Choice: Hume Community Housing

• (shortlisted) Best Change Management Strategy: SHMT

2019 PowerHousing Awards

• (finalist) Rising Star: Keelin Byrne

• Highly Commended Team Award: Project Highway/ SHMT

2019 AHI Professional Excellence in Housing Awards

• (finalist) Leading Housing Development Project: Hamilton@Fairfield

• (finalist) Leading Community Engagement Practice: Community Cohesion

• (finalist) Excellence in Social Housing: Employment and Learning Opportunities Program

• (finalist) Leading Innovation: The Collectives

• (finalist) Outstanding Achievement: Judy Nicholas

• (finalist) Inspirational Team Member: Sarithya Tuy

2019 Urban Developer Awards

• (finalist) Development of the Year – Social Infrastructure: Hamilton@Fairfield

2020 ZEST Awards

(awards ceremony postponed due to COVID):

• Outstanding Project Promoting Social Cohesion and Community Harmony: Cabramatta Seniors Complex

• Outstanding Community Partnership: Housing for People with Disability Partnership with Cerebral Palsy Alliance

• Outstanding Project in a Not for Profit: Housing Independence Program

• Outstanding Project in a Not for Profit: Hamilton@ Fairfield

OUTLOOK FOR 2020–21

In the coming year, we will:

• Implement a new communications strategy and stakeholder engagement plan to support our strategic growth objectives.

• Continue to fill and promote our affordable housing and SDA properties using digital marketing campaigns utilizing video and social media.

• Enhance our suite of SDA resources to provide customers, guardians, and support partners with inclusive and accessible easy-read and video-based content.

• Provide new and existing partners with access to targeted collateral, resources and updates on projects and information on partnering with Hume.

People and culture

Hume’s positive workplace culture underpinned our growth in 2019–20 as we embedded our new organisational structure and welcomed many new colleagues. Throughout the COVID-19 pandemic, our employees have remained committed to serving our customers and upholding our values, while embracing new ways of working.

Highlights from 2019–20

• Completed the Hunter social housing management transfer the and expanding our operations and services into the Hunter region of New South Wales.

• Recruited 60 new employees and doubled our employee base in size.

• Continued to embed our #OneHUME culture across organisation (see page 32).

• Supported three employees to participate in the International housing program GEM in the United Kingdom.

• Redesigned our employee wellbeing support and introduced new services.

Our people approach

At Hume, having a diverse workforce is imperative to meeting the needs of our diverse client base. Diversity is a value we celebrate and encourage, although we hire on merit, regardless of any factor. This year we have also doubled our employee base as we continue to expand.

We value what diversity and inclusion brings to our workforce – understanding of other cultures, groups and language – so welcome applications from people of all sexes and backgrounds. Hume employees speak up to 23 languages other than English, so customers who do not have English as their first language will always have a person to communicate with.

The benefits of working for Hume are many, such as work flexibility, great technology, a focus on health and safety, and importantly employee wellbeing.

A key achievement this year was that we submitted our first ever Workplace Gender Equality Agency (WGEA) report and achieved a compliance rating. This process gave us the opportunity to reflect on our practices to ensure they continue to align with our culture and values, as well as to identify areas for change. Hume’s 201920 workplace comprised 78% female and 22% male employees overall. Our Executive Leadership Team is made up of 67% female and 33% male leaders, including a female CEO.

HUME’S 2019-20 WORKPLACE GENDER

78% Female

22% Male

This year we also introduced a new Work Health and Safety (EHS) Framework which exceeds the requirements recommended by previous external audit.

Overall, our positive workplace culture, strong internal relationships and training are key reasons why we continued to have good employee retention – less departed the organisation than the previous year.

Project Highway

We were delighted to create 54 new positions as part of our expansion into the Hunter region. As many of these new employees are locally based this provided a boost to local employment, especially during COVID-19 (see our special COVID-19 report on pages 34-36).

International GEM Program

The Graduate Employment Mentoring (GEM) program is designed to build on the professionalism of the housing sector, build employee capability and create all round housing professionals. The program is conducted out of the UK and we have three employees participating in the Program. Participation is raising awareness about Hume and its position as a leading community housing organisation, as well as enhancing the expertise and profile our participating employees.

Building skills

This year we introduced a new Performance and Behaviour Framework and new Learning Framework.

This aims to build the skills and capability of our employees to continue to deliver exceptional services to our customers.

Work Health and Safety (WHS)

In 2019–20, Hume continued to work, collaboratively with the WHS Committee to discuss and resolve local WHS Matters. We are pleased to say that we had no reportable or serious incidents plus no adverse findings or improvement notices.

We also registered with the NSW government as a COVID Safe Business and continued to review, plan and make changes to respond to the pandemic to mitigate risks to our customers and employees.

Employee wellbeing

Hume offers employees a wellbeing program that includes fitness challenges, general health checks, flu shots, fresh fruit deliveries and access to a confidential, comprehensive Employee Assistance Program (EAP).

This year we introduced three new wellness support changes: ‘Uprise’ which is an online, video conferencing psychology service; a new employee assistance provider Veretis; and introduced a group supervision pilot to support key customer facing employees.

These services assisted our employees to maintain their resilience and wellness whilst supporting our customers, and have been particularly important during the COVID-19 pandemic. During this time we also conducted employee pulse surveys to understand employees’ needs during different stages of COVID.

OUTLOOK FOR 2020-21

• Implement and launch our new human resources information system (HRIS) and learning management system (LMS).

• Continue to develop learning content with subject matter experts that build the technical capability of our employees.

• Implement a career, develop and succession plan for Hume.

• Continue to measure our culture and engagement as part of our commitment to a constructive and positive culture.

WORKFORCE STATISTICS AT 30 JUNE 2020

Governance and Finance

Our management and accountability

Our governance framework

Hume is a registered Tier 1 Community Housing Provider and operates under the regulations required by the National Regulatory System for Community Housing (NRSCH). It is a requirement of NRSCH that Hume adopt the Australian Securities Exchange (ASX) Corporate Governance Principles.

The ASX describes corporate governance as ‘the framework of rules, relationships, systems and processes within and by which authority is exercised and controlled in corporations.’ It encompasses the mechanisms by which Hume, and those in control, are held to account.

As a not-for-profit organisation, Hume is not a listed entity, therefore ASX’s Corporate Governance Council recommendations may not the relevant or appropriate to Hume’s circumstance. However, our Board believes that Hume must provide the same robust governance framework and operate in accordance with the eight key principles of the ASX’s Corporate Governance Council Corporate Governance Principles. In addition, Hume has adopted two additional principles as recommended by the Australian Institute of Company Directors in The Not for Profit Governance Principles and these relate to purpose and strategy as well as culture.

