Extract from Department of the Environment Portfolio Budget Statements 2014-15
National Water Commission
Agency Resources and Planned
Performance
255
NATIONAL WATER COMMISSION
Section 1: Agency Overview and Resources ......................................................... 257
1.1
Strategic Direction Statement ....................................................................... 257
1.2
Agency Resource Statement ........................................................................ 258
1.3
Budget Measures .......................................................................................... 259
Section 2: Outcomes and Planned Performance ................................................... 261
2.1
Outcomes and Performance Information ...................................................... 261
Section 3: Explanatory Tables and Budgeted Financial Statements ................... 265
3.1
Explanatory Tables ....................................................................................... 265
3.2
Budgeted Financial Statements .................................................................... 266
256
National Water Commission Budget Statements
National Water Commission
Section 1: Agency Overview and Resources
1.1
Strategic Direction Statement
The National Water Commission (NWC) is an independent statutory authority whose
key responsibilities are to provide independent assurance of governments’ progress on
water reform and to promote the objectives and outcomes of the Intergovernmental
Agreement on a National Water Initiative (NWI). The NWC was created as a result of
the NWI, and formally established by the National Water Commission Act 2004.
The NWC has one outcome – informed decisions by governments on national water
issues, and improved management of Australia’s water resources, through advocacy,
facilitation and independent advice.
In addition to meeting its functional requirements under the National Water Commission
Act 2004, the NWC is required under other Commonwealth legislation or agreements
to independently undertake a number of activities and to provide advice and reports.
The NWC has an ongoing function established under the Water Act 2007 to audit the
effectiveness of the implementation of the Murray-Darling Basin Plan and associated
water resource plans. The NWC also has functions under the Carbon Credits (Carbon
Farming Initiative) Regulations 2011.
The Government has decided to cease the operations of the NWC in 2014-15 and to
reallocate its statutory and some assessment responsibilities to other agencies.
Legislation to repeal the National Water Commission Act 2004 will be tabled in the
Parliament during the Budget sittings for effect from 1 January 2015.
In 2014-15 the NWC will focus its activities on the completion of the Triennial
Assessment of Commonwealth, State and Territory governments’ implementation of
their commitments under the NWI and provide a report to the Minister and the
Council of Australian Governments (COAG) on progress of reform and on key issues
needing to be addressed in the future. The NWC will also undertake administrative
action to close it’s operations by 31 December 2014.
257
National Water Commission Budget Statements
1.2
Agency resource statement
Table 1.1 shows the total resources from all sources. The table summarises how
resources will be applied by outcome and by administered and departmental
classification.
Table 1.1: National Water Commission Resource Statement — Budget
Estimates for 2014-15 as at Budget May 2014
Estimate
of prior
year amounts
available in
2014- 15
$'000
+
Proposed
at Budget
2014- 15
$'000
=
Total
estimate
Ac tual
available
appropriation
2014- 15
$'000
2013- 14
$'000
1
O rdina ry a nnua l se rvic e s
De pa rtme nta l a ppropria tion
Prior year departmental
appropriation 2
Departmental appropriation
Tota l
8,955
4,922
4,922
8,955
4,922
13 , 8 7 7
7,755
8,302
16 , 0 5 7
Tota l ordina ry a nnua l se rvic eA
s
8,955
4,922
13 , 8 7 7
16 , 0 5 7
-
-
-
Tota l a va ila ble a nnua l
a ppropria tions (A+ B)
8,955
4,922
13 , 8 7 7
17 , 2 9 5
Tota l re sourc ing
A+ B
8,955
4,922
13 , 8 7 7
17 , 2 9 5
8,955
3
O the r se rvic e s
De pa rtme nta l non- ope ra ting
Equity injec tions4
Tota l
B
1
1,238
1, 2 3 8
Appropriation Bill (No.1) 2014- 15
Estimated adjusted balanc e c arried forward from previous year
3
Appropriation Bill (No. 2) 2014- 15
4
Inc ludes an amount of $1.238m in 2013- 14 for the Departmental Capital Budget (refer to table 3.2.5
for further details). For ac c ounting purposes this amount has been designated as 'c ontributions
by owners'.
Reader note: All figures are GST exc lusive.
2
258
National Water Commission Budget Statements
1.3
Budget measures
Budget measures in Part 1 relating to the National Water Commission are detailed in
Budget Paper No. 2 and are summarised below.
