Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
This Model Annual Report has been prepared as a guide and includes the minimum annual reporting requirements of the Financial Management Act 2006 and Treasurer’s instructions. However, agencies should be aware that the Models are for general use and are not intended to cover every potential circumstance.
Other methods of presenting financial statements may also be suitable.
Further reporting requirements are specified in the Public Sector Commission’s Annual Reporting Framework available at http://www.publicsector.wa.gov.au/
31.12.2014 Page 2 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Statement of Compliance ..................................................................................................................................4
Overview ..............................................................................................................................................................5
Executive Summary ..........................................................................................................................................5
Operational Structure .......................................................................................................................................5
Performance Management Framework ............................................................................................................8
Outcome Based Management Framework ..................................................................................................8
Changes to Outcome Based Management Framework ...............................................................................8
Shared Responsibilities with Other Agencies ..............................................................................................8
Agency Performance ..........................................................................................................................................9
Report on Operations .......................................................................................................................................9
Actual Results versus Budget Targets .........................................................................................................9
Significant Issues Impacting the Agency...................................................................................................... 11
Disclosures and Legal Compliance ............................................................................................................... 12
Financial Statements ..................................................................................................................................... 12
Certification of Financial Statements ......................................................................................................... 12
Statement of Comprehensive Income ....................................................................................................... 13
Statement of Financial Position ................................................................................................................. 15
Statement of Changes in Equity ................................................................................................................ 17
Statement of Cash Flows .......................................................................................................................... 18
Index of Notes to the Financial Statements................................................................................................... 20
Notes to the Financial Statements ............................................................................................................ 23
Additional Key Performance Indicator Information ........................................................................................ 84
Ministerial Directions ..................................................................................................................................... 86
Other Financial Disclosures........................................................................................................................... 86
Governance Disclosures ............................................................................................................................... 87
Other Legal Requirements ............................................................................................................................ 87
Government Policy Requirements ................................................................................................................. 87
31.12.2014 Page 3 of 87

Reference
FMA sec 63
TI 902
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
For year ended 31 December 2014
HON MICHAEL JACKSON
MINISTER FOR INFORMATION TECHNOLOGY
In accordance with section 63 of the Financial Management Act 2006 , we hereby submit for your information and presentation to Parliament, the Annual Report of the Model
Statutory Authority for the financial year ended 31 December 2014.
The Annual Report has been prepared in accordance with the provisions of the Financial
Management Act 2006 and [ any other relevant written law ].
(Signature)
B. Gate
Chairman of Accountable Authority
1 February 2015
(Signature)
H. Norman
Member of Accountable Authority
1 February 2015
AASB 101.138(a)
Postal
PO Box 9999
Address Electronic
1 William Street Internet: www.authority.wa.gov.au
Perth WA 6000 Perth WA 6000 Email: customer.service@authority.wa.gov.au
Telephone: 61 8 6551 0000
Facsimile: 61 8 6551 1111
Commentary:
AASB 101 requires the following disclosures:
 the domicile and legal form of the entity; and
 its country of incorporation and the address of its registered office (or principal place of business, if different from the registered office).
31.12.2014 Page 4 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
TI 903
TI 903(5)
TI 903(6)
AASB 101.138(a)
TI 903(6)(ii))
TI 903(6)

The Authority received a commendation from the State Government for its services in providing assistance to public sector agencies to complement the corporate services reforms.

Customer surveys indicated that 95 per cent of agencies rated the services provided for the implementation of corporate services reforms as exceptional.
 The Authority’s research and development project on software development for public sector accounting is on schedule and is expected to be completed in 2015.
Commentary:
Include a statement from the accountable authority that includes performance highlights and/or other significant events impacting on the agency.
The Model Statutory Authority delivers services through the following divisions:

Information Technology;

Customer Relations; and

Corporate Services.
Commentary:
Under this section, agencies are required to disclose a summary of activities and responsibilities of each division or its equivalent.
The Model Statutory Authority was established under section 5 of the Enabling Act 1990 , listed as a statutory authority on Schedule 1 of the Financial Management Act 2006 and is subject to the provisions of the Public Sector Management Act 1994 .
The Hon. Michael Jackson, BCom MLA, Minister for Information Technology.
AASB 101.138(b)
To provide leadership, support and services necessary to ensure that Western
Australians have easy and affordable access to a diverse range of information technology.
31.12.2014 Page 5 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
TI 903(6)
The Board
Chief Executive Officer
Corporate Services Customer Relations
Information
Technology
Finance and
Administration
Information
Services
Human
Resources
Product
Development
Customer
Advice
Board members are appointed for a three year period by the Minister for Information
Technology. Members are appointed according to their expertise and experience in areas relevant to the Model Statutory Authority’s activities.
Mr Bill Gate (Chairman)
Mr Gate was reappointed Chairman of the Model Statutory Authority for a second three-year term in April 2013. Mr Gate is currently a Director of Microsoft Corporation and a member of the Word for Windows Commission. He has had a long involvement with the computer manufacturing sector and is a past Chairman of the State
Govern ment’s Information Technology Advisory Committee. He is also a member or patron of a number of community organisations.
Mr Harvey Norman
Mr Norman was reappointed to the Board for a second three-year term in April 2012. Mr
Norman, formerly managing director of IBM, is also a Board member of the April May
Trust. In 2004 Mr Norman was awarded the Order of Australia for services to the
Western Australian community.
Mrs Jessica Rabbit
Mrs Rabbit was reappointed to the Board for a second three-year term in April 2012. Mrs
Rabbit has a Bachelor of Commerce from the University of Western Australia and is a
Member of the Institute of Public Accountants (IPA). She has worked within the information technology industry for many years and has a high level of expertise at both operational and managerial levels.
31.12.2014 Page 6 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
TI 903(6)(v)-(vii)
Dr Bill King PhD (Chief Executive Officer)
Mr King has extensive experience in corporate management and public sector information technology.
Elliot James BCom CA (Director Information Technology)
Mr James has 7 years public sector management experience and 15 years corporate advisory experience in the private sector.
Chris Fleming BCom FCPA (Director Corporate Services, Chief Finance Officer)
Mr Fleming has 17 years experience in public sector finance, in addition to experience in the private sector.
Kevin Smith BA (Hons) (Director Customer Relations)
Mr Smith has 10 years experience in public sector customer relations.
The Authority assists the Minister for Information Technology in administration the following Acts:


Information Technology Act 1951-1983
Information Protection Act 1959 .
; and
Commentary:
Include the name of and authority for establishment of each subsidiary, related and affiliated body and information about the legislation administered pertaining to each subsidiary and related body.










In the performance of its functions, the Model Statutory Authority complies with the following relevant written laws:
 Auditor General Act 2006 ;
 Contaminated Sites Act 2003 ;
 Disability Services Act 1993 ;
Equal Opportunity Act 1984 ;
Financial Management Act 2006
Freedom of Information Act 1992
Industrial Relations Act 1979 ;
;
;
Minimum Conditions of Employment Act 1993
Occupational Safety and Health Act 1984
Public Sector Management Act 1994
Salaries and Allowances Act 1975 ;
;
;
;
State Records Act 2000 ; and
State Supply Commission Act 1991 .
31.12.2014 Page 7 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
TI 904(2), 903(7)
AASB 101.138(b)
Commentary:
In addition to the abovementioned legislations, where applicable agencies may consider disclosing specialised legislation that impacts upon their area of operations. Although the above information is not mandatory, listing the key legislation impacting on the agency’s activities provides useful information to users.
Outcome 1
Sustainability of the provision of information technology
Key Effectiveness Indicators
The proportion (%) of government agencies using sustainable information technology plans
Service 1
Information Technology
Key Efficiency Indicator
Cost per sustainable IT plan
Outcome 2
The improvement to the level of information technology for the public sector
Service 2
Training and Assistance
Key Effectiveness Indicators
The proportion (%) of government agencies upgrading their information technology
Key Efficiency Indicator
(a) Clients assisted per staff member (client/staff ratio)
(b) Cost per hour of service delivered
Outcome 3
Improvement to the competitiveness of the
Western Australian technology industry
Key Effectiveness Indicators
(a) Gross value of goods and services produced
(b) Uptake of new technology (%)
Service 3
Competition Policy
Key Efficiency Indicator
(a) Cost per advisory program
(b) Cost per hour of service delivered
Commentary:
Include a description of the links between the relevant government goals, agency level government desired outcomes and services.
The Model Statutory Authority’s Outcome Based Management Framework did not change during 2014.
Commentary:
Include a discussion of any changes to agency level government desired outcomes, services and key performance indicators from the previous year. This segment should be included even if there is a nil return.
The Model Statutory Authority did not share any responsibilities with other agencies in
2014.
Commentary:
Include a statement of which services are being delivered jointly with other agencies and how the agency is contributing to other agencies’ government desired outcomes. This segment should be included even if there is a nil return.
31.12.2014 Page 8 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
FMA sec 61(1)(c)
TI 903(8)
TI 808(4)
Commentary:
The Report on Operations must be prepared in accordance with section 61(1)(c) of the
FMA and TI 903.
Include a brief discussion of agency performance, including references to key achievements and other key highlights about agency performance during the year.
A brief discussion of the reason(s) for any material variations between actual performance and the targets specif ied in the agency’s resource agreement, budget statements, statement of corporate intent or any equivalent document should also feature in this section, as well as the impact of any external factors.
Include any narrative necessary to explain the results a nd describe the agency’s performance, including any material variations and the impact of any external factors.
Statutory authorities submitting resource agreements as part of the annual budget process are required to apply TI 808 Resource Agreements and encouraged to use a format similar to that shown in the Guidelines. Agencies may modify the content in the tables below according to the agency’s structure and reporting needs.
2014
Target (1)
$000
2014
Actual
$000
Variation (2)
$000
Total cost of services (expense limit)
(sourced from Statement of Comprehensive
Income) 804,482 799,899 4,583 (a)
Net cost of services
(sourced from Statement of Comprehensive
Income)
Total equity
(sourced from Statement of Financial Position)
Net increase / (decrease) in cash held
(sourced from Statement of Cash Flows)
773,708 766,798
1,358,941 1,459,592 100,651 (c)
(3,127) (2,950)
6,910 (b)
177
Approved full time equivalent (FTE) staff level 423 420 3
(1) As specified in the Budget Statements.
(2) Further explanations are contained in Note 43 ‘Explanatory statement’ to the financial statements.
(a) The variation is mainly due to implementing tighter cost controls ($14,593,000), which was partially offset by additional costs ($11,220,000) in hiring consultants to deliver services.
(b) In addition to the explanation above regarding expenses, the variation was mainly due to an increase in user charges and fees, and sales revenue ($2,050,000) as a result of better than expected demand.
(c) The variation is mainly due to a greater than expected asset revaluation increments for land and buildings
($60,000,000) and infrastructure ($40,000,000).
31.12.2014 Page 9 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Commentary:
More detailed information, including long term trends and supporting footnotes, may be disclosed either in this section or in the section ‘Disclosures and Legal Compliance’. If further information is disclosed elsewhere, a cross reference to the page number would be required.
2014
Target (1)
Outcome 1: Sustainability of the provision of information technology
Key Effectiveness Indicator(s):
The proportion (%) of government agencies using sustainable information technology plans 85%
2014
Actual
Variation (2)
86% 1%
Service 1: Information Technology
Key Efficiency Indicator(s):
Cost per sustainable IT plan $22,700 $21,950 $750
Outcome 2: The improvement to the level of information technology for the public sector
Key Effectiveness Indicator(s):
The proportion (%) of government agencies upgrading their information technology
Service 2: Training and Assistance
Key Efficiency Indicator(s):
Clients assisted per staff member
Cost per hour of service delivered
75%
0.36
$5,000
76%
0.39
$5,311
1%
0.03
($311)
Outcome 3: Improvement to the competitiveness of the Western Australian technology industry
Key Effectiveness Indicator(s):
Gross value of goods and services produced
Uptake of new technology (%)
Service 3: Competition Policy
Key Efficiency Indicator(s):
Cost per advisory program
Cost per hour of service delivered
$200m
66%
$19,300
$5,000
$206m
68%
$18,900
$5,155
$6m
2%
$400
($155)
(1) As specified in the Budget Statements.
(2) Explanations for the variations between target and actual results are presented in note 43 ‘Explanatory statement’ to the financial statements.
Commentary:
More detailed information, including long term trends and supporting footnotes, may be disclosed either in this section or in the section ‘Disclosures and Legal Compliance’. The report on operations shall include any narrative necessary to explain the results and describe the agency’s performance, including any material variations and the impact of any external factors.
If further information is disclosed elsewhere, a cross reference to the page number would be required.
Where there is no resource agreement, the key performance indicators approved under
TI 904 are to be used in this reporting process by reporting, at a minimum, a summary assessment of actual performance relative to target performance as set in the budget statements, statement of corporate intent or any equivalent document in accordance with
TI 903(8).
31.12.2014 Page 10 of 87