1 Purpose and strategy

2 Lay solid foundations for management and oversight

3 Structure the Board to add value

4 Promote ethical and responsible decision making

5 Safeguard integrity in financial reporting

6 Make timely and balanced disclosure

7 Respect the rights of customers

8

9

10 Culture

Our corporate governance framework provides effective, sustainable operations and continuous improvement. Our services and infrastructure are provided reliably, efficiently, and effectively with the appropriate quality levels of service to customers and stakeholders.

We remain solvent and comply with all legislative, financial, ethical, and contractual obligations. We build corporate awareness as a shared responsibility of directors, management, and employees to uphold the values and purpose of Hume.

We identify resources and operational capabilities to ensure effective corporate governance processes align with best practice.

Our Board

The Hume Community Housing Board of Directors is structured around principles of good governance. We are governed by an independent skills-based board that has up to 10 directors. Our Directors have experience and skill sets that support the scale and scope of our business as well as our planned growth. The Board is committed to strong governance, community spirit and advocacy for those who require assistance. Hume’s Directors provide skills and expertise in governance, legal, risk and compliance, information technology, marketing, property development, financial management, human resources, community services, urban planning, housing, disability services and asset management.

At 30 June 2019, Hume’s directors were:

• Jayson Bricknell

• Phillip Hepburn

• Robyn Parker

• True Swain

• Larraine Eddy

• Sue Holliday

• Nathan Rees

• Robert Vine (Chairperson).

Information about each of our Directors is included on pages 55 to 57. Our Board attendance is detailed on page 58.

Our Board undertakes annual reviews of its performance to ensure that it is performing to its maximum effectiveness and the appropriate governance arrangements are in place. In addition to a skills matrix and annual skills gap analysis, all Directors are encouraged to attend training and professional development courses, as required, at Hume’s expense.

We recognise that while our Board of Directors are ultimately responsible for corporate governance, good corporate governance is a shared responsibility. Members, the Board, CEO, our employees and our Tenant’s Voice Leadership Group (in line with the Terms of Reference) have a responsibility to ensure that Hume is well governed.

All Directors must comply with Hume’s code of conduct.

Our governance subcommittees

To assist effective governance, the Board has nominated the following committees to discharge its responsibilities:

•

•

•

•

2019–20.

overall recruitment and remuneration policies. Robert

transactions and developments Hume should enter into and provides oversight of the developments and transactions undertaken.

Hume’s approach to the services it provides to its customers, including providing guidance for Hume’s customer satisfaction strategy and outcomes. Oversees a lift in the priority given to the voice of the customer and ensuring customer engagement in and satisfaction with the services provided.

True

Sue Holliday (Chair)

Robyn Parker

BOARD PATRON: PAT MARTIN

Patricia Martin OAM, Dip.E, Dip. ME, JP, MAHI, MOAA has been involved with Hume’s operations for the last 20 years including serving a 16-year term as President of the Hume Board before her appointment as Board Patron in 2007. Pat has also served terms as President of the Fairfield Community Resource Centre as well as the NSW Federation of Housing Association. Pat owned and operated a successful travel study company, Cindela Consultants, which coordinated study visits to and from Japan for government officials in the areas of retirement, stock exchange and police and fire brigade. Pat is also a former secondary teacher with 15 years teaching experience. In 1982, Pat was awarded the Medal of the Order of Australia (OAM) for her service to youth welfare. Pat is a current member of the Australasian Housing Institute and member of the Order of Australia Association.

Table 1: Hume’s Board Directors and their attendance in 2019–20.

Table 2: Hume’s subcommittees, their membership and functions, and the number of times they met in

Compliance framework

Hume has a process for managing our obligations in respect to:

• legal and regulatory compliance

• organisational compliance for policies and procedures

• compliance with contractual obligations including leases and management transfers

• compliance with risk treatments used to derive lower residual risks.

Compliance with disclosure requirements

Hume has compliance procedures in place to ensure timely and balanced disclosure of information, in line with the Registrar, Legislation, Australian Charities and Non-profits Commission, and Australian Securities and Investments Commission funding body requirements. Our Company Secretary is responsible for ensuring that necessary steps have been taken within Hume and that they are brought before the Board for discussion, and subject to amendment, approval.

Risk management

Hume has a risk management framework in place for the identification and effective management of risk, as well as a risk matrix to assess these risks. The CEO is responsible for completing the risk matrix to assess risks and potential risks effecting Hume.

Internal controls are in place to mitigate against any material business risks. Risks of strategic, financial, and operational natures are reviewed on a regular basis by the Audit and Risk Committee, which makes recommendations to the Board. Potential operational risks involved in running Hume are managed by our Executive Leadership Team and will be reported to the Board.

Code of conduct

Hume’s code of conduct is developed in accordance with our values (which are based on the principles of social justice and ethics), and in line with legislative frameworks.

Hume employees are expected to always operate in a professional manner, with a customer-focused approach. Our code of conduct clearly sets out the expectations for behaviour to ensure that conduct and decision making are consistent with our values and uphold our reputation.

Privacy

During 2019–20, Hume had two privacy incidents that we were required to report to the Office of the Australian Information Commissioner. The incidents involved breaching the security of some customers’ personal information. To prevent this happening again, Hume implemented additional security measures including:

• purchasing secure locked bags for storage of documents which staff will take on each occasion they are working in the field with customers

• upgrading administration systems to enhance access to forms online, so paper copies will not be required.

Approach to human rights

Through our corporate values, Hume advocates for those people in society who have been marginalised. To that end, we embrace the tenets behind the Black Lives Matter movement and believe in championing equality for all.

We acknowledge the marginalisation of Aboriginal and Torres Strait Islander people and the gap in outcomes for them compared to the general Australian population. During the year, Hume developed a draft Reconciliation Action Plan (RAP) to further our commitment to Australia’s Aboriginal and Torres Strait Islander communities. For more information, see page 28.

Racism is never acceptable, and we all have a responsibility to stand up against it. Our organisation has committed to preventing racism by pledging to undertake activities in support of the ‘Racism: It stops with me’ campaign in the coming year.

Our Executive Leadership Team

Our Executive Team is passionate about Hume, the role it plays to improve people’s lives, and the creation of communities in which we all want to live. The team has a depth of experience to guide Hume into the next stage of its growth, sustainability, and delivery.

Since our last annual report, we appointed Andrea Ritchie to the position of Executive Manager, Customer Experience, after she completed her tenure as the leader of the Social Housing Management Transfer Project.

In May 2020, our Chief Operating Officer, Julie Bojarski, took a sabbatical and will be replaced until her return by David Ballhausen.

NICOLA LEMON

BA (Hons), LLB, MAICD

Chief Executive Officer

Nicola is focused on building a more equitable world—one where those most vulnerable have access to safe, secure housing and services to enable them to prosper, contribute to their community and assume their meaningful place in society.

She positions Hume as a profit-forpurpose organisation, in the conviction that community housing providers must be outstanding business organisations. Since her appointment in 2008, Nicola has forged a thriving organisation, one that is financially sustainable, focused on business growth, innovation, commitment to purpose, and accountability.