Table 1.2: Agency 2014-15 Budget measures
Part 1: Measures announced since the 2013-14 MYEFO
Programme 2013-14 2014-15 2015-16 2016-17 2017-18
$'000
$'000
$'000
$'000
$'000
Saving m easures
National Water Commission cessation1
Administered expenses
Departmental expenses
Total expense m easures
Efficiency Dividend - a further
temporary increase of 0.25 per cent
Administered expenses
Departmental expenses
Total saving m easures
1.1
-
(3,260)
(3,260)
(8,139)
(8,139)
(8,089)
(8,089)
(8,168)
(8,168)
-
(21)
(21)
(42)
(42)
(62)
(62)
(63)
(63)
-
(3,281)
(3,281)
(8,181)
(8,181)
(8,151)
(8,151)
(8,231)
(8,231)
1.1
Total saving m easures
Administered
Departmental
Total
1
This measure represents the budget savings derived from the closure of the National Water
Commission.
Prepared on a Government Finance Statistics (fiscal) basis.
259
National Water Commission Budget Statements
Part 2: MYEFO measures not previously reported in a portfolio statement
Programme 2013-14 2014-15 2015-16 2016-17 2017-18
$'000
$'000
$'000
$'000
$'000
Saving m easures
Public service efficiencies
Administered expenses
Departmental expenses
Reforms to APS management and
efficient procurement of agency
softw are
Administered expenses
Departmental expenses
Efficiency Dividend - temporary
increase in rate
Administered expenses
Departmental expenses
1.1
(2)
(2)
(38)
(38)
(47)
(47)
(53)
(53)
(53)
(53)
(10)
(10)
(16)
(16)
(24)
(24)
(21)
(21)
(21)
(21)
(84)
(84)
(190)
(190)
(296)
(296)
(296)
(296)
(138)
(138)
(261)
(261)
(370)
(370)
(370)
(370)
1.1
1.1
-
Total saving m easures
Administered
Departmental
Total
(12)
(12)
260
National Water Commission Budget Statements
Section 2: Outcomes and planned performance
2.1
Outcomes and performance information
Government outcomes are the intended results, impacts or consequences of actions by
the Government on the Australian community. Commonwealth programmes are the
primary vehicle by which Government agencies achieve the intended results of their
outcome statements. Agencies are required to identify the programmes which
contribute to Government outcomes over the Budget and forward years.
Each outcome is described below together with its related programmes, specifying the
performance indicators and targets used to assess and monitor the performance of the
National Water Commission in achieving Government outcomes.
Outcome 1: Informed decisions by governments on national water issues, and
improved management of Australia’s water resources, through advocacy,
facilitation and independent advice.
Outcome 1 Strategy
The outcome will be achieved through:

providing strategic assessments, independent advice and recommendations to the
Minister for the Environment, and to the Australian, State and Territory
governments on the implementation of the National Water Initiative;

conducting assessment and monitoring of water reform issues, including
identifying priority and emerging issues that impact on the sustainability and use
of Australia’s water resources; and

consulting with jurisdictions and other stakeholders to identify priorities for water
reform.
The National Water Commission will maintain a high level of consultation with
stakeholders to inform its assessment activities and structure recommendations for
ongoing water reform.
Outcome Expense Statement
Table 2.1 provides an overview of the total expenses for outcome 1, by programme.
261
National Water Commission Budget Statements
Table 2.1: Budgeted Expenses for Outcome 1
Outcom e 1: Inform ed decisions by governm ents on
national w ater issues, and im proved m anagem ent of
Australia's w ater resources through advocacy,
facilitation and independent advice
Program 1.1: Water Reform
Administered expenses
Ordinary annual services (Appropriation Bill No. 1)
Departmental expenses
Departmental appropriation 1
Expenses not requiring appropriation in the Budget year
Total expenses for Outcom e 1
Average Staffing Level (num ber)
1
2
2013-14
2014-15
Estimated
actual
expenses
$'000
Estimated
expenses
-
-
8,302
313
4,922
182
8,615
5,104
2013-14
37
2014-15
11
Departmental Appropriation is "Ordinary annual servic es (Appropriation Bill No. 1)"
2
Expenses not requiring appropriation in the Budget year is made up of Deprec iation Expense,
Amortisation Expense and Audit Fees
262
$'000
National Water Commission Budget Statements
Contributions to Outcome 1
Programme 1.1: Water Reform
Programme Objective
Assist Australian governments’ implementation of the National Water Initiative
(NWI) to improve the management of Australia’s water resources by:
•
assessing, monitoring and providing advice and recommendations on priority
national issues related to water management in Australia and progress in
implementing the NWI; and
•
working with all Australian governments and other stakeholders to facilitate
reform initiatives.
