Novita Annual Report 2012 (Large file - PDF - 4Mb )

governanceand peopleIn a move to consolidatecorporate functions in the newexecutive structure, the Divisionof Governance and People wasestablished. The responsibilitiesfor Governance, Risk andCompliance are now located inthe same Division as People andCulture, with improved outcomesin sharing knowledge and expertise.Governance, Riskand ComplianceThrough the development ofnew services and businessopportunities, 2011-12 was asignificant year for governancearrangements at Novita.With increased responsibilitiesin corporate governance throughtransition from an incorporatedassociation to a company limitedby guarantee in 2009, the NovitaBoard acknowledged that, inrecent years, the externalenvironment in which Novitaoperates had continued to changein critical ways. This had broughtnew challenges and opportunitieswhich required new organisationalresponses as governments movedaway from traditional welfarefunding models, to a rights-basedapproach, based on choice andindividualised funding packages.Highlights and achievementsThe change to a company limitedby guarantee supported Novita’sexploration of new funding andincome-generating opportunitiesand, where necessary, alternativebusiness structures. With thelonger-term objective to increaseNovita’s range of service expertise,the Novita Board investigated thepotential for establishing a separatefee-for-service business, whosesurpluses could be returned toNovita to contribute to the cost ofits services.As a critical element in planningfor these initiatives in governanceand service provision, Novita ensuredthat its charitable not-for-profitstatus and its non-commercialservices to children with disabilitiesand their families would continueto be delivered without disruption.Consequently, the Board approvedthe establishment of a completelyseparate and wholly ownedsubsidiary company of Novita,called CareFirst Pty Ltd.This new company, CareFirsthas purchased a thriving business,namely Child’s Play Physiotherapy& Aquatics for Kids (Child’s Play).This is an established, popularphysiotherapy service which has astrong reputation for providinghighly professional aquatic andland-based physiotherapy tochildren with disabilities andchildren with special needs. Sincebecoming part of CareFirst in2011, Child’s Play has continuedto extend its services in responseto increasing demand.In another notable developmentfor its governance arrangements,the Novita Board also secured anopportunity in early 2012 for Novitato move into a wider range ofdisability services through theacquisition of a well-knownbusiness called CommunityChoices. The focus of this disabilityorganisation is respite, day options,in-home personal support andrecreation services for people withdisabilities. In the purchase of thisbusiness, Novita also acquired twonew properties, one at MurrayBridge where respite services areprovided, and the other at Whyalla,which is the site of day optionsservices for people with disabilities.Assignment of leases was alsonegotiated, for the continuation ofCommunity Choices’ respiteservices delivered at leasedpremises at Klemzig, recreationservices at O’Halloran Hill, dayoptions services at a second siteat Whyalla, and for office functionsat Kingswood.The South Australian GovernmentDepartment for Communities andSocial Inclusion agreed to transferits arrangements with CommunityChoices to Novita in relation to themaster agreement, serviceagreement and brokerageagreements. Novita arrangedassignments of the CommunityChoices licenses for children’s andrespite services and for assignmentof service agreements whichCommunity Choices had withother funding bodies.30novita children’s serivces annual report