Nicola champions consultation with customers, employees, and partners to foster continual organisational and industry improvement. She is committed

Chief Financial Officer and Company Secretary

Sean joined Hume as the Chief Financial Officer and Company Secretary in 2018. Sean has more than 20 years’ experience in senior management, including CFO roles for two publicly listed companies. He has strong finance and risk management skills and recent experience includes strategy and business development responsibilities with a positive impact on stakeholder value. He is experienced in property funds management and was responsible for large scale financing as well as mergers and acquisitions. He was also responsible for acquisition and development of childcare centres as part of a senior management role with a premium childcare provider.

to providing holistic, long-term solutions that support education, and well-being. Equipping people with a roof over their heads, as well as opportunities to improve their economic and social wellbeing, has seen record numbers of Hume customers successfully navigate their way into private housing, secure jobs, volunteering opportunities, and improved social outcomes.

She has been a member of the Board of PowerHousing Australia since 2012 and has been the Chairperson since 2016.

Before joining Hume, Nicola held roles in housing associations in the United Kingdom. She has led regeneration projects, large-scale real estate renewal programs, new-build constructions, and service delivery design projects.

Sean was elected to the Tharawal Housing Aboriginal Corporation Board in September 2019.

Sean is also Chairman of the Board of Gowrie NSW, a leading provider in early learning.

Sean has led Hume’s business continuity planning team in responding to the NSW bushfires and COVID-19 pandemic.

SEAN PARKER CA, AGIA

MICHAEL KOURAKIS

MBA, B. Ec, Grad Cert Public Sector Mgmt, Grad Dip

Secondary Education and Training

Executive Manager, Assets Growth

ANDREA RITCHIE Certificate in First Line Managing, Chartered Management Institute Executive Manager, Customer Experience

Michael joined Hume in 2016. He has specific experience in the delivery of urban renewal projects across Australia and the management of housing portfolios to maximise economic, social and physical outcomes. Through this experience Michael has strengths in identifying and developing partnerships with key and likeminded organisations to grow housing opportunities for target customer groups. Prior to joining Hume, Michael was involved in the $700 million Westwood Urban Renewal Project, the largest urban renewal project involving social housing ever undertaken in Australia.

SHARN CHISHOLM

Dip. HRM

Executive Manager, People, Culture and Communications

Andrea is a highly experienced executive manager with expertise in Australia’s community housing sector and the UK’s government housing and homelessness sector. She has proven ability in achieving results, whilst demonstrating strong leadership skills in a dynamic and complex environment. In Andrea’s seven years at Hume, she has served as Acting Chief Operating Officer, Executive Manager, Performance Analytics and Business Process Improvement, and was appointed to lead Hume’s Social Housing Management Transfer project. This was the largest transformation project in Hume’s history and its success draws on Andrea’s extensive experience in project management, change management and team building. In 2019, Andrea was appointed Executive Manager, Customer Experience, a new division in Hume focused on delivering service excellence that includes front line services based on customer need and a low effort, high trust customer experience.

Prior to joining Hume, Andrea worked for 25 years in the housing sector in the UK. There, she managed housing and property services for more than 14,000 homes.

Sharn joined Hume in 2019, bringing with her an impressive record of strategic business outcomes for some of Australia’s largest ASX companies and non-profit organisations. Sharn is a resilient, values driven, empathetic leader, who is committed to building and sustaining high-performance cultures.

She draws on her expertise to serve as a creative disrupter, positively challenging the status quo to propel an organisation forward. Sharn’s experience in delivering complex programs, such as large start-ups and mergers and acquisitions, is underpinned by an innate understanding of an organisation’s capacity and readiness for growth and change.

Sharn is an influential all-rounder, working collaboratively to design, develop and implement innovative communication, marketing and people-centric strategies and programs that will deliver long term transformational growth, while ensuring organisational and financial sustainability.

In her spare time Sharn volunteers her expertise to Inala Disability Services.

JULIE BOJARSKI

Alumni 2015 Sydney Leadership, Social Leadership Australia

Chief Operating Officer (currently on sabbatical leave)

DAVID BALLHAUSEN

B Com. LLB Chief Operating Officer (interim)

Julie’s key strengths are her advocacy for customers and leadership of teams to provide high quality frontline customer service and innovative partnerships and programs.

Since 2011, Julie has led Hume’s operations portfolio through a period of dynamic change and growth. Her leadership has resulted in improved customer service and collaboration with stakeholders and partners, ensuring Hume delivers innovative services and programs to the most vulnerable community members.

She has embedded a strengths-based approach to challenging our customers and the community to work together on social justice issues and community cohesion projects. Julie has extensive experience in local government, including in community services, asset management, leasing of community buildings, and early childhood services.

Julie is currently on sabbatical leave.

David is Hume’s interim Chief Operating Officer. His senior executive experience in the non-profit sector includes nine years as CEO of Life Education Australia and eight years with The Smith Family in various senior management roles including Head of Community Programs, General Manager NSW and CEO Commercial Enterprise.

Prior to this, David spent 15 years in investment banking with three global organisations providing strategic advice to boards and senior management teams, with a focus on equity origination and mergers and acquisitions activity. He has tertiary qualifications in commerce and law from UNSW.

Financial information

Director’s report

Hume Community Housing Association Company Limited

Directors’ report

30 June 2020

The directors present their report, together with the financial statements, on Hume Community Housing Association Company Limited (referred to hereafter as ‘registered entity’ or ‘Hume’) for the year ended 30 June 2020.

Directors

The following persons were directors of the registered entity during the whole of the financial year and up to the date of this report, unless otherwise stated:

Robert Vine

Susan Holliday

True Swain

Larraine Eddy

Phillip Hepburn

Jayson Bricknell

Nathan Rees

Robyn Parker

Objectives and strategy for achieving the objectives

The registered entity has a strategic plan (2020-2025). The objectives of the strategic plan are to consolidate and deepen our footprint, maximise social impact and develop a thriving organisation.

The registered entity’s activities resulted in the continuation of the registered entity’s Tier 1 registration by the NRSCH and produced a surplus that will be used to further the registered entity’s long-term objectives.

On 2 September 2019, Hume Community Housing took over management of additional 2,209 properties based in the Hunter Region through the Social Housing Management Transfer program.

Ongoing assessments have been undertaken to determine the impacts that the Coronavirus (COVID-19) pandemic has had, or may have, on the company. This consideration extends to delivery of services, impact on customers, staffing and geographic regions in which the entity operates. Based on current assessments there does not currently appear to be either any significant impact on the financial statements or any significant uncertainties with respect to events or conditions which may impact the entity unfavourably as at the reporting date or subsequently as a result of the Coronavirus (COVID-19) pandemic.

Principal activities

During the financial year the principal continuing activities of the registered entity was the provision of tenancy and property management services, as well as a wide range of housing options and support services to improve housing security and reduce homelessness.