Reference
TI 903(9)
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
The rapid pace of technological advancement is leading to a reduction in agency costs and creates opportunities to deliver enhanced services.
There is an expectation in society that services delivered by the Model Statutory Authority will be enhanced to take advantage of technological advances.
There were no changes in any written law that affected the Authority during the financial year.
It is likely that Authority operations will undergo a period of consolidation during 2015 as a result of the full impact of changes made during the 2014 financial year. The most significant areas for change will be in:
 continuation of the research and development project on software development for public sector accounting. This project is expected to deliver significant cost savings to the public sector; and
 measures taken in the current period with respect to information technology services should begin to deliver significant cost savings and greater sales growth.
Commentary:
Include a brief description of current and emerging issues and trends impacting on the agency’s operations, as well as the operations of any subsidiary and/or related bodies, and how the agency and bodies intend to address them. This may include economic and social trends and changes in any written law and significant judicial decisions affecting the agency or bodies. Any likely developments in the operations of the agency or bodies and the forecast results of those developments should also be disclosed, unless the disclosure is likely to be prejudicial to the agency.
31.12.2014 Page 11 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
FMA sec 62(2)
TI 947
AASB 110.17
For the year ended 31 December 2014
The accompanying financial statements of the Model Statutory Authority have been prepared in compliance with the provisions of the Financial Management Act 2006 from proper accounts and records to present fairly the financial transactions for the financial year ended 31 December 2014 and the financial position as at 31 December 2014.
At the date of signing we are not aware of any circumstances which would render the particulars included in the financial statements misleading or inaccurate.
(Signature)
C. Fleming
Chief Finance Officer
1 February 2015
(Signature)
B. Gate
Chairman of Accountable Authority
1 February 2015
(Signature)
H. Norman
Member of Accountable Authority
1 February 2015
FMA sec 62(1)
FMA sec 62(2)
AASB 110.17
Commentary:
Financial statements are to be prepared in accordance with the accounting standards and other requirements issued by the AASB.
Financial statements include any financial statements and information prescribed by the
Treasurer’s instructions and any other financial information required by a written direction given by the Minister.
Disclose the date when the financial statements were authorised for issue and who gave that authorisation. If the entity’s owners or others have the power to amend the financial statements after issue, the entity shall disclose that fact.
31.12.2014 Page 12 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
FMA sec 61(1)(a),
62(1), TI 1102,
AASB 101.10(b),
81-105
AASB Framework
For the year ended 31 December 2014
TI 1102(11)(i)
TI 1102(11)(ii),
AASB 1004.18
TI 1102(11)(ii),
AASB 1004.62
AASB 101.85
AASB 101.81A(a)
AASB 101.81A(b)
AASB 101.85, 96
AASB 101.81A(c)
AASB 101.85, 88,
89, 99, 102, 104
AASB 101.102
AASB 101.82(b)
AASB 101.85
AASB 101.85
AASB 101.98(c)
AASB 101.102
AASB 101.88, 89
AASB 101.82(a),
AASB 118.35
AASB 118.35(b)(i)-
(ii)
AASB 118.35(b)(i)
AASB 1004.18
AASB 118.35(b)(iii)
AASB 101.98(c)
COST OF SERVICES
Expenses
Employee benefits expense
Supplies and services
Depreciation and amortisation expense
Finance costs
Accommodation expenses
Grants and subsidies
Cost of sales
Loss on disposal of non-current assets
Other expenses
Total cost of services
Income
Revenue
User charges and fees
Sales
Commonwealth grants and contributions
Interest revenue
Other revenue
Total Revenue
Gains
Gain on disposal of non-current assets
Other gains
Total Gains
Total income other than income from State Government
NET COST OF SERVICES
Income from State Government
Service appropriation
Liabilities assumed
Assets transferred
Services received free of charge
Royalties for Regions Fund
Total income from State Government
SURPLUS/(DEFICIT) FOR THE PERIOD
Note
7
8
9
10
11
12
15
18
13
14
15
16
17
18
19
20
2014
$000
669,757
61,980
33,330
263
6,963
9,801
5,560
-
12,245
799,899
-
4,400
-
800,634
33,836
OTHER COMPREHENSIVE INCOME
Items not reclassified subsequently to profit or loss
Remeasurements of defined benefit liability
Changes in asset revaluation surplus
Total other comprehensive income
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD
37
See also note 52 ‘Schedule of Income and Expenses by Service’.
The Statement of Comprehensive Income should be read in conjunction with the accompanying notes.
-
100,000
100,000
133,836
16,497
14,267
1,100
990
-
32,854
170
77
247
33,101
766,798
796,234
-
2013
$000
-
599,002
56,345
33,820
347
6,330
8,910
3,700
-
13,074
721,528
4,000
-
706,101
19,210
-
25,500
25,500
44,710
14,997
12,970
1,000
900
-
29,867
4,700
70
4,770
34,637
686,891
702,101
-
31.12.2014 Page 13 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 101.85, 96
Commentary:
Supplies and services – include administrative expenses.
Finance costs – include borrowing costs. AASB 123.5 defines borrowing costs as interest and other costs incurred by an entity in connection with the borrowing of funds.
Other finance costs would include discounting expense incurred under AASB 5.17 and
AASB 137. The discounting of employee benefits should be recognised under employee benefits expense rather than separately as a finance cost.
Cost of sales – Australian Accounting Standards do not allow the disclosure of a net trading result in the Statement of Comprehensive Income. However, where immaterial, sales and the cost of goods sold would be included under other revenue and other expense respectively.
Losses or gains on disposal of non-current assets or other assets – subject to materiality, gains or losses may be displayed separately such as losses or gains on disposal of noncurrent and other assets. Groups of similar transactions would normally be reported on a net basis. Immaterial losses or gains can be included in other expenses or other gains.
Assets transferred – This is for transfers made at the transferor agency’s discretion and represents an expense to the transferor and revenue to the transferee.
Other comprehensive income – AASB 101.82A requires separate line item for each class of other comprehensive income which are grouped on the basis of whether or not they will be reclassified subsequently to profit or loss. AASB 101.7 – Other comprehensive income may also include gains and losses arising from translating the financial statements of a foreign operation, gains and losses on remeasuring available for sale financial assets and the effective portion of gains and losses on hedging instruments in a cash flow hedge.
Surplus/(deficit) for the period – any reduction in service appropriation under Treasury’s
Cash Management Policy resulting in a deficit for the period should be explained in the
Agency Performance section of the Annual Report.
Remeasurements of defined benefit liability - Example disclosures of transactions for defined benefit plans are not addressed in this model. Further guidance may be found in the Note 35 ‘Provisions’ of the Model Annual Report for Statutory Authorities
(Commercial).
31.12.2014 Page 14 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
FMA sec 61(1)(a),
62(1),
AASB 101.10(a),
60-80
AASB 101.60, 66
AASB 101.54(i)
TI 1103(7)
AASB 101.54(g)
AASB 101.54(h)
TI 1103(7),
AASB 101.55
AASB 101.55
AASB 5.38,
AASB 101.54(j)
AASB 101.60
AASB 101.54(g)
AASB 101.54(h)
TI 1103(7),
AASB 101.55
AASB 101.54(a)
AASB 101.54(a)
AASB 101.54(c)
AASB 101.55
AASB 101.60, 69
AASB 101.54(k)
AASB 101.54(m)
AASB 101.54(m)
AASB 101.54(l)
AASB 101.55
AASB 5.38,
AASB 101.54(p)
AASB 101.60, 69
AASB 101.54(k)
AASB 101.54(m)
AASB 101.54(l)
AASB 101.55
As at 31 December 2014
ASSETS
Current Assets
Cash and cash equivalents
Restricted cash and cash equivalents
Inventories
Receivables
Amounts receivable for services
Other current assets
Non-current assets classified as held for sale
Total Current Assets
Non-Current Assets
Inventories
Receivables
Amounts receivable for services
Property, plant and equipment
Infrastructure
Intangible assets
Other non-current assets
Total Non-Current Assets
TOTAL ASSETS
LIABILITIES
Current Liabilities
Payables
Borrowings
Amounts due to the Treasurer
Provisions
Other current liabilities
Liabilities directly associated with non-current assets classified as held for sale
Total Current Liabilities
Non-Current Liabilities
Payables
Borrowings
Provisions
Other non-current liabilities
Total Non-Current Liabilities
TOTAL LIABILITIES
NET ASSETS
25
26
22
23
24
Note
38
21, 38
22
23
24
2014
$000
1,465
50
18,310
8,555
14,239
540
2,900
46,059
-
-
71,903
27
28
30
25
738,493
632,490
455
60
647,326
601,077
1,008
-
1,443,401 1,297,336
1,489,460 1,341,851
34
35
36
32
33
2,787
1,070
2,400
15,950
-
2,040
1,330
7,970
13,247
-
32
33
-
22.207
-
2,205
-
24,587
-
2,220
35
36
5,456
-
7,661
1,288
-
3,508
29,868 28,095
1,459,592 1,313,756
2013
$000
4,625
50
16,375
2,150
18,137
550
2,628
44,515
-
47,925
-
31.12.2014 Page 15 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 101.54(r)
AASB 101.54(r)
AASB 101.54(r)
EQUITY
Contributed equity
Reserves
Accumulated surplus/(deficit)
TOTAL EQUITY
37
118,000
305,500
106,000
205,500
1,036,092 1,002,256
1,459,592 1,313,756
The Statement of Financial Position should be read in conjunction with the accompanying notes.
31.12.2014 Page 16 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
FMA sec 61(1)(a), 62
AASB 101.10(c),
106-110 For the year ended 31 December 2014
AASB 108.19(b),
42(b),
AASB 101.106(b)
Balance at 1 January 2013
Changes in accounting policy or correction of prior period errors
Restated balance at 1 January 2013
Note
Contributed equity
$000
37
Reserves
$000
41,000 180,000
Accumulated surplus/
(deficit) Total equity
$000
983,046
$000
1,204,046
- -
41,000 180,000
- -
983,046 1,204,046
Surplus/(deficit)
AASB 101.106(d)(i)
AASB 101.106(d)(ii) Other comprehensive income
-
-
-
25,500
19,210
-
19,210
25,500
AASB 101.106(a)
AASB 101.106(d)(iii)
Total comprehensive income for the period
Transactions with owners in their capacity as owners:
Capital appropriations
Other contributions by owners
Distributions to owners
-
65,000
-
-
25,500
-
-
-
19,210
-
-
-
44,710
65,000
-
-
Total
Balance at 31 December 2013
65,000 - - 65,000
106,000 205,500 1,002,256 1,313,756
AASB 101.106(d)(i)
AASB 101.106(d)(ii)
Balance at 1 January 2014
Surplus/(deficit)
Other comprehensive income
AASB 101.106(a)
AASB 101.106(d)(iii)
Total comprehensive income for the period
Transactions with owners in their capacity as owners:
Capital appropriations
Other contributions by owners
Distributions to owners
Total
Balance at 31 December 2014
106,000 205,500 1,002,256
- -
- 100,000
33,836
-
33,836
100,000
- 100,000 33,836 133,836
12,000
-
-
-
-
-
12,000
-
- - - -
12,000 - - 12,000
118,000 305,500 1,036,092 1,459,592
The Statement of Changes in Equity should be read in conjunction with the accompanying notes.
Commentary:
Changes in accounting policy or correction of prior period errors
An example of a voluntary change in accounting policy is an increase in the asset capitalisation threshold. Refer to Guidelines in TI 1101.
Under AASB 108, voluntary changes in accounting policy and correction of prior period errors are adjusted against the opening balances of each affected component of equity in the comparatives. Note that changes in accounting policy under AASB 116 and
AASB 138 in respect to the revaluation of assets are not accounted for under AASB 108.
Changes to the revaluation model under these Standards are not applied retrospectively.
Balance at 1 January 2014
In accordance with AASB 108.24, under limited circumstances the current period may be the beginning of the earliest period for which retrospective application is practicable for a change in accounting policy. Refer also to AASB 108.19(b) and AASB 101.106(b).
31.12.2014 Page 17 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
FMA sec 61(1)(a),
62
AASB 101.10(d),
AASB 107
TI 1101(7)(i)
AASB 107.18
AASB 107.14(d)
AASB 107.14(c)
AASB 107.31
AASB 107.31
AASB 107.Aus 20.2
AASB 107.21
AASB 107.16(a)
AASB 107.16(b)
AASB 107.21
AASB 107.17(d)
AASB 107.17(c)
AASB 107.7
For the year ended 31 December 2014
CASH FLOWS FROM STATE GOVERNMENT
Service appropriation
Capital appropriation
Holding account drawdown
Royalties for Regions Fund
Net cash provided by State Government
CASH FLOWS FROM OPERATING ACTIVITIES
Payments
Employee benefits
Supplies and services
Finance costs
Accommodation
Grants and subsidies
GST payments on purchases
GST payments to taxation authority
Other payments
Receipts
Sale of goods and services
User charges and fees
Commonwealth grants and contributions
Interest received
GST receipts on sales
GST receipts from taxation authority
Other receipts
Net cash provided by/(used in) operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Payments
Purchase of non-current assets
Receipts
Proceeds from sale of non-current assets
Net cash provided by/(used in) investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Payments
Repayment of borrowings
Other repayments
Receipts
Proceeds from borrowings
Other proceeds
Net cash provided by/(used in) financing activities
Net increase/(decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the period
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD
Note
2014
$000
2013
$000
757,879 661,652
12,000
18,137
65,000
7,688
- -
788,016 734,340
(663,640) (593,442)
(65,567) (55,556)
(175) (270)
(6,292)
(9,801)
(5,720)
(8,910)
(7,336)
-
(6,829)
-
(12,645) (10,838)
9,989 9,081
16,497
1,100
990
2,345
5,056
77
14,997
1,000
900
1,730
5,034
70
38 (729,402) (648,753)
(58,727) (96,992)
38
2,798 11,190
(55,929) (85,802)
(8,035)
-
2,400
-
(5,635)
(2,950)
(1,090)
-
1,160
-
70
(145)
3,995
1,045
4,140
3,995
The Statement of Cash Flows should be read in conjunction with the accompanying notes.
Commentary:
Finance costs – are equivalent to borrowing costs. Any unwinding of discounts is included in the Statement of Comprehensive Income as they are not cash flows.
Purchase of non-current assets – due to the change in capitalisation threshold where
31.12.2014 Page 18 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014 assets below $5,000 are to be expensed, the cash flows under investing activities represent the extent to which expenditure has been made for resources that are initially recognised as an asset in the Statement of Financial Position. Therefore, expenditure on items below $5,000 is to be classified as an operating activity.
Cash and cash equivalent assets transferred to/from an agency as part of a distribution to/contribution by owners should be reported under ‘Cash flows from State Government’.
31.12.2014 Page 19 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
For the year ended 31 December 2014
Subject
General
General
General
General
General
General
General
General
Income
Income
Income
Income
Income
Income
Income
Income
Expense/Asset
Assets
Assets
Assets
Assets
Assets/Liability
Assets/Liability
Assets
Assets
Assets/Liability
Assets
Assets
Assets
Liability
Liability
Liability
Liability
Liability
Expense
Expense
Revenue/Asset
General
General
General
General
General
General
General
Policy
Note
1
1
1
2
2(a)
2(b)
2(c)
2(d)
2(e)
2(e)
2(e)
Disclosure
Note
Title of the Policy note
Australian Accounting Standards
Early adoption of standards
General
Summary of significant accounting policies
General statement
Basis of preparation
48,49 Reporting entity
20, 37 Contributed equity
Income
Revenue
Sale of goods
2(e)
2(e)
2(e)
2(e)
17
20
Provision of services
Interest
Service appropriations
Grants, donations, gifts and other nonreciprocal contributions
Gains 2(e)
2(f)
2(g)
2(h)
2(i)
2(j)
2(k)
10, 33 Borrowing costs
27, 9 Property, plant and equipment and infrastructure
30 Intangible assets
31 Impairment of assets
26, 19 Non-current assets (or disposal groups) classified as held for sale
9, 10, 11, 27,
33, 40
Leases
2(l) 44 Financial instruments
2(m)
2(m)
2(n)
2(o)
2(p)
2(q)
2(r)
2(s)
2(t)
2(u)
38
21, 38
21, 32
Cash and cash equivalents
Restricted Cash and cash equivalents
Accrued salaries
24 Amounts receivable for services (Holding
Account)
15, 22 Inventories
23 Receivables
32 Payables
33 Borrowings
34 Amounts due to the Treasurer
2(u)
2(u)
2(v)
2(w)
35 Provisions
7, 35 Provisions
– employee benefits
35 Provisions – other
7 Superannuation expense
20 Assets and services received free of charge or for nominal cost
45 Joint operations 2(x)
2(y)
3
4
5
6
6
Comparative figures
Other accounting policies that are not included in this model
Judgements made by management in applying accounting policies
Key sources of estimation uncertainty
Disclosure of changes in accounting policy and estimates
Initial application of an Australian Accounting
Standard
31.12.2014 Page 20 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
This index does not form part of the financial statements.
For the year ended 31 December 2014
Subject Policy
Note
Disclosure
Note
General 6
Title of the Disclosure note
Voluntary changes in accounting policy
General 6
Asset
Asset
Liability
Liability
Liability
Liability
Liability
Equity
Cash Flow
Expense
General
General
General
Asset
Asset
Asset
Asset
Asset
Asset
Asset
Asset
Asset
General
Expense
Expense
Expense
Expense
Expense
Expense
Expense
Expense
Income/Expense
Income
Income
Income
Income/Expense
Income
General
General
General
General
General
General
General
General
2(m)
2(p)
2(q)
2(o)
2(j)
2(g)
2(g)
2(b), (g),
(j) (k), (l)
2(h)
2(e)
2(e)
2(e)
2(e), 2(j)
2(e)
6
2(u)
2(f)
2(i)
2(r)
2(s)
2(t)
2(u)
2(d)
2(l)
2(l)
2(l)
2(l)
2(x)
Future impact of Australian Accounting
Standards not yet operative
Changes in accounting estimates
7, 13, 35 Employee benefits expense
8 Supplies and services
9 Depreciation and amortisation expense
10 Finance costs
11 Accommodation expenses
12 Grants and subsidies
13 Other expenses
14 User charges and fees
15, 22 Trading profit
16 Commonwealth grants and contributions
17 Interest revenue
19 Other gains
18 Net gain/(loss) on disposal of non-current assets
20 Income from State Government
21, 38 Restricted cash and cash equivalents
22, 15 Inventories
23 Receivables
24, 20 Amounts receivable for services (Holding Account)
25 Other assets
26 Non-current assets classified as held for sale
27 Property, plant and equipment
28 Infrastructure
29 Fair value measurements
30 Intangible assets
31 Impairment of assets
32 Payables
33 Borrowings
34 Amounts due to the Treasurer
35 Provisions
36 Other liabilities
37 Equity
38 Notes to the statement of cash flows
39 Services provided free of charge
40 Commitments
41 Contingent liabilities and contingent assets
42 Events occurring after the end of the reporting period
43 Explanatory statement
44 Financial instruments
44(a) Financial risk management objectives and policies
44(b) Categories of financial instruments
44(c) Financial instrument disclosures
45 Joint operations
46 Remuneration of members of the accountable authority and senior officers
47, 13 Remuneration of auditor
31.12.2014 Page 21 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
This index does not form part of the financial statements.
For the year ended 31 December 2014
General 2(c) 48 Related bodies
External
External
General
2(c) 49 Affiliated bodies
50 Special purpose accounts
51 Supplementary financial Information
51(a)
51(b)
51(c)
Write offs
Losses through theft, defaults and other causes
Gifts of public property
External 2(e) 52 Schedule of income and expenses by service
This index does not form part of the financial statements.
31.12.2014 Page 22 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
TI 1101(6)
For the year ended 31 December 2014
The Authority’s financial statements for the year ended 31 December 2014 have been prepared in accordance with Australian Accounting Standards. The term ‘Australian
Acc ounting Standards’ includes Standards and Interpretations issued by the Australian
Accounting Standards Board (AASB).
The Authority has adopted any applicable new and revised Australian Accounting
Standards from their operative dates.
The Authority cannot early adopt an Australian Accounting Standard unless specifically permitted by TI 1101 Application of Australian Accounting Standards and Other
Pronouncements . There has been no early adoption of Australian Accounting Standards that have been issued or amended (but not operative) by the Authority for the annual reporting period ended 31 December 2014.
Commentary:
The Australian Accounting Interpretations are adopted through AASB 1048 Interpretation of Standards and are classified into those corresponding to International Financial
Reporting Interpretations Committee (IFRIC) Interpretations and those only applicable in
Australia. This includes interpretations of both the AASB and the former Urgent Issues
Group (UIG).
The AASB has issued the Framework for the Preparation and Presentation of Financial
Statements (Framework) and has decided to maintain the Statements of Accounting
Concepts SAC 1 and SAC 2. The AASB has continued to revise and maintain accounting standards and those interpretations that are of particular relevance to the
Australian environment, especially those that deal more specifically with not-for-profit entity issues and/or do not have an equivalent IASB Standard or IFRIC Interpretation.
AASB 101.114(b)
TI 1101
AASB 1054.7-9
FMA sec 61(1)(a),
62(1), 78
The Authority is a not-for-profit reporting entity that prepares general purpose financial statements in accordance with Australian Accounting Standards, the Framework,
Statements of Accounting Concepts and other authoritative pronouncements of the
AASB as applied by the Treasurer's instructions. Several of these are modified by the
Treasurer's instructions to vary application, disclosure, format and wording.
The Financial Management Act 2006 and the Treasurer's instructions impose legislative provisions that govern the preparation of financial statements and take precedence over
Australian Accounting Standards, the Framework, Statements of Accounting Concepts and other authoritative pronouncements of the AASB.
Where modification is required and has had a material or significant financial effect upon the reported results, details of that modification and the resulting financial effect are disclosed in the notes to the financial statements.
Commentary:
TIs mandate options and modify application of accounting standards to provide certainty, consistency and appropriate reporting across the public sector. For example, AASB 116 requires land and buildings to be measured at either cost or fair value, while TI 954 mandates the fair value option.
31.12.2014 Page 23 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 101.112(a)
AASB 101.117(a),
AASB 101.27
TI 954
AASB 108.13
AASB 121.9, 38
AASB 101.51(e)
TI 948
AASB 101.122
AASB 101.125
AASB 101.25
TI 951, 1105
AASB 127
The financial statements have been prepared on the accrual basis of accounting using the historical cost convention, except for land, buildings and infrastructure which have been measured at fair value.
The accounting policies adopted in the preparation of the financial statements have been consistently applied throughout all periods presented unless otherwise stated.
The financial statements are presented in Australian dollars and all values are rounded to the nearest thousand dollars ($'000).
Note 4 ‘Judgements made by management in applying accounting policies’ discloses judgements that have been made in the process of applying the Authority’s accounting policies resulting in the most significant effect on amounts recognised in the financial statements.
Note 5 ‘Key sources of estimation uncertainty’ discloses key assumptions made concerning the future and other key sources of estimation uncertainty at the end of the reporting period, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.
Commentary:
Going concern
AASB 101 requires management to assess the Authority’s ability to continue as a going concern when preparing financial statements. The Model does not illustrate an entity encountering either a going concern issue or a deficiency of net assets. Where this occurs the following wording may be appropriate:
“The financial statements have been prepared on a going concern basis which assumes that the Authority will be able to generate sufficient positive cash flows to meet its financial obligations and realise its assets and extinguish its liabilities in the normal course of business [ narrate appropriate causal factors as applicable ].” OR
“Notwithstanding the Authority’s deficiency of net assets, the financial statements have been prepared on the going concern basis. This basis has been adopted as the
Authority is a State Government agency funded by Parliamentary appropriation from the
Con solidated Account.”
The reporting entity comprises the Authority and bodies included at note 48 ‘Related bodies’.
Int 1038
TI 955
AASB Interpretation 1038 Contributions by Owners Made to Wholly-Owned Public Sector
Entities requires transfers in the nature of equity contributions, other than as a result of a restructure of administrative arrangements, to be designated by the Government (the owner) as contributions by owners (at the time of, or prior to transfer) before such transfers can be recognised as equity contributions. Capital appropriations have been designated as contributions by owners by TI 955 Contributions by Owners made to
Wholly Owned Public Sector Entities and have been credited directly to Contributed
Equity.
The transfers of net assets to/from other agencies, other than as a result of a restructure of administrative arrangements, are designated as contributions by owners where the transfers are non-discretionary and non-reciprocal.
AASB 1004.54-56 Commentary:
Repayable capital appropriations are recognised as liabilities. Refer to note 20 ‘Income from State Government’ for further commentary on the application of TI 955.
Transfers of net assets to/from other agencies as a result of a restructure of administrative arrangements are to be accounted for as distributions to owners and
31.12.2014 Page 24 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 118.35(a)
FMA sec 26(2) contributions by owners respectively. See also note 37 ‘Equity”.
Framework 74-77
Revenue recognition
Revenue is recognised and measured at the fair value of consideration received or receivable. Revenue is recognised for the major business activities as follows:
AASB 118.14, 35(a) Sale of goods
Revenue is recognised from the sale of goods and disposal of other assets when the significant risks and rewards of ownership transfer to the purchaser and can be measured reliably.
AASB 118.20, 35(a) Provision of services
Revenue is recognised by reference to the stage of completion of the transaction.
AASB 118.30(a) Interest
Revenue is recognised as the interest accrues.
Commentary:
Interest shall be recognised using the effective interest method, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to the net carrying amount of the financial asset, where applicable.
Service appropriations
Service appropriations are recognised as revenues at fair value in the period in which the
Authority gains control of the appropriated funds. The Authority gains control of appropriated funds at the time those funds are deposited to the bank account or credited to the ‘Amounts receivable for services’ (holding account) held at Treasury.
Commentary:
See also note 20 ‘Income from State Government’ for further information.
AASB 1004.12
AASB 1004.12, 44
AASB 1004.60(a)
TI 1102(8)
AASB 1004.60(b),
(d)
AASB 1004.60(e)
Grants, donations, gifts and other non-reciprocal contributions
Revenue is recognised at fair value when the Authority obtains control over the assets comprising the contributions, usually when cash is received.
Other non-reciprocal contributions that are not contributions by owners are recognised at their fair value. Contributions of services are only recognised when a fair value can be reliably determined and the services would be purchased if not donated.
Royalties for Regions funds are recognised as revenue at fair value in the period in which the Authority obtains control over the funds. The Authority obtains control of the funds at the time the funds are deposited into the Authority’s bank account.
Commentary:
Where contributions recognised as revenues during the reporting period were obtained subject to conditions that they will be expended in a specified manner, and those expenditures had yet to be made at the end of the reporting period, the amounts and nature of the contributions, and the conditions attaching to them are to be disclosed in the notes.
Where contributions recognised as revenues during the reporting period were obtained specifically for the provision of goods or services over a future period, the amounts and nature of the contributions, and the periods to which they relate are to be disclosed.
Where contributions recognised as revenues in a previous reporting period were obtained in respect of the current reporting period, the amounts and nature of the contributions are to be disclosed.
31.12.2014 Page 25 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
Framework 75-76 Gains
Realised and unrealised gains are usually recognised on a net basis. These include gains arising on the disposal of non-current assets and some revaluations of non-current assets.
AASB 123. 8,
Aus 26.1
AASB 123. 26(b)
AASB 123.7, 8
Borrowing costs for qualifying assets are capitalised net of any investment income earned on the unexpended portion of the borrowings. Other borrowing costs are expensed when incurred.
The capitalisation rate used to determine the amount of borrowing costs to be capitalised is the weighted average interest rate applicable to the Authority’s outstanding borrowings during the year, in this case 6.3% (2013: 6.3%).
Commentary:
A qualifying asset is an asset that takes a substantial period of time to get ready for its intended use or sale.
AASB 123 Borrowing Costs removes the option to immediately recognise an expense for borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset. However, AASB 123 still allows not-for-profit public sector entities to continue to choose whether to expense or capitalise borrowing costs relating to qualifying assets.
AASB 116
TI 1101(14)
Capitalisation/expensing of assets
Items of property, plant and equipment and infrastructure costing $5,000 or more are recognised as assets and the cost of utilising assets is expensed (depreciated) over their useful lives. Items of property, plant and equipment and infrastructure costing less than
$5,000 are immediately expensed direct to the Statement of Comprehensive Income
(other than where they form part of a group of similar items which are significant in total).
AASB 116.15
AASB 116.Aus15.1
TI 1102(11)(ii)
Initial recognition and measurement
Property, plant and equipment and infrastructure are initially recognised at cost.
For items of property, plant and equipment and infrastructure acquired at no cost or for nominal cost, the cost is the fair value at the date of acquisition.
AASB 116.31
AASB 116.35
AASB 116.35
Subsequent measurement
Subsequent to initial recognition of an asset, the revaluation model is used for the measurement of land, buildings and infrastructure and historical cost for all other property, plant and equipment. Land, buildings and infrastructure are carried at fair value less accumulated depreciation (buildings and infrastructure only) and accumulated impairment losses. All other items of property, plant and equipment are stated at historical cost less accumulated depreciation and accumulated impairment losses.
Where market-based evidence is available, the fair value of land and buildings is determined on the basis of current market values determined by reference to recent market transactions [ or other basis, describe ]. When buildings are revalued by reference to recent market transactions, the accumulated depreciation is eliminated against the gross carrying amount of the asset and the net amount restated to the revalued amount.
In the absence of market-based evidence, fair value of land and buildings is determined on the basis of existing use. This normally applies where buildings are specialised or where land use is restricted. Fair value for existing use buildings is determined by reference to the cost of replacing the remaining future economic benefits embodied in the asset, i.e. the depreciated replacement cost. Where the fair value of buildings is determined on the depreciated replacement cost basis, the gross carrying amount and the accumulated depreciation are restated proportionately. Fair value for restricted use land is determined by comparison with market evidence for land with similar approximate
31.12.2014 Page 26 of 87

