Queensland State Budget 2007–08 · The Ministerial Portfolio Statements (MPS) are the primary...

Queensland State Budget2007–08

Ministerial Portfolio Statement

Queensland

Minister for Local Government,Planning and Sport

Ministerial Portfolio Statement – Minister for Local Government, Planning and Sport

ISSN 1445-4890 (Print)ISSN 1445-4904 (Online)

2007-08 State Budget Papers

1. Budget Speech

2. Budget Strategy and Outlook

3. Capital Statement

Budget Highlights

Appropriation Bills

Ministerial Portfolio Statements

Queensland the Smart State – Water for the Future

The Ministerial Portfolio Statements (MPS) are the primary source of information for the hearings of the Parliamentary Estimates Committees. These hearings examine the funding provided in the State Budget to each Ministerial portfolio and take place following the presentation of the Budget. The MPS are also used by Members of Parliament, the media, the public and other interested parties for obtaining information on key strategies and prospective outcomes, andfi nancial performance, of individual Queensland Government agencies in 2007-08.

The MPS are forward looking in their focus and provide predominantly budgeted fi nancial and non-fi nancial information for the new fi nancial year. In this way, they complement agency annual reports, which document actual performance (including audited fi nancial statements) for the fi nancial year just completed.

Given the timing of the 2007-08 Budget, fi nal information about actual fi nancial and non-fi nancial performance is not yet available for the 2006-07 fi nancial year. Therefore, an estimate of performance (‘estimated actual’) for 2006-07 is shown throughout the MPS.

The MPS forms part of the 2007-08 State Budget Papers.

The Budget Papers are available online at www.budget.qld.gov.au or they can be purchased through The Government Bookshop, individually or as a set. Please phone (07) 3118 6900.

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MINISTERIAL PORTFOLIO STATEMENT

2007-08 STATE BUDGET

This Ministerial Portfolio Statement includes the following Departments and Agencies:

DEPARTMENT OF LOCAL GOVERNMENT, PLANNING, SPORT AND RECREATION

TABLE OF CONTENTS


Departmental Overview 1-1

Output Performance Advice and Services for Good Local Governance 1-9Funding for Local Government Infrastructure and Facilities 1-14Planning and Development Services 1-19Services, Infrastructure and Facilities to Queensland: Sport, Recreation and Racing

1-24

Reconciliation of Output Statements to the Whole- of- Department Financial Statements 1-30

Administered Items 1-32

Capital Acquisitions 1-34

Financial Statements 1-36

Reconciliation of Appropriation Amounts to the Financial Statements 1-47

APPENDIX - Glossary of Terms 1-51

MINISTERIAL PORTFOLIO STATEMENT

2007-08 STATE BUDGET MINISTER FOR LOCAL GOVERNMENT, PLANNING

AND SPORT


______________________________ ______________________________ Hon. Andrew Fraser MP Michael Kinnane Minister for Local Government, Director-General Planning and Sport

2007-08 Queensland State Budget – Ministerial Portfolio Statement – Department of Local Government, Planning, Sport and Recreation

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DEPARTMENTAL OVERVIEW

The Department of Local Government, Planning, Sport and Recreation plays an integral role in improving the quality of life for all Queenslanders and the sustainability of communities. As an integrated department, its core objectives are to ensure Queensland has a contemporary and efficient system of local government, provide the supporting architecture enabling communities to develop in a planned and sustainable way and to encourage Queenslanders to lead more active, healthy lifestyles.

Queensland is experiencing the highest population growth of any State or Territory which - coupled with the State’s worst drought in 100 years - is placing intense pressure on existing infrastructure, land uses and the social fabric of communities.

With this in mind, the department is leading an historic local government reform process which will achieve regional approaches to service delivery and cost savings through greater efficiencies. The reform addresses four key areas – legislative reform, structural reform, performance management and capacity building. The reform process will deliver more sustainable, efficient and financially strong councils with increased ability to deliver better services, roads and other infrastructure for communities. Aligned with the state-wide reform program, a new governance structure is proposed in the Torres Strait, with a single regional local government to replace 17 Island councils.

While leading major state-wide reform initiatives in the areas of local government, water management, planning and development, pool fencing and fire safety standards and obesity prevention, the department has also completed a major internal change management program to ensure it is well placed to contribute proactively to delivering vibrant, sustainable communities. The department’s role has shifted from regulator to strategic policy leader in helping shape Queensland’s communities and in supporting the lifestyle of Queenslanders now and into the future.

STRATEGIC ISSUES Queensland’s unprecedented population and economic growth presents challenges for all levels of government in providing infrastructure and meeting demands for water, housing and energy. Collaborative planning today will enable the challenges of the future to be met. The department is uniquely positioned in Government to respond to these challenges and ensure the quality of life for Queenslanders is sustained for generations to come.

All Queensland communities deserve access to a financially viable and efficient local government. State-wide local government reform is a major focus for the department in 2007-08. The reform process is designed to produce a strong and efficient local government sector underpinned by innovative approaches to regional planning and service delivery, and flexible governance models that acknowledge individual community needs and culture. It will be supported and complemented by the review of the Local Government Act 1993,implementation of the recommendations of the Integrated Planning Act 1997 / Integrated Development Assessment System review, development of a new performance management framework for councils and training and capacity building programs.

The department will also focus its efforts on responding to the following challenges facing Queensland communities:


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• water supply, demand and re-use – Water management is one of the most critical public policy issues for Queensland. The department plays a key role in supporting the delivery of water infrastructure to communities throughout the State. At the same time, the pressure of new residential, commercial and industrial development is accelerating demand for infrastructure funding support. The department is providing funding programs for water infrastructure at the local level to maximise the impact and public benefit of this investment. The department is also playing a key role in supporting the proposed Wyaralong and Traveston Crossing dam projects and coordinating a whole-of-Government land use planning initiative for affected communities;

• planning for population growth – Queensland is likely to have about 2.4 million households by 2026, an increase of more than one million from 2001. However, the rate of household growth will actually exceed the population growth rate, since many future households will contain only one or two people. Significantly, the proportions of ‘couples without children’ households and ‘lone person’ households will exceed the proportion of ‘families with children’ households within the next five years. A key strategic focus for the department is leading the development of unique, regionally-planned and sustainable solutions and strategies across the State, reflecting community needs and expectations, and ensuring appropriate and efficient use of public and private resources. This is vital to efficiently manage settlement patterns, land use demand, a quality environment, the waste stream, water quality and supply, building density patterns and the impacts on ageing infrastructure; and

• health and well-being of individuals and communities – The economic impact of physical inactivity is only just beginning to be understood. In their report Getting Australia Active – Towards better practice for the promotion of physical activity, Bauman et al. (2002) estimated the health care costs directly resulting from physical inactivity to be $400 million per annum in Australia and that physical inactivity is indirectly responsible for 8,000 deaths per year. The department is playing a leadership role with key stakeholders and partners to improve participation rates in physical activity and encourage Queenslanders to lead more active, healthy lifestyles through the Eat Well, Be Activecampaign. This approach should not only produce positive health benefits for individuals, but will also play a major role in building social capital, fostering more cohesive and inclusive communities, reducing health system costs and combating social isolation.

2007-08 HIGHLIGHTS In 2007-08, the department will lead and implement a number of strategic initiatives to respond to the challenges associated with building sustainable vibrant communities. They include:

Reforming local government Leading up to the local government elections scheduled for 15 March 2008, the State Government will complete a major reform and restructure of Queensland’s local government sector. This reform will deliver a more sustainable, efficient and financially-stable system of local government for all Queensland communities founded on: • providing better services to all Queenslanders • delivering more efficient and financially viable councils • greater regional collaboration in infrastructure planning, construction and operations


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• reducing red tape and duplication in councils, allowing them to focus on servicing Queenslanders

• better planning outcomes, particularly in relation to more consistent regional land uses and infrastructure planning across regional communities of interest.

The reform program includes the proposal to establish a single regional local government authority in the Torres Strait, in addition to the Torres Shire Council. The regional authority will replace the 17 Island councils and be supported by community boards to replace each of the former Island councils. The State Government is committing an initial $12 million to the local government reform program in 2007-08.

Improving services and infrastructure in Queensland communities The department plays a critical role in improving services and infrastructure for communities throughout Queensland through its grant and subsidy programs. In 2007-08, the department will assist local governments to improve services to their communities by administering $740 million in State and Australian Government funding through the local government grant and subsidy programs. This funding will assist councils to provide safe and secure water and sewerage services to Queensland communities and improve the standard and range of community facilities across the State.

Planning for sustainable regions The department is playing a leading role in strengthening regional communities by accelerating regional planning across Queensland. In 2007-08, over $4.5 million will be spent on the regional planning process which will be supported by Regional Planning Advisory Committees (RPACs).

The Queensland Government will release a draft statutory regional plan for Far North Queensland by early 2008 to improve local government coordination of land use planning and infrastructure provision in this high growth region. Four new regional plans for Western Queensland, announced under Blueprint for the Bush, will help address the unique challenges identified for rural and regional Queensland. Implementation of regional plans will continue in the other regions, ensuring regional development and its effects are managed in a sustainable way.

Innovative solutions to conserve water The department will continue to lead a number of initiatives and programs designed to help Queenslanders conserve and efficiently manage the State’s precious water resources through: • developing and implementing sustainable housing initiatives and continuing

improvements to building and plumbing codes to address water and energy conservation in the home

• an additional $10.3 million will be provided to the Home WaterWise Service in South East Queensland so that its reach is extended to over 200,000 households

• continuing to support the South East Queensland Pressure and Leakage Management Project, which is assisting local governments to identify and implement pressure and leakage reduction works within their reticulation systems

• allocating $20 million for the South East Queensland Business Water Efficiency Program (BWEP) and a further $10 million over two years from 2007-08 for the state-wide BWEP - incentive schemes that provide financial and technical support to help businesses to save water.


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Improving the quality of life in Indigenous communities Indigenous communities continue to experience significant disadvantage - particularly in terms of local capacity and resources, community well being and poor health status. A priority for the department will be to focus on improving community health outcomes in Indigenous communities by funding and delivering over $49 million under the Mainland and the Torres Strait Indigenous Environmental Health Infrastructure Programs, and providing a further $31.6 million for the continuation of State Government Financial Aid and Environmental Health Worker Programs.

Since 1998, the Queensland and Australian Governments have jointly funded the Torres Strait Major Infrastructure Program which provides essential environmental health infrastructure that mitigates the risk of continued community exposure to unacceptable health hazards, including skin infections, eye and ear and respiratory infections, diarrhoeal diseases and rheumatic fever. Included in the $49 million, is continued funding of $14.5 million per year for four years from 2007-08, subject to matching Australian Government funding, which will ensure that significant community health improvements will continue to be delivered in Indigenous communities.

A further $6.1 million (increased from $4.5 million in 2006-07) will also be available in 2007-08 to assist Aboriginal shires and the new Torres Strait regional local government to improve their service delivery capacity through the refocussed Community Governance Improvement Strategy – now known as Strengthening Local Government for Aboriginal and Torres Strait Islander Communities.

The department will also expand its efforts to promote sport and recreation opportunities in Indigenous communities as a means to address anti-social behaviour, build local capacity and improve community cohesion. This will include providing $9 million over three years to support the implementation of the Active Murri and Ailan People Strategy - delivering locally identified opportunities for Indigenous communities to participate in sport and recreation.

Achieving a healthy, active and vibrant Queensland Obesity is one of the major challenges facing all communities across Australia and most of the developed world. A whole-of-Government approach is being pursued to address this problem through a combination of societal education campaigns, targeted capital grants and programs, and influencing the built environment so that it facilitates community participation in a more active and healthy lifestyle. In particular, the department will: • lead the delivery of the second year of the Eat Well Be Active social marketing campaign

to further emphasise the benefits of adopting an active, healthy lifestyle • work with the Department of Education, Training and the Arts to enhance the skills of

teachers and undergraduates in integrating physical activity across the curriculum in schools

• contribute over $50 million to the development of community sport and recreation opportunities and facilities across Queensland.

Enhancing fire safety in residential care facilities With an ageing population and increasing migration to Queensland, the demand for high dependency residential care is expected to grow, along with pressure to improve the standards of residential care facilities. In 2007-08 the department will be enhancing the personal safety


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of Queenslanders by progressing investigations of fire safety compliance and consider new standards for residential care buildings.

DEPARTMENTAL OUTPUTS

The department’s outputs primarily contribute to the Government’s priorities of growing a diverse economy, managing urban growth and building Queensland’s regions, and improving the health and well being of Queenslanders. To achieve these priorities, the department delivers its core business around four outputs.