Performance measures

The registered entity measures its performance by meeting the objectives established in the annual business plan and departmental service delivery plans to deliver the strategic objectives. Key performance indicators are also established and monitored both internally and as a comparison to external benchmarks. Hume’s performance for 2020 is reported in the 2020 Annual Report.

Information on Board Directors

ROBERT VINE

Dip. Mgmt, Grad Dip. HR, MAICD

Chairman, Member of Audit and Risk subcommittee; Development subcommittee; People and Culture subcommittee and Customer Experience subcommittee

JAYSON BRICKNELL

B Ec, GAICD

Director, Chair of Audit and Risk subcommittee and Member of People and Culture subcommittee

Robert Vine has served 15 years on the Hume Board including a two-year spell as Chairman before being appointed again to the Director position in 2012 after a three year break.

Robert has been involved in non-profit organisation management since 1972 culminating in retirement as CEO of one of the state’s largest groups of cooperative housing societies.

With tertiary qualifications in management, human resource planning, accounting and financial management. Bob brings to Hume an all-round raft of experience. Still serving on the NSW Government Co-operatives Advisory Board, he is actively involved in the provision of affordable housing.

PHILLIP HEPBURN

B EC, LLB, LLM, Grad Dip Company Secretarial Practice

Director, Member of Development Subcommittee and Audit and Risk subcommittee

Jayson is an experienced Financial Services executive with broad business experience across a number of disciplines. He has specific expertise and a proven track record in customer experience, program and project management for system deliveries, stakeholder engagement, transformation programs, operational performance improvement, growth and strategy definition and execution (including mergers and acquisitions).

His experience includes nine years with Westpac/BT Financial Group, two years with Third Horizon Consulting, 15 years with Macquarie Bank and more than 5 years with Arthur Andersen & Co and PricewaterhouseCoopers. In his current role with Westpac as a Director, Product and Service Development, he is responsible for designing and delivering the digital experience on a large Home Ownership transformation program.

Jayson was elected to the Hume Board in March 2017.

Phillip has extensive experience in setting up legal, governance and compliance functions, advising Boards on all aspects of legal and compliance issues. Phillip was previously General Counsel and Group Secretary at Stockland where his role also included providing commercial and legal advice on business and property acquisitions and sales, and on all aspects of property development and capital management activities undertaken by the organisation. Phillip has extensive experience in management across the property, banking, retail and agricultural sectors and has also acted as a mentor to senior executives. Phillip has a strong interest in the areas of Board governance, risk and compliance. Phillip was elected to the Hume Board in February 2016.

LARRAINE EDDY

Director, Member of People and Culture subcommittee and Customer Experience subcommittee

THE HON. ROBYN PARKER

GAICD, JP

Director, Member of Development subcommittee, People and Culture subcommittee and Customer Experience subcommittee

Larraine Eddy holds a Certificate in Welfare as well as an Advanced Certificate in Working with Older People. Larraine has more than 22 years’ experience working with older people and for the last 17 years has been advocating housing issues for the aged community through the Assistance with Care and Housing for the Aged Program in NSW.

Larraine has held a position on the Hume Board since 2005. Larraine previously held a position on the Hume Board from 1998-2003 and is an active member of People and Culture Subcommittee and Customer Experience Subcommittee.

TRUE SWAIN

JD, MBA, M. Pro Dev, B. CPM, GAICD

Director, Chair of Development subcommittee and Member, Customer Experience subcommittee

Throughout her life, Robyn Parker has worked to support, develop and strengthen individuals, families and communities. Robyn has over 30 years of public sector experience which included roles in Child and Family Services, as a TAFE teacher, and as CEO of Ageing and Disability Services.

Robyn served in the NSW Parliament for twelve years serving first as a Member of the Legislative Council, followed by four years as the Member for Maitland. Robyn chaired many Parliamentary Inquiries and was the NSW Minister for the Environment and Minister for Heritage. Since leaving politics, Robyn has been appointed as a non-executive director to a number of environment, education and for-purpose organisations.

Commercially focused and community driven, Robyn brings to Hume in demand capabilities of leading transformation and applying the right level of strategic thinking required as the organisation embarks on a bold future.

In particular, as a long-term resident Robyn has a unique, strong and well established network of contacts and relationships coupled with a deep understanding of the Maitland and Port Stephens LGAs and their people which will be invaluable as Hume transitions to manage over 2,000 homes under the NSW FACS Social Housing Management Transfer program.

Robyn was elected to the Hume Board in February 2019.

True is an experienced senior executive manager and director, who has a wealth of professional property development, project management, risk management, corporate governance and business expertise, in the public and private sectors.

In his current executive position, as a Director at Taronga Zoo Conservation Society Australia, True is accountable for a $300+ million transformational property development program that is being progressively delivered across both metropolitan and regional sites.

The above professional experience is underpinned by multiple tertiary qualifications, including Juris Doctor, Master of Business Administration, Masters of Property Development, Graduate Certificate in Commercial Arbitration, Bachelor of Construction Project Management and Graduate of Australia Institute of Company Directors course.

True was elected to the Hume Board in March 2014.

SUSAN HOLLIDAY

GAICD, BA (economics), MPhil (town and country planning)

Deputy Chair, Chair of Customer Experience subcommittee, member of the Development subcommittee; Life Fellow, Planning Institute of Australia

Sue Holliday is a city planner and economist. She was Professor of Planning Practice at UNSW until February 2020. She ran her business, Strategies for Change, an urban strategy consultancy, until 30 June 2019.

Sue had a long career in the public service and has demonstrated an outstanding commitment to affordable housing. She was Director General of Planning in NSW from 1997 to 2003. She was instrumental in establishing the City West Housing Company to achieve ongoing affordability options in Pyrmont and Ultimo. She introduced affordable housing as a planning objective into the Environmental Planning and Assessment Act 1979 (NSW) and introduced inclusionary zoning into planning instruments to enable development to contribute to affordable housing outcomes.

Sue was elected to the Hume board in April 2014.

THE HON. NATHAN REES

Director, Member of Development subcommittee and the Audit and Risk subcommittee

Nathan Rees has lived his life in Western Sydney and has 27 years experience in public administration. After completing a horticulture apprenticeship, he undertook an Honours degree in English literature at Sydney University.

Nathan served in the NSW parliament from 2007 to 2015, including as Premier of NSW, Minister for Water, Minister for the Arts, Minister for the Central Coast and Minister for Emergency Services.

He was the Member for the Western Sydney seat of Toongabbie. He has a passion for Western Sydney and social justice.

Nathan was elected to the Hume board in February 2017.

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes.

Meetings of Directors

The number of meetings of the registered entity’s Board of Directors (‘the Board’) and of each Board committee held during the year ended 30 June 2020, and the number of meetings attended by each director were:

Held: represents the number of meetings held during the time the director held office or was a member of the relevant committee.