Reference
AASB 116.77(b)
AASB 116.35
AASB 13.B30
TI 1101
AASB 116.31
AASB 116.35
TI 954 Guidelines
AASB 116.41
TI 954 Guidelines
AASB 101.79(b)
AASB 116.50
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014 utility (high restricted use land) or market value of comparable unrestricted land (low restricted use land).
Land and buildings are independently valued annually by the Western Australian Land
Information Authority (Valuation Services) and recognised annually to ensure that the carrying amount does not differ materially from the asset’s fair value at the end of the reporting period.
Fair value of infrastructure has been determined by reference to the depreciated replacement cost (existing use basis) as the assets are specialised and no market-based evidence of value is available. Land under infrastructure is included in land reported under note 27 ‘Property, plant and equipment’ [ specify how land under infrastructure is valued ]. Independent valuations are obtained every 3 to 5 years for infrastructure.
When infrastructure is revalued, the accumulated depreciation is restated proportionately with the change in the gross carrying amount of the asset so that the carrying amount of the asset after revaluation equals its revalued amount.
The most significant assumptions and judgements in estimating fair value are made in assessing whether to apply the existing use basis to assets and in determining estimated economic life. Professional judgement by the valuer is required where the evidence does not provide a clear distinction between market type assets and existing use assets.
Commentary:
In this model, the agency has recognised revaluations annually. However, AASB 116 only requires revaluations to be made with sufficient regularity to ensure that the carrying amount does not differ materially from that which would be determined using fair value at the end of the reporting period.
On revaluation, agencies may elect to either restate proportionately the gross carrying amount and the accumulated depreciation (gross method), or eliminate accumulated depreciation against the gross carrying amount of the asset and restate the net carrying amount to the revalued amount (net method). TI 954 prefers the gross method for asset values determined on the basis of depreciated replacement cost. This model is prepared on the gross basis and the disclosure above reflects this election.
See also note 27 ‘Property, plant and equipment’ and note 28 ‘Infrastructure’ for further information on revaluations.
Derecognition
Upon disposal or derecognition of an item of property, plant and equipment and infrastructure, any revaluation surplus relating to that asset is retained in the asset revaluation surplus.
Asset revaluation surplus
The asset revaluation surplus is used to record increments and decrements on the revaluation of non-current assets as described in note 27 ‘Property, plant and e quipment’.
Depreciation
All non-current assets having a limited useful life are systematically depreciated over their estimated useful lives in a manner that reflects the consumption of their future economic benefits.
Depreciation is calculated using the straight line method [ or other method, describe ], using rates which are reviewed annually. Estimated useful lives for each class of depreciable asset are:
Buildings
Plant and equipment
Office equipment
Software (a)
Motor vehicles
Infrastructure
20 to 40 years
10 to 15 years
5 years
3 to 5 years
3 to 7 years
55 to 80 years
31.12.2014 Page 27 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
(a) Software that is integral to the operation of related hardware.
Works of art controlled by the Authority are classified as property, plant and equipment.
These are anticipated to have indefinite useful lives. Their service potential has not, in any material sense, been consumed during the reporting period and consequently no depreciation has been recognised.
Land is not depreciated.
AASB 138
TI 1101(14)
Capitalisation/expensing of assets
Acquisitions of intangible assets costing $5,000 or more and internally generated intangible assets costing $50,000 or more are capitalised. The cost of utilising the assets is expensed (amortised) over their useful lives. Costs incurred below these thresholds are immediately expensed directly to the Statement of Comprehensive Income.
AASB 138.24,
Aus24.1
AASB 138.74
Intangible assets are initially recognised at cost. For assets acquired at no cost or for nominal cost, the cost is their fair value at the date of acquisition.
The cost model is applied for subsequent measurement requiring the asset to be carried at cost less any accumulated amortisation and accumulated impairment losses.
AASB 138.97, 100 Amortisation for intangible assets with finite useful lives is calculated for the period of the expected benefit (estimated useful life which is reviewed annually) on the straight line basis. All intangible assets controlled by the Authority have a finite useful life and zero residual value.
The expected useful lives for each class of intangible asset are:
Licences
Development Costs
Software (a)
Website costs up to 10 years
3 to 5 years
3 to 5 years
3 to 5 years
(a) Software that is not integral to the operation of any related hardware.
TI 1101
AASB 138.75
AASB 138.107-108
AASB 138.97
APG 2
Commentary:
Agencies should assess their own circumstances in determining capitalisation thresholds for intangible assets (TI 1101 requires a minimum threshold of $5,000).
Intangible assets can only be revalued to fair value where an active market exists.
Intangible assets that have an indefinite useful life are not subject to amortisation but must be tested annually for impairment.
Amortisation commences when the intangible asset is available for use and ceases when the asset is classified as held-for-sale or where the asset has been fully amortised.
AASB 138.118 Licences
Licences have a finite useful life and are carried at cost less accumulated amortisation and accumulated impairment losses.
AASB 138.118
APG 2
AASB 138.57
Int 132
Development costs
Research costs are expensed as incurred. Development costs incurred for an individual project are carried forward when the future economic benefits can reasonably be regarded as assured and the total project costs are likely to exceed $50,000. Other development costs are expensed as incurred.
Commentary:
Specific recognition criteria apply to the capitalisation of development costs (e.g. software developed in-house and web site costs.
31.12.2014 Page 28 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
Computer software
Software that is an integral part of the related hardware is recognised as property, plant and equipment. Software that is not an integral part of the related hardware is recognised as an intangible asset. Software costing less than $5,000 is expensed in the year of acquisition.
Int 132.7-10
Int 132.8
Website costs
Website costs are charged as expenses when they are incurred unless they relate to the acquisition or development of an asset when they may be capitalised and amortised.
Generally, costs in relation to feasibility studies during the planning phase of a website, and ongoing costs of maintenance during the operating phase are expensed. Costs incurred in building or enhancing a website that can be reliably measured, are capitalised to the extent that they represent probable future economic benefits.
Commentary:
Website costs may be capitalised by public sector agencies. The future economic benefits are not necessarily related to specific cash flows and the website is capable of capitalisation where it is linked to the delivery of services of the agency.
AASB 136.Aus6.1,
Aus6.2, 9
TI 1101(7)(vii)
Property, plant and equipment, infrastructure and intangible assets are tested for any indication of impairment at the end of each reporting period. Where there is an indication of impairment, the recoverable amount is estimated. Where the recoverable amount is less than the carrying amount, the asset is considered impaired and is written down to the recoverable amount and an impairment loss is recognised. Where an asset measured at cost is written down to recoverable amount, an impairment loss is recognised in profit or loss. Where a previously revalued asset is written down to recoverable amount, the loss is recognised as a revaluation decrement in other comprehensive income. As the Authority is a not-for-profit entity, unless a specialised asset has been identified as a surplus asset, the recoverable amount is the higher of an asset’s fair value less costs to sell and depreciated replacement cost.
The risk of impairment is generally limited to circumstances where an asset’s depreciation is materially understated, where the replacement cost is falling or where there is a significant change in useful life. Each relevant class of assets is reviewed annually to verify that the accumulated depreciation/amortisation reflects the level of consumption or expiration of the asset’s future economic benefits and to evaluate any impairment risk from falling replacement costs.
AASB 136.10
AASB 136.6
AASB 139.59
AASB 5.6, 15
Intangible assets with an indefinite useful life and intangible assets not yet available for use are tested for impairment at the end of each reporting period irrespective of whether there is any indication of impairment.
The recoverable amount of assets identified as surplus assets is the higher of fair value less costs to sell and the present value of future cash flows expected to be derived from the asset. Surplus assets carried at fair value have no risk of material impairment where fair value is determined by reference to market-based evidence. Where fair value is determined by reference to depreciated replacement cost, surplus assets are at risk of impairment and the recoverable amount is measured. Surplus assets at cost are tested for indications of impairment at the end of each reporting period.
Commentary:
See note 31 ‘Impairment of assets’ for the outcome of impairment reviews and testing.
Refer also to note 2(q) ‘Receivables’ and note 23 ‘Receivables’ for impairment of receivables.
Non-current assets (or disposal groups) held for sale are recognised at the lower of
31.12.2014 Page 29 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference carrying amount and fair value less costs to sell, and are disclosed separately from other assets in the Statement of Financial Position. Assets classified as held for sale are not depreciated or amortised.
AASB 5.Aus2.1, 2.3
Commentary:
Discontinued operations are rare in the public sector and therefore are not addressed in this model.
AASB 117.7, 8, 20,
25, 27
AASB 7.21
AASB 117.33
Int 4
AASB 117.15A
Finance lease rights and obligations are initially recognised, at the commencement of the lease term, as assets and liabilities equal in amount to the fair value of the leased item or, if lower, the present value of the minimum lease payments, determined at the inception of the lease. The assets are disclosed as plant, equipment and vehicles under lease, and are depreciated over the period during which the Authority is expected to benefit from their use. Minimum lease payments are apportioned between the finance charge and the reduction of the outstanding lease liability, according to the interest rate implicit in the lease.
Operating leases are expensed on a straight line basis over the lease term as this represents the pattern of benefits derived from the leased properties.
Commentary:
Specific criteria apply in determining whether an arrangement is, or contains, a lease for the purposes of applying AASB 117 Leases . For example, take-or-pay and similar contracts. Agencies should assess their own circumstances in determining whether an
‘in-substance’ lease has been entered into.
Where leases include both land and buildings elements, separate classification of each element as a finance or an operating lease is required.
AASB 139.9
AASB 7.8
In addition to cash and bank overdraft, the Authority has two categories of financial instrument:


Loans and receivables; and
Financial liabilities measured at amortised cost.
AASB 7.6, B1
Financial instruments have been disaggregated into the following classes:
 Financial Assets




Cash and cash equivalents
Restricted cash and cash equivalents
Receivables
Amounts receivable for services
 Financial Liabilities
 Payables
 Bank overdraft
 WATC/Bank borrowings


Finance lease liabilities
Amounts due to the Treasurer
AASB 139.14, 43,
46(a), 47
AASB 7.21
Initial recognition and measurement of financial instruments is at fair value which normally equates to the transaction cost or the face value. Subsequent measurement is at amortised cost using the effective interest method.
AASB 7.29(a) The fair value of short-term receivables and payables is the transaction cost or the face value because there is no interest rate applicable and subsequent measurement is not
31.12.2014 Page 30 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014 required as the effect of discounting is not material.
AASB 107.45, 46
For the purpose of the Statement of Cash Flows, cash and cash equivalent (and restricted cash and cash equivalent) assets comprise cash on hand and short-term deposits with original maturities of three months or less that are readily convertible to a known amount of cash and which are subject to insignificant risk of changes in value, and bank overdrafts. Bank overdrafts are included in note 33 ‘Borrowings’.
AASB 107.48
TI 1103
Accrued salaries (see note 32 ‘Payables’) represent the amount due to staff but unpaid at the end of the financial year. Accrued salaries are settled within a fortnight of the financial year end. The Authority considers the carrying amount of accrued salaries to be equivalent to its fair value.
Commentary:
Accrued salaries are recognised at year end where the pay date for the last pay period for that financial year does not coincide with the end of the financial year.
Statutory authorities required to pay amounts into a suspense account in relation to the
27 th pay period that occurs every 11 years should follow the example disclosure in the
Model Annual Report for Departments.
AASB 107.48
TI 1103
The Authority receives income from the State Government partly in cash and partly as an asset (holding account receivable). The accrued amount appropriated is accessible on the emergence of the cash funding requirement to cover leave entitlements and asset replacement.
Commentary:
See also note 20 ‘Income from State Government’ and note 24 ’Amounts receivable for services’.
AASB 102.36(a)
AASB 102.Aus6.1,
Aus9.1, Aus36.1
Inventories are measured at the lower of cost and net realisable value. Costs are assigned by the method most appropriate for each particular class of inventory, with the majority being measured on a first in first out basis [ specify other cost methods used ].
Inventories not held for resale are measured at cost unless they are no longer required, in which case they are measured at net realisable value.
Commentary:
Inventories ‘held for distribution’ by not-for-profit entities must be disclosed separately in the notes and measured at cost, adjusted when applicable for any loss of service potential.
See also note 22 ‘Inventories’.
AASB 7.21, B5(d)
AASB 139.43, 46(a)
AASB 139.59
TI 807
Receivables are recognised at original invoice amount less an allowance for any uncollectible amounts (i.e. impairment). The collectability of receivables is reviewed on an ongoing basis and any receivables identified as uncollectible are written-off against the allowance account. The allowance for uncollectible amounts (doubtful debts) is raised when there is objective evidence that the Authority will not be able to collect the debts. The carrying amount is equivalent to fair value as it is due for settlement within
30 days.
Commentary:
An allowance for impairment of receivables can only be raised if there is objective
31.12.2014 Page 31 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference evidence of impairment.
See also note 2(l) ‘Financial Instruments’ and note 23 ‘Receivables’.
AASB 7.21
AASB 139.43, 47
TI 323
Payables are recognised at the amounts payable when the Authority becomes obliged to make future payments as a result of a purchase of assets or services. The carrying amount is equivalent to fair value, as settlement is generally within 30 days.
Commentary:
See also note 2(l) ‘Financial Instruments’ and note 32 ‘Payables’.
AASB 7.21, 27
AASB 139.43, 47
All loans payable are initially recognised at the fair value, being the net proceeds received. Subsequent measurement is at amortised cost using the effective interest method.
Commentary:
See also note 2(l) ‘Financial Instruments’ and note 33 ‘Borrowings’.
AASB 7.21
AASB 139.47
The amount due to the Treasurer is in respect of a Treasurer’s Advance. Initial recognition and measurement, and subsequent measurement, is at the amount repayable. Although there is no interest charged, the amount repayable is equivalent to fair value as the period of the borrowing is for less than 12 months with the effect of discounting not being material.
Commentary:
See also note 34 ‘Amounts due to the Treasurer’.
Provisions are liabilities of uncertain timing or amount and are recognised where there is a present legal or constructive obligation as a result of a past event and when the outflow of resources embodying economic benefits is probable and a reliable estimate can be made of the amount of the obligation. Provisions are reviewed at the end of each reporting period.
Commentary:
See also note 35 ‘Provisions’.
AASB 119.10, 128
AASB 119.Aus78.1
AASB 101.69(d)
Provisions - employee benefits
All annual leave and long service leave provisions are in respect of employees’ services up to the end of the reporting period.
Annual leave
Annual leave is not expected to be settled wholly within 12 months after the end of the reporting period and is therefore considered to be ‘other long term employee benefits’.
The annual leave liability is recognised and measured at the present value of amounts expected to be paid when the liabilities are settled using the remuneration rate expected to apply at the time of settlement.
When assessing expected future payments consideration is given to expected future wage and salary levels including non-salary components such as employer superannuation contributions, as well as the experience of employee departures and periods of service. The expected future payments are discounted using market yields at the end of the reporting period on national government bonds with terms to maturity that match, as closely as possible, the estimated future cash outflows.
The provision for annual leave is classified as a current liability as the Authority does not have an unconditional right to defer settlement of the liability for at least 12 months after
31.12.2014 Page 32 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 119.11
AASB 119.76-79
AASB 119.76-79
AASB 101.69(d)
TI 520 Guidelines
AASB 119.51, 128
AASB 101.69(d)
TI 520 Guidelines
TI 1101 Guidelines the end of the reporting period.
Commentary:
Agencies are required to review leave patterns of employees for the purpose of measuring the employee benefit liability.
Where annual leave for the entire employee population is not wholly settled within the twelve months after balance date, all annual leave falls within the scope of ‘other longterm employee benefits’ and is measured at the present value of amounts expected to be paid when the liabilities are settled in accordance with AASB 119.155.
In contrast, where annual leave is settled wholly within the twelve months after balance date, the first paragraph under the subheading ‘Annual Leave’ should be substituted with:
“Annual leave is expected to be settled wholly within 12 months after the end of the reporting period and is therefore considered to be a ‘short-term employee benefit’. The annual leave liability is recognised and measured at the undiscounted amounts expected to be paid when the liability is settled.”
Long service leave
Long service leave is not expected to be settled wholly within 12 months after the end of the reporting period and is therefore recognised and measured at the present value of amounts expected to be paid when the liabilities are settled using the remuneration rate expected to apply at the time of settlement.
When assessing expected future payments consideration is given to expected future wage and salary levels including non-salary components such as employer superannuation contributions, as well as the experience of employee departures and periods of service. The expected future payments are discounted using market yields at the end of the reporting period on national government bonds with terms to maturity that match, as closely as possible, the estimated future cash outflows.
Unconditional long service leave provisions are classified as current liabilities as the
Authority does not have an unconditional right to defer settlement of the liability for at least 12 months after the end of the reporting period. Pre-conditional and conditional long service leave provisions are classified as non-current liabilities because the
Authority has an unconditional right to defer the settlement of the liability until the employee has completed the requisite years of service.
Commentary:
Long service leave
Agencies using the short-hand method to recognise the long service leave liabilities should adopt the following paragraphs under the heading ‘Long service leave’ instead of the above paragraphs. The following paragraphs should be tailored in accordance with the Authority’s circumstances:
“A liability for long service leave is recognised after an employee has completed x years of service based on remuneration rates current as at the end of the reporting period.
An actuarial assessment of long service leave undertaken by XXX Actuaries at
31 December 2014 determined that the liability measured using the short-hand measurement technique above was not materially different from the liability determined using the present value of expected future payments. This calculation is consistent with the Authority’s experience of employee retention and leave taken.
Unconditional long service leave provisions are classified as current liabilities as the
Authority does not have an unconditional right to defer the settlement of the liability for at least 12 months after the end of the reporting period. Pre-conditional and conditional long service leave provisions are classified as non-current liabilities because the
Authority has an unconditional right to defer the settlement of the liability until the employee has completed the requisite years of service.”
Use the following notes where applicable:
Sick leave
Liabilities for sick leave are recognised when it is probable that sick leave paid in the
31.12.2014 Page 33 of 87

Reference
AASB 119.139(a)
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014 future will be greater than the entitlement that will accrue in the future.
Past history indicates that on average, sick leave taken each reporting period is less than the entitlement accrued. This is expected to continue in future periods.
Accordingly, it is unlikely that existing accumulated entitlements will be used by employees and no liability for unused sick leave entitlements is recognised. As sick leave is non-vesting, an expense is recognised in the Statement of Comprehensive
Income for this leave as it is taken.
Deferred leave
The provision for deferred leave relates to Public Service employees who have entered into an agreement to self-fund an additional 12 months leave in the fifth year of the agreement. The provision recognises the value of salary set aside for employees to be used in the fifth year. This liability is measured on the same basis as annual leave.
Deferred leave is reported as a current provision as employees can leave the scheme at their discretion at any time.
Purchased leave
The provision for purchased leave relates to Public Service employees who have entered into an agreement to self-fund up to an additional 10 weeks leave per calendar year. The provision recognises the value of salary set aside for employees and is measured at the undiscounted amounts expected to be paid when the liabilities are settled.
Superannuation
The Government Employees Superannuation Board (GESB) and other fund providers administer public sector superannuation arrangements in Western Australia in accordance with legislative requirements. Eligibility criteria for membership in particular schemes for public sector employees vary according to commencement and implementation dates.
Eligible employees contribute to the Pension Scheme, a defined benefit pension scheme closed to new members since 1987, or the Gold State Superannuation Scheme (GSS), a defined benefit lump sum scheme closed to new members since 1995.
Employees commencing employment prior to 16 April 2007 who were not members of either the Pension Scheme or the GSS became non-contributory members of the West
State Superannuation Scheme (WSS). Employees commencing employment on or after
16 April 2007 became members of the GESB Super Scheme (GESBS). From
30 March 2012, existing members of the WSS or GESBS and new employees have been able to choose their preferred superannuation fund provider. The Authority makes contributions to GESB or other fund providers on behalf of employees in compliance with the Common wealth Government’s Superannuation Guarantee (Administration) Act 1992 .
Contributions to these accumulation schemes extinguish the Authority’s liability for superannuation charges in respect of employees who are not members of the Pension
Scheme or GSS.
The GSS is a defined benefit scheme for the purposes of employees and whole-of-government reporting. However, it is a defined contribution plan for agency purposes because the concurrent contributions (defined contributions) made by the
Authority to GESB extinguishes the agency’s obligations to the related superannuation liability.
The Authority has no liabilities under the Pension Scheme or the GSS. The liabilities for the unfunded Pension Scheme and the unfunded GSS transfer benefits attributable to members who transferred from the Pension Scheme, are assumed by the Treasurer. All other GSS obligations are funded by concurrent contributions made by the Authority to the GESB.
The GESB makes all benefit payments in respect of the Pension Scheme and GSS, and is recouped from the Treasurer for the employer’s share.
Commentary:
Statutory authorities utilising this Model Annual Report and identified in Division 2 of
Schedule 1 of the State Superannuation Regulations 2001 , should refer to the Model
Annual Report for Commercial agencies for assistance on reporting liabilities arising from
31.12.2014 Page 34 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 137 the Pension Scheme and the pre transfer component of the GSS.
See also note 2(v) ‘Superannuation expense’.
Provisions – other
Employment on-costs
Employment on-cost s, including workers’ compensation insurance, are not employee benefits and are recognised separately as liabilities and expenses when the employment to which they relate has occurred. Employment oncosts are included as part of ‘Other expenses’ and are not included as part of the Authority’s ‘Employee benefits expense’.
The related liability is included in ‘Employment on-costs provision’.
Commentary:
See also note 13 ‘Other expenses’ and note 35 ‘Provisions’.
Warranties
Provision is made for the estimated liability on all products still under warranty at the end of the reporting period. The amount of the provision is the present value of the expected future cash outflows expected to settle the warranty obligations, having regard to the warranty experience over the last five years and the risks of the warranty obligations.
Int 1
AASB 116
AASB 137
APG 1
Remediation costs
A provision is recognised where the Authority has a legal or constructive obligation to undertake remediation work. Estimates are based on the present value of expected future cash outflows.
AASB 119.53. 135
AASB 119.51(b) 70
Superannuation expense is recognised in the profit or loss of the Statement of
Comprehensive Income and comprises employer contributions paid to the GSS
(concurrent contributions), WSS, the GESBS, and other superannuation funds.
Commentary:
Example disclosures of defined benefit plans are not addressed in this model. Further guidance may be found in the Note 35 ‘Provisions’ of the Model Annual Report for
Statutory Authorities (Commercial).
TI 1102(11)(ii)
Assets or services received free of charge or for nominal cost that the Authority would otherwise purchase if not donated, are recognised as income at the fair value of the assets or services where they can be reliably measured. A corresponding expense is recognised for services received. Receipts of assets are recognised in the Statement of
Financial Position.
Assets or services received from other State Government agencies are separately disclosed under Income from State Government in the Statement of Comprehensive
Income.
AASB 11.20
The Authority has interests in joint arrangements that are joint operations. A joint arrangement is a contractual arrangement whereby two or more parties undertake an economic activity that is subject to joint control. A joint operation involves the use of assets and other resources of the venturers rather than the establishment of a separate entity. The Authority recognises its interests in the joint operations by recognising the assets it controls and the liabilities that it incurs in respect of the joint arrangement. The
Authority also recognises the expenses that it incurs and its share of the income that it earns from the sale of goods or services by the joint operations.
AASB 101.38, 41
TI 949
31.12.2014 Page 35 of 87