Programme Expenses
•
The National Water Commission (NWC) has been appropriated funding in 201415 to meet the cost of the completion of its Triennial Assessment report and
subordinate reports and for closure activities. Employee expense funding is
based on a stepped reduction in staff resources and the payment of separation
costs if needed. The NWC will cease its operations on 31 December 2014 so no
funding beyond 2014-15 is required.
Program Expenses 1.1: Water Reform
('000)
Annual administered expenses:
Other
Annual departmental expenses:
Employees
Suppliers
Expenses not requiring appropriation in
the Budget year 1
Total program expenses
2013-14
Estimated
actual
$'000
$'000
2015-16
Forw ard
estimate
$'000
2016-17
Forw ard
estimate
$'000
2017-18
Forw ard
estimate
$'000
-
-
-
-
-
5,771
2,531
3,539
1,383
-
-
313
8,615
182
5,104
-
1
2014-15
Budget
-
-
Expenses not requiring appropriation in the Budget year is made up of Depreciation Expense,
Amortisation, Expense and Audit Fees.
263
-
National Water Commission Budget Statements
Programme 1.1 Deliverables
•
Assessment, monitoring and evaluation activities on priority issues related to
water management in Australia.
•
Report to the Minister and jurisdictions on progress with implementation of the
NWI, including delivery of the Triennial Assessment Report and subordinate
reports in 2014.
•
Provide information and advice to governments, stakeholders and the
community to inform improved water management.
Programme 1.1 Key Performance Indicators
•
Strategic assessments and advice provided to the Minister and jurisdictions on
national water reform issues are credible and independent.
•
The Triennial Assessment Report and subordinate reports are delivered on time
and are credible and independent.
•
Engagement with all Australian governments and other stakeholders contributes
to water reform.
264
National Water Commission Budget Statements
Section 3: Explanatory Tables and Budgeted Financial
Statements
Section 3 presents explanatory tables and budgeted financial statements which provide
a comprehensive snapshot of agency finances for the 2014-15 Budget year. It explains
how budget plans are incorporated into the financial statements and provides further
details of the reconciliation between appropriations and programme expenses,
movements in administered funds, special accounts and Australian Government
Indigenous expenditure.
3.1
Explanatory tables
3.1.1 Movement of Administered Funds Between Years
There are no movement of administered funds between years for the NWC.
3.1.2 Special Accounts
The NWC does not operate a special account.
3.1.3 Australian Government Indigenous Expenditure
The Australian Government Indigenous Expenditure Statement 2014-15 is not
applicable because the NWC has no Indigenous specific expenses.
265
National Water Commission Budget Statements
3.2
Budgeted financial statements
3.2.1 Differences in Agency Resourcing and Financial Statements
There are no differences between the resource information presented in the Budget
Papers and the Portfolio Budget Statements as a result of differences between
Australian Accounting Standards (AAS) and Government Financial Statistics (GFS).
3.2.2 Analysis of Budgeted Financial Statements
The change in the level of funding for the National Water Commission (NWC) in 201415 and future years reflects the government’s decision to cease the operations of the
NWC and to reallocate some of its functions to other agencies.
Funding in 2014-15 includes employee and supplier expenses for the completion and
reporting of the Triennial Assessment into the Australian, State and Territory
governments’ implementation of their commitments under the NWI and for closure
activities.
The financial statements have been presented to reflect the closure of the NWC.