Contributions on winding up

In the event of the registered entity being wound up, ordinary members are required to contribute a maximum of $20 each. Honorary members are not required to contribute.

The total amount that members of the registered entity are liable to contribute if the registered entity is wound up is $420, based on 21 current ordinary members.

This report is made in accordance with a resolution of directors.

On behalf of the directors

Statement of profit or loss and other comprehensive income

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes.

Statement of profit or loss and other comprehensive income

The above statement of financial position should be read in conjunction with the accompanying notes.

Statement of changes in equity

The above statement of changes in equity should be read in conjunction with the accompanying notes.

Statement of cash flows

For the year ended 30 June 2020

The above statement of cash flows should be read in conjunction with the accompanying notes.

Notes to the financial statements

For the year ended 30 June 2020

Note 1. Summary of Significant Accounting Policies

The principal accounting policies adopted in the preparation of the financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated. The adoption of AASB 16 Leases resulted in a change in accounting policy for the Company and is discussed in further detail below.

Basis of preparation

These general purpose financial statements have been prepared in accordance with Australian Accounting Standards – Reduced Disclosure Requirements and Interpretations issued by the Australian Accounting Standards Board (‘AASB’) and the Australian Charities and Not-for-profits Commission Act 2012, as appropriate for not-forprofit oriented entities.

The financial statements, except for the cash flow information, have been prepared on an accrual 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.

New, revised or amending Accounting Standards and Interpretations adopted

The registered entity has adopted all of the new, revised or amending Accounting Standards and Interpretations issued by the Australian Accounting Standards Board (‘AASB’) that are mandatory for the current reporting period. These are discussed below.

Any new, revised or amending Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.

AASB 16 – Leases

The Company has adopted AASB 16 Leases from 1 July 2019. The standard replaces AASB 117 ‘Leases’ and for lessees eliminates the classifications of operating leases and finance leases. Except for short-term leases and leases of low-value assets, right-of-use assets and corresponding lease liabilities are recognised in the statement of financial position. Straight-line operating lease expense recognition is replaced with a depreciation charge for the right-of-use assets (included in operating costs) and an interest expense on the recognised lease liabilities (included in finance costs). For classification within the statement of cash flows, the interest portion is disclosed in operating activities and the principal portion of the lease payments are separately disclosed in financing activities. For lessor accounting, the standard does not substantially change how a lessor accounts for leases.

Impact of adoption

AASB 16 was adopted using the modified retrospective approach and as such the comparatives have not been restated. Under this approach, the Company determined the carrying amount of the lease liability on 1 July 2019 as the present value of the remaining lease payments and recognised the related right of use asset at deemed cost that is equal to the lease liability. The Company has used a discount rate of 4.68%. The impact of adoption on opening retained profits as at 1 July 2019 was as follows:

Hume Community Housing Association Company Limited

Notes to the financial statements

For the year ended 30 June 2020

Note 1. Summary of Significant Accounting Policies (continued)

When adopting AASB 16 from 1 July 2019, the entity has applied the following practical expedients:

• applying a single discount rate to the portfolio of leases with reasonably similar characteristics;

• accounting for leases with a remaining lease term of 12 months as at 1 July 2019 as short-term leases;

• excluding any initial direct costs from the measurement of right-of-use assets;

• using hindsight in determining the lease term when the contract contains options to extend or terminate the lease; and

• not apply AASB 16 to contracts that were not previously identified as containing a lease.

AASB 15 – Revenue from Contracts with Customers and AASB 1058 Income of Not-for-Profit Entities

The Company adopted a new accounting policy introduced by AASB 15 Revenue from Contracts with Customers and AASB 1058 Income of Not-for-Profit Entities from 1 July 2019. The Company has adopted these standards on a modified retrospective basis.

AASB 15 specifies how and when revenue should be recognised as well as requiring more informative and relevant disclosures. The standard also requires additional disclosures in respect of the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. This standard was implemented with two supplementary not-for-profit specific standards, AASB 2016-8 Australian Implementation Guidance for Not-for-Profit Entities and AASB 1058. These standards supersede AASB 118 – Revenue, AASB 1004 Contributions and a number of other revenue-related interpretations. AASB 15, AASB 2016-8 and AASB 1058 must be applied for all periods beginning on or after 1 January 2019.

Where the contracts are executory in nature, the Company has applied the practical expedient in AASB 15 that allows the Company to recognise revenue upon invoice where the right to invoice corresponds directly with the value transferred to the customer or beneficiary through the Company’s performance to date. Where the contracts include a service element and a contribution element, there is a rebuttable assumption that the entire consideration in the contract relates to the services to be delivered in the contract and AASB15 is applied.

Impact of adoption

There was no impact on the adoption of AASB 15 or AASB 1058 in the financial statements.

Critical accounting judgements, estimates and assumptions

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts in the financial statements. Management continually evaluates its judgements and estimates in relation to assets, liabilities, contingent liabilities, revenue and expenses. Management bases its judgements, estimates and assumptions on historical experience and on other various factors, including expectations of future events, management believes to be reasonable under the circumstances. The resulting accounting judgements and estimates will seldom equal the related actual results. The judgements, estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Estimation of useful lives of assets

The registered entity determines the estimated useful lives and related depreciation and amortisation charges for its property, plant and equipment and finite life intangible assets. The useful lives could change significantly as a result of technical innovations or some other event. The depreciation and amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.

Employee benefits provision

The liability for employee benefits expected to be settled more than 12 months from the reporting date are recognised and measured at the present value of the estimated future cash flows to be made in respect of all employees at the reporting date. In determining the present value of the liability, estimates of attrition rates and pay increases through promotion and inflation have been taken into account.

Hume Community Housing Association Company Limited

Notes to the financial statements

For the year ended 30 June 2020

Note 1. Summary of Significant Accounting Policies (continued)

Critical accounting judgements, estimates and assumptions (continued)

Fair value of investment properties

Critical estimates are made by the Directors in respect of the fair value of investment properties. The fair value of these investments are reviewed regularly by Directors with references to independent property valuations and market conditions existing at reporting date, using generally accepted market practices.

Lease term

The lease term is a significant component in the measurement of both the right-of-use asset and lease liability. Judgement is exercised in determining whether there is reasonable certainty that an option to extend the lease or purchase the underlying asset will be exercised, or an option to terminate the lease will not be exercised, when ascertaining the periods to be included in the lease term. In determining the lease term, all facts and circumstances that create an economical incentive to exercise an extension option, or not to exercise a termination option, are considered at the lease commencement date. Factors considered may include the importance of the asset to the company’s operations; comparison of terms and conditions to prevailing market rates; incurrence of significant penalties; existence of significant leasehold improvements; length of funding associated with the lease; and the costs and disruption to replace the asset. The Company reassesses whether it is reasonably certain to exercise an extension option, or not exercise a termination option, if there is a significant event or significant change in circumstances.