Reference
TI 1103
AASB 101.10(f)
AASB 101.40A
AASB 108.44
AASB 101.119
AASB 101.122
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Comparative figures are, where appropriate, reclassified to be comparable with the figures presented in the current financial year.
Commentary:
Changes in Accounting Policy, Retrospective Restatements or Reclassifications
If the Authority applies an accounting policy retrospectively, or makes a retrospective restatement of items in its financial statements, or, reclassifies items in its financial statements, and the financial effect of the amended items on the statement of financial position at the beginning of the preceding period is material, a statement of financial position as at the beginning of the preceding period is required.
Errors
Where the Authority corrects an error which has a material financial effect but the periodspecific effects of the error are indeterminate, the Authority may be compelled to disclose restated opening balances of assets, liabilities and equity for the earliest period for which retrospective restatement is practicable. Authorities discovering a material error in their financial statements should review paragraphs 41 to 47 of AASB 108 to determine the reporting requirements that apply to their situation.
Commentary:
The Authority should consider its own circumstances and incorporate any other accounting policies where relevant. Further guidance for accounting policy disclosures not included in this model may be obtained from Australian Accounting Standards and other illustrative statement examples available in the public domain.
The Model Annual Report for Commercial agencies provides limited examples for accounting policy notes in respect of investment property, rental income, foreign currency translation, derivatives and hedge accounting.
The preparation of financial statements requires management to make judgements about the application of accounting policies that have a significant effect on the amounts recognised in the financial statements. The Authority evaluates these judgements regularly.
The Authority has entered into a number of leases for buildings for branch office accommodation. Some of these leases relate to buildings of a temporary nature and it has been determined that the lessor retains substantially all the risks and rewards incidental to ownership. Accordingly, these leases have been classified as operating leases.
Commentary:
This note is only required where judgements made in applying accounting policies have a significant effect on the amounts recognised in the financial statements. An example disclosure is presented above.
Other examples of the types of judgements that would need to be disclosed where they have a significant effect are as follows:
 whether a joint arrangement is a joint operation or a joint venture;

Capitalisation of development expenditure (for example, whether enhancements should be capitalised or whether internally developed computer software should be capitalised, refer to Accounting Policy Guideline (APG) 2 and AASB 138 Intangible
Assets for further guidance);

Adoption of revaluation versus cost basis for plant and equipment; and

Recognition and valuation of heritage and cultural assets.
31.12.2014 Page 36 of 87

Reference
AASB 101.125
AASB 108.28
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Note that the above is not an exhaustive list.
Key estimates and assumptions concerning the future are based on historical experience and various other factors that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial year.
Long Service Leave
Several estimations and assumptions used in calculating the Authority’s long service leave provision include expected future salary rates, discount rates, employee retention rates and expected future payments. Changes in these estimations and assumptions may impact on the carrying amount of the long service leave provision.
Commentary:
This note is only required where the key estimates and assumptions made concerning the future, and other key sources of estimation uncertainty at the end of the reporting period, have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.
The following are other sources of estimation uncertainty that may be disclosed where they have a significant risk of material impact:
 impairment of intangible assets;

Agencies are required to assess impairment of intangible assets at the end of each reporting period. Where there is an indication of impairment (such as falling replacement costs), the recoverable amount (depreciated replacement cost) of the intangible asset is estimated. Calculations performed in assessing recoverable amounts incorporate a number of key estimates; refer to AASB 138 Intangible
Assets ;
 discount rates used in estimating provisions;
 estimating useful life and residual values of key assets;
 estimating depreciated replacement cost; and
 contaminated sites (for example, in estimating the liability when remediation required, refer to APG 1 Accounting for Contaminated Sites ).
The Authority has applied the following Australian Accounting Standards effective for annual reporting periods beginning on or after 1 January 2014 that impacted on the
Authority.
Int 21 Levies
This Interpretation clarifies the circumstances under which a liability to pay a government levy imposed should be recognised. There is no financial impact for the Authority at reporting date.
AASB 10 Consolidated Financial Statements
This Standard, issued in August 2011, supersedes AASB 127
Consolidated and Separate Financial Statements and Int 112
Consolidation – Special Purpose Entities , introducing a number of changes to accounting treatments.
The adoption of the new Standard has no financial impact for the
Model Authority as it does not impact accounting for related bodies and the Authority has no interests in other entities.
AASB 11 Joint Arrangements
This Standard, issued in August 2011, supersedes AASB 131
31.12.2014 Page 37 of 87

Reference
AASB 12
AASB 127
AASB 128
AASB 1031
AASB 2011-7
AASB 2012-3
AASB 2013-3
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Interests in Joint Ventures , introduces new principles for determining the type of joint arrangement that exists, which are more aligned to the actual rights and obligations of the parties to the arrangement.
There is no financial impact for the Model Authority as the new standard continues to require the recognition of the Authority’s share of assets and share of liabilities for the unincorporated joint operation.
Disclosure of Interests in Other Entities
This Standard, issued in August 2011, supersedes disclosure requirements in AASB 127 Consolidated and Separate Financial
Statements , AASB 128 Investments in Associates and AASB 131
Interests in Joint Ventures .
There is no financial impact.
Separate Financial Statements
This Standard, issued in August 2011, supersedes AASB 127
Consolidated and Separate Financial Statements removing the consolidation requirements of the earlier standard whilst retaining accounting and disclosure requirements for the preparation of separate financial statements. There is no financial impact.
Investments in Associates and Joint Ventures
This Standard supersedes AASB 128 Investments in Associates , introducing a number of clarifications for the accounting treatments of changed ownership interest.
The adoption of the new Standard has no financial impact for the
Model Authority as it does not hold investments in associates and joint ventures.
Materiality
This Standard supersedes AASB 1031 (February 2010), removing
Australian guidance on materiality not available in IFRSs and refers to guidance on materiality in other Australian pronouncements. There is no financial impact.
Amendments to Australian Accounting Standards arising from the
Consolidation and Joint Arrangements Standards [AASB 1, 2, 3, 5, 7,
101, 107, 112, 118, 121, 124, 132, 133, 136, 138, 139, 1023 & 1038 and Int 5, 9, 16 & 17]
This Standard gives effect to consequential changes arising from the issuance of AASB 10, AASB 11, AASB 127 Separate Financial
Statements and AASB 128 Investments in Associates and Joint
Ventures . There is no financial impact for the Model Authority.
Amendments to Australian Accounting Standards – Offsetting
Financial Assets and Financial Liabilities [AASB 132]
This Standard adds application guidance to AASB 132 to address inconsistencies identified in applying some of the offsetting criteria, including clarifyi ng the meaning of “currently has a legally enforceable right of setoff” and that some gross settlement systems may be considered equivalent to net settlement. There is no financial impact.
Amendments to AASB 136 – Recoverable Amount Disclosures for
Non-Financial Assets.
This Standard introduces editorial and disclosure changes. There is
31.12.2014 Page 38 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
AASB 2013-4 no financial impact.
Amendments to Australian Accounting Standards – Novation of
Derivatives and Continuation of Hedge Accounting [AASB 139]
This Standard permits the continuation of hedge accounting in circumstances where a derivative, which has been designated as a hedging instrument, is novated from one counterparty to a central counterparty as a consequence of laws or regulations. The Model
Authority does not routinely enter into derivatives or hedges, therefore there is no financial impact.
AASB 2013-8 Amendments to Australian Accounting Standards - Australian
Implementation Guidance for Not-for-Profit Entities – Control and
Structured Entities [AASB 10, 12 & 1049].
The amendments, issued in October 2013, provide significant guidance in determining whether a not-for-profit entity controls another entity when financial returns are not a key attribute of the investor’s relationship. The Standard has no financial impact in its own right, rather the impact results from the adoption of the amended
AASB 10.
AASB 2013-9 Amendments to Australian Accounting Standards - Conceptual
Framework, Materiality and Financial Instruments.
This omnibus Standard makes amendments to other Standards arising from the deletion of references to AASB 1031 in other
Standards for periods beginning on or after 1 January 2014 (Part B).
Part B of the Standard has no financial impact.
Commentary:
This disclosure is required when the initial application of an Australian Accounting
Standard or Interpretation has an effect on the current period or any prior period, or would have such an effect, except that it is impracticable to determine the amount of the adjustment, or might have an effect on future periods.
Treasury considers the following Australian Accounting Standards as not usually applicable to the public sector as they have no impact or do not apply to not-for-profit entities. However, it is the agency’s responsibility to confirm whether the Standards apply to their own individual circumstances. If the agency determines that any of these
Standards are clearly not applicable to the agency, they should not be included in the above note disclosure.
AASB 1053
AASB 2010-2
Application of Tiers of Australian Accounting Standards
Amendments to Australian Accounting Standards arising from
Reduced Disclosure Requirements [AASB 1, 2, 3, 5, 7, 8, 101, 102,
107, 108, 110, 111, 112, 116, 117, 119, 121, 123, 124, 127, 128, 131,
133, 134, 136, 137, 138, 140, 141, 1050 & 1052 and Int 2, 4, 5, 15,
17, 127, 129 & 1052]
AASB 2011-2
AASB 2011-4
AASB 2011-6
Amendments to Australian Accounting Standards arising from the
Trans-Tasman Convergence Project - Reduced Disclosure
Requirements [AASB 101 & 1054]
Amendments to Australian Accounting Standards to Remove
Individual Key Management Personnel Disclosure Requirements
[AASB 124]
Amendments to Australian Accounting Standards – Extending Relief from Consolidation, the Equity Method and Proportionate
Consolidation – Reduced Disclosure Requirements [AASB 127, 128
& 131]
31.12.2014 Page 39 of 87

Reference
AASB 108.29
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
AASB 2011-11 Amendments to AASB 119 (September 2011) arising from Reduced
Disclosure Requirements
AASB 2012-1
AASB 2012-4
Amendments to Australian Accounting Standards - Fair Value
Measurement - Reduced Disclosure Requirements [AASB 3, 7, 13,
140 & 141]
Amendments to Australian Accounting Standards – Government
Loans [AASB 1]
AASB 2012-7 Amendments to Australian Accounting Standards arising from
Reduced Disclosure Requirements [AASB 7, 12, 101 & 127]
AASB 2012-11 Amendments to Australian Accounting Standards – Reduced
Disclosure Requirements and Other Amendments [AASB 1, 2, 8, 10,
107, 128, 133, 134 & 2011-4]
AASB 2013-5 Amendments to Australian Accounting Standards – Investment
Entities [AASB 1, 3, 7, 10, 12, 107, 112, 124, 127, 132, 134 & 139]
AASB 2013-6
AASB 2013-7
Amendments to AASB 136 arising from Reduced Disclosure
Requirements
Amendments to AASB 1038 arising from AASB 10 in relation to consolidation and interests of policyholders [AASB 1038]
Commentary:
When a voluntary change in accounting policy has an effect on the current period or any prior period, would have an effect on that period except that it is impracticable to determine the amount of the adjustment, or might have an effect on future periods, an entity shall disclose:
(a) the nature of the change in accounting policy;
(b) the reasons why applying the new accounting policy provides reliable and more relevant information;
(c) for the current period and each prior period presented, to the extent practicable, the amount of the adjustment for each financial statement line item affected;
(d) the amount of the adjustment relating to periods before those presented, to the extent practicable; and
(e) if retrospective application is impracticable for a particular prior period, or for periods before those presented, the circumstances that led to the existence of that condition and a description of how and from when the change in accounting policy has been applied.
31.12.2014 Page 40 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 108.30, 31
The Authority cannot early adopt an Australian Accounting Standard unless specifically permitted by TI 1101 Application of Australian Accounting Standards and Other
Pronouncements . Consequently, the Authority has not applied early any of the following
Australian Accounting Standards that have been issued that may impact the Authority.
Where applicable, the Authority plans to apply these Australian Accounting Standards from their application date.
AASB 9
Operative for reporting periods beginning on/after
Financial Instruments
This Standard supersedes AASB 139 Financial
Instruments: Recognition and Measurement , introducing a number of changes to accounting treatments.
The mandatory application date of this Standard is currently 1 January 2018 after being amended by
AASB 2012-6, AASB 2013-9, and, AASB 2014-1
Amendments to Australian Accounting Standards .
The Authority has not yet determined the application or the potential impact of the Standard.
1 Jan 2018
AASB 1055 Budgetary Reporting
This Standard requires specific budgetary disclosures in the general purpose financial statements of not-for-profit entities within the General
Government Sector. The Authority will be required to disclose additional budgetary information and explanations of major variances between actual and budgeted amounts, though there is no financial impact.
1 Jul 2014
AASB 2009-11 Amendments to Australian Accounting Standards arising from AASB 9 [AASB 1, 3, 4, 5, 7, 101, 102,
108, 112, 118, 121, 127, 128, 131, 132, 136, 139,
1023 & 1038 and Int 10 & 12]
The mandatory application date of this Standard is currently 1 January 2018 after being amended by
AASB 2012-6 and AASB 2014-1 Amendments to
Australian Accounting Standards .
1 Jan 2018
31.12.2014 Page 41 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
AASB 2010-7
AASB 2013-9
AASB 2014-1
Operative for reporting periods beginning on/after
Amendments to Australian Accounting Standards arising from AASB 9 (December 2010) [AASB 1, 3, 4,
5, 7, 101, 102, 108, 112, 118, 120, 121, 127, 128,
131, 132, 136, 137, 139, 1023 & 1038 and Int 2, 5,
10, 12, 19 & 127]
This Standard makes consequential amendments to other Australian Accounting Standards and
Interpretations as a result of issuing AASB 9 in
December 2010.
The mandatory application date of this Standard has been amended by AASB 2012-6 and AASB 2014-1 to
1 January 2018. The Authority has not yet determined the application or the potential impact of the Standard.
1 Jan 2018
Amendments to Australian Accounting Standards
Conceptual Framework, Materiality and Financial
Instruments.
1 Jan 2017
Part C of this omnibus Standard defers the application of AASB 9 to 1 January 2017 (Part C).
The application date of AASB 9 was subsequently deferred to 1 January 2018 by AASB 2014-1. The
Authority has not yet determined the application or the potential impact of AASB 9.
Amendments to Australian Accounting Standards
Part A changes consist primarily of clarifications to
Accounting Standards and have no financial impact for the Authority.
Part B has no financial impact as the Authority contributes to schemes that are either defined contribution plans, or deemed to be defined contribution plans.
Part C has no financial impact as the Standard removes references to AASB 1031 Materiality from a number of Accounting Standards.
Part D has no financial impact as the Authority is not required to apply AASB 14 Regulatory Deferral
Accounts .
Part E makes amendments to AASB 9 and consequential amendments to other Standards. It has not yet been assessed by the Authority to determine the application or potential impact of the
Standard.
1 Jul 2014
1 Jul 2014
1 Jul 2014
1 Jan 2016
1 Jan 2015
1 Jan 2018
31.12.2014 Page 42 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 108.30
AASB 110.18
AASB 1031.9
AASB 108.39
AASB 2014-3
Operative for reporting periods beginning on/after
Amendments to Australian Accounting Standards –
Accounting for Acquisitions of Interests in Joint
Operations [AASB 1 & 11]
The Authority establishes Joint Operations in pursuit of its objectives and does not routinely acquire interests in Joint Operations. Therefore, there is no financial impact on application of the Standard.
1 Jan 2016
AASB 2014-4
AASB 2014-2
Amendments to Australian Accounting Standards –
Clarification of Acceptable Methods of Depreciation and Amortisation [AASB 116 & 138]
The adoption of the new Standard has no financial impact for the Model Authority as depreciation and amortisation is not determined by reference to revenue generation, but by reference to consumption of future economic benefits.
1 Jan 2016
Commentary:
This disclosure is required for new or revised Australian Accounting Standards that have been issued but are not yet effective and have not been early adopted.
The above information is current as per Australian Accounting Standards issued up to the publication date of this Model - agencies will need to consider standards issued from the date of Model publication until the date of authorisation for their financial statements, subject to materiality.
Treasury considers the following Australian Accounting Standards as not usually applicable to the public sector as they have no impact or do not apply to not-for-profit entities. However, it is the agency’s responsibility to confirm whether the Standards apply to their own individual circumstances. If the agency determines that any of these
Standards are clearly not applicable to the agency, they should not be included in the above note disclosure.
Operative for reporting periods beginning on/after
AASB 14
AASB 1056
AASB 2013-1
Regulatory Deferral Accounts 1 Jan 2016
Superannuation Entities 1 Jul 2016
Amendments to AASB 1049 – Relocation of
Budgetary Reporting Requirements
1 Jul 2014
Amendments to AASB 1053 – Transition to and between Tiers, and related Tier 2 Disclosure
Requirements [AASB 1053]
1 Jul 2014
Commentary:
Disclosure of the nature and amount of a change in an accounting estimate that has an effect in the current period or is expected to have an effect in future periods is required, except when it is impracticable to estimate that effect on future periods.
31.12.2014 Page 43 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 119.131
AASB 119.46
AASB 138.126
AASB 101.82(b)
AASB 137.60
AASB 117.25
AASB 7.20(b)
AASB 123.26(a)
Wages and salaries (a)
Superannuation – defined contribution plans (b)
2014
$000
636,757
33,000
669,757
2013
$000
569,007
30,000
599,002
(a) Includes the value of the fringe benefit to the employee plus the fringe benefits tax component, leave entitlements including superannuation contribution component.
(b) Defined contribution plans include West State, Gold State, GESBS and other eligible funds.
Employment oncosts expenses, such as workers’ compensation insurance, are included at note 13 ‘Other expenses’.
Employment on-costs liability is included at note 35 ‘Provisions’.
Communications
Consultants and contractors
Consumables
Materials
Travel
Other
Depreciation
Plant, equipment and vehicles
Buildings
Infrastructure
Leased plant, equipment and vehicles
Total depreciation
Amortisation
Licenses
Computer software
Total amortisation
Total depreciation and amortisation
2014
$000
16,302
15,318
8,910
19,591
1,089
770
61,980
2014
$000
2,827
17,939
8,587
3,424
32,777
20
533
553
33,330
2013
$000
14,820
13,925
8,100
17,810
990
700
56,345
Unwinding of discounts applied to provisions
Finance lease charges
Interest expense
Borrowing costs capitalised [ show amounts as applicable ]
Finance costs expensed
2014
$000
88
105
70
-
263
2013
$000
77
150
120
-
347
Commentary:
Finance costs include borrowing costs. AASB 123.5 defines borrowing costs as interest and other costs incurred by an entity in connection with the borrowing of funds, including finance charges associated with AASB 117 finance leases (AASB 123.6(d)). Other finance costs would include discounting expense incurred under AASB 5.17 and
AASB 137.60. The discounting of employee benefits should be recognised under
2013
$000
4,147
17,422
8,800
3,057
33,426
10
384
394
33,820
31.12.2014 Page 44 of 87