Together these four outputs seek to help shape Queensland’s growth, manage the sustainable development of communities, create opportunities for healthier lifestyles and promote a more effective local government system which can meet the needs and expectations of local communities. The outputs are:

Advice and Services for Good Local Governance - leading, supporting and partnering with local governments to develop a sustainable, effective and efficient local government system;

Funding for Local Government Infrastructure and Facilities - providing funding to assist local governing bodies to provide infrastructure and services that contribute to an improved standard of living for all Queenslanders and support the development of local communities;

Planning and Development Services - managing Queensland’s planning and development assessment systems, the regional planning program and the State’s system of building and plumbing codes; and

Services, Infrastructure and Facilities to Queensland: Sport, Recreation and Racing - promoting community well-being through sport and active recreation, from unstructured recreation to the highly organised and competitive environment of elite sport and racing.


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Linkages between departmental outputs and Government outcomes are summarised in the table below.

OUTPUT LINKAGES WITH GOVERNMENT OUTCOMES

Output Name Government Outcome/ Strategic Governance

Advice and Services for Good Local Governance Strategic governance

Funding for Local Government Infrastructure and Facilities

A strong diversified economy

Planning and Development Services A strong diversified economy

Services, Infrastructure and Facilities to Queensland – Sport, Recreation and Racing

Healthy, active individuals and communities

DEPARTMENTAL FINANCIAL SUMMARY 2006-07

AdjustedBudget

$’000

2006-07 Est. Actual

$’000

2007-08 Estimate

$’000

CONTROLLED Income

Output revenue 525,869 559,489 606,681Own source revenue 38,560 25,654 22,964

Total income 564,429 585,143 629,645

Total expenses 564,332 585,046 629,603

Operating Surplus/ (Deficit) 97 97 42

NET ASSETS 210,938 218,871 241,979

ADMINISTERED Revenue

Administered item revenue 332,318 347,070 328,764Other administered revenue 309,290 326,639 317,039

Total revenue 641,608 673,709 645,803

Expenses Transfers of administered revenue to Government 309,290 326,611 317,011Administered expenses 332,318 347,098 328,792

Total expenses 641,608 673,709 645,803

Note:1. Explanations of variances are provided in the Explanation of Variances in the Financial Statements section and Output

Income Statements. 2. The financial statements reflect adjustments for Machinery of Government changes which took effect during 2006-07.

Further detail of these adjustments is contained in the ‘Explanation of Variances in the Financial Statements’ section.


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APPROPRIATIONS2006-07 Budget

$’000

2007-08 Estimate

$’000

Controlled Items Departmental Outputs 536,974 606,681Equity Adjustment 7,510 (1,537)

Administered Items 332,318 328,764

Vote Total 876,802 933,908

Note:1. A reconciliation of appropriations to the Financial Statements follows the Financial Statements.

STAFFING1

Output/Activity Notes 2006-07 Est. Actual

2007-08 Estimate

OUTPUTS2

Advice and Services for Good Local Governance 3 103.4 120.4Funding for Local Government Infrastructure and Facilities

48.3 48.3

Planning and Development Services 173.3 172.3Services, Infrastructure and Facilities to Queensland- Sport, Recreation and Racing

343.1 343.1

Total Outputs 668.1 684.1

Total 668.1 684.1

Notes:1. Full-Time Equivalents (FTEs) as at 30 June. 2. Corporate and Executive Services and Strategic Policy and Legislation FTEs are allocated across the outputs to which

they relate. 3. Increase from 2006-07 Actual to 2007-08 Estimate is primarily due to the establishment of the Local Government

Reform Project Team.


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2007-08 OUTPUT SUMMARY Sources of Revenue

Output Total Cost $’000

Output Revenue

$’000

UserCharges

$’000

C’wealth Revenue

$’000

Other Revenue

$’000

Advice and Services for Good Local Governance

30,107 29,890 217 .. ..

Funding for Local Government Infrastructure and Facilities

429,898 417,895 3 12,000 ..

Planning and Development Services

26,515 26,024 141 .. 350

Services, Infrastructure and Facilities to Queensland – Sport, Recreation and Racing

143,083 132,872 4,135 .. 6,118

Total 629,603 606,681 4,496 12,000 6,468

Notes:1. Explanations of variances are provided in the Financial Statements and Output Income Statements.


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OUTPUT PERFORMANCE

OUTPUT: Advice and Services for Good Local Governance

RELATED OUTCOME: Strategic Governance

DESCRIPTION

Local government plays a critical role in planning and delivering local services and infrastructure for Queenslanders. It is important that local governments deliver services through a contemporary governance system and that they operate in a sustainable, accountable and transparent way.

The department is leading a state-wide local government reform process which will result in more sustainable, efficient and financially strong councils with increased ability to deliver better services, roads and other infrastructure for communities. Importantly, the structural reform is being supported by local government capacity building programs, a review of the Local Government Act 1993 and the development of a new performance management framework for councils. This package of reforms will deliver a progressive system of local government for Queensland - a system founded on improved service delivery, community-driven outcomes and community engagement and inclusiveness. The department’s suite of programs and services aimed at supporting local governments and building their capacity to meet changing community needs includes: • providing a legislative framework appropriate for contemporary local government and

monitoring local level regulatory practices • administering the local government loans program, including assessments of the

borrowing capacity of local governments • providing training, information, advice and statutory services to assist local governments

to improve their performance and achieve a high standard of local governance • providing support, such as capacity building and financial assistance, to local governments

servicing Aboriginal communities and the Torres Strait to improve their performance.

REVIEW OF OUTPUT PERFORMANCE

Recent AchievementsThe department’s efforts to enhance the capacity of local governments to improve the delivery of services to the community included: • commencement of a state-wide local government reform program to review the boundaries

of 156 local governments in Queensland (excluding Brisbane City Council) • establishment of the Local Government Reform Commission to provide recommendations

to the State Government on the most appropriate system and structure of local government for Queensland

• leading extensive consultation on the new model of local governance for Torres Strait Islander people, with stakeholders including Island Councils, residents in Torres Strait Island Council areas, agencies at all levels of government and peak bodies. The new regional local government for the Torres Strait Islands will replace the 17 Island councils and will be in addition to the Torres Shire Council


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• commencing preparation for the 2008 local government elections by assisting local governments to meet their statutory obligations and to foster greater community awareness of, and participation in, the forthcoming elections

• enhancing local government accountability and transparency by: - reviewing the Local Government Finance Standard 2005 in line with changing

accountability and accounting practices; - investigating, identifying and implementing solutions for councils in relation to

aspects of their operations or governance arrangements; and - assisting and guiding the successful implementation of councillor codes of conduct

and council complaints management processes. • improving requirements relating to the conduct of local government elections and the

quality of information disclosed by candidates and councillors with the implementation of the majority of recommendations arising from the Crime and Misconduct Commission Inquiry into the 2004 elections for the Gold Coast City Council.

• ensuring the residents of the Johnstone Shire continued to receive services and representative continuity by appointing an Administrator after the dissolution of the Johnstone Shire Council on 8 February 2007

• assisting Aboriginal shires to improve their service delivery capacity through the implementation of a refocused Community Governance Improvement Strategy (CGIS) now known as Strengthening Local Government for Aboriginal and Torres Strait Islander Communities. The refocused strategy seeks to provide more practical assistance to evolving Aboriginal and Torres Strait Islander councils and will be integral in supporting communities through the broader local government reform process

• undertaking targeted interventions to address accountability and governance issues, including the appointment of financial controllers, on-line monitoring and regular reporting

• developing a local government performance management report to highlight key performance measures and provide benchmarks for service improvements

• facilitating greater involvement of women in local government in both elected and officer positions by coordinating the Minister’s Women in Local Government Strategy Group

• establishing 13 Client Services Teams within the department to provide more integrated, timely and responsive advice and services to local governments across the State.

Future DevelopmentsIn supporting local governments to meet the needs of their communities, the department will: • continue to lead the local government reform program, which will include implementing

the recommendations of the Local Government Reform Commission to deliver a more sustainable, efficient and financially-stable system of local government for all Queensland communities

• create a simple, contemporary legislative framework that recognises the diversity of councils through the development of new local government legislation

• implement the new governance model for the Torres Strait to provide a more efficient, streamlined and service oriented system of government for this region

• contribute to implementing Strengthening Local Government for Aboriginal and Torres Strait Islander Communities, a key element of which will be the development of a local government skills bank to build the capacity of local governments servicing Indigenous communities

• ensure consistency on regulatory issues that are common across local governments through the development of a contemporary set of model local laws in consultation with stakeholders


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• develop a range of publications, training courses and materials to assist local governments undertake the statutory local laws redundancy review

• improve local government performance and accountability by: - continuing to deliver a three-year program to ensure best practice performance and

reporting by all Queensland local governments, which started in 2006-07 with a published report detailing local government performance;

- development of a comprehensive performance management framework for local governments, including benchmarks, indicators and performance reporting;

- undertaking investigations and interventions of local governments which are failing to meet appropriate governance standards; and

- providing advice and training to local governments on effective governance, capacity building and performance.

• work closely with local governments so they continue to meet their statutory obligations and foster greater community awareness of, and participation in the 2008 elections

• deliver a suite of training/information programs for prospective candidates and election officials in the lead up to the March 2008 local government elections.


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OUTPUT STATEMENT

Output: Advice and Services for Good Local Governance

Measures Notes 2006-07 Target/Est.

2006-07 Est. Actual

2007-08 Target/Est.

Quantity Percentage of councils which had qualified audit reports that then achieved improved audit results in the following year 1 75% 50% 75%Number of councils with unqualified audit reports. 2 145 139 145Quality Client satisfaction with advice and services provided by the department. 3 80% 82% 80%Local Government satisfaction with Departmental relationship. 3 80% 86% 80%TimelinessPercentage of Statutory approvals processed within agreed timeframes. 4 90% 65% 90%State Contribution ($’000) 11,947 15,585 29,890Other Revenue ($’000) 98 459 217Total Cost ($’000) 12,045 16,044 30,107

Notes:

1. Percentage of councils with qualified audit reports by the Queensland Auditor-General in 2004-05 that achieved improved audit results in 2005-06. The 2006-07 Estimated Actual is primarily due to difficulties being experienced by local governments in attracting and retaining staff qualified in accounting and bookkeeping skills. This is particularly evident in rural and remote Indigenous councils which manage a wide range of State and Federal grants with varying complexities in accounting and acquittal requirements.

2. Number of councils whose financial statements for 2005-06 have not been qualified by the Queensland Auditor-General. 3. Business Improvement Survey undertaken each year (latest being March 2007) to measure local government satisfaction

with advice and services provided by the department, and the satisfaction of local governments with their relationship with the department.

4. 2006-07 Estimated Actual was primarily due to a significant increase in the work program for the team providing support to local governments to maintain and improve their local law regimes. In addition to their normal work program, this team consulted with local governments and State agencies to review and rationalise the suite of model local laws in use in Queensland. The outcome of this additional work will be more consistent, contemporary local laws throughout the State, and better efficiencies in departmental approval processes.


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Output Income Statement – Advice and Services for Good Local Governance

Notes2006-07 Budget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

IncomeOutput revenue 1,2 11,947 15,585 29,890User charges 98 207 217Grants and other contributions .. 252 ..Other Revenue .. .. ..Gains on sale/revaluation of property, plant and equipment and investments

.. .. ..

Total income 12,045 16,044 30,107

Expenses Employee expenses 3,4 7,083 9,517 11,793Supplies and services 3,4 4,070 5,427 7,037Grants and subsidies 4 431 687 10,776Depreciation and amortisation 53 58 56Finance/borrowing costs .. .. ..Other expenses 408 355 445Losses on sale/revaluation of property, plant and equipment and investments

.. .. ..

Total expenses 12,045 16,044 30,107

OPERATING SURPLUS/ (DEFICIT) .. .. ..

Notes:1. The 2006-07 Estimated Actual is higher than the 2006-07 Budget primarily due to the realignment of funding to meet

departmental priorities and the realignment of Size, Shape and Sustainability funding to support the Local Government Reform project.

2. The 2007-08 Estimate is higher than the 2006-07 Budget primarily due to new and realigned funding for the Local Government Reform project and increased funding for the Community Governance Improvement Strategy.

3. The 2006-07 Estimated Actual is higher than the 2006-07 Budget primarily due to the realignment of funding to meet departmental priorities and the realignment of Size, Shape and Sustainability funding to support the Local Government Reform project.

4. The 2007-08 Estimate is higher than the 2006-07 Budget primarily due to new and realigned funding for the Local Government Reform project and increased funding for the Community Governance Improvement Strategy.


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OUTPUT PERFORMANCE

OUTPUT: Funding for Local Government Infrastructure and Facilities

RELATED OUTCOME: A strong diversified economy

DESCRIPTION The department is a major contributor to the sustainability and well-being of communities through its targeted grants and subsidy programs to assist local governments to provide improved local infrastructure and services.

It is acknowledged that differences exist in the economic circumstances of Queensland communities. In this respect, an important objective of the grant and subsidy programs is improving equity in access to facilities and services. The programs encourage best practice in infrastructure and service delivery with a view to reducing the costs of providing services and securing better value for money from the State’s investment.

The department contributes to the whole-of-Government policy agenda on water through the provision of funding for important water demand management initiatives, proactively monitoring delivery against key milestones of water funding programs and collaboration with all stakeholders.