Incremental borrowing rate

Where the interest rate implicit in a lease cannot be readily determined, an incremental borrowing rate is estimated to discount future lease payments to measure the present value of the lease liability at the lease commencement date. Such a rate is based on what the company estimates it would have to pay a third party to borrow the funds necessary to obtain an asset of a similar value to the right-of-use asset, with similar terms, security and economic environment.

Employee benefits

Short-term employee benefits

Liabilities for wages and salaries, including non-monetary benefits, annual leave and long service leave expected to be settled within 12 months of the reporting date are measured at the amounts expected to be paid when the liabilities are settled.

Other long-term employee benefits

The liability for annual leave and long service leave not expected to be settled within 12 months of the reporting date are measured as the present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the projected unit credit method. Consideration is given to expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using market yields at the reporting date on national government bonds with terms to maturity and currency that match, as closely as possible, the estimated future cash outflows.

Defined contribution superannuation expense

Contributions to defined contribution superannuation plans are expensed in the period in which they are incurred.

Goods and Services Tax (‘GST’) and other similar taxes

Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the tax authority. In this case it is recognised as part of the cost of the acquisition of the asset or as part of the expense.

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 tax authority is included in other receivables or other 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 tax authority, are presented as operating cash flows.

Notes to the financial statements

For the year ended 30 June 2020

Note 1. Summary of Significant Accounting Policies (continued)

Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the tax authority.

Current and non-current classification

Assets and liabilities are presented in the statement of financial position based on current and non-current classification.

An asset is classified as current when: it is either expected to be realised or intended to be sold or consumed in normal operating cycle; it is held primarily for the purpose of trading; it is expected to be realised within 12 months after the reporting period; or the asset is cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least 12 months after the reporting period. All other assets are classified as non-current.

A liability is classified as current when: it is either expected to be settled in normal operating cycle; it is held primarily for the purpose of trading; it is due to be settled within 12 months after the reporting period; or there is no unconditional right to defer the settlement of the liability for at least 12 months after the reporting period. All other liabilities are classified as non-current.

Income tax

As the registered entity is a charitable institution in terms of subsection 50-5 of the Income Tax Assessment Act 1997, as amended, it is exempt from paying income tax.

Comparative figures

Where required by accounting standards, including the new accounting standards, the comparative figures have been reclassified to conform to change in presentation for the current financial year.

Hume Community Housing Association Company Limited

Notes to the financial statements

For the year ended 30 June 2020

Recognition and Measurement

Rental revenue is recognised on a straight-line basis over the term of the lease, except when an alternative basis is more representative of the pattern of services rendered through the provision of the leased premises.

Revenue for services delivered in accordance with contracts with customers is recognised over time when the services are delivered or transferred to the customer or beneficiaries. When the service contract is executory in nature, the Company recognises revenue upon invoice if the right to invoice corresponds directly with the value transferred to the customer or beneficiaries through the Company’s performance to date.

For other contracts with customers, revenue is recognised when the Company transfers control of the sufficiently specific performance obligations identified from the contract. When the Company’s programmes and arrangements are not accounted for as contracts with customers, the Company accounts for the arrangement as a grant or contribution. For grants and contributions that are funding arrangements, the Company recognises the funds at the earlier of receipt of the funds or when the Company’s entitlement to invoice the grantor is established. For grants and contributions of property, the Company recognises the asset when title transfers or vests, or when a lease of the property commences. The asset provided by the grantor is recognised at fair value and the Company recognised any related amount at the same time as follows:

• A contractual obligation to repay any of the contributed funds that the Company cannot avoid is recognised initially and subsequently accounted for as a financial liability.

• An obligation to make lease payments is recognised and subsequently accounted for as a lease liability.

• A transfer of funds to enable the Company to procure new housing supply that will be recognised as property by the Company is recognised as a liability and subsequently recognised as other income when the property is acquired or constructed.

• Any residual is immediately recognised as other income.

Interest income is recognised as it accrues using the effective interest method.

Social housing subsidy program interest income relates to Hume’s financial interest in this completed program and is recognised in the periods when they are earned. Amounts receivable under this program were settled by transferring rights to property title and this has been separately disclosed in Note 9.

General Community Housing Assistance Agreements with the NSW Government in respect of social housing and the Social Housing Management Transfer (SHMT) program are considered to be service concession arrangements.

Service concession arrangements are accounted for as contracts with customers and revenue is recognised when the services are delivered or transferred to the customer or beneficiaries. Revenue is presented net of any payments that are made by the Company to the customer, including payments that are structured as lease payments under a CHLP.

Notes to the financial statements

For the year ended 30 June 2020

Note 3. Expenses

before income tax includes the following specific expenses:

project expenses represents costs incurred in relation to 2,209 properties being transferred under the Social Housing Management Transfer program. Property rectification expenses represent the remediation costs incurred on investment properties, see note 9.

Cash amounts restricted and held as cash on deposit was $7,142,039 as at 30 June 2020 (2019: $7,010,045) and are classified as other financial assets, see note 5.

Notes to the financial statements

For the year ended 30 June 2020

Note 4. Cash and cash equivalents (continued)

Recognition and Measurement

Cash and cash equivalents includes cash on hand, deposits held at call with financial institutions, other short-term, highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

Note 5. Other financial assets

Recognition and Measurement

Other financial assets include term deposits held with financial institutions with original maturities of greater than three months.

Note 6. Current assets – trade and other receivables

Recognition and Measurement

Other receivables are recognised at amortised cost, less any provision for impairment. The allowance for expected credit losses assessment requires a degree of estimation and judgement. It is based on the lifetime expected credit loss, grouped based on days overdue, and makes assumptions to allocate an overall expected credit loss rate for each group. These assumptions include recent revenue experience and historical collection rates. The company has increased its monitoring of debt recovery as there is an increased probability of customers delaying payment or being unable to pay in the current environment relating to COVID-19. As a result, we have increased our allowance of expected credit losses as at 30 June 2020.

Note 7. Other assets

Recognition and Measurement

Payments made for deposits and costs for the development of investment properties are recognised as other assets when the payments have been made.

Notes to the financial statements

For the year ended 30 June 2020

Note 8. Property, plant and equipment

Reconciliations of the written down values at the beginning and end of the current financial year are set out below:

Recognition and Measurement

Property, plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

For assets in the course of construction, no depreciation is applied until the asset is complete and is put into use by the registered entity.

Depreciation is calculated on a straight-line basis to write off the net cost of each item of property, plant and equipment over their expected useful lives using the following rates per annum:

Notes to the financial statements

For the year ended 30 June 2020

Note 8. Property, plant and equipment (continued)

The residual values, useful lives and depreciation methods are reviewed, and adjusted if appropriate, at each reporting date. An item of property, plant and equipment is derecognised upon disposal or when there is no future economic benefit to the registered entity. Gains and losses between the carrying amount and the disposal proceeds are taken to profit or loss.