Reference
AASB 117.35(c)
SAC 2.7, 13, 26
Framework 26-30
FMA sec 60
TI 951
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014 employee benefits expense rather than separately as a finance cost.
See also AASB 7, AASB 102, AASB 141, related information in note 13 ‘Other expenses’ and note 35 ‘Provisions’.
Lease rentals
Repairs and maintenance
Cleaning
2014
$000
5,214
1,452
297
6,963
2013
$000
4,740
1,320
270
6,330
Recurrent
Function A
Subsidy Scheme A
Royalties for Region Funds – Regional Infrastructure and
Headworks Account
Royalties for Region Funds – Regional Community Services
Account
Capital
Function B
Industry Group
Royalties for Regions Fund – Regional Infrastructure and
Headworks Account
Royalties for Regions Fund – Regional Community Services
Account
2014
$000
6,259
77
-
935
-
2,530
-
2013
$000
5,690
70
-
850
-
2,300
-
-
9,801
-
8,910
Commentary:
Broad categories of recipients must be disclosed in the Notes to the Financial
Statements under ‘Grants and Subsidies’, where material. Presentation of grants and subsidies expenditures should be tailored to the needs of users reliant on general purpose financial statements and reflect discharge of accountability requirements. To achieve this, a mixture of classifications may be required. These classifications can be based on sector, function, project, destination/recipient, or, a combination of these classifications as appropriate.
Classification by sector may entail distinguishing public sector, private sector, private sector NFP recipients. Alternatively, the profile of the sector might be significant for transparency purposes (e.g. schools, households or sporting clubs).
Functional classification may incorporate differentiation between grants for research, targeted subsidy schemes, donations and sponsorships. Grants for research can be further disaggregated by area of research, distinguishing differences in the funding of aquaculture research, environmental research, or, digital system research.
Grant funding of satellite agencies should be characterised by the recipient agency.
Similarly, disclosure of funding of affiliated and related bodies is dictated by TI 951, which places the emphasis on disclosure by recipient agency or class of recipient agencies.
The accountable authority, on advice from the chief finance officer (CFO), should evaluate the Authori ty’s operations and use that evaluation to apply an appropriate subclassification methodology to ensure useful information is provided to users of the
Authority’s general purpose financial statements.
31.12.2014 Page 45 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 101.97
AASB 116
AASB 136, 138,139,
141
Int 1
AASB 7.20(e)
AASB 5.15
AASB 138.126
Restoration costs
Building and infrastructure maintenance
Equipment repairs and maintenance
Doubtful debts expense
Australian Accounting Standards software modification costs
Warranties expense
Employment on-costs
Loss from earthquake (a)
Write-down of non-current assets classified as held for sale (b)
Research and development costs expensed
Other [ list type of other expenses ]
2014
$000
-
1,035
3,933
110
550
42
6,040
-
470
-
65
12,245
2013
$000
-
940
3,575
100
500
38
5,491
1,250
1,100
20
60
13,074
AASB 101.97
(a) Plant and Equipment (2013:$370,000), Other (2013:$880,000).
(b) Non-current assets held for sale measured at lower of carrying amount and fair value less selling costs.
Commentary:
Material income or expenses should be disclosed separately.
For example, include notes on impairment losses and revaluation decrements, where they are material enough to warrant disclosure.
Employment on-costs
Includes workers’ compensation insurance and other employment on-costs. The oncosts liabilities associated with the recognition of annual and long service leave liabilities are included at note 35 ‘Provisions’. Superannuation contributions accrued as part of the provision for leave are employee benefits and are not included in employment on-costs.
Other expenses
Include audit fees which are usually for the final audit fee for the previous year’s audit and any interim audit fee (if any) for the current year’s audit. See also note 47 ‘Remuneration of auditor’.
TI 810
User charges
Fees
2014
$000
9,677
6,820
16,497
2013
$000
8,797
6,200
14,997
Commentary:
Charges are usually imposed on residents for compulsory services.
Fees for the provision of goods and services, at the discretion of the customer, aim to recover part or all of the associated costs of providing a particular good or service.
Agencies should ensure that their fees are a reasonable reflection of costs, though factors such as competitive neutrality and Government policy objectives may alter this situation.
31.12.2014 Page 46 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 101.82(a),
103
AASB 118.35(b)
AASB 102.36
AASB 102.38
AASB 102.36
AASB 102.36(d)
Sales
Cost of Sales:
Opening inventory
Purchases
Closing inventory
Cost of Goods Sold
Trading Profit
Commentary:
See also note 2(p) ‘Inventories’ and note 22 ‘Inventories’.
2014
$000
14,267
(14,900)
(8,030)
(22,930)
17,370
(5,560)
8,707
2013
$000
12,970
(11,300)
(7,300)
(18,600)
14,900
(3,700)
9,270
AASB 1004.18
TI 1102(8)
AASB 1004.60(b),
(d)
AASB 1004.60(e)
Capital grants
2014
$000
1,100
1,100
2013
$000
1,000
1,000
Capital grants for 2014 include a non-reciprocal grant of $500,000 from the
Commonwealth Department of Information Technology. The terms of the grant specify that it must be used to fund the research and development project on software development for public sector accounting. The grant has been recognised in its entirety upon receipt as the only condition applying to its use is how it can be expended and it is not subject to performance measures in terms of service delivery. At 31 December 2014,
$450,000 of the grant had been spent.
Commentary:
Where contributions have been recognised as income during the reporting period that were provided specifically for the provisions of goods and services over a future reporting period, the nature, amounts and the periods to which they relate must be disclosed.
Where contributions have been recognised as income in a previous reporting period that were obtained in respect of the current reporting period, the nature and amounts must be disclosed.
AASB 118.35(b)(iii)
AASB 7.20(b)
Interest revenue [ disclose sources ]
2014
$000
990
990
2013
$000
900
900
AASB 5.30
AASB 101.98(c)
AASB 116.68
AASB 138.113
2014
$000
Proceeds from disposal of non-current assets
Land
Plant, equipment and vehicles
Carrying amount of non-current assets disposed
Land
Plant, equipment and vehicles
Net gain/(loss)
990
1,808
(690)
(1,938)
170
Commentary:
2013
$000
-
11,190
-
(6,490)
4,700
31.12.2014 Page 47 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
See also note 2(j) ‘Non-current assets (or disposal groups) classified as held for sale’, note 26 ‘Non-current assets held for sale’ and note 27 ‘Property, plant and equipment’.
Insured non-current assets written-off as a result of an insurable event should be treated as other expenses (write-off of assets destroyed by fire/storm/earthquake etc). The subsequent insurance recovery is to be treated as other revenue when it is received or receivable.
AASB 116.Aus39.1
AASB 136.119
[ List types of other gain ]
2014
$000
77
77
2013
$000
70
70
Commentary:
Other gains could include material reversals of impairments and revaluation increments
(offsetting decrements).
TI 1102(7)(iv)
AASB 1004.18
AASB 1004.18
AASB 1004.54-59
TI 955
Appropriation received during the period:
Service appropriation (a)
Liabilities assumed by other State government agencies during the period: (b)
[ Detail ]
Total liabilities assumed
Assets transferred from/(to) other State government agencies during the period: (b)
Inventories
Total assets transferred
Services received free of charge from other State government agencies during the period:
Information Technology Commission
Royalties for Regions Fund:
Regional Infrastructure and Headwork Account (c)
Regional Community Services Account (c)
2014
$000
796,234
796,234
-
-
-
-
4,400
4,400
-
-
-
800,634
2013
$000
702,101
702,101
-
-
-
-
4,000
4,000
-
-
-
706,101
(a) Service appropriations fund the net cost of services delivered. Appropriation revenue comprises a cash component and a receivable (asset). The receivable (holding account) comprises the budgeted depreciation expense for the year and any agreed increase in leave liabilities during the year.
(b) Discretionary transfers of assets (including grants) and liabilities between State Government agencies are reported under
Income from State Government. Transfers of assets and liabilities in relation to a restructure of administrative arrangements are recognised as distribution to owners by the transferor and contribution by owners by the transferee under AASB 1004 in respect of net assets transferred. Other non-discretionary non-reciprocal transfers of assets and liabilities designated as contributions by owners under TI 955 are also recognised directly to equity.
(c) This is a sub-fund within the overarching ‘Royalties for Regions Fund’. The recurrent funds are committed to projects and programs in WA regional areas.
31.12.2014 Page 48 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
TI 1102(11) Commentary:
Where another state government agency has assumed a liability, the agency recognises revenue equivalent to the amount of the liability assumed and an expense relating to the nature of the event or events that initially gave rise to the liability in order to disclose the true cost of services.
Where assets or services have been received free of charge or for nominal cost, the agency recognises revenue (and assets or expenses) equivalent to the fair value of the assets and/or the fair value of those services that can be reliably determined and which would have been purchased if not donated.
AASB 107.45, 48
TI 1103
AASB 101.57(d)
Current
Royalties for Regions Fund (a)
Capital grant from the Commonwealth Department of Information
Technology (b)
2014
$000
-
50
50
(a) Unspent funds are committed to projects and programs in WA regional areas.
(b) Funds held for the research and development project on software development for public sector accounting.
2013
$000
-
50
50
Commentary:
Disclose cash and cash equivalents as current assets unless restricted in its use beyond twelve months. Accordingly, the accrued salaries suspense account will be non-current for 10 out of 11 years.
Statutory authorities required to contribute to a suspense account in relation to the
27 th pay period that occurs every 11 years may refer to the note disclosure in the Model
Annual Report for Departments.
Where there is a balance of cash received as capital appropriations remaining at yearend, this cash should not be disclosed as restricted cash and cash equivalents.
AASB 101.78(c)
AASB 102.36, 38
AASB 102.36(b)
Current
Inventories held for resale:
Raw materials & stores (at cost)
Work in progress (at cost)
Finished goods
At cost
At net realisable value
Other
Total current
Non-current
[ List classes of inventories ]
Total non-current
Commentary:
See also note 2(p) ‘Inventories’ and note 15 ‘Trading profit’.
2014
$000
9,100
1,570
4,570
2,130
17,370
940
18,310
-
-
2013
$000
6,365
2,020
4,545
1,970
14,900
1,475
16,375
-
-
31.12.2014 Page 49 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 7
AASB 139
AASB 7.16
AASB 7.16
AASB 7.20(e)
AASB 139.63
AASB 139.65
AASB 7.38
AASB 107.48
TI 1103
Current
Receivables
Allowance for impairment of receivables
Accrued revenue
GST receivable
Loans and advances:
Other debtors
Total current
Non-current
Loans and advances:
Other debtors
Bills of exchange:
Bills accepted or endorsed by banks
Other bills
Total non-current
2014
$000
8,794
(660)
-
421
8,555
-
-
8,555
-
-
-
-
-
-
Reconciliation of changes in the allowance for impairment of receivables:
Balance at start of period
Doubtful debts expense
Amounts written off during the period
Impairment losses reversed during the period
Balance at end of period
2014
$000
550
110
-
-
660
2013
$000
520
100
(48)
(22)
550
The Authority does not hold any collateral or other credit enhancements as security for receivables.
Commentary:
See also note 2(q) ‘Receivables’ and note 44 ‘Financial instruments’.
2013
$000
2,286
(550)
-
414
2,150
-
-
2,150
-
-
-
-
-
-
2014
Current
$000
14,239
2013
$000
18,137
Non-current 71,903
86,142
47,925
66,062
Represents the non-cash component of service appropriations. It is restricted in that it can only be used for asset replacement or payment of leave liability.
Commentary:
See also note 2(o) ‘Amounts receivable for services (holding account)’.
31.12.2014 Page 50 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 5.38-41
AASB 5.20
AASB 101.78(b)
Current
Prepayments
Other [ describe ]
Total current
Non-current
Other [ describe ]
Total non-current
2014
$000
-
540
540
60
60
2013
$000
-
550
550
-
-
Commentary:
Prepayments may be disclosed separately in the Statement of Financial Position, as a disaggregated component of receivables, or in notes as ‘Other Assets’ based on the size, nature and function of the amounts involved. Refer to note 23 ‘Receivables’. Note that prepayments are not financial assets and should be excluded from receivables in the financial instruments note.
Opening balance
Land
Plant, equipment and vehicles
Less write-down from cost to fair value less selling costs
Assets reclassified as held for sale
Land
Plant, equipment and vehicles
Less write-down from cost to fair value less selling costs (a)
Total assets classified as held for sale
Land
Plant, equipment and vehicles
Less write-down from cost to fair value less selling costs
Less assets sold
Land
Plant, equipment and vehicles
Less write-down from cost to fair value less selling costs
Closing balance
Land
Plant, equipment and vehicles
Write-down from cost to fair value less selling costs
2014
$000
1,090
2,038
(500)
(970)
5,528
1,090
2,038
(500)
2,628
-
3,370
(470)
2,900
2,628
-
3,370
(470)
2,900
1,090
5,408
(a) Disclosed as Other expenses.
Information on fair value measurements is provided in Note 29.
2013
$000
-
2,170
-
(1,100)
9,118
-
7,090
(600)
6,490
1,090
2,038
(500)
2,628
2,170
1,090
6,958
(1,100)
6,948
1,090
9,128
31.12.2014 Page 51 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 5.23
AASB 5.20
AASB 5.41
AASB 5.26-29, 42
Commentary:
Disclose any write-downs that occurred during the reporting period.
The above table is a long-hand disclosure and is included as guidance. The following remarks are provided for clarity:
(i) The contra amount under opening balance is equivalent to write-downs from prior financial years.
(ii) The contra amount under assets reclassified as held for sale is equivalent to the write-down in the current financial year.
(iii) The contra amount under total assets classified as held for sale is equal to the contra amount for (i) and (ii).
(iv) The contra amount under assets sold is the full amount of write-downs attributable to the assets sold. In this example, all assets in the opening balance were sold within the reporting period.
Describe the non-current asset, the facts and circumstances of the disposal, and the expected manner and timing of that disposal.
Where an agency decides to change its plan to sell an asset held for sale or the criteria for the classification of an asset held for sale is no longer met, the agency must reclassify it and adjust in accordance with AASB 5. Disclose a description of the facts and circumstances leading to the decision and its effect on the results of the operations for the period and any prior periods presented.
Less assets sold – See also note 2(j) ‘Non-current assets (or disposal groups) classified as held for sale’, note 19 ‘Net gain/(loss) on disposal of non-current assets’, note 13 ‘Other expenses’ and note 29 ‘Fair value measurements’.
31.12.2014 Page 52 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 116
AASB 101.54(a)
AASB 116
AASB 136
AASB 117.31(a)
AASB 117.20
AASB 117.31(a)
AASB 117.20
AASB 116.77
AASB 117.20
AASB 116.35
TI 954 Guidelines
Land
At fair value (a)
Accumulated impairment losses
Buildings
At fair value (a)
Accumulated depreciation
Accumulated impairment losses
Buildings under construction
Construction costs
Plant, equipment and vehicles
At cost
Accumulated depreciation
Accumulated impairment losses
Office equipment
At cost
Accumulated depreciation
Accumulated impairment losses
Leased plant, equipment and vehicles
At capitalised cost
Accumulated depreciation
Accumulated impairment losses
Leased office equipment
At capitalised cost
Accumulated depreciation
Accumulated impairment losses
Works of art
At cost
Accumulated impairment losses
(a) Land and buildings were revalued as at 1 January 2014 by the Western Australian Land Information Authority (Valuation
Services). The valuations were performed during the year ended 31 December 2014 and recognised at
31 December 2014. In undertaking the revaluation, fair value was determined by reference to market values for land:
$108,000,000 (2013: $93,640,000) and buildings: $347,381,000 (2013: $319,529,000). For the remaining balance, fair value of buildings was determined on the basis of depreciated replacement cost and fair value of land was determined on the basis of comparison with market evidence for land with low level utility (high restricted use land).
10,580
(7,522)
-
3,058
3,605
(1,475)
-
2,130
150
-
150
738,493
116,090
116,090
24,748
(7,870)
-
16,878
800
(254)
-
546
2014
$000
112,910
-
112,910
511,670
(24,939)
-
486,731
10,580
(4,819)
-
5,761
3,605
(754)
-
2,851
150
-
150
647,326
96,090
96,090
13,171
(6,583)
-
6,588
800
(94)
-
706
2013
$000
97,910
-
97,910
457,270
(20,000)
-
437,270
Information on fair value measurements is provided in Note 29.
Commentary:
Leased assets are recognised at the lower of fair value and present value of minimum lease payments.
On revaluation, agencies may elect to either restate proportionately the gross carrying amount and the accumulated depreciation (gross method), or eliminate accumulated depreciation against the gross carrying amount of the asset and restate the net carrying amount to the revalued amount (net method). The treatment adopted should be disclosed in the accounting policy note.
31.12.2014 Page 53 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
See also note 2(g) ‘Property, plant and equipment and infrastructure’ and note 29 ‘Fair value measurements’.
31.12.2014 Page 54 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 116.73 Reconciliations of the carrying amounts of property, plant, and equipment at the beginning and end of the reporting period are set out in the table below.
2014
Carrying amount at start of period
Additions
Transfers
Other disposals
Classified as held for sale
Revaluation increments/(decrements)
Impairment losses (a)
Impairment losses reversed (a)
Depreciation
Carrying amount at end of period
2013
Carrying amount at start of period
Additions
Transfers
Other disposals
Classified as held for sale
Revaluation increments/(decrements)
Impairment losses (a)
Impairment losses reversed (a)
Depreciation
Write-off of assets destroyed by earthquake
Carrying amount at end of period
Land
$000
97,910
-
-
-
-
15,000
-
-
-
112,910
93,500
-
-
-
(1,090)
5,500
-
-
-
-
97,910
Buildings
$000
437,270
22,400
-
-
Buildings under construction
$000
96,090
20,000
-
-
-
45,000
-
-
(17,939)
486,731
-
116,090
-
-
-
-
379,453
57,239
-
-
-
18,000
-
-
(17,422)
-
437,270
70,000
26,090
-
-
-
-
-
96,090
-
-
-
Plant, equipment and vehicles
$000
6,588
16,327
-
-
(3,370)
-
-
-
(2,667)
16,878
15,858
2,155
-
-
(6,958)
(4,097)
(370)
6,588
-
-
-
Office equipment
$000
706
-
-
-
(160)
546
-
-
-
-
Leased plant, equipment and vehicles
$000
5,761
-
-
-
(2,703)
3,058
-
-
-
-
756
-
-
-
-
-
-
-
(50)
-
706
8,464
-
-
-
-
(2,703)
-
5,761
-
-
-
Leased office equipment
$000
2,851
-
-
-
(721)
2,130
-
-
-
-
1,697
1,508
-
-
-
(354)
-
2,851
-
-
-
Works of
Art
$000
150
-
-
-
-
150
-
-
-
-
-
-
150
-
-
-
150
-
-
-
-
Total
$000
647,326
58,727
-
-
(3,370)
60,000
-
-
(24,190)
738,493
569,878
86,992
-
-
(8,048)
23,500
-
-
(24,626)
(370)
647,326
(a) Recognised in the Statement of Comprehensive Income. Where an asset measured at cost is written-down to recoverable amount, an impairment loss is recognised in profit or loss. Where a previously revalued asset is written down to recoverable amount, the loss is recognised as a revaluation decrement in other comprehensive income.
Information on fair value measurements is provided in Note 29.
31.12.2014 Page 55 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 117.47, 56
Int 4
Commentary:
Disclose the leasing arrangements for finance or operating leases of non-current assets to external parties (i.e. the agency is the lessor).
Arrangements containing ‘in-substance’ leases classified as finance leases under
AASB 117 Leases are to be recognised as leased assets in the appropriate category.
AASB 116
AASB 101.68(a)
At fair value
Accumulated depreciation
Accumulated impairment losses
2014
$000
666,079
(33,589)
-
632,490
2013
$000
624,079
(23,002)
-
601,077
AASB 116.77 Infrastructure assets were independently revalued by [ state name of valuer ] as at [ date of valuation ]. The valuations were recognised at 31 December 2014.
Fair value was determined on the basis of depreciated replacement cost.
AASB 116.73(e)
AASB 136.60, 117
AASB 136.60,
119
Reconciliation
Carrying amount at start of period
Additions
Assets classified as held for sale
Revaluation increments/(decrements)
Impairment losses
Impairment losses reversed
Depreciation expense
Carrying amount at end of period
Information on fair value measurements is provided in Note 29.
2014
$000
601,077
-
-
40,000
(8,587)
632,490
-
-
2013
$000
597,877
10,000
-
2,000
(8,800)
601,077
-
-
AASB 116.35
TI 954 Guidelines
Commentary:
On revaluation, agencies may elect to either restate proportionately the gross carrying amount and the accumulated depreciation (gross method), or eliminate accumulated depreciation against the gross carrying amount of the asset and restate the net carrying amount to the revalued amount (net method). The treatment adopted should be disclosed in the accounting policy note.
See also note 2(g) ‘Property, plant and equipment and infrastructure’.
AASB 13
AASB 13.93(a),(b)
AASB 13.94
Assets measured at fair value:
2014 Level 1
$000
Non-current assets classified as held for sale (Note 26)
Land (Note 27)
-
Level 2
$000
2,900
- 108,000
Buildings (Note 27)
Level 3
$000
-
4,910
- 347,381 139,350
Infrastructure (Note 28)
- - 632,490
- 458,281 776,750
Fair Value
At end of period
$000
2,900
112,910
486,731
632,490
1,235,031
31.12.2014 Page 56 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 13.93(a),(b)
AASB 13.94
AASB 13.93(e)(iv)
AASB 13.95
AASB 13.93(d)
AASB 13.93(e)
AASB 13.93(e)(ii)
AASB 13.93(e)(iv)
AASB 13.93(e)(i)
AASB 13.93(f)
Assets measured at fair value:
2013
Non-current assets classified as held for sale (Note 26)
Land (Note 27)
Buildings (Note 27)
Infrastructure (Note 28)
Level 1
$000
-
Level 2
$000
2,628
Level 3
$000
- 93,640 4,270
- 319,529 117,741
- - 601,077
- 415,797 723,088
Fair Value
At end of period
$000
2,628
97,910
437,270
601,077
1,138,885
There were no transfers between Levels 1, 2 or 3 during the current and the previous periods.
Commentary:
Additional consequential narrative disclosures are required when assets transfer levels in the fair value hierarchy. An asset deemed surplus and in the process of preparation for disposal may change levels in the fair value hierarchy.
The narrative disclosure for changes in this circumstance will include a reference to the relevant assets being prepared for sale subsequent to being deemed surplus to requirement and the agency’s policy for determining when transfers between levels are deemed to have occurred.
Valuation techniques to derive Level 2 fair values
Level 2 fair values of Non-current assets held for sale, Land and Buildings (Office
Accommodation) are derived using the market approach. Market evidence of sales prices of comparable land and buildings (office accommodation) in close proximity is used to determine price per square metre.
Non-current assets held for sale have been written down to fair value less costs to sell.
Fair value has been determined by reference to market evidence of sales prices of comparable assets.
Fair value measurements using significant unobservable inputs (Level 3)
2014
Fair Value at start of period
Additions
Revaluation increments/(decrements) recognised in
Profit or Loss
Revaluation increments/(decrements) recognised in
Other Comprehensive Income
Transfers (from/(to) Level 2)
Disposals
Depreciation Expense
Fair Value at end of period
Total gains or losses for the period included in profit or loss, under ‘Other Gains’
Change in unrealised gains or losses for the period included in profit or loss for assets held at the end of the reporting period
Land
$000
Buildings
$000
4,270 117,741
- 22,400
Infrastructure
$000
601,077
-
-
640
-
-
-
4,039
-
-
- (4,830)
4,910 139,350
-
-
-
-
-
40,000
(8,587)
632,490
-
-
-
-
31.12.2014 Page 57 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 13.93(e)(ii)
AASB 13.93(e)(iv)
AASB 13.93(e)(i)
AASB 13.93(f)
TI 954 Guidelines
AASB 13.93(f)
AASB 13.93(g)
AASB 13.93(d)
AASB 13.95
TI 954(5)
AASB 13.B9
AASB 136.Aus6.2
AASB 136.Aus32
AASB 13.93(e)(iv)
AASB 13.95
2013
Fair Value at start of period
Additions
Revaluation increments/(decrements) recognised in
Profit or Loss
Revaluation increments/(decrements) recognised in
Other Comprehensive Income
Transfers (from/(to) Level 2)
Transfers (from/(to)) Non-current assets classified as held for sale
Disposals
Depreciation Expense
Fair Value at end of period
Total gains or losses for the period included in profit or loss, under ‘Other Gains’
Change in unrealised gains or losses for the period included in profit or loss for assets held at the end of the reporting period
Land
$000
5,060
-
Buildings
$000
60,410
57,239
Infrastructure
$000
597,877
10,000
-
300
-
(1,090)
2,866
-
-
-
-
-
(2,774)
4,270 117,741
-
-
-
-
-
2,000
-
-
-
(8,800)
601,077
-
-
Commentary:
The reconciliation for the comparative period includes a parcel of land which moved from
‘existing use’ basis (Level 3) to market value basis (Level 2) as the restrictions on the use of the land were removed by the Government of Western Australia prior to marketing the asset to the public. At the end of the comparative reporting period, the transferred land parcel was classified as Non-current assets classified as held for sale.
Change in unrealised gains or losses relating to assets held at the end of the period, included in profit or loss should identify the line item in which an amount was recognised.
This model has a nil value for this disclosure.
Valuation processes
There were no changes in valuation techniques during the period.
Transfers in and out of a fair value level are recognised on the date of the event or change in circumstances that caused the transfer. Transfers are generally limited to assets newly classified as non-current assets held for sale as Treasurer's instructions require valuations of land, buildings and infrastructure to be categorised within Level 3 where the valuations will utilise significant Level 3 inputs on a recurring basis.
Fair value for existing use specialised buildings and infrastructure assets is determined by reference to the cost of replacing the remaining future economic benefits embodied in the asset, i.e. the depreciated replacement cost. Depreciated replacement cost is the current replacement cost of an asset less accumulated depreciation calculated on the basis of such cost to reflect the already consumed or expired economic benefit, or obsolescence, and optimisation (where applicable) of the asset. Current replacement cost is generally determined by reference to the market observable replacement cost of a substitute asset of comparable utility and the gross project size specifications.
Commentary:
Where applicable to an Authority’s specialised non-current assets, the following statement should be added to the above paragraph:
“For some specialised buildings and infrastructure assets, the current replacement cost is determined by reference to the historical cost adjusted by relevant indices.”
Depreciated replacement cost contains an implicit reference to asset optimisation, whereby the cost is determined by reference to obtaining the asset at the lowest cost at which the gross future economic benefits of that asset could currently be obtained in the normal course of business. Consequently, assets are replaced with a modern equivalent
31.12.2014 Page 58 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference with optimisation for obsolescence and relevant surplus capacity.
Fair value for restricted use land is based on market value, by either using market evidence of sales of comparable land that is unrestricted less restoration costs to return the site to a vacant and marketable condition (low restricted use land), or, comparison with market evidence for land with low level utility (high restricted use land).
Commentary:
Restoration costs are estimated for the purpose of returning the site to a vacant and marketable condition and include costs for: building demolition, clearing, re-zoning and an allowance for time factors.
Significant Level 3 inputs used by the Model Authority are derived and evaluated as follows:
Historical cost per square metre floor area (m 2 )
The costs of constructing specialised buildings with similar utility are extracted from financial records of the Model Authority, then indexed by movements in CPI.
Consumed economic benefit/obsolescence of asset
These are estimated by the Western Australian Land Information Authority (Valuation
Services).
Selection of land with restricted utility
Fair value for restricted use land is determined by comparison with market evidence for land with low level utility. Relevant comparators of land with low level utility are selected by the Western Australian Land Information Authority (Valuation Services).
Historical cost per cubic metre (m 3 )
The costs of construction of infrastructure are extracted from financial records of the
Model Authority and indexed by movements in construction costs by quantity surveyors.
AASB 13.92, 94, 98
AASB 13.97
APG 1
Commentary:
Agencies may need to disclose additional information for liabilities where liabilities are measured at fair value. Liabilities of the Model Authority are normally measured at amortised cost.
Where assets or liabilities are not measured at fair value, but fair value information is provided in the notes to the financial statements the AASB 13 disclosures are required.
Restoration costs to return the site to a vacant and marketable condition for land with restricted use are estimated by Valuation Services, however where the land is subject to contamination, agencies would seek expert advice on the cost of remediation for the purposes of measuring the remediation liability.
31.12.2014 Page 59 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 13.93(h) Information about significant unobservable inputs (Level 3) in fair value measurements
Description Fair value
2014
$000
Land
Buildings
Infrastructure
4,910
139,350
632,490
Fair value
2013
$000
Valuation technique(s)
4,270 Market approach
117,741 Depreciated replacement cost
601,077 Depreciated replacement cost
Unobservable inputs
Selection of land with similar approximate utility
Consumed economic benefit/ obsolescence of asset
Historical cost per square metre floor area (m 2 )
Consumed economic benefit/ obsolescence of asset
Historical cost per cubic metre (m 3 )
Range of unobservable inputs
(weighted average)
2014
$384 - $704 per m 2
($489 per m 2 )
1¼% - 2% per year
(1.67% per year)
$4,710 - $5,080 per m 2
($4,895 per m 2 )
½% - 1¼% per year
(0.83% per year)
$520 - $575 per m
($562 per m 3 )
3
Range of unobservable inputs
(weighted average)
2013
$363 - $665 per m 2
($462 per m 2 )
Relationship of unobservable inputs to fair value
Higher value of similar land increases estimated fair value.
1¼% - 2% per year
(1.67% per year)
$4,423- $4,770 per m 2
($4, 597 per m 2 )
Greater consumption of economic benefit or increased obsolescence lowers fair value.
Higher historical cost per square metre (m 2) increases fair value.
½% - 1¼% per year
(0.83% per year)
$515 - $569 per m
($557 per m 3 )
3
Greater consumption of economic benefit or increased obsolescence lowers fair value.
Higher historical cost per cubic metre (m 3 ) increases fair value.
Reconciliations of the opening and closing balances are provided in Notes 26, 27 and 28.
Commentary:
Agencies will need to be familiar with each valuation technique applicable to their asset base.
In applying the depreciated replacement cost for valuing specialised assets (buildings and infrastructure assets), both observable and unobservable inputs may be utilised in determining fair value. For example, Valuation Services may utilise replacement costs (per unit volume) that are observable in the market via Cordell’s Publication, Rollinson’s Publication and the Building Construction Index (BCI) as published by Building and Management
Works for constructing a similar asset. In contrast, the effective age and the consumed economic benefit of the asset is an asset specific value and are unobservable to the market.
Agencies will need to establish and disclose values of only the significant unobservable inputs utilised in the fair value estimation process for their asset base. Where the range of values is wide, a weighted average for those values is required. If the range of values is very wide, it may be necessary to disaggregate the asset class further (e.g. Metropolitan Area versus Regional Areas) to provide meaningful information.
Information for unobservable inputs may be inferred from valuation roll information provided by Valuation Services. Inputs for restricted land are the result of the current use land value divided by the land area, whilst the consumed economic benefit of the asset can be inferred from the depreciation rate.
The relationship between the unobservable inputs and the resultant fair value must be described.