Recent AchievementsThe department administered $726 million in funding to provide substantial assistance to improving the infrastructure and services for Queensland communities. Key funding included:• helping local governments improve their communities by administering State and

Australian Government funding, such as: − more than $175 million under the Water and Sewerage Program and the Smaller

Communities Assistance Program to improve local water and sewerage infrastructure, including $21 million of a $42 million commitment over two years for Gold Coast City Council to build the Pimpama Wastewater Treatment Plant;

− $59 million through the Regional Centres Program, Rural Living Infrastructure Program, Security Improvement Program, and the Queensland 150th Legacy Infrastructure Program for community infrastructure projects to enhance the social fabric of Queensland communities, including $500,000 for the Wondai Shire Council to construct a new community hall at Proston; and

− more than $326 million of Commonwealth Financial Assistance Grants to improve local government service provision

• helping Queenslanders reduce their water consumption and improved water demand management through providing: − $5.3 million in 2006-07 to the Home WaterWise Service in South East Queensland; and − $5 million in 2006-07 to expand the South East Queensland Business Water Efficiency

Program across the State. • contributing to improved health outcomes in 34 Indigenous communities by providing $19

million through the Indigenous Environmental Health Infrastructure Program to assist with


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the capital development, operation and maintenance of water supplies, sewerage, waste water, drainage and waste management systems, site servicing and subdivisions

• providing $25.8 million through the State Government Financial Aid Program and $2.1 million under the Environmental Health Worker Program to all 34 Aboriginal shire and Island councils to assist with the delivery of local government services, and to the Island Coordinating Council to assist with operational costs

• assisting local governments to restore public assets damaged by natural disaster events by providing more than $100 million through the Natural Disaster Relief Arrangements, including $61.5 million for restoration of public assets damaged by Tropical Cyclone Larry

• assisting the Thuringowa City Council to progress completion of the Thuringowa Riverway project, which includes an arts centre, sporting and community facilities, through the provision of an additional $7.8 million towards the total project cost of $44.9 million.

Future DevelopmentsThe department is committed to enhancing the standard of living for all communities across Queensland. To achieve this, the department will administer $740 million in funding to: • assist local governments to improve services to their communities by managing State and

Australian Government funding to: - assist councils to provide safe, secure water and sewerage services to Queensland

communities on a timely basis through the Water and Sewerage Program; - assist councils to provide services to their communities through the distribution of

$316 million in Commonwealth Financial Assistance Grants; - help small communities to develop essential water and sewerage infrastructure

through the continuation of the $75 million (over 5 years) Smaller Communities Assistance Program and to ensure these services are of an acceptable standard;

- $41 million, as part of the $100 million allocation, to create legacies to celebrate Queensland’s 150th anniversary since separation as a colony from New South Wales through the Queensland 150th Legacy Infrastructure Program; and

- an initial $45 million to be available through the Natural Disaster Relief Arrangements to provide financial assistance to councils after natural disasters.

• improve the health status of Indigenous communities by funding and delivering over $49 million under the Mainland and the Torres Strait Indigenous Environmental Health Infrastructure Program and initiatives. The program is delivered through a partnership with the Australian Government which matches State funding. Assistance provided to Indigenous communities to mitigate the risks of continued community exposure to unacceptable health hazards includes: - more than $27 million in mainland communities and $14 million in the Torres Strait

providing essential environmental health infrastructure through augmentation of water supplies, sewerage schemes, waste management systems, internal roads and drainage and subdivisions;

- more than $5 million in assistance to plan for and provide sustainable operations and maintenance services including the preservation of infrastructure assets; and

- a further $31.6 million for the continuation of State Government Financial Aid and Environmental Health Worker Programs.

• contribute to the development of critical water infrastructure and the whole-of-Government drive to conserve Queensland’s water resources by: - expanding the Home WaterWise Service in South East Queensland with an additional

$10.3 million;


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- extending the South East Queensland Business Water Efficiency Program across the State with an additional $10 million over two years from 2007-08;

- monitoring the achievement of Government policy objectives, including reviewing funding principles and guidelines to ensure water subsidies support appropriate pricing arrangements and consumption targets, and participating in inter-agency policy forums;

- working with local governments, water service providers, residents and the business sector to ensure water efficiency programs, such as the Home WaterWise Service and the Business Water Efficiency Program, achieve valuable water savings in a timely and efficient manner; and

- amending the Queensland Development Code to improve water efficiency in residential, commercial and industrial buildings.


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OUTPUT STATEMENT

Output: Funding for Local Government Infrastructure and Facilities


2006-07 Est. Actual

2007-08 Target/Est.

Quantity Total grant and subsidy funding distributed to Local Governments. 1, 2

$669 million

$726 million

$740 million

Total number of local government projects funded. 3 950 980 950Quality Client satisfaction with management of Local Government funding programs. 4 80% 80% 80%TimelinessPercentage of grant and subsidy notifications within agreed timeframes. 5 95% 89% 95%LocationProportion of local government grants and subsidies administered outside South East Queensland. 6 75% 74% 75%Cost ($) Administration costs as a percentage of local government grants and subsidy funding distributed. 7 0.75% 0.76 % 0.75%State Contribution ($’000) 362,442 395,080 417,895Other Revenue ($’000) 3,000 10,423 12,003Total Cost ($’000) 365,442 405,503 429,898

Notes:

1. Total value of State and Australian Government grants and subsidies distributed by the department to local governments. 2. Funding for Water, Sewerage and Infrastructure Programs and the continuation of Mainland and Torres Strait Indigenous

Environmental Health Infrastructure Programs and initiatives are the major contributors to the increase in 2007-08. 3. Number of approved local government projects that receive funding from the department during the year. 4. Annual survey of clients’ satisfaction with the way the department manages and administers funding programs. 5. Percentage of grants and subsidies applications notified by the department in accordance with agreed annual timeframes. 6. Number of grants approved for recipients outside south east Queensland compared to total number of grants approved by

the department. 7. Total of departmental administration and management costs as a percentage of the total value of local government grants

and subsidy funding distributed.


1 - 18

Output Income Statement – Funding for Local Government Infrastructure and Facilities

Notes2006-07 Budget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

IncomeOutput revenue 1,2 362,442 395,080 417,895User charges .. 3 3Grants and other contributions 3 3,000 10,420 12,000Other Revenue .. .. ..Gains on sale/revaluation of property, plant and equipment and investments

.. .. ..

Total income 365,442 405,503 429,898

Expenses Employee expenses 3,865 3,738 3,904Supplies and services 4 1,174 1,587 2,030Grants and subsidies 5,6 360,241 399,981 423,722Depreciation and amortisation 21 21 21Finance/borrowing costs .. .. ..Other expenses 141 176 221Losses on sale/revaluation of property, plant and equipment and investments

.. .. ..

Total expenses 365,442 405,503 429,898


Notes:1. The 2006-07 Estimated Actual is higher than the 2006-07 Budget primarily due to increased funding for Natural

Disaster Relief Arrangements and new funding for initiatives including Q150 and water efficiency programs such as the Home WaterWise Service and High Volume Users.

2. The 2007-08 Estimate is higher than the 2006-07 Budget primarily due to new initiative funding for the Torres Strait Major Infrastructure Program, subject to matching Australian Government funds. The increase also reflects additional funding for programs and projects including Q150, Oakey Bores, and water efficiency programs such as the Home WaterWise Service and High Volume Users.

3. The 2006-07 Estimated Actual and 2007-08 Estimate are higher than the 2006-07 Budget primarily due to Australian Government contributions towards Indigenous Environmental Health Infrastructure Services and the Regional Flood Mitigation Programme.

4. The 2007-08 Estimate is higher than the 2006-07 Budget primarily due to new initiative funding for the maintenance component of the Torres Strait Major Infrastructure Program, subject to matching Australian Government funds.

5. The 2006-07 Estimated Actual is higher than the 2006-07 Budget primarily due to increased funding for Natural Disaster Relief Arrangements and the Indigenous Environmental Health Infrastructure program and new funding for initiatives including Q150 and water efficiency programs such as the Home WaterWise Service and High Volume Users.

6. The 2007-08 Estimate is higher than the 2006-07 Budget primarily due to new initiative funding for the Torres Strait Major Infrastructure Program, subject to matching Australian Government funds. The increase also reflects additional funding for programs and projects including Q150, Oakey Bores, water efficiency programs such as the Home WaterWise Service and High Volume Users and Indigenous Environmental Health Infrastructure Services.


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OUTPUT PERFORMANCE

OUTPUT: Planning and Development Services

RELATED OUTCOME: A strong diversified economy

DESCRIPTION Well planned communities and built environments provide the foundation for sustainable and safe communities. The department plays a leadership role in ensuring communities are well planned and that the built environment facilitates people leading a safe, active and healthy lifestyle. In pursuit of well planned communities and built environments, the department administers the planning and development system, drives the development of regional plans and leads improvements in the State’s building and plumbing system.


Recent Achievements A key driver for the department is the development of sustainable communities through collaboration. Collaboration with local governments, relevant State agencies and stakeholders has resulted in significant improvements in the planning, development and built environment arena. Key achievements included: • examining options for more efficient and straightforward processes and opportunities for

increased community involvement in planning and development assessment under the Integrated Planning Act 1997 (IPA) and the Integrated Development Assessment System

• continued improvements and efficiencies to the development assessment system through the Smart Electronic Development Assessment (Smart eDA) solution, with the first components of the system becoming operational by July 2007

• supporting councils to deliver more integrated infrastructure and land use planning outcomes through the development of Priority Infrastructure Plans. The plans will provide a transparent and equitable basis for development charging to cover the costs of providing necessary infrastructure

• assisting local governments required to have an IPA compliant planning scheme in place by 30 June 2007 to achieve this milestone

• collaborating with the Office of Urban Management on the implementation of key priority South East Queensland Regional Plan initiatives including Local Growth Management Strategies, Structure Plans, Transit Oriented Development Programs, Major Development Areas, Rural Futures, State Infrastructure Agreements and Infrastructure projects. Continued collaboration will ensure outcomes from these initiatives are integrated in local government planning schemes

• accelerating the Regional Planning Program in recognition of the challenges being experienced by regional communities. Three new Regional Planning Advisory Committees (RPACs) have been established in the Central West, North West and Southern Western areas of Queensland to oversee the development of regional plans by August 2008. Through the Blueprint for the Bush Initiative, the Maranoa and District RPAC has also been re-engaged

• leading the Community Futures Planning Project, in collaboration with the Office of Urban Management, to assist communities affected by the proposed dam projects at Wyaralong (Boonah and Beaudesert Shires) and Traveston Crossing (Cooloola, Maroochy


1 - 20

and Noosa Shires). A key element of this project is coordinating a whole-of-Government land use planning project for the communities affected by the proposed dam developments

• commencing the Ipswich Regional Centre Strategy, in conjunction with the Ipswich City Council to improve liveability, amenity and economic vitality for the Ipswich Central Business District

• completing legislation that requires new houses in Queensland to make more sustainable use of water and energy. This new legislation should result in new houses using 33 per cent less electricity and up to 36 per cent less water

• improving health, safety and well-being of the community and the energy efficiency of buildings by amending and adopting new building and plumbing codes, including the Queensland Development Code, Building Code of Australia and the Plumbing Code of Australia

• introducing new laws to improve the standard of fire safety in budget accommodation and other private residential services, in response to the Childers Backpacker Hostel fire in June 2000

• increasing community safety through the amendment of pool fencing laws and commencement of a new marketing campaign to help reduce swimming pool tragedies in Queensland. Since the introduction of the swimming pool fencing campaign there has been an increased awareness of pool safety requirements and the rate of toddler drowning in Queensland has reduced.

Future Developments The department will continue to lead and implement statewide initiatives to ensure well planned and sustainable communities by: • completing the Integrated Planning Act 1997 reform program to integrate all State

development assessment processes within the Integrated Development Assessment System (IDAS) framework

• accelerating the implementation of further modules of the Smart Electronic Development Assessment system to streamline the processing of development applications by local councils and State Government agencies involved in the IDAS by enabling applications to be lodged, tracked and processed online

• continuing to work with local governments to provide training and assistance in the development of Priority Infrastructure Plans and to ensure the majority of first round plans are finalised and implemented

• continuing to deliver a contemporary and consistent framework for regional planning in Queensland, building on the success of the statutory South East Queensland Regional Plan and commencing the delivery of a new statutory regional plan for Far North Queensland

• continuing development of four new regional plans for rural Queensland under Blueprint for the Bush initiatives

• ensuring communities receive the best outcomes from the sale of State-owned land by completing strategic land use planning projects on time and to the satisfaction of stakeholders

• developing options and strategies to improve industrial land use outcomes and ensure that industrial land does not encroach upon residential development and impact on community lifestyles

• implementing the Community Futures Taskforce project plan to help those communities affected by the proposed dam projects at Wyaralong and Traveston Crossing and to identify and assess options for the future use of land in the vicinity of the proposed dam sites


1 - 21

• continuing to provide leadership and support to Belyando Shire Council, through the Moranbah Growth Management Group, in the development of a high quality strategic plan to ensure necessary community infrastructure and services are available for current and future residents of Moranbah without sterilising the coal resource

• delivering more sustainable housing and building outcomes through improvements to building regulations, with a focus on more efficient use of energy and water through: - evaluation of stage one sustainable housing initiatives which include installation of

greenhouse efficient hot water systems, efficient shower roses, dual flush toilet cisterns and efficient lighting and water pressure limiting devices for new Class 1 housing;

- adoption of energy efficiency provisions in the Building Code of Australia; and - amendments to the Queensland Development Code to improve water efficiency in

residential and commercial buildings. • enhancing the personal safety of Queenslanders by progressing investigations of fire safety

compliance in existing residential care buildings and developing new residential standards.