Estimation of useful lives of assets

The registered entity determines the estimated useful lives and related depreciation and amortisation charges for its property, plant and equipment and finite life intangible assets. The useful lives could change significantly as a result of technical innovations or some other event. The depreciation and amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.

Note 9. Investment properties

of the fair values at the beginning and the end of the year are set out below:

*In December 2017, the NSW Government strengthened the fire safety laws with the introduction of the Building Products (Safety) act 2017. During 2018, the registered entity undertook a fire risk assessment of its investment property portfolio which identified certain non-compliance. The director’s valuation as at 30 June 2019 takes into account the estimated costs of remediation less any expected recoveries from third parties in determining fair value and as such the net provision for remediation works was recognised as a fair value decrement to the valuation in the comparative period.

Recognition and Measurement

Investment properties principally comprise freehold land and buildings held for long-term rental and capital appreciation that are not occupied by the registered entity. Investment properties are initially recognised at cost, including transaction costs and costs of finance, and are subsequently remeasured annually at fair value.

Movements in fair value are recognised directly to profit or loss.

Notes to the financial statements

For the year ended 30 June 2020

Note 9. Investment properties (continued)

The basis of the valuation of investment properties is fair value, being the amounts for which the properties could be exchanged between willing parties in an arm’s length transaction, based on current prices in an active market for similar properties in the same location and condition, subject to similar leases and takes into consideration occupancy rates and returns on investment.

During the year the investment properties were independently valued by Jones Lang LaSalle. The valuation was based on the fair value less costs of disposal. The valuations were conducted during the Covid-19 period and reflects the fair value. The valuation resulted in a revaluation decrement of $668,247 being recognised for the year ended 30 June 2020 (2019: $481,637).

Fair value of investment properties

Fair value hierarchy

The following tables detail the registered entity’s assets and liabilities, measured or disclosed at fair value, using a three level hierarchy, based on the lowest level of input that is significant to the entire fair value measurement, being:

Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date

Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly

There were no transfers between levels during the financial year.

Hume Community Housing Association Company Limited

Notes to the financial statements

For the year ended 30 June 2020

Note 9. Investment properties (continued)

The carrying amounts of trade and other receivables and trade and other payables are assumed to approximate their fair values due to their short-term nature.

The fair value of financial liabilities is estimated by discounting the remaining contractual maturities at the current market interest rate that is available for similar financial liabilities.

When an asset or liability, financial or non-financial, is measured at fair value for recognition or disclosure purposes, the fair value is based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; and assumes that the transaction will take place either: in the principal market; or in the absence of a principal market, in the most advantageous market.

Fair value is measured using the assumptions that market participants would use when pricing the asset or liability, assuming they act in their economic best interests. For non-financial assets, the fair value measurement is based on its highest and best use. Valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, are used, maximising the use of relevant observable inputs and minimising the use of unobservable inputs.

Note 10. Right-of-use assets

Additions to the right-of-use assets during the year were $6,981,797.

The entity leases property from landlords to provide affordable housing to customers and building space for its offices.

Hume Community Housing Association Company Limited

Notes to the financial statements

For the year ended 30 June 2020

Note 11. Trade and other payables

Recognition and Measurement

These amounts represent liabilities for goods and services provided to the registered entity prior to the end of the financial year and which are unpaid. Due to their short-term nature they are measured at amortised cost and are not discounted. The amounts are unsecured and are usually paid within 30 days of recognition.

Notes to the financial statements

For the year ended 30 June 2020

Note 14. Borrowings

Recognition and Measurement

Loans and borrowings are initially recognised at the fair value of the consideration received, net of transaction costs. They are subsequently measured at amortised cost using the effective interest method.

On 19 March 2019 the Company entered into $35m loan facility agreement with National Housing Finance and Investment Corporation under Affordable Housing Bond Aggregator (ABHA). The facility has 10 term expiring on 19 March 2029 with interest only payable monthly. The interest rate is fixed at 2.93%.

The bank borrowings are secured by first mortgages over the registered entity’s land and buildings. The loan balance must not exceed 45% of the secured property value.

Note 15. Contingent liabilities

There are three security deposit guarantees in respect of properties managed or tenanted by the entity: $65,294 in respect of the Parramatta office (2019: $65,294), $97,000 in respect of the Pembroke Street Boarding House (2019: $97,000), $12,567 in respect of the Merrylands property (2019: $12,567) and $74,250 in respect of Maitland office (2019: nil).

As at 30 June 2020 Hume Community Housing Company Limited had nil capital commitments (2019: $1.5m in respect of the of the rectification of cladding at its Telopea properties).

Note 16. Commitments

As at 30 June 2020 Hume Community Housing Company Limited had no commitments following the adoption of AASB16.

Committed at the reporting date but not recognised as liabilities, payable:

Notes to the financial statements

For the year ended 30 June 2020

Note 17. Related party transactions

Key management personnel

Compensation

The aggregate compensation made to directors and executives as key management personnel of the registered entity is set out below:

Note 18. Financial Risk Management

The main risks the entity is exposed to through its financial instruments include credit risk, liquidity risk and market risk consisting of interest rate risk.

The entity’s financial instruments consist mainly of deposits with banks, local money market instruments, short-term and long-term investments, accounts receivable and payable, and lease liabilities.

Note 19. Events after the reporting period

No matters or circumstances have arisen since 30 June 2020 that have significantly affected, or may significantly affect the registered entity’s operations, the results of those operations, or the registered entity’s state of affairs in future financial years.

Hume Community Housing Association Company Limited

Notes to the financial statements

For the year ended 30 June 2020

Note 20. Economic dependency and Member’s guarantee

Economic dependency

The registered entity is economically dependent on the NSW State Government and the Federal Government for significant financial support in the form of subsidies and grants to assist in the delivery of affordable and social housing to the community.

Members’ guarantee

The registered entity is incorporated under the Australian Charities and Not-for-profits Commission Act 2012 and is an entity limited by guarantee. If the registered entity is wound up, the constitution states that each member is required to contribute a maximum of $20 each towards meeting any outstanding and obligations of the entity. At 30 June 2020 the number of members was 21 (2019: 21).

Hume Community Housing Association Company Limited

Hume Community Housing Association Company Limited

Directors Declaration

30 June 2020

In the directors’ opinion:

• the attached financial statements and notes comply with the Australian Charities and Not-for-profits Commission Act 2012, the Australian Accounting Standards - Reduced Disclosure Requirements, the Australian Charities and Not-for-profits Commission Regulation 2013 and other mandatory professional reporting requirements;

• the attached financial statements and notes give a true and fair view of the registered entity’s financial position as at 30 June 2020 and of its performance for the financial year ended on that date; and

• there are reasonable grounds to believe that the registered entity will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of directors.