266
National Water Commission Budget Statements
3.2.3 Budgeted Financial Statements Tables
Table 3.2.1 Comprehensive Income Statement (Showing Net Cost
of Services) for the period ended 30 June
Estimated
actual
2013-14
$'000
Budget
estimate
2014-15
$'000
Forw ard
estimate
2015-16
$'000
Forw ard
estimate
2016-17
$'000
Forw ard
estimate
2017-18
$'000
EXPENSES
Employee benefits
Suppliers
Depreciation and amortisation
Total expenses
5,771
2,607
237
8,615
3,539
1,436
129
5,104
-
-
-
LESS:
OWN-SOURCE INCOME
Ow n-source revenue
Other
Total ow n-source revenue
-
-
-
-
-
76
76
76
53
53
53
-
-
-
Net cost of (contribution by)
services
8,539
5,051
-
-
-
Revenue from Government
8,302
4,922*
-*
-*
-*
Gains
Other
Total gains
Total ow n-source incom e
Surplus (Deficit) attributable to
the Australian Governm ent
(237)
(129)
-
-
-
Total com prehensive incom e (loss)
attributable to the Australian
Governm ent
(237)
(129)
-
-
-
Note: Im pact of Net Cash Apppropriation Arrangem ents
2013-14
2014-15
$'000
$'000
Total Com prehensive Incom e
(loss) excluding depreciation/am ortisation
expenses previously funded through
revenue appropriations.
less depreciation/amortisation expenses
previously funded through revenue
appropriations 1
237
129
2015-16
$'000
2016-17
$'000
2017-18
$'000
-
-
-
-
-
-
Total Com prehensive Incom e
(loss) - as per the Statem ent of
Com prehensive Incom e
(237)
(129)
1
From 2010-11, the Government introduced net cash appropriation arrangements w here Bill 1
revenue appropriations for the depreciation/amortisation expenses of FMA Act agencies w ere
replaced w ith a separate capital budget (the Departmental Capital Budget, or DCB) provided
through Bill 1 equity appropriations. For information regarding DCBs, please refer to Table 3.2.5
Departmental Capital Budget Statement.
Prepared on Australian Accounting Standards basis.
267
-
National Water Commission Budget Statements
Table 3.2.2: Budgeted Departmental Balance Sheet
(as at 30 June)
Estimated
actual
2013-14
$'000
ASSETS
Financial assets
Cash and cash equivalents
Trade and other receivables
Total financial assets
Budget
estimate
2014-15
$'000
Forw ard
estimate
2015-16
$'000
Forw ard
estimate
2016-17
$'000
Forw ard
estimate
2017-18
$'000
181
8,786
8,967
-
-
-
-
44
85
23
152
-
-
-
-
-
-
-
-
368
31
399
-
-
-
-
Provisions
Employee provisions
Other provisions
Total provisions
1,320
149
1,469
-
-
-
-
Liabilities included in disposal
groups held for sale
Total liabilities
1,868
-
-
-
-
Net assets
7,251
-
-
-
-
Non-financial assets
Land and buildings
Property, plant and equipment
Intangibles
Other non-financial assets
Total non-financial assets
Assets held for sale
Total assets
LIABILITIES
Payables
Suppliers
Other payables
Total payables
9,119
EQUITY*
Parent entity interest
Contributed equity
Reserves
Retained surplus
(accumulated deficit)
Total parent entity interest
3,159
595
-
-
-
-
3,497
7,251
-
-
-
-
Total Equity
7,251
-
-
-
-
268
National Water Commission Budget Statements
Table 3.2.3: Departmental Statement of Changes in Equity —
Summary of Movement (Budget Year 2014-15)
Retained
Asset
Other Contributed
earnings revaluation reserves
equity/
reserve
capital
$'000
$'000
$'000
$'000
Opening balance as at 1 July 2014
Balance carried forw ard from
previous period
Adjusted opening balance
Surplus (deficit) for the period
Transactions w ith ow ners
Distributions to owners
Cash transfers to the OPA
Equity adjustment on cessation
$'000
3,497
3,497
595
595
-
3,159
3,159
7,251
7,251
-
-
-
-
-
Com prehensive incom e
Other comprehensive income
Total comprehensive income
of w hich:
Attributable to the Australian Government
Total
equity
(129)
-
-
-
(129)
(129)
-
-
-
(129)
(129)
-
-
-
(129)
(3,368)
-
(595)
-
(3,159)
(3,368)
(3,754)
Contributions by owners
Equity Injection - Departmental capital
Budget (DCB)
Sub-total transactions with owners
(3,368)
Estim ated closing balance
as at 30 June 2015
Closing balance attributable to the
Australian Governm ent
Prepared on Australian Accounting Standards basis.