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OUTPUT STATEMENT

Output: Planning and Development Services


2006-07 Est/ Actual

2007-08 Target/Est.

QuantityPercentage of Local Governments with IPA compliant planning schemes. 1, 2 100% 93% ..Number of Local Governments with high population growth (greater than 10,000 total population) with Priority Infrastructure Plans. 3 New Measure New Measure 24Percentage of: • target audience reached by publications. 4 90% 88% 90%• attendance rate for seminars, workshops or

forums. 5 80% 82% 80%Percentage of milestones completed on priority projects being progressed by Regional Planning Projects outside SEQ. 6 80% 90% 80%Number of local governments and State agencies participating in the new Smart eDA Program. 7,8 130 40 55Percentage completion of IPA consequential legislative amendments program. 9,10 100% 100% ..Quality Client satisfaction with the quality of seminars, workshops, forums and publications. 11 80% 80% 80%TimelinesPercentage of statutory responsibilities completed within agreed timeframes. 12 80% 100% 100%State Contribution ($’000) 21,065 24,128 26,024Other Revenue ($’000) 679 789 491Total Cost ($’000) 21,744 24,917 26,515

Notes:

1. Percentage of local governments with IPA-compliant planning schemes. At the commencement of 2006-07, 41 of the 123 local governments which were required to have an IPA compliant scheme had yet to implement one. 38 were completed during the year.

2. With only three local governments yet to implement their compliant IPA scheme at the end of 2006-07, this measure has largelyperformed its task and is discontinued.

3. New measure 2007-08. 4. Number of targeted clients receiving a departmental publication divided by number of total targeted clients. 5. Number of actual attendees at seminars, workshops and forums divided by estimated number of likely attendees. 6. Average percentage completion of priority milestones. 2006-07 Estimated Actual reflects acceleration of regional planning

projects.7. Number of local governments and State agencies which commenced participation in the development of the Smart eDA

Program. In 2006-07 the development assessment systems of only 40 Councils were found to be sufficiently advanced to be considered for connection to the proposed system.

8. The 2007-08 cumulative target is primarily due to the department being able to directly assist more councils with technical and systems issues thereby allowing them to participate in the Smart eDA Program. Priority is being given to councils in high population growth areas.

9. The measure of other relevant State agency administered legislation which is amended to ensure consistency and compliance with the development approval processes provided by the IPA.

10. Measure discontinued for 2007-08 given the current review of the Integrated Planning Act 1997.11. Surveys of all participants’ satisfaction with seminars, workshops, forums and publications associated with land use planning.12. Percentage of applications lodged with the department under the IPA assessed and processed within timeframes as stipulated

by the legislation. 2006-07 Estimated Actual and the 2007-08 Estimated Target reflects the priority the department places on these statutory responsibilities.


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Output Income Statement – Planning and Development Services

Notes2006-07 Budget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

IncomeOutput revenue 1,2 21,065 24,128 26,024User charges 260 132 141Grants and other contributions 3 78 316 ..Other Revenue 341 341 350Gains on sale/revaluation of property, plant and equipment and investments

.. .. ..

Total income 21,744 24,917 26,515

Expenses Employee expenses 4 14,003 14,129 17,944Supplies and services 5 6,409 8,869 6,580Grants and subsidies 6 220 736 631Depreciation and amortisation 137 138 135Finance/borrowing costs .. .. ..Other expenses 975 1,045 1,225Losses on sale/revaluation of property, plant and equipment and investments

.. .. ..

Total expenses 21,744 24,917 26,515


Notes:1. The 2006-07 Estimated Actual is higher than the 2006-07 Budget primarily due to increased funding for Far North

Queensland regional planning projects and Smart eDA, the realignment of funding to meet departmental priorities and funds carried forward from 2005-06.

2. The 2007-08 Estimate is higher than the 2006-07 Budget primarily due to increased funding for Far North Queensland regional planning projects and the realignment of funding from 2006-07 for projects including IPA/IDAS, Ipswich CBD Redevelopment and Blueprint for the Bush.

3. The 2006-07 Estimated Actual is higher than the 2006-07 Budget due to the realignment of revenue between Other Revenue and Grants and Other Contributions for contributions received from the Department of Education, Training and the Arts for planning information services.

4. The 2007-08 Estimate is higher than the 2006-07 Budget primarily due to increased funding for Far North Queensland regional planning projects and the realignment of funding from 2006-07 for projects including IPA/IDAS, and Blueprintfor the Bush.

5. The 2006-07 Estimated Actual is higher than the 2006-07 Budget primarily due to increased funding for Far North Queensland regional planning projects and Smart eDA, the realignment of funding to meet departmental priorities and funds carried forward from 2005-06.

6. The 2006-07 Estimated Actual is higher than the 2006-07 Budget due to higher than projected departmental contributions to joint planning projects.


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OUTPUT PERFORMANCE

OUTPUT: Services, Infrastructure and Facilities to Queensland – Sport, Recreation and Racing

RELATED OUTCOME: Healthy, active individuals and communities

DESCRIPTION The department actively pursues solutions which will enhance the liveability and sustainability of communities by encouraging more Queenslanders to lead an active, healthy lifestyle through participation in sport and active recreation. This generates positive health benefits for individuals and also plays a major role in building social capital, fostering more cohesive and inclusive communities, reducing health system costs and combating social isolation.

The department develops policies, strategies, programs and administers funding to: • encourage more Queenslanders to participate in sport and active recreation • build a sport and active recreation industry responsive to the participation needs of

Queenslanders • achieve better planned, vibrant communities with improved access to sport and active

recreation places and facilities which support participation from the grass-roots to elite levels

• position Queensland nationally and internationally as a premier sport location • develop elite athletes to optimise Queensland’s national and international sporting success

and ensure recognition of Queensland’s athletes as sporting ambassadors for Queensland and Australia.

The department also provides the framework for the regulation of the Queensland racing industry, leading to improved integrity and public confidence that the industry operates in an accountable and responsible manner.


Recent AchievementsThe department has played a leading role in the delivery of practical initiatives to promote greater community participation in physical activity to combat rising levels of obesity. Building participation opportunities in remote and Indigenous communities and contributing to the State’s impressive inventory of local sport and recreation facilities have also been key priorities. To this end, the department has: • contributed $3.48 million towards the Eat Well, Be Active social marketing campaign

which, through television, radio and print media, conveys simple messages to Queenslanders on how to adopt a more active, healthy lifestyle

• allocated $2.7 million in the first round of the Queensland Community Partnerships Grants Program, which will enable 115 organisations across the State to establish community-led programs to increase participation in physical activity and encourage healthy food choices

• launched the Active Murri and Ailan People Strategy and committed a further $9 million over three years to support better sport and recreation opportunities in Indigenous communities through:


1 - 25

- targeted funding of $2.9 million under the Indigenous Community Development Program to increase local sport and active recreation opportunities for Indigenous people; and

- responding to community needs and emergent priorities in remote Indigenous communities by providing sport and recreation activities and services.

• provided over $2 million through the Young Athlete Assistance Program to assist children and young people with travel and accommodation costs associated with competing at State Championships and State School Championships

• provided $2.1 million for the development of school based facilities for community use through the Major Facilities Program and signed a Memorandum of Understanding with the Department of Education, Training and the Arts - a key outcome of the 2006 Obesity Summit

• supported the development of the South East Queensland Regional Outdoor Recreation Strategy Discussion Paper

• contributed over $50 million to the development of community sport and recreation opportunities and facilities across Queensland, including: - $0.45 million to the Balonne Shire Council to construct a 25 metre x 6 lane

community swimming pool at Dirranbandi; - $0.25 million to TRAWQ Community Council Incorporated to construct a shade

structure over multipurpose courts incorporating lighting and seating at Thursday Island;

- $0.30 million to the Burke Shire Council to construct an aquatic facility at Burketown;

- $2.77 million towards the Townsville Police Citizens Youth Club to upgrade, refurbish and extend the existing facility; and

- $0.59 million to the Mareeba Shire Council to construct an aquatic centre at Kuranda. • worked with Mirvac Queensland to finalise early works and commence construction of the

State Tennis Centre at Tennyson, which is on schedule for completion by December 2008 • completed due diligence on a possible V8 Supercar event for Townsville in 2009,

including an engineering feasibility study, capital works costs, event costs and economic benefits

• worked with the Department of the Premier and Cabinet and the Major Sports Facilities Authority to introduce legislative measures to deter ticket scalping practices and unauthorised aerial advertising

• continued the Queensland Academy of Sport Coach Excellence Program, providing talented coaches with the skills, knowledge and experience to coach at an elite level

• continued the preparation of Queensland’s elite athletes for the 2008 Beijing Olympic Games through targeted training, sports science, athlete assistance and a range of support services

• continued to assist Queensland athletes to gain an edge over national and international competitors through new technology developed at the Queensland Academy of Sport Centre of Excellence for Applied Sports Science Research

• encouraged public confidence in, and the accountability of, the Queensland racing industry through reviewing and assessing racing control bodies' compliance with established integrity and animal welfare standards established under the Racing Act 2002.

Future Developments• Continue to implement whole-of-Government initiatives to encourage Queenslanders to

lead a healthier, more active lifestyle, including:


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- leading the delivery of the second year of the Eat Well, Be Active social marketing campaign to further emphasise the benefits of adopting an active, healthy lifestyle; and

- working with the Department of Education, Training and the Arts to enhance the skills of teachers and undergraduates in integrating physical activity across the curriculum in schools.

• Promote more appropriate behaviours in junior sport by delivering the True Sport Lives Here package of initiatives in partnership with the sport industry including an education and training package, an ambassadors program and a promotional campaign.

• Finalise the development of a new State Development Program to ensure funding for industry peak bodies and state sport and recreation organisations achieves better outcomes for the industry and the community which are aligned with Government priorities.

• Invest more than $50 million in the development of community sport and recreation facilities and opportunities across Queensland, including: - $10 million over three years to Townsville City Council towards the re-development

of the Murray Sports Complex at Townsville; - $0.31 million to Goondiwindi Golf and Country Club Inc to install an automated

irrigation system to the Goondiwindi golf course; - $4.5 million over two years to Brisbane City Council towards the construction of

three aquatic facilities at Mt Gravatt, Colmslie and Runcorn; and - $0.22 million to Regents Park State School to construct Stage 2 of an indoor

multipurpose sports facility. • Improve health and community outcomes for Indigenous people through implementation

and review of the progress of the Active Murri and Ailan People Strategy.• Progress negotiations with Champ Car World Series LLC and the International

Management Group of America Pty Ltd for the continued operation of the Indy 300 event on the Gold Coast.

• Pursue opportunities to market Queensland as a premier destination for sport training and competition in the lead up to the Beijing Olympics in 2008.

• Evaluate options for private investment in the development of key sport, recreation and racing infrastructure such as the Gold Coast racing precinct and the State Equestrian Centre.

• Finalise the construction of an indoor Rehabilitation and Recovery Centre at the Queensland Academy of Sport complex at Nathan.

• Continue to provide assistance to athletes in the lead up to the Beijing Olympics including programs designed to allow elite athletes to maintain an effective balance between training and other activities.

• Assist the Queensland racing industry to maintain compliance with the Racing Act 2002and to improve their animal welfare and integrity practices and procedures.

• Support and assist the Greyhound Racing Authority and the Queensland Harness Racing Board to progress corporatisation and achieve approval as control bodies by 1 July 2008, as required by the Racing Act 2002.


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OUTPUT STATEMENT

Output: Services, Infrastructure and Facilities to Queensland – Sport, Recreation and Racing


2006-07 Est. Actual

2007-08 Target/Est.

Quantity Percentage increase in Queenslanders participating in the department’s sport and recreation programs. 1, 2 5% 11% 6%Percentage of Queensland schools utilising Children and Young People Strategyresources. 3 10% 10% 10%Number of Queenslanders participating in the department’s sport and active recreation participation programs. 1, 2 401,700 426,759 475,050Percentage of QAS athletes selected for national teams. 4 22% 30% 22%Number of significant initiatives implemented to support and assist the racing industry. 5 6 6 ..Number of racing industry property asset projects completed. 6, 7 1 1 ..