On behalf of the directors

Robert

Vine

Jayson

Bricknell

Director Director

28 September 2020

28 September 2020

Sydney Sydney

Independent Auditor’s Report

To the members of Hume Community Housing Association Company Limited

Report on the Audit of the Financial Report

Opinion

Tel: +61 2 9251 4100

Fax: +61 2 9240 9821

www.bdo.com.au

Level 11, 1 Margaret St Sydney NSW 2000 Australia

We have audited the financial report of Hume Community Housing Association Company Limited (the registered entity), which comprises the statement of financial position as at 30 June 2020, the statement of profit or loss and other comprehensive income, the statement of changes in equity and the statement of cash flows for the year then ended, and notes to the financial report, including a summary of significant accounting policies, and the responsible entities’ declaration.

In our opinion the accompanying financial report of Hume Community Housing Association Company Limited, is in accordance with Division 60 of the Australian Charities and Not-for-profits Commission Act 2012, including:

i. Giving a true and fair view of the registered entity’s financial position as at 30 June 2020 and of its financial performance for the year then ended; and

ii. Complying with Australian Accounting Standards - Reduced Disclosure Requirements and Division 60 of the Australian Charities and Not-for-profits Commission Regulation 2013.

Basis for opinion

We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the Financial Report section of our report. We are independent of the registered entity in accordance with the auditor independence requirements of the Australian Charities and Not-for-profits Commission Act 2012 (ACNC Act) and the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

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

Other information

Those charged with governance are responsible for the other information. The other information obtained at the date of this auditor’s report is information included in the registered entity’s annual report, but does not include the financial report and our auditor’s report thereon.

Our opinion on the financial report does not cover the other information and accordingly we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial report or our knowledge obtained in the audit or otherwise appears to be materially misstated.

Level 11, 1 Margaret St

Sydney NSW 2000 Australia

If, based on the work we have performed on the other information obtained prior to the date of this auditor’s report, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of responsible entities for the Financial Report

The responsible entities of the registered entity are responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards - Reduced Disclosure Requirements and the ACNC Act, and for such internal control as the responsible entities determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error.

In preparing the financial report, responsible entities are responsible for assessing the registered entity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the responsible entities either intends to liquidate the registered entity or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the registered entity’s financial reporting process.

Auditor’s responsibilities for the audit of the Financial Report

Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

A further description of our responsibilities for the audit of the financial report is located at the Auditing and Assurance Standards Board website (http://www.auasb.gov.au/Home.aspx) at: http://www.auasb.gov.au/auditors_responsibilities/ar4.pdf

This description forms part of our auditor’s report.

BDO Audit Pty Ltd

Ian Hooper

Director

Sydney, 28 September 2020 Tel: +61 2 9251 4100 Fax: +61 2 9240 9821 www.bdo.com.au

Reference materials

Glossary

affordable housing

Housing to help people who are earning a low to moderate income and are finding it difficult to pay the amount of rent being asked in the private market. Eligibility criteria apply.

arrears When a customer is behind with payments such as rent, power or water bills.

The Collectives

Community Cohesion team

complex cases

customer support plan

Disability Service Provider

fee-for-service home

housing continuum

Housing Options

Housing Pathways

NSW Housing Register

placemaking

PowerHousing Australia

service agreement

shared areas

social housing

Social Outcomes Framework

Specialist Disability Accommodation

Supported Independent Living

A lived-experience hoarding support group that meets at Hume’s Parramatta office and discusses strategies on helping loved ones with hoarding disorder.

A team at Hume that delivers activities and programs that ensure our customers feel safe, secure, resilient and connected.

Significant health, social or behavioural issues or a combination of these, that need to be taken into consideration when supporting a customer to achieve an outcome.

A tailored plan created for customers that targets the achievement of housing stability.

A person, business or organisation who delivers funded services to people with disability. Providers have different areas of experience and expertise.

A home that is managed by Hume on behalf of its owner for which we are paid a fee.

A concept that considers the broad range of responses available to help a range of households access affordable and appropriate housing at all stages in tenure and life.

A program in which a customers’ housing needs are assessed to determine the housing options available to them.

A common housing register for applications seeking social housing assistance.

A list of people waiting for social housing, sorted by approval category, required location, and approval date.

An approach to the planning and design of communal spaces that promotes customer wellbeing and happiness.

An important network of 32 community housing providers across Australia that allows members to collaborate and share knowledge.

An agreement between a Disability Service Provider and a participant about the provision of services and support.

Areas of a Specialist Disability Accommodation property that are not someone’s designated bedroom or the staff office space.

Housing to help people on very low to low incomes.

A framework developed to support Hume in embedding social outcomes into service management, planning, delivery and evaluation.

Accommodation for people who require specialist housing solutions, including to assist with the delivery of supports that cater for their extreme functional impairment or very high support needs.

Help with and/or supervision of daily tasks to develop the skills of an individual to live as independently as possible. These are the supports provided to a participant in their home, regardless of property ownership, and can be in a shared or individual arrangement.

tenancy sustainment

transitional housing

Supporting customers to meet their tenancy obligations over a period of time. The long-term goal of managing their rental obligations, creating opportunities to access other housing options in the future.

Short-term, fixed tenure housing for customers who present as homeless or are exiting from rapid rehousing programs.

Abbreviations

AHBA

CEO

CHIA

Affordable Housing Bond

Chief Executive Officer

Community Housing Industry Association

CPA Cerebral Palsy Alliance

DCJ Department of Communities and Justice

EOS

Employee Opinion Survey

FaCS Family and Community Services, former NSW Department of Justice

HIP Housing Independence Program

HOPs Housing Options program

HPWD Housing for people with disability

LAHC Land and Housing Corporation NSW

LGA local government area

NDIS National Disability Insurance Scheme

NHFIC National Housing Finance and Investment Corporation

NRSCH National Regulatory Scheme for Community Housing

OCI Organisation Culture Index

P&C people and culture

SDA Specialist Disability Accommodation

SHCIF Social Housing Community Improvement Fund

SHMT Social Housing Management Transfer

TAP Temporary Accommodation Program

WHS workplace health and safety

YHOP Youth Housing Options Program

The report should be attributed as the Hume Community Housing Annual Report 2020

ISSN 2652-3280 (Online)

ISSN 2652-3272 (Print)

This report is available at www.humehousing.com.au

All reporting is at 30 June 2020 unless otherwise indicated.

All amounts are in Australian dollars unless otherwise indicated.

The Communications and Marketing team would like to thank everyone who contributed to this annual report at the various stages of the production process.

Your assistance is greatly appreciated.

Project editor: Amanda Hughes

Design: Peter O’Donoghue

Printing: Goliath National Media Group

Photography: Peter Brennan

Inquiries about this annual report are welcome, and should be directed to:

Ms Nicola Lemon

CEO

Hume Community Housing

7 Hamilton Road Fairfield NSW 2165

E hume@humehousing.com.au

T (02) 9722 4300

ABN 66 647 041 988

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