269
-
-
-
-
(595)
-
(3,159)
(7,122)
-
-
-
-
-
-
-
-
National Water Commission Budget Statements
Table 3.2.4: Budgeted Departmental Statement of Cash Flows
(for the period ended 30 June)
Estimated
actual
2013-14
$'000
OPERATING ACTIVITIES
Cash received
Appropriations
Total cash received
Cash used
Employees
Suppliers
Total cash used
Net cash from (used by)
operating activities
INVESTING ACTIVITIES
Cash received
Total cash received
Cash used
Purchase of property, plant
and equipment
Total cash used
Net cash from (used by)
investing activities
FINANCING ACTIVITIES
Cash received
Contributed equity
Total cash received
Budget
estimate
2014-15
$'000
Forw ard
estimate
2015-16
$'000
Forw ard
estimate
2016-17
$'000
Forw ard
estimate
2017-18
$'000
8,458
8,458
6,507
6,507
-
-
-
5,764
2,540
8,304
4,859
1,599
6,458
-
-
-
154
49
-
-
-
-
-
-
-
-
(36)
(230)
-
-
-
(36)
(230)
-
-
-
(36)
(230)
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(181)
-
-
-
181
-
-
-
-
-
-
-
-
Cash used
Total cash used
Net cash from (used by)
financing activities
Net increase (decrease)
in cash held
118
Cash and cash equivalents at the
beginning of the reporting period
63
Cash and cash equivalents at the
end of the reporting period
181
Prepared on Australian Accounting Standards basis.
270
National Water Commission Budget Statements
Table 3.2.5: Departmental Capital Budget Statement
Estimated
actual
2013-14
$'000
Budget
estimate
2014-15
$'000
Forw ard
estimate
2015-16
$'000
Forw ard
estimate
2016-17
$'000
Forw ard
estimate
2017-18
$'000
NEW CAPITAL APPROPRIATIONS
Equity injections - Bill 2
Total new capital appropriations
1,238
1,238
-
-
-
-
Provided for:
Purchase of non-financial assets
Total Item s
1,238
1,238
-
-
-
-
-
230
-
-
-
36
36
230
-
-
-
36
230
-
-
-
36
230
-
-
-
PURCHASE OF NON-FINANCIAL
ASSETS
Funded by capital appropriations
Funded internally from
departmental resources 2
TOTAL
RECONCILIATION OF CASH
USED TO ACQUIRE ASSETS
TO ASSET MOVEMENT TABLE
Total purchases
Total cash used to
acquire assets
1
1
Funded from Appropriation Bill (No. 2) 2013-14 equity injection
2
Funding source includes current Bill 1 and prior year Act 1 appropriations (excluding amounts
from the DCB).
Prepared on Australian Accounting Standards basis.
271
National Water Commission Budget Statements
Table 3.2.6: Statement of Asset Movements (2014-15)
Asset Category (as appropriate)
As a t 1 July 2 0 14
Gross book value
Ac c umulated deprec iation/amortisation
and impairment
O pe ning ne t book ba la nc e
Land
Buildings
$'000
$'000
Other property,
plant and
equipment
$'000
Heritage
and c ultural
Investment
property
$'000
$'000
Computer
software and
intangibles
$'000
L&B, IP&E
held for sale
Other
Total
$'000
$'000
$'000
-
442
220
-
-
402
-
-
1,064
-
(442)
-
(176)
44
-
-
(317)
85
-
-
(935)
12 9
272
CAP ITAL AS S ET ADDITIO NS
Estima te d e xpe nditure on
ne w or re pla c e me nt a sse ts
By purc hase - appropriation equity 1
By purc hase - appropriation ordinary
2
annual servic es
Tota l a dditions
-
230
-
-
-
-
-
-
230
-
230
-
-
-
-
-
-
230
O the r move me nts
Deprec iation/amortisation expense
Other movements
Tota l othe r move me nts
-
(230)
(2 3 0 )
-
-
-
-
(129)
(230)
(3 5 9 )
As a t 3 0 June 2 0 15
Gross book value
Ac c umulated deprec iation/amortisation
and impairment
Closing ne t book ba la nc e
(44)
(4 4 )
(85)
(8 5 )
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
1
"Appropriation equity" refers to equity injections provided through Appropriation Bill (No.2) 2013-14.
"Appropriation ordinary annual services" refers to funding provided through Appropriation Bill (No.1) 2014-15 for
depreciation / amortisation expenses, DCBs or other operational expenses.
2
Prepared on Australian Accounting Standards basis.
272