Quality Stakeholder satisfaction with services provided by QAS. 8 85% 85% 85%Participant satisfaction with the department’s sport and recreation programs. 9 75% 78% 75%Client satisfaction with the department’s advice and other services provided. 10 70% 70% 70%Service level agreement performance standards for delivery of drug control, animal welfare, disease control and other services met 11 Yes Yes YesAnnual accreditation of the Racing Science Centre to international standards maintained 12 Yes Yes YesPercentage of investigations completed to required standard 13 95% 95% 95%

TimelinessPercentage of Grant notifications within agreed timeframes. 14 92% 90% 92%

Percentage of drug sample analyses completed within 10 working days 15 95% 95% 95%

LocationPercentage of QAS athletes located in regional Queensland. 16 30% 30% 30%Percentage of grant funds distributed to regional and remote areas. 17 50% 55% 50%


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Cost ($)Average QAS investment per athlete. 18 $8,934 $8,934 $9000Total Investment in sport and recreation infrastructure in Queensland. 19, 20

$56.6million

$40.2million

$61.9million

Total investment in sport and recreation participation and development programs. 21

$21.1million

$26.1million

$24.3million

State Contribution ($’000) 122,673 117,327 132,872Other Revenue ($’000) 35,405 14,528 10,253Total Cost ($’000) 157,945 131,722 143,083

Notes:

1. Annual change in participation in nominated sport and recreation programs. 2006-07 Estimated Actual higher than Target primarily due to increased participation in activity programs provided by the Active Recreation Centres and new Holiday Adventure Programs for school holidays.

2. 2007-08 Estimated Target lower than 2006-07 Estimated Actual primarily due to stabilisation of the Holiday Adventure Programs.

3. Percentage of all State and non-State schools that have introduced any part of the Children and Young People Strategy resources.

4. Number of Queensland Academy of Sport (QAS) athletes selected for national sports squads compared with the number of athletes supported through the QAS.

5. Number of specific activities implemented to support and assist the racing industry. Measure discontinued from 2007-08. 6. Number of racing industry property asset projects undertaken. 7. Measure discontinued from 2007-08. Finalisation of the Government’s Deed of Grant in Trust Racecourse Policy approved in

2000 transferring the freehold title of Callaghan Park Racecourse to the Rockhampton Jockey Club in February 2007. 8. Annual survey of stakeholder satisfaction with services from Queensland Academy of Sport. 9. Participants in sport and recreation programs are surveyed at the end of each program. 10. Annual survey of clients of sport and recreation services to gauge satisfaction levels. 11. Measure of the maintenance of a comprehensive performance agreement with the Queensland racing industry for the

provision of professional, scientific and integrity services. 12. Measures continuing accreditation of the Racing Science Centre with standards set by National Association of Testing

Authority to ISO 17025. 13. Measures extent of compliance of Racing Science Centre with investigations standards, including those stipulated by the

Racing Act. 14. Number of grant recipients notified within agreed timeframes. 15. Number of samples analysed within 10 days of receipt and found to have no detectable prohibited substances, as a

percentage of the total number of samples received for analysis. 16. Number of regional athletes contracted to the QAS, as a percentage of all elite athletes contracted to the QAS. 17. Percentage of total grant funding distributed to communities outside south east Queensland. 18. Total funds allocated to all QAS contracted athletes divided by total number of athletes receiving funds. 19. Total funds invested each year in Queensland’s sport and recreation infrastructure. 2006-07 actual expenditure is below

budget due to variation in timing of payments for early works for the State Tennis Centre and the transfer of funding to the Department of the Premier and Cabinet to support the annual capital works grant to the Major Sports Facilities Authority.

20. Total funds invested each year in Queensland’s sport and recreation infrastructure. Increase in planned 2007-08 capital works are due to additional Active Recreation Centre projects and commencement of expenditure associated with the roof on the State Tennis Centre which is consistent with the project progressing to the construction phase.

21. Annual funding of sport and recreation participation and development programs.


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Output Income Statement – Services, Infrastructure and Facilities to Queensland – Sport, Recreation and Racing

Notes2006-07

Adjusted Budget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

IncomeOutput revenue 1,2 122,673 117,327 132,872User charges 3 6,531 6,681 4,135Grants and other contributions 4,5 28,318 7,568 6,118Other Revenue 6,7 556 279 ..Gains on sale/revaluation of property, plant and equipment and investments

.. .. ..

Total income 158,078 131,855 143,125

Expenses Employee expenses 29,049 29,543 30,800Supplies and services 8,9 19,826 25,636 24,608Grants and subsidies 10,11 100,041 67,595 77,955Depreciation and amortisation 5,121 5,122 5,118Finance/borrowing costs 12 20 94 570Other expenses 3,888 3,732 4,032Losses on sale/revaluation of property, plant and equipment and investments

.. .. ..

Total expenses 157,945 131,722 143,083

OPERATING SURPLUS/ (DEFICIT) 13 133 133 42

Notes:1. The 2006-07 Estimated Actual is lower than the 2006-07 Adjusted Budget which primarily reflects the realignment of

funding to meet the timing of planned future commitments. 2. The 2007-08 Estimate is higher than the 2006-07 Adjusted Budget primarily due to forecast increases in the annual

forward estimates and additional funding to improve the well being of Queenslanders and their communities through sport and recreation.

3. The 2007-08 Estimate is lower than the 2006-07 Adjusted Budget and the 2006-07 Estimated Actual due to the realignment of industry contributions to the Racing Science Centre from User Charges to Grants & Other Contributions.

4. The 2006-07 Estimated Actual is lower than the 2006-07 Adjusted Budget primarily due to the transfer of grants for the debt servicing arrangements for the Major Sports Facilities Authority which is partially offset by a one off contribution from the Gold Coast Events Company for the MacIntosh Island Bridge and other State Government Agency contributions towards Obesity Summit initiatives.

5. The 2007-08 Estimate is lower than the 2006-07 Adjusted Budget primarily due to the transfer of grants for the debt servicing arrangements for the Major Sports Facilities Authority.

6. The 2006-07 Estimated Actual is lower than the 2006-07 Adjusted Budget primarily reflecting the completion of the interest earning Cash Management Incentives Regime during the year. This revenue is now received as Output Revenue.

7. The 2007-08 Estimate is lower than the 2006-07 Adjusted Budget due to the completion of the interest earning Cash Management Incentives Regime. This revenue is now received as Output Revenue.

8. The 2006-07 Estimated Actual is higher than the 2006-07 Adjusted Budget primarily as a result of other State Government Agency contributions towards Obesity Summit initiatives such as Eat Well, Be Active campaign and the Community Partnerships grants program.

9. The 2007-08 Estimate is higher than the 2006-07 Adjusted Budget primarily as a result of other State Government Agency contributions towards Obesity Summit initiatives.

10. The 2006-07 Estimated Actual is lower than the 2006-07 Adjusted Budget primarily due to the transfer of grants for the debt servicing arrangements for the Major Sports Facilities Authority which is partially offset by a one off contribution from the Gold Coast Events Company for the MacIntosh Island Bridge.

11. The 2007-08 Estimate is higher than the 2006-07 Estimated Actual due to additional funding to improve the well being of Queenslanders and their communities through sport and recreation.

12. The 2006-07 Estimated Actual and the 2007-08 Estimate are higher than the 2006-07 Adjusted Budget due to the commencement of debt servicing associated with the Tennyson Riverside Development project.

13. The surplus reflects the principal reductions for borrowings for capital costs relating to the Racing Science Centre. The financial statements, including the Adjusted 2006-07 Budget, reflect adjustments for Machinery of Government changes which took effect during 2006-07. Further detail of these adjustments is contained in the ‘Explanation of Variances in the Financial Statements’ section.


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RECONCILIATION OF OUTPUT STATEMENTS TO DEPARTMENTAL FINANCIAL STATEMENTS

On 1 October 2006 Machinery of Government changes resulted in the transfer of the Office of Racing from the Department of Public Works to this Department. Accordingly, the 2006-07 Adjusted Budget and the 2006-07 Estimated Actual in the Departmental Income Statement reflect nine months of activity relating to the transferred function.

The individual Output Income Statements have been recast as if this function existed in this Department from 1 July 2006, and as such do not add to the Departmental Income Statement, which shows revenue and expenses as they were actually incurred by this Department.

On 1 October 2006, as a result of Machinery of Government changes, the Office for Women transferred from this Department to the Department of Justice and Attorney-General and responsibility for the Major Sports Facilities Authority transferred to the Premier and Minister for Trade.

The individual Output Income Statements have been recast as if the transfer of the Office for Women and the transfer of grant funding for the Major Sports Facilities Authority out of this Department had occurred on 1 July 2006, and as such do not add to the Departmental Income Statement, which shows revenue and expenses as they were actually incurred by this Department.

Below is a reconciliation of Output Income Statements to the Departmental Income Statement.


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Reconciliation of Output and Departmental Income Statements 2006-07

Adjusted Budget

$000

2006-07Est. Act.

$000

Advice and Services for Good Local Governance Income Expenses

12,04512,045

16,04416,044

Plus Funding for Local Government Infrastructure and Facilities Income Expenses

365,442 365,442

405,503405,503

Plus Planning and Development Services Income Expenses

21,74421,744

24,91724,917

Plus Services, Infrastructure and Facilities to Queensland - Sport, Recreation and Racing Income Expenses

158,078 157,945

131,855131,722

Equals Total Output Income Expenses

557,309 557,176

578,319578,186

Plus Transfer of Office For Women(a) to the Department of Justice and Attorney-General

Income Expenses

1,1251,125

829829

Plus Transfer of grant funding for the Major Sports Facilities Authority(a) to the Department of Premier and Cabinet

Income Expenses

6,8616,861

6,8616,861

Less Transfer of Office of Racing(a) from the Department of Public Works

Income Expenses

866830

866830

Total Output adjustments Income Expenses

7,1207,156

6,8246,860

Equals Departmental Income Statement Income Expenses

564,429 564,332

585,143585,046

(a) Represents Revenue and Expenses for this function for the period 1 July 2006 to 30 September 2006.


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ADMINISTERED ITEMS

DESCRIPTION As reflected in the Administered Financial Statements (refer to page 40), the department administers funds: • provided by the Australian Government as Financial Assistance Grants for local

governments under the Local Government (Financial Assistance) Act 1995(Commonwealth) to support the service provision capacity of councils

• for the Mareeba Shire Council for tourist infrastructure in Kuranda • comprising dividends and tax equivalents received from certain water boards which are

then paid to customer local governments • to facilitate the staging of the annual Lexmark Indy 300 event on the Gold Coast.

REVIEW OF OUTPUT PERFORMANCE Recent Achievements Commonwealth Financial Assistance Grant Queensland’s Local Government Grants Commission is an independent body appointed by the State Government to recommend the distribution of the Australian Government funded Financial Assistance Grant. This grant is aimed at improving the capacity of local governments to provide services. In 2006-07, $229.1 million was made available on a fiscal equalisation basis along with a further $97.1 million on a formula based on population and road lengths.

The Commission continued to undertake research on its distribution methodology as outlined in the Commission’s yearly report for 2005.

Kuranda Infrastructure Levy The department administered an arrangement which resulted in $0.44 million in 2006-07 (consisting of contributions from Queensland Rail) being provided to Mareeba Shire Council for the provision of tourist infrastructure in the town of Kuranda. Legislation is in place to ensure any third party operators on the Kuranda line also contribute to the levy arrangement.

Kuranda Skyrail Levy An amount of $0.17 million received from the operator of the Kuranda Skyrail toward the provision of tourist infrastructure in the town of Kuranda was forwarded to Mareeba Shire Council in 2006-07.

Dividends and Tax Equivalents The department paid approximately $1.67 million (received as dividends, tax and/or rate equivalents from the Mount Isa Water Board and the Gladstone Area Water Board) to the Mount Isa City Council and the Calliope Shire Council.

Gold Coast Events Company The Gold Coast Events Company (GCEC) is a Government-owned company established as the vehicle for holding and managing the Government’s 50% ownership of the Gold Coast Motor Events Company (GCMEC), which conducts the annual Lexmark Indy 300 on the Gold Coast.


1 - 33

The four day event is conducted under a partnership agreement between GCEC and the International Management Group of America Pty Ltd (IMG). Under the terms of the partnership agreement, IMG manages the operations of the event and underwrites any losses.

NCP Financial Incentive Package (FIP) The State Government has allocated the final $7.24 million of the funds originally provided in the Local Government Financial Incentive Package following the imposition by the Australian Government of financial penalties on the States in relation to National Competition Policy reforms. The final round of payments are in line with the recommendations of the Queensland Competition Authority (QCA) based upon their assessment of local government performance in implementing National Competition Policy reforms.

Future Developments Commonwealth Financial Assistance Grant Queensland’s Local Government Grants Commission will continue to undertake research on its distribution methodology as outlined in the Commission’s yearly report for 2006.

