FINANCIAL STATEMENTS

Operating statement

For the year ended 30 June 2017 2016-17
$'000
2015-16
$'000
Income from transactions
Revenue from government* 92,453 92,267
Sales of goods and services 717 756
Payments to consolidated fund - (1,775)
Total income from transactions 93,170 91,248
Expenses from transactions
Employee benefits 54,396 48,462
Supplies and services 23,300 19,732
Depreciation and amortisation 7,275 18,683
Grants and other transfers 4,891 4,754
Capital asset charge 18 28
Interest expenses 4 3
Total expenses from transactions 89,884 91,662
Net result from transactions 3,286 (414)
Other economic flows in net result
Net gains / (losses) on financial instruments (3) (2)
Net gains / (losses) on non-financial assets 11 9
Other gains / (losses) on other economic flows 459 (679)
Total other economic flows in net result 467 (672)
Net surplus/(deficit) for reporting period 3,753 (1,086)
* Revenue from government represents the output budget allocated to SRO

Notes to the operating statement

  • The increase of $5.933 million in employee benefits was mainly due to the commencement of additional compliance programs.
  • The decrease of $11.408 million in depreciation and amortisation was mainly due to a decrease in amortisation expenses related to municipal valuations. Municipal valuations are amortised for up to 2 years and due to the timing of purchases the amortisation expense is always higher in the second year of the cycle. 2016-17 was the first year of the two year cycle.
  • Grants & other transfers consists of payments made to Municipal Councils in relation to the administration of the Fire Service Property Levy, which were based on the Treasurer’s determination under section 70 of the Fire Services Property Levy Act 2012.
  • Expenses from transactions exclude $0.610 million in relation to the administration of the Growth Area Infrastructure Contribution and Metropolitan Planning Levy, which were operated through Treasury Trust.

 

Administered items

Administered revenues

Administered revenues 2016-17
$'000
2015-16
$'000
Payroll tax 6,312,891 5,948,733
Duties* 7,362,008 7,000,745
Land tax 2,511,565 1,792,873
Congestion Levy 119,381 102,053
Growth Areas Infrastructure Contribution 188,892 149,352
Metropolitan Planning Levy 27,028 19,832
Fire Services Property Levy 675,645 674,063
Licence fees 22,657 22,026
Total 17,220,067 15,709,677
Less: Cattle Compensation Fund (4,684) (4,985)
Less: Swine Compensation Fund (196) (189)
Less: Sheep and Goat Compensation Fund (1,187) (1,296)
Add: Unclaimed money receipts 93,156 96,491
Add: User charges 3,495 3,232
Add: Sundry income 393 1,187
Total administered revenues 17,311,044 15,804,117
* Includes Cattle Compensation Fund, Swine Compensation Fund and Sheep & Goat Compensation Fund

Administered expenses

Administered expenses 2016-17
$'000
2015-16
$'000
First Home Owner Grant 116,026 110,749
First Home Bonus (1,892) -
Liquor subsidies 3,866 3,617
Other grants, rebates and other payments 71,321 67,809
Unclaimed money refunds 18,829 17,176
Bad and doubtful debts 37,272 24,595
Total administered expenses 245,422 223,946
Net administered revenues 17,065,622 15,580,171

Notes to administered items

  • Tax and duty revenue increased by $1,510.3 million to $17,220 million. This included:
    • an increase of $294.8 million in land transfer duty;
    • an increase of $718.6 million in land tax; and
    • an increase of $364.1 million in payroll tax.
  • The Fire Services Property Levy increased by $1.582 million mainly due to the change of fixed charges and levy rates according to sections 11 and 12 of the Fire Services Property Levy Act 2012.
  • Unclaimed money receipts represent monies transferred to the Registrar under the Unclaimed Money Act 2008 and the Gambling Regulation Act 2003. There was a decrease of $3.334 million in the 2016-17 financial year.
  • The First Home Owner Grant increased by $5.277 million mainly due to an increase in the number of applications.
  • Other grants, rebates and other payments increased by $3.512 million mainly due to an increase in ex gratia relief expenditure of $3.823 million.
  • The $12.676 million increase in bad & doubtful debts was made up of an increase of $47.908 million in bad debts and a decrease $35.232 million in the provision for doubtful debts.

 

Balance sheet

As at 30 June 2016 2016-17
$'000
2015-16
$'000
Financial assets
Cash assets 2 2
Receivables 20,795 32,348
Total financial assets 20,797 32,350
Non-financial assets
Inventories - -
Plant, property and equipment 208 346
Intangible assets 22,589 7,601
Other 2,014 1,869
Total non-financial assets 24,811 9,816
Total assets 45,608 42,166
Liabilities
Payables 11,475 10,302
Interest-bearing liabilities 259 277
Provisions 15,854 15,142
Total liabilities 27,588 25,721
Net assets 18,020 16,445

Notes to the balance sheet

Receivables

Receivables 2016-17
$'000
2015-16
$'000
Amounts owing from Victorian Government 19,985 28,218
GST input tax credit recoverable 536 293
Other receivables 274 3,837
Total receivables 20,795 32,348

Written-down value of property, plant & equipment

Written-down value of property, plant & equipment 2016-17
$'000
2015-16
$'000
Computer equipment 2 3
Plant, furniture and equipment 52 72
Leasehold improvements / fitouts 154 271
Construction in progress - -
Total written-down value of plant, property and equipment 208 346

Written-down value of intangible assets

Written-down value of intangible assets 2016-17
$'000
2015-16
$'000
Municipal valuations* 14,721 -
Other intangible produced assets** 5,430 6,041
Work in progress** 2,438 1,560
Total written-down value of intangible assets 22,589 7,601
*All municipal valuations will be fully amortised by 30 June 2018
** Capitalised and uncapitalised expenditure on e-Sys Life Extension Project

Other non-financial assets

Other non-financial assets 2016-17
$'000
2015-16
$'000
Prepayments 1,756 1,594
Motor vehicle leased 258 275
Total other non-financial assets 2,014 1,869

Payables

Current payables 2016-17
$'000
2015-16
$'000
Unpresented cheques 368 559
Trade creditors 7 2,071
Accruals 7,916 4,939
Other payables 3,184 2,733
Total payables 11,475 10,302

Interest-bearing liabilities

Interest-bearing liabilities 2016-17
$'000
2015-16
$'000
Current liabilities
Motor vehicle leases 104 131
Total current liabilities 104 131
Non-current liabilities
Motor vehicle leases 155 146
Total non-current liabilities 155 146
Total interest-bearing liabilities 259 277

Provisions

Provisions 2016-17
$'000
2015-16
$'000
Current provisions
Annual leave 3,140 2,841
Long service leave 9,595 9,497
Other Employee Entitlements 1,718 1,500
Total current provisions 14,453 13,838
Non-current provisions
Long service leave 1,401 1,304
Total non-current provisions 1,401 1,304
Total provisions 15,854 15,142