Gold Coast Events Company The Queensland Government provides a non-refundable grant to the race organisers to assist with the staging of the event. The Government will contribute $11.6 million towards the staging of the 2008 event.

The event provides a significant economic return to Queensland. It is estimated the 2005 event generated approximately $60.1 million in economic benefits to the State. The 2006 event attracted more than 312,000 people attending the event over four days. The current Partnership Deed for the conduct of the event concludes in 2008. The Government is advancing arrangements to secure the successful future of the event, with a view to maximizing the value of the Government’s investment.

The Government has also committed funding towards the replacement of the MacIntosh Island Park Bridge which will benefit both the Gold Coast community and Indy 300 motor racing event.


1 - 34

CAPITAL ACQUISITIONS

The department’s asset base primarily consists of land and buildings at active recreation centres, the Townsville Sports Reserve, Sports Houses, and the site for the new State Tennis Centre at Tennyson.

In accordance with the Government’s objectives to get more Queenslanders leading an active healthy lifestyle through participation in sport and active recreation, $6.2 million of capital works to the Active Recreation Centres will be undertaken.

In addition capital works of $13.5 million in 2007-08 will support the development of an international-standard State Tennis Centre at Tennyson. The State Tennis Centre is due to be completed in December 2008.

The Townsville Sport and Recreation Precinct comprising the Townsville Sports House and Townsville Sports Reserve encourages active participation in sport by providing first class training and competition facilities.

Capital funding is also used to meet the planned, cyclical replacement of the department’s computer equipment and other information technology (printers, photocopiers and the supporting network) equipment as well as maintaining and enhancing this infrastructure and these facilities.

The Capital Acquisition Statement on the following page provides an overview of the funding provided and expended in 2006-07 and planned acquisitions in 2007-08.


1 - 35

CAPITAL ACQUISITION STATEMENT

Notes2006-07 Budget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

PROPERTY PLANT AND EQUIPMENT

Property Plant and Equipment General Acquisitions 1 554 963 520Active Recreation Centres 2,3 4,877 2,040 6,189Tennyson Riverside Development Project 4,5 6,700 4,002 13,450Townsville Sport and Recreation Precinct 6 482 349 955

Other acquisitions of property, plant and equipment .. .. ..

TOTAL PROPERTY PLANT AND EQUIPMENT 12,613 7,354 21,114

OTHER CAPITAL ACQUISITIONS

Other Capital Acquisitions .. .. ..

Other Items .. .. ..

TOTAL OTHER CAPITAL ACQUISITIONS .. .. ..

TOTAL CAPITAL ACQUISITIONS 12,613 7,354 21,114

FUNDING SOURCES OF ACQUISITIONS

Equity Adjustment 7,8 7,510 4,970 (1,537)Funding for depreciation and amortisation 5,103 5,305 5,330Borrowings 9 .. 3,575 8,880Proceeds of asset sales .. .. ..Other 10,11 .. (6,496) 8,441

TOTAL FUNDING SOURCES 12,613 7,354 21,114

Notes:1. The 2006-07 Estimated Actual is higher than the 2006-07 Budget primarily due to funds carried forward from the 2005-06

financial year for the completion of plant and equipment acquisitions. 2. The 2006-07 Estimated Actual is lower than the 2006-07 Budget primarily due to the realignment of funds into the 2007-08

financial year for new capital improvements at a number of Active Recreation Centres. 3. The 2007-08 Estimate is higher than the 2006-07 Budget primarily due to the realignment of funds from the 2006-07

financial year for new capital improvements at a number of Active Recreation Centres. 4. The 2006-07 Estimated Actual is lower than the 2006-07 Budget primarily due to the reimbursement by Mirvac for early

works costs for the Tennyson Riverside Development project. 5. The increase in the 2007-08 Estimate primarily reflects commencement of expenditure on the State Tennis Centre roof

during the construction period. 6. The 2007-08 Estimate is higher than the 2006-07 Budget reflecting additional works at this key regional facility. 7. The 2006-07 Estimated Actual is lower than the 2006-07 Budget primarily due to the realignment of funds for capital works

and plant and equipment acquisitions into 2007-08. 8. The 2007-08 Estimate is lower than the 2006-07 Budget and the 2006-07 Estimated Actual primarily as a result of the

realignment of funding sources for the Tennyson Riverside Development project and Active Recreation Centres. 9. The 2006-07 Estimated Actual and the 2007-08 Estimate reflect borrowings for the construction of the roof on the State

Tennis Centre. 10. The 2006-07 Estimated Actual reflects the realignment of funding into the 2007-08 financial year for capital projects. 11. The 2007-08 Estimate reflects realigned funding sources for capital works projects including the Tennyson Riverside

Development project.


1 - 36

DEPARTMENTAL

FINANCIAL

STATEMENTS


1 - 37

INCOME STATEMENT

Notes2006-07

AdjustedBudget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

IncomeOutput revenue 1 525,869 559,489 606,681User charges 2 6,344 6,344 4,496Grants and other contributions 3 31,327 18,679 18,118Other revenue 4 889 631 350Gains on sale/revaluation of property, plant and equipment and investments .. .. ..

Total income 564,429 585,143 629,645

Expenses Employee expenses 5 54,240 56,297 64,441Supplies and services 6 31,098 40,457 40,255Grants and subsidies 7 467,902 477,579 513,084Depreciation and amortisation 5,305 5,305 5,330Finance/borrowing costs 8 15 89 570Other expenses 5,772 5,319 5,923Losses on sale/revaluation of property, plant and equipment and investments .. .. ..

Total expenses 564,332 585,046 629,603

OPERATING SURPLUS / (DEFICIT) 97 97 42

STATEMENT OF CHANGES IN EQUITY

Notes2006-07

AdjustedBudget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

Net effect of the changes in accounting policies and prior year adjustments .. 63 ..Increase/ (decrease) in asset revaluation reserve 9 18,703 18,703 24,603Net amount of all revenue and expense adjustments direct to equity not disclosed above .. .. ..

Net income recognised directly in equity 18,703 18,766 24,603

Surplus/ (deficit) for the period 97 97 42

Total recognised income and expense for the period 18,800 18,863 24,645Equity injection/ (withdrawal) 7,308 4,970 (1,537)Equity adjustments (MoG Transfers) 2,684 2,684 ..Total movement in equity for period 28,792 26,517 23,108


1 - 38

BALANCE SHEET

Notes2006-07

AdjustedBudget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

CURRENT ASSETS Cash assets 1 12,550 43,904 23,463Receivables 2 2,498 3,124 3,124Other financial assets .. .. ..Inventories .. .. ..Other 434 302 302Non-financial assets held for sale .. .. ..

Total current assets 15,482 47,330 26,889

NON-CURRENT ASSETS Receivables .. .. ..Other financial assets .. .. ..Property, plant and equipment 3 212,379 214,590 254,987Intangibles 10 10 ..Other .. .. ..

Total non-current assets 212,389 214,600 254,987

TOTAL ASSETS 227,871 261,930 281,876

CURRENT LIABILITIES Payables 4 11,207 5,723 5,723Employee benefit obligations 5 3,226 4,971 4,971Interest-bearing liabilities and derivatives 42 42 44Provisions .. .. ..Other 6 1,346 27,596 15,596

Total current liabilities 15,821 38,332 26,334

NON-CURRENT LIABILITIES Payables .. .. ..Employee benefit obligations 895 935 935Interest-bearing liabilities and derivatives 217 3,792 12,628Provisions .. .. ..Other .. .. ..

Total non-current liabilities 1,112 4,727 13,563

TOTAL LIABILITIES 16,933 43,059 39,897

NET ASSETS (LIABILITIES) 210,938 218,871 241,979

EQUITYCapital/Contributed equity 162,773 163,917 162,380Retained surplus/ (Accumulated deficit) (2,663) (3,106) (3,064)Reserves:

- Asset revaluation reserve 7 50,828 58,060 82,663- Other (specify) .. .. ..

TOTAL EQUITY 210,938 218,871 241,979


1 - 39

CASH FLOW STATEMENT

Notes2006-07

AdjustedBudget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

CASH FLOWS FROM OPERATING ACTIVITIES Inflows:

Output receipts 1 525,869 566,449 606,681User charges 2 6,344 6,754 4,496Grants and other contributions 3 31,327 11,265 6,118Other 4 889 221 350

Outflows: Employee costs 5 (54,240) (56,297) (64,441)Supplies and services 6 (31,098) (47,769) (40,255)Grants and subsidies 7 (467,902) (477,355) (513,084)Borrowing costs 8 (15) (89) (570)Other (5,772) (5,191) (5,923)

Net cash provided by/ (used in) operating activities 5,402 (2,012) (6,628)

CASH FLOWS FROM INVESTING ACTIVITIES Inflows:

Sales of property, plant and equipment .. .. ..Investments redeemed .. .. ..Loans and advances redeemed .. .. ..

Outflows:Payments for property, plant and equipment and intangibles

9 (12,613) (7,354) (21,114)

Payments for investments .. .. ..Loans and advances made .. .. ..

Net cash provided by/ (used in) investing activities (12,613) (7,354) (21,114)

CASH FLOWS FROM FINANCING ACTIVITIES Inflows:

Borrowings 10 .. 3,575 8,880Equity injections 11 9,960 7,622 3,374

Outflows: Borrowing redemptions (97) (97) (42)Finance lease payments .. .. ..Equity withdrawals 12 (2,652) (2,652) (4,911)

Net cash provided by/ (used in) financing activities 7,211 8,448 7,301

Net Increase/ (decrease) in cash held .. (918) (20,441)

Cash at the beginning of financial year 12,602 44,874 43,904

Cash transfers from restructure (52) (52) ..Cash at the end of financial year 12,550 43,904 23,463


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INCOME STATEMENT

EXPENSES AND REVENUES ADMINISTEREDON BEHALF OF THE WHOLE OF GOVERNMENT

Notes2006-07 Budget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

Revenues Commonwealth grants 1 308,830 326,151 316,551Taxes, fees and fines 460 488 488Royalties, property income and other territorial revenue .. .. ..Interest .. .. ..Administered item revenue 2 332,318 347,070 328,764Other .. .. ..

Total revenues 641,608 673,709 645,803

Expenses Supplies and services .. .. ..Depreciation and amortisation .. .. ..Grants and subsidies 2 332,318 347,098 328,792Benefit payments .. .. ..Borrowing Costs Other .. .. ..

Total expenses 332,318 347,098 328,792

Net surplus or deficit before transfers to Government 309,290 326,611 317,011

Transfers of Administered Revenue to Government 309,290 326,611 317,011



1 - 41

BALANCE SHEET

ASSETS AND LIABILITIES ADMINISTERED ON BEHALF OF THE WHOLE OF GOVERNMENT Notes

2006-07 Budget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

CURRENT ASSETS Cash assets .. 2,174 2,174Receivables .. .. ..Inventories .. .. ..Other .. .. ..Non-financial assets held for sale .. .. ..

Total current assets .. 2,174 2,174

NON-CURRENT ASSETS Receivables .. .. ..Other financial assets .. .. ..Property, plant and equipment .. .. ..Intangibles .. .. ..Other .. .. ..

Total non-current assets .. .. ..

TOTAL ADMINISTERED ASSETS .. 2,174 2,174

CURRENT LIABILITIES Payables .. .. ..Transfers to Government payable .. .. ..Interest-bearing liabilities .. .. ..Other .. 2,174 2,174

Total current liabilities .. 2,174 2,174

NON-CURRENT LIABILITIES Payables .. .. ..Interest-bearing liabilities .. .. ..Other .. .. ..

Total non-current liabilities .. .. ..

TOTAL ADMINISTERED LIABILITIES .. 2,174 2,174

ADMINISTERED NET ASSETS/ (LIABILITIES) .. .. ..

EQUITYCapital/Contributed equity .. .. ..Retained surplus/(Accumulated deficit) .. .. ..Reserves:

- Asset revaluation reserve .. .. ..- Other (specify) .. .. ..

TOTAL ADMINISTERED EQUITY .. .. ..


1 - 42

CASH FLOW STATEMENT

CASH FLOWS ADMINISTERED ON BEHALF OF THE WHOLE OF GOVERNMENT Notes

2006-07 Budget

$’000

2006-07 Est. Act.

$’000

2007-08 Estimate

$’000

CASH FLOWS FROM OPERATING ACTIVITIES Inflows:

Administered item receipts 1 332,318 348,458 328,764Grants and other contributions 2 308,830 326,151 316,551Taxes, fees and fines 460 488 488Royalties, property income and other territorial revenues .. .. ..Other .. .. ..

Outflows:Transfers to Government 2 (309,290) (326,704) (317,011)Grants and subsidies 1 (332,318) (348,454) (328,792)Supplies and services .. .. ..Borrowing costs .. .. ..Other .. .. ..

Net cash provided by/ (used in) operating activities .. (61) ..

CASH FLOWS FROM INVESTING ACTIVITIES Inflows:

Sales of property, plant and equipment .. .. ..Investments redeemed .. .. ..Loans and advances redeemed .. .. ..

Outflows:Payments for property, plant and equipment .. .. ..Payments for intangibles .. .. ..Payments for investments .. .. ..Loans and advances made .. .. ..

Net cash provided by/ (used in) investing activities .. .. ..

CASH FLOWS FROM FINANCING ACTIVITIES Inflows:

Borrowings .. .. ..Equity injections .. .. ..

Outflows:Borrowing redemptions .. .. ..Finance lease payments .. .. ..Equity withdrawals .. .. ..

Net cash provided by/ (used in) financing activities .. .. ..

Net increase/ (decrease) in cash held .. (61) ..

Administered cash at beginning of financial year .. 2,235 2,174

Cash transfers from restructure .. .. ..Administered cash at end of financial year .. 2,174 2,174


1 - 43

EXPLANATION OF VARIANCES IN THE FINANCIAL STATEMENTS

Income Statement Major variations between 2006-07 Adjusted Budget and 2006-07 Estimated Actual include: 1. The increase primarily reflects increased funding for Natural Disaster Relief Arrangements and new funding for initiatives

including Q150 and water efficiency programs such as Home WaterWise Service and High Volume Users. This is partially offset by contributions for key water initiatives undertaken by the Department of Natural Resources and Water and the Department of Public Works for the domestic water efficiency/rebate program and the government water efficiency program.

3. The decrease primarily reflects the transfer of debt servicing grants for the Major Sports Facilities Authority partially offsetby Australian Government revenues received for Indigenous Environmental Health Infrastructure Services and one off contributions from the Gold Coast Events Company for the MacIntosh Island Bridge.

4. The decrease primarily reflects a reduction in interest received as a result of the conclusion of the Cash Management Incentives Regimes. This revenue is now received as Output Funding.

5. The increase is primarily due to additional funds for Far North Queensland regional planning projects and funding received for a joint planning information project with the Department of Education, Training and the Arts, and the realignment of funding to deliver departmental services.

6. The increase primarily represents additional and realigned funding for initiatives including the Far North Queensland Planning projects, Smart eDA and the Local Government Reform program.

7. The increase primarily reflects additional funding for Natural Disaster Relief Arrangements and new funding for initiatives including Q150 and water efficiency programs such as Home WaterWise Service and High Volume Users. This is partially offset by contributions for key water initiatives undertaken by the Department of Natural Resources and Water and the Department of Public Works for the domestic water efficiency/rebate program and the government water efficiency program.

Major variations between 2006-07 Adjusted Budget and 2007-08 Estimate include: 1. The increase is primarily due to new initiative and additional funding for the Torres Strait Major Infrastructure Program,

subject to matching Australian Government funding, the Local Government Reform program, funding to improve the well being of Queenslanders and their communities through sport and recreation, Q150, Oakey Bores and water efficiency programs such as Home WaterWise Service and High Volume Users.

2. The decrease primarily reflects the realignment of industry contributions to the Racing Science Centre from User Charges to Grants & Other Contributions.

3. The decrease primarily reflects the transfer of debt servicing grants for the Major Sports Facilities Authority partially offsetby Australian Government revenues received for Indigenous Environmental Health Infrastructure Services.

4. The decrease primarily reflects a reduction in interest received as a result of the conclusion of the Cash Management Incentives Regimes. This revenue is now received as Output Funding.

5. The increase primarily represents new funding for initiatives including the Local Government Reform program, Far North Queensland planning projects and the Enterprise Bargaining increase. The increase also represents the realignment of funding into 2007-08 for projects including IPA/IDAS, Local Government Act 1993 review, whole-of-Government information technology projects and Blueprint for the Bush.

6. The increase can be primarily attributed to new initiative and realigned funding for the Local Government Reform program; Far North Queensland Planning projects, Smart eDA, IPA/IDAS, Ipswich CBD Redevelopment, whole-of-Government information technology projects and Blueprint for the Bush.

7. The increase is primarily due to new initiative and additional funding for the Torres Strait Major Infrastructure Program, subject to matching Australian Government funding, funding to improve the well being of Queenslanders and their communities through sport and recreation, Q150, Oakey Bores and water efficiency programs such as Home WaterWise Service and High Volume Users. These increases are partially offset by the transfer of debt servicing grants for the Major Sports Facilities Authority.

8. The increase represents debt servicing funding for Queensland Treasury Corporation borrowings associated with the Tennyson Riverside Development project.

9. The increase primarily reflects the annual incremental increase in the value of departmental land and buildings.

Major variations between 2006-07 Estimated Actual and the 2007-08 Estimate include: 1. The increase is primarily due to new initiative and additional funding for the Torres Strait Major Infrastructure Program,


2. The decrease primarily reflects the realignment of industry contributions to the Racing Science Centre from User Charges to Grants & Other Contributions.

5. The increase primarily represents new funding for initiatives including the Local Government Reform program and Far North Queensland planning projects and the Enterprise Bargaining increase. The increase also represents the realignment of funding into 2007-08 from 2006-07 for projects including IPA/IDAS, Local Government Act 1993 review, whole-of-Government information technology projects and Blueprint for the Bush.

7. The increase is primarily due to new initiative and additional funding for the Torres Strait Major Infrastructure Program, subject to matching Australian Government funding, the Local Government Reform program, funding to improve the well being of Queenslanders and their communities through sport and recreation, Q150, Oakey Bores and water efficiency programs such as Home WaterWise Service and High Volume Users.


9. The increase primarily reflects the annual incremental increase in the value of departmental land and buildings.


1 - 44

Balance Sheet Major variations between 2006-07 Adjusted Budget and 2006-07 Estimated Actual include: 1. The increase primarily reflects the receipt of matching Australian Government contributions for Indigenous Environmental

Health Infrastructure Services and the Regional Flood Mitigation Programme. 2. The increase primarily relates to increases in operational receivables including GST tax credits, QTC interest and general

trade receivables. 3. The increase primarily reflects the purchase of property, plant and equipment and the revaluation of departmental land and

buildings as part of the planned asset revaluation process. 4. The decrease is primarily attributable to lower than projected general operating payables for the department. 5. The increase reflects higher than projected staff accruals for salaries and wages payable. 6. The increase reflects the recognition of unearned revenue relating to Australian Government receipts for Indigenous

Environmental Health Infrastructure Services and the Regional Flood Mitigation Programme. 7. The increase primarily reflects the revaluation of departmental land and buildings as part of the planned asset revaluation

process.

Major variations between 2006-07 Adjusted Budget and 2007-08 Estimate include: 1. The increase primarily reflects the receipt of matching Australian Government contributions for Indigenous Environmental

Health Infrastructure Services and the Regional Flood Mitigation Programme. 2. The increase primarily relates to increases in operational receivables including GST tax credits, QTC interest and general

trade receivables. 3. The increase primarily reflects the purchase of property, plant and equipment and the annual incremental increase in the

value of departmental land and buildings. 4. The decrease is primarily attributable to lower than projected general operating payables for the department. 5. The increase reflects higher then projected staff accruals for salaries and wages payable. 6. The increase reflects the recognition of unearned revenue relating to Australian Government receipts for Indigenous

Environmental Health Infrastructure Services and the Regional Flood Mitigation Programme. 7. The increase primarily reflects the annual incremental increase in the value of departmental land and buildings.

Major variations between 2006-07 Estimated Actual and the 2007-08 Estimate include: 1. The decrease represents the utilisation of cash received for matching Australian Government contributions for Indigenous

Environmental Health Infrastructure Services and the Regional Flood Mitigation Programme. 3 The increase primarily reflects the purchase of property, plant and equipment and the annual incremental increase in the

value of departmental land and buildings. 6. The decrease represents a reduction in unearned revenue originally recognised for matching Australian Government

contributions for Indigenous Environmental Health Infrastructure Services and the Regional Flood Mitigation Programme. 7. The increase primarily reflects the annual incremental increase in the value of departmental land and buildings.

Cash Flow Statement Major variations between 2006-07 Adjusted Budget and 2006-07 Estimated Actual include: 1. The increase primarily reflects increased funding for Natural Disaster Relief Arrangements and new funding for initiatives

including Q150 and water efficiency programs such as Home WaterWise Service and High Volume Users. This is partially offset by contributions for key water initiatives undertaken by the Department of Natural Resources and Water and the Department of Public Works for the domestic water efficiency/rebate program and the government water efficiency program.

3. The decrease primarily reflects the transfer of debt servicing grants for the Major Sports Facilities Authority partially offsetby Australian Government revenues received for Indigenous Environmental Health Infrastructure Services and one off contributions from the Gold Coast Events Company for the MacIntosh Island Bridge.

4. The decrease primarily reflects a reduction in interest received as a result of the conclusion of the Cash Management Incentives Regimes. This revenue is now received as Output Revenue.

5. The increase is primarily due to additional funds for Far North Queensland regional planning projects and funding received for a joint planning information project with the Department of Education, Training and the Arts, and the realignment of funding to deliver departmental services.

6. The increase primarily represents additional and realigned funding for initiatives including the Far North Queensland Planning projects, Smart eDA and the Local Government Reform program. The increase also relates to outstanding payables that existed as at 30 June 2006.

7. The increase primarily reflects additional funding for Natural Disaster Relief Arrangements and new funding for initiativesincluding Q150 and water efficiency programs such as Home WaterWise Service and High Volume Users. This is partially offset by contributions for key water initiatives undertaken by the Department of Natural Resources and Water and the Department of Public Works for the domestic water efficiency/rebate program and the government water efficiency program.

9. The decrease reflects the realignment of funding from 2006-07 into outyears for capital projects. 10. The increase reflects Queensland Treasury Corporation borrowings for the Tennyson Riverside Development project. 11. The decrease reflects the realignment of funding from 2006-07 into outyears for capital projects.

Major variations between 2006-07 Adjusted Budget and 2007-08 Estimate include: 1. The increase is primarily due to new initiative and additional funding for the Torres Strait Major Infrastructure Program,


2. The decrease is primarily as a result of the realignment of industry contributions to the Racing Science Centre from User Charges to Grants & Other Contributions.

3. The decrease primarily reflects the transfer of debt servicing grants for the Major Sports Facilities Authority partially offsetby Australian Government revenues received for Indigenous Environmental Health Infrastructure Services.


1 - 45

4. The decrease primarily reflects a reduction in interest received as a result of the conclusion of the Cash Management Incentives Regimes. This revenue is now received as Output Revenue.

5. The increase primarily represents new funding for initiatives including the Local Government Reform program, Far North Queensland planning projects and the Enterprise Bargaining increase. The increase also represents the realignment of funding into 2007-08 from 2006-07 for projects including IPA/IDAS, Local Government Act 1993 review, whole-of-Government information technology projects and Blueprint for the Bush.

6. The increase can be primarily attributed to new initiative and realigned funding for the Local Government Reform program, Far North Queensland Planning projects, Smart eDA, IPA/IDAS, Ipswich CBD Redevelopment, whole-of-Government information technology projects and Blueprint for the Bush.

7. The increase is primarily due to new initiative and additional funding for the Torres Strait Major Infrastructure Program, subject to matching Australian Government funding, funding to improve the well being of Queenslanders and their communities through sport and recreation, Q150, Oakey Bores and water efficiency programs such as Home WaterWise Service and High Volume Users. These increases are partially offset by the transfer of debt servicing grants for the Major Sports Facilities Authority.


9. The increase primarily reflects commencement of expenditure on the roof of the State Tennis Centre during the construction program.

10. The increase reflects Queensland Treasury Corporation borrowings for the Tennyson Riverside Development project. 11. The decrease primarily represents a realignment of funding sources for the Tennyson Riverside Development. 12. The increase primarily represents projected departmental contributions to whole-of-Government information technology

projects.

Major variations between 2006-07 Estimated Actual and the 2007-08 Estimate include: 1. The increase is primarily due to new initiative and additional funding for the Torres Strait Major Infrastructure Program,


2. The decrease is primarily as a result of the realignment of industry contributions to the Racing Science Centre from User Charges to Grants & Other Contributions.

5. The increase primarily represents new funding for initiatives including the Local Government Reform program and Far North Queensland planning projects and the Enterprise Bargaining increase. The increase also represents the realignment of funding into 2007-08 for projects including IPA/IDAS, Local Government Act 1993 review, whole-of-Government information technology projects and Blueprint for the Bush.

6. The decrease primarily reflects the clearance of outstanding payables that existed as at 30 June 2006. 7. The increase is primarily due to new initiative and additional funding for the Torres Strait Major Infrastructure Program,


8. The increase represents debt servicing for Queensland Treasury Corporation borrowings associated with the Tennyson Riverside Development project.

9. The increase primarily reflects commencement of expenditure on the roof of the State Tennis Centre during the construction program.

10. The increase reflects Queensland Treasury Corporation borrowings for the Tennyson Riverside Development project. 11. The decrease primarily represents a realignment of funding sources for the Tennyson Riverside Development project. 12. The increase primarily represents projected departmental contributions to whole of government information technology

projects.


1 - 46

Income Statement Expenses and Revenues Administered on Behalf of the Whole-of-Government

Major variations between 2006-07 Budget and 2006-07 Estimated Actual include: 1. The increase reflects the revised actual funding received from the Australian Government for the Financial Assistance

Grants (FAG) to local governments. 2. The increase primarily reflects the revised funding for the FAG to local governments in addition to funds received for the

Mount Isa and Gladstone Area Water Boards. These increases are partially offset by lower than projected payments under the National Competition Policy Financial Incentive Package.

Major variations between 2006-07 Budget and 2007-08 Estimate include: 1. The increase reflects projected annual adjustments to the calculation of funding from the Australian Government for the

FAG to local governments. 2. The decrease is primarily due to the completion of funding of payments under the National Competition Policy Financial

Incentive Package partially offset by an increase to the annual calculation of the FAG.

Major variations between 2006-07 Estimated Actual and the 2007-08 Estimate include: 1. The decrease reflects projected annual adjustments to the calculation of funding from the Australian Government for the

FAG to local governments. 2. The decrease is primarily due to the completion of funding for payments under the National Competition Policy Financial

Incentive Package and the revised annual calculation of the FAG.

Cash Flow Statement Cash Flows Administered on Behalf of the Whole-of-Government Major variations between 2006-07 Budget and 2006-07 Estimated Actual include: 1. The increase primarily reflects the revised funding for the FAG to local governments in addition to funds received for the

Mount Isa and Gladstone Area Water Boards. These increases are partially offset by lower than projected payments under the National Competition Policy Financial Incentive Package.

2. The increase reflects the revised actual funding received from the Australian Government for the FAG to local governments.

Major variations between 2006-07 Budget and 2007-08 Estimate include: 1. The decrease is primarily due to the completion of funding of payments under the National Competition Policy Financial

Incentive Package partially offset by an increase to the annual calculation of the FAG. 2. The increase is primarily due to an increase to the annual calculation of the FAG.

Major variations between 2006-07 Estimated Actual and the 2007-08 Estimate include: 1. The decrease is primarily due to the completion of funding for payments under the National Competition Policy Financial

Incentive Package and the revised annual calculation of the FAG. 2. The decrease reflects projected annual adjustments to the calculation of funding from the Australian Government for the

FAG to local governments.


1 - 47

RECONCILIATION OF 2007-08 APPROPRIATION AMOUNTS TO THE FINANCIAL STATEMENTS

CONTROLLED

Income Statement$’000

Output Revenue in Income Statement1 606,681 Add: Appropriation Funding for Outputs Receivablea ..

= Appropriation for Departmental Outputs 606,681

= Output Receipts in Cash Flow Statement2 606,681

Balance Sheet $’000

Closing balance Contributed Equity3 162,380 Less: Opening Balance Contributed Equity3 163,917

= Change in Contributed Equity in the Balance Sheet (1,537)

Add: Appropriation Equity Injection Receivableb .. Less: Non-appropriated Equity Adjustments4 ..

= Appropriation for Equity Adjustment5 (1,537)

= Net Appropriated Equity Adjustment in Cash Flow Statement (1,537)

1. This Output Revenue amount reconciles to the Output Revenue line in the Income Statement on page 37. 2. This Output Revenue amount reconciles to the Output Receipts line in the Cash Flow Statement on page 39. 3. The Contributed Equity amounts reconcile to the Contributed Equity line in the Balance Sheet on page 38. 4. Non-appropriated equity adjustments relate to Machinery-of-Government changes, long service leave

liabilities transferred to the whole-of-Government scheme. 5. The Appropriation for Equity Adjustment amount reconciles to the Equity Adjustment line in the

Appropriations table on page 7.

a. This line item relates to operating revenue recognised in one year for which the cash is not received until the subsequent year.

b. This line item relates to equity recognised in one year for which the cash is not received until the subsequent year.


1 - 48

ADMINISTERED

Statement of Expenses and Revenues Administered on Behalf of the Whole-of-Government

$’000

Administered Item Revenue in Income Statement6 328,764 Add: Other (Administered) Appropriation Receivablea ..

= Appropriation for Administered Expenses7 328,764

Statement of Assets and Liabilities Administered on Behalf of the Whole-of-Government

$’000

Closing balance Contributed Equity8 .. Less: Opening Balance Contributed Equity8 ..

= Change in Contributed Equity in the Statement of Assets and Liabilities administered on behalf of the State Government ..

Add: Appropriation Equity Injection Receivableb .. Less: Non-appropriated Equity Adjustment9 ..

= Appropriation for Administered Equity Adjustment7 ..

6. The Administered Item Revenue amount reconciles to the Administered Item Revenue line in the Statement of Expenses and Revenues Administered on Behalf of the Whole-of-Government on page 40.

7. Total Appropriation for Administered items ($328,764) = Appropriation for Administered expenses ($328,764) + Appropriation for Administered Equity Adjustment ($NIL).

8. The Contributed Equity amounts reconcile to the Contributed Equity line in the Statement of Assets and Liabilities Administered on Behalf of the Whole-of-Government on page 41.

9. Non-appropriated equity adjustments relate to Machinery-of-Government changes, long service leave liabilities transferred to the whole-of-Government scheme.

Note: Appropriation for Administered Expenses + Appropriation for Administered Equity Adjustment = total Administered Items (which reconciles to the Administered Items line in the Appropriations table on page 7).

a. This line item relates to operating revenue recognised in one year for which the cash is not received until the subsequent year.

b. This line item relates to equity recognised in one year for which the cash is not received until the subsequent year.

2007

-08

Que

ensl

and

Stat

e B

udge

t – M

inis

teria

l Por

tfolio

Sta

tem

ent –

Dep

artm

ent o

f Loc

al G

over

nmen

t, Pl

anni

ng, S

port

and

Rec

reat

ion

1 - 4

9

Cor

pora

te S

ervi

ces1 A

lloca

tion

2007

-08

Estim

ate

($’0

00)

Not

esTo

tal

Cor

pora

te

Serv

ices

Adv

ice

and

Serv

ices

for

Goo

d Lo

cal

Gov

erna

nce

Fund

ing

for L

ocal

G

over

nmen

t In

frast

ruct

ure

and

Faci

litie

s

Pla

nnin

g an

d D

evel

opm

ent S

ervi

ces

Ser

vice

s, In

frast

ruct

ure

and

Faci

litie

s to

Q

ueen

slan

d –

Spo

rt,

Rec

reat

ion

and

Rec

reat

ion

Inco

me

Out

put r

even

ue

19,5

262,

734

1,36

75,

467

9,95

8U

ser c

harg

es

....

....

..G

rant

s an

d ot

her c

ontri

butio

ns

....

....

..O

ther

reve

nue

....

....

..G

ains

on

sa

le/re

valu

atio

n of

pr

oper

ty,

plan

t an

d eq

uipm

ent

and

inve

stm

ents

....

....

..

Tota

l inc

ome

19,5

262,

734

1,36

75,

467

9,95

8

Expe

nses

E

mpl

oyee

exp

ense

s 8,

276

1,15

858

02,

317

4,22

1S

uppl

ies

and

serv

ices

7,

685

1,07

653

82,

152

3,91

9G

rant

s an

d su

bsid

ies

369

5226

103

188

Dep

reci

atio

n an

d am

ortis

atio

n 24

935

1770

127

Fina

nce/

borro

win

g co

sts

....

....

..O

ther

exp

ense

s 2,

947

413

206

825

1,50

3Lo

sses

on

sa

le/re

valu

atio

n of

pr

oper

ty,

plan

t an

d eq

uipm

ent

and

inve

stm

ents

....

....

..

Tota

l exp

ense

s 19

,526

2,73

41,

367

5,46

79,

958

Full

Tim

e Eq

uiva

lent

s

98.6

14.8

6.9

27.6

49.3

Not

es:

1.

Cor

pora

te s

ervi

ces

func

tions

inc

lude

: fin

anci

al m

anag

emen

t, st

rate

gic

proc

urem

ent,

prop

erty

acq

uisi

tion,

fac

ility

man

agem

ent,

hum

an r

esou

rces

, or

gani

satio

nal

lear

ning

and

dev

elop

men

t, in

form

atio

n te

chno

logy

, stra

tegi

c re

cord

s m

anag

emen

t, le

gal s

ervi

ces,

free

dom

of i

nfor

mat

ion

serv

ices

, and

exe

cutiv

e se

rvic

es (O

ffice

of t

he C

EO

). 2.

Th

e al

loca

tion

of c

orpo

rate

ser

vice

s fu

ndin

g to

Out

puts

is n

otio

nal (

base

d on

per

cent

age

allo

catio

n of

Ful

l-Tim

e E

quiv

alen

t sta

ff) a

nd d

oes

not r

epre

sent

act

ual c

ontri

butio

ns p

rovi

ded

from

Div

isio

nal b

udge

ts.

3.

Incl

udes

pay

men

ts t

o a

Sha

red

Ser

vice

Pro

vide

r -

Cor

pora

te S

olut

ions

Que

ensl

and

for

the

prov

isio

n of

cor

e se

rvic

es a

s ou

tline

d in

the

agen

cy’s

Ope

ratin

g Le

vel A

gree

men

t fo

r th

e pr

ovis

ion

of s

ervi

ces

rela

ted

to p

ayro

ll, h

uman

reso

urce

s, fi

nanc

ial a

nd a

dmin

istra

tion

serv

ices

, pro

perty

, fac

ility

and

tele

com

mun

icat

ions

man

agem

ent,

and

docu

men

ts a

nd re

cord

s m

anag

emen

t.

APPENDIX

GLOSSARY OF TERMS

AccrualAccounting

Recognition of economic events and other financial transactions involving revenue, expenses, assets, liabilities and equity as they occur and reporting in financial statements in the period to which they relate, rather than when a flow of cash occurs.

Accrual Output Budgeting (AOB)

A process through which agencies are funded and monitored on the basis of delivery (performance) of outputs which have been costed on a full accrual basis. Queensland’s model of AOB, Managing for Outcomes, is a fully integrated planning, budgeting and performance management framework.

AdministeredItems

Assets, liabilities, revenues and expenses an agency administers on behalf of the Government without discretion.

Agency Used generically to refer to the various organisational units within Government that deliver services or otherwise service Government objectives. The term can include departments, commercialised business units, statutory bodies or organisations established by Executive decision rather than legislation.

Appropriation Represents Parliamentary authority for the Treasurer to issue funds to agencies during a financial year for: • delivery of agreed outputs • administered items • adjusting the Government’s equity in agencies.

Balance Sheet A financial statement that reports the assets, liabilities and equity of an entity as at a particular date.

Capital A term used to refer to the stock of assets, including property, plant and equipment, intangible assets and inventories, that an agency owns and/or controls, and uses in the delivery of services, and capital grants made to other entities.

Cash Flow Statement

A financial statement which reports the inflows and outflows of cash for a particular period for the operating, investing and financing activities undertaken by an agency or the Government as a whole.

Controlled Items Assets, liabilities, revenues and expenses that are controlled by departments, in that they relate directly to the departmental operational objectives and which arise at the discretion and direction of the department concerned.

Depreciation The periodic allocation of the cost of physical assets, representing the amount of the asset consumed during a particular period of time.

Equity Equity is the residual interest in the assets of the entity after deduction of its liabilities. It usually comprises the agency’s accumulated surpluses/losses, capital injections and any reserves.

Equity Injection An increase in the investment of the Government in a public sector agency.

FinancialStatements

Collective description of the Income Statement, the Balance Sheet and the Cash Flow Statement.

Income Statement A financial statement highlighting the accounting surplus or deficit of an entity. It provides an indication of whether the entity has sufficient revenue to meet expenses in the current year, including non-cash costs such as depreciation.

Outcomes Whole-of-Government Outcomes are intended to cover all dimensions of community well being. They express the current needs and future aspirations of communities, within a social, economic and environment context.

Outputs Discrete services or products for external customers or consumers produced by agencies with funding from the Government.

Own-Source Revenue

Revenue generated by an agency, generally through the sale of goods and services but may also include approved Commonwealth Specific Purpose Payments.

Priorities The Government’s Priorities represent the areas of policy for focussed attention during a given term. They highlight key areas where improved results are sought.

For a more detailed Glossary of Terms, please refer to the Reader’s Guide available on the Budget website at www.budget.qld.gov.au.

By authority: R. J. Hunt, Government Printer, Queensland-2007

State Budget 2007-08Ministerial Portfolio StatementMinister for Local Government,Planning and Sportwww.budget.qld.gov.au

State Budget 2007–08Ministerial Portfolio Statement

Minister for Local Government,Planning and Sport

www.budget.qld.gov.au

Queensland State Budget 2007–08 · The Ministerial Portfolio Statements (MPS) are the primary...

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Transcript of Queensland State Budget 2007–08 · The Ministerial Portfolio Statements (MPS) are the primary...