31.12.2014 Page 60 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 13.93(g), (i)
TI 954 Guidelines
Basis of Valuation
In the absence of market-based evidence, due to the specialised nature of some non financial assets, these assets are valued at Level 3 of the fair value hierarchy on an existing use basis. The existing use basis recognises that restrictions or limitations have been placed on their use and disposal when they are not determined to be surplus to requirements. These restrictions are imposed by virtue of the assets being held to deliver a specific community service.
Commentary:
Agencies will need to disclose the nature of the legal, natural or socio-political restrictions on the potential use of assets valued on an existing use basis.
AASB 138.118
AASB 101.104
AASB 101.104
APG 2
Licences
At cost
Accumulated amortisation
Accumulated impairment losses
Computer software
At cost
Accumulated amortisation
Accumulated impairment losses
Other [ describe ]
Reconciliations
Licenses
Carrying amount at start of period
Additions
Classified as held for sale
Impairment losses
Impairment losses reversed
Amortisation expense
Carrying amount at end of period
Computer software
Carrying amount at start of period
Additions
Classified as held for sale
Impairment losses
Impairment losses reversed
Amortisation expense
Carrying amount at end of period
Commentary:
Research costs must be expensed. Development costs that meet the specified criteria in
AASB 138.57 can be capitalised.
828
-
-
(533)
-
-
295
180
(20)
160
-
-
-
-
2014
$000
200
(40)
-
160
1,600
(1,305)
-
295
-
455
1,212
-
-
(384)
-
-
828
190
(10)
180
-
-
-
-
2013
$000
200
(20)
-
180
1,600
(772)
-
828
-
1,008
AASB 136.9
AASB 136.10
There were no indications of impairment to property, plant and equipment, infrastructure or intangible assets at 31 December 2014.
The Authority held no goodwill or intangible assets with an indefinite useful life during the reporting period. At the end of the reporting period there were no intangible assets not
31.12.2014 Page 61 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 136.12 yet available for use.
All surplus assets at 31 December 2014 have either been classified as assets held for sale or written-off.
Current
Trade payables
Other payables
Accrued expenses
Accrued salaries
Other [ describe ]
Total current
Non-current
Trade payables
Other [ describe ]
Total non-current
Commentary:
See also note 2(r) ‘Payables’ and note 44 ‘Financial instruments’.
2014
$000
2,028
528
201
30
-
2,787
-
-
-
AASB 7.8(f)
AASB 101.77
AASB 117, AASB 7
AASB 101.58-59
Current
Bank Overdraft ( note 38
‘Notes to the Statement of Cash
Flows’ )
Finance lease liabilities (secured) (a)
Other [ describe ]
Total current
2014
$000
470
600
-
1,070
2013
$000
680
650
-
1,330
AASB 117, AASB 7
AASB 101.58-59
AASB 7.14(b)
Non-current
WATC/Bank borrowings
Finance lease liabilities (secured) (a)
Other [ describe ]
Total non-current
1,000
1,205
-
2,205
1,000
1,220
-
2,220
(a) Lease liabilities are effectively secured as the rights to the leased assets revert to the lessor in the event of default.
AASB 7.14(a)
Int 4
AASB 7.18, 19
Assets pledged as security
The carrying amounts of non-current assets pledged as security are:
Leased plant, equipment and vehicles
Leased office equipment
2014
$000
3,058
2,130
5,188
2013
$000
5,761
2,851
8,612
Commentary:
Agencies entering into arrangements containing ‘in-substance’ leases classified as finance leases under AASB 117 Leases are required to recognise these as finance lease liabilities.
Disclose any defaults or breaches of any terms of a loan agreement.
2013
$000
1,350
480
160
50
-
2,040
-
-
-
31.12.2014 Page 62 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
FMA sec 9
AASB 137.84, 85
Int 1
Int 1
AASB 101.69(d)
AASB 101.61
AASB 101.69(d)
AASB 101.61
Current
Amount due to the Treasurer
2014
$000
2,400
2,400
2013
$000
7,970
7,970
Commentary:
An example of an amount due to the Treasurer is an outstanding Treasurer’s Advance.
See also note 44 ‘Financial instruments’.
Current
Employee benefits provision
Annual leave (a)
Long service leave (b)
Deferred salary scheme (c)
Other provisions
Employment on-costs (d)
Warranties (e)
Remediation costs (f)
Non-current
Employee benefits provision
Long service leave (b)
Other provisions
Employment on-costs (d)
Warranties (e)
Remediation costs (f)
4,214
4,214
650
42
550
1,242
5,456
2014
$000
10,352
3,101
1,252
14,705
1,225
20
-
1,245
15,950
550
550
188
25
525
738
1,288
2013
$000
9,411
2,819
22
12,252
975
20
-
995
13,247
(a) Annual leave liabilities have been classified as current as there is no unconditional right to defer settlement for at least
12 months after the end of the reporting period. Assessments indicate that actual settlement of the liabilities is expected to occur as follows:
Within 12 months of the end of the reporting period
More than 12 months after the end of the reporting period
2014
$000
9,990
362
10,352
2013
$000
9,130
281
9,411
(b) Long service leave liabilities have been classified as current where there is no unconditional right to defer settlement for at least 12 months after the end of the reporting period. Assessments indicate that actual settlement of the liabilities is expected to occur as follows:
Within 12 months of the end of the reporting period
More than 12 months after the end of the reporting period
2014
$000
2,957
4,358
7,315
2013
$000
1,819
1,550
3,369
31.12.2014 Page 63 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 101.69(d)
AASB 101.61
AASB 137.85
(c) Deferred salary scheme liabilities have been classified as current where there is no unconditional right to defer settlement for at least 12 months after the end of the reporting period. Actual settlement of the liabilities is expected to occur as follows:
Within 12 months of the end of the reporting period
More than 12 months after the end of the reporting period
2014
$000
-
1,252
1,252
2013
$000
-
22
22
(d) The settlement of annual and long service leave liabilities gives rise to the payment of employment on-costs including workers’ compensation insurance. The provision is the present value of expected future payments.
The associated expense, apart from the unwinding of the discount (finance cost), is disclosed in note 13 ‘Other expenses’.
(e) Provision is made for the estimated warranty claims in respect of products sold which are still under warranty at the end of the reporting period. These claims are expected to be settled within two financial years, but this may be extended if claims are made late in the warranty period and are subject to confirmation by suppliers that component parts are defective. The timing and amount of economic outflows is uncertain and estimates are based on past claims experience.
The associated expense, apart from the unwinding of the discount (finance cost), is disclosed in note 13 ‘Other expenses’.
AASB 137.85
Int 1
TI 1101
AASB 137.5(d), 84
(f) Under [ detail circumstances ] the Authority has a legal or constructive obligation to dismantle [ detail the property ] and restore the site. [ Also detail expected timing of payments any significant uncertainties regarding the timing and amounts of payments required to settle the obligations ]
The associated expense, apart from the unwinding of the discount (finance cost), is disclosed in note 13 ‘Other expenses’.
Commentary:
Deferred salary schemes represent agreements between the Authority and individual employees, whereby the employee sacrifices salary in order to purchase additional leave. The liability for leave is measured on a discounted basis by calculating the present value of estimated future cash outflows.
Disclose any 48/52 leave arrangements in place as a separate line item similar to the
Deferred salary scheme.
Recognised sick leave provisions should be disclosed as a separate line item.
Movements in other provisions
Movements in each class of provisions during the period, other than employee benefits, are set out below:
Employment on-cost provision
Carrying amount at start of period
Additional/(reversals of) provisions recognised
Payments/other sacrifices of economic benefits
Unwinding of the discount
Carrying amount at end of period
Warranty provisions
Carrying amount at start of period
Additional/(reversals of) provisions recognised
Payments/other sacrifices of economic benefits
Unwinding of discount
Carrying amount at end of period
Remediation costs provisions
Carrying amount at start of period
Additional/(reversals of) provisions recognised
Payments/other sacrifices of economic benefits
Unwinding of the discount
Carrying amount at end of period
2014
$000
1,163
6,040
(5,388)
60
1,875
45
42
(28)
3
62
525
25
550
-
-
2013
$000
520
5,491
(4,898)
50
1,163
30
38
(25)
2
45
500
25
525
-
-
31.12.2014 Page 64 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
Current
Other [ describe ]
Total current
Non-current
Other [ describe ]
Total non-current
2014
$000
-
-
-
-
2013
$000
-
-
-
-
Framework
AASB 101.25
TI 1103 Guidelines
The Western Australian Government holds the equity interest in the Authority on behalf of the community. Equity represents the residual interest in the net assets of the Authority.
The asset revaluation surplus represents that portion of equity resulting from the revaluation of non-current assets.
Commentary:
The following disclosure is applicable when liabilities exceed assets:
”Liabilities exceed assets for the Authority and therefore there is no residual interest in the assets of the Authority. This equity deficit arose through [ provide details of the circumstances e.g. expenses such as depreciation and accrual of employee entitlements for leave not involving the payment of cash in the current period being recognised in the
Statement of Financial Position].“
AASB 101.106
TI 955(3)(i)
Int 1038
Contributed equity
Balance at start of period
Contributions by owners
Capital appropriation
Other contributions by owners
Royalties for Regions Fund
– Regional Infrastructure and
Headworks Account
Royalties for Regions Fund – Regional Community Services
Account
Transfer of net assets from other agencies
[ Provide details ]
Total contributions by owners
Distributions to owners
Transfer of net assets to other agencies:
[ Detail ]
Net assets transferred to Government:
[ Detail ]
Total distributions to owners
Balance at end of period
2014
$000
106,000
12,000
-
-
-
12,000
-
118,000
-
-
2013
$000
41,000
65,000
-
-
-
65,000
-
106,000
-
-
Commentary:
Capital appropriations
TI 955 Contributions by Owners Made to Wholly Owned Public Sector Entities designates capital appropriations as contributions by owners in accordance with AASB
31.12.2014 Page 65 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 1004.54-59
TI 955(5)
Int 1038
AASB 101.106
AASB 101.106
Interpretation 1038 Contributions by Owners Made to Wholly-Owned Public Sector
Entities .
Transfer of net assets from other agencies
AASB 1004 Contributions requires transfers of net assets as a result of a restructure of administrative arrangements to be accounted for as contributions by owners and distributions to owners.
Where activities are transferred from one agency to another agency as a result of a restructure of administrative arrangements, AASB 1004 (paragraph 57) requires the transferee agency to disclose the expenses and income attributable to the transferred activities for the reporting period, showing separately those expenses and income recognised by the transferor agency during the reporting period. Furthermore,
AASB 1004 (paragraph 58) requires disclosures by class for each material transfer of assets and liabilities in relation to a restructure of administrative arrangements, together with the name of the counterparty transferor/transferee agency. In respect of transfers that are individually immaterial, the assets and liabilities are to be disclosed on an aggregate basis.
TI 955 designates non-discretionary and non-reciprocal transfers of net assets between state government agencies as contributions by owners in accordance with AASB
Interpretation 1038. Where the transferee agency accounts for a non-discretionary and non-reciprocal transfer of net assets as a contribution by owners, the transferor agency accounts for the transfer as a distribution to owners.
Distribution to owners
TI 955 requires non-reciprocal transfers of net assets to Government to be accounted for as distribution to owners in accordance with AASB Interpretation 1038.
Reserves
Asset revaluation surplus
Balance at start of period
Net revaluation increments/(decrements)
Land
Buildings
Plant and equipment
Infrastructure
Non-current assets classified as held for sale
Others [ describe ]
Balance at end of period
Accumulated surplus/(deficit)
2014
$000
205,500
15,000
45,000
-
40,000
-
-
305,500
2013
$000
180,000
5,500
18,000
-
2,000
-
-
205,500
Balance at start of period
Result for the period
Income and expense recognised directly in equity
Balance at end of period
Total equity at end of period
2014
$000
1,002,25
6
33,836
2013
$000
983,046
19,210
- -
1,036,092 1,002,256
1,459,592 1,313,756
31.12.2014 Page 66 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 107.45
Cash at the end of the financial year as shown in the Statement of Cash Flows is reconciled to the related items in the Statement of Financial Position as follows:
Cash and cash equivalents
Restricted cash and cash equivalents ( note 21
‘Restricted cash and cash equivalents’ )
Bank Overdraft ( note 33 ‘Borrowings’ )
2014
$000
1,465
50
(470)
1,045
2013
$000
4,625
50
(680)
3,995
AASB 107.Aus20.2 Reconciliation of net cost of services to net cash flows provided by/(used in) operating activities
Net cost of services
Non-cash items
Depreciation and amortisation expense ( note 9
‘Depreciation and amortisation expense’
)
Doubtful debts expense ( note
13 ‘Other expenses’
)
Superannuation expense
Services received free of charge ( note 20 ‘Income from State
Government’
)
Finance costs – unwinding of discounts ( note 10 ‘Finance cost’ )
Adjustment for other non-cash items
Net (gain)/loss on disposal of property, plant and equipment
( note
19 ‘Net gain/(loss) on sale of non-current assets’
)
Write-down of non-current assets classified as held for sale
( note
13 ‘Other expenses’
)
Loss from earthquake ( note 13 ‘Other expenses’ )
(Profit)/loss on sale of investment
(Increase)/decrease in assets
Current receivables (a)
Current inventories
Other current assets
Non-current receivables
Non-current inventories
Other non-current assets
Increase/(decrease) in liabilities
Current payables (a)
Current provisions
Other current liabilities
Non-current provisions
Other non-current liabilities
Net GST receipts/(payments) (b)
Change in GST in receivables/payables (c)
Net cash provided by/(used in) operating activities
2014
$000
(766,798)
33,330
110
-
4,400
88
(50)
(170)
470
-
-
(10)
-
-
60
726
(6,508)
(1,935)
1,473
2013
$000
(686,891)
33,820
100
-
4,000
77
(82)
(4,700)
1,100
1,250
-
(266)
(3,625)
250
-
-
-
780
6,183
21
5,398
-
20
(960)
-
65
(72)
(65)
256
(729,402) (648,753)
(a) Note that the Australian Taxation Office (ATO) receivable/payable in respect of GST and the receivable/payable in respect of the sale/purchase of non-current assets are not included in these items as they do not form part of the reconciling items.
31.12.2014 Page 67 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
(b) This is the net GST paid/received, i.e. cash transactions.
(c) This reverses out the GST in receivables and payables.
AASB 107.50(a)
AASB 107.43, 44,
50
At the end of the reporting period, the Authority had fully drawn on all financing facilities, details of which are disclosed in the financial statements.
Commentary:
Non-cash financing and investing activities
Information about transactions and other events which do not result in any cash flows during the reporting period, but affect assets and liabilities that are recognised, must be disclosed in the general purpose financial statements where they:
(a) involve external parties; and
(b) relate to the financing, investing and other non-operating activities of the entity.
The following are examples of non-cash financing and investing transactions and other events:
(a) acquisition of assets by entering into finance leases; and
(b) exchange of non-cash assets or liabilities for other non-cash assets or liabilities.
TI 1102(10)
2014
$000
2013
$000
During the period the following services were provided to other agencies free of charge for functions outside the normal operations of the Authority:
ABC Agency
– Use of photocopier
AASB 101.114(d)(i)
Finance lease commitments
AASB 117.31(b)
AASB 117.31(e)
110
110
100
100
2014
$000
2013
$000
Minimum lease payment commitments in relation to finance leases are payable as follows:
Within 1 year
Later than 1 year and not later than 5 years
Later than 5 years
Minimum finance lease payments
Less future finance charges
Present value of finance lease liabilities
The present value of finance leases payable is as follows:
Within 1 year
Later than 1 year and not later than 5 years
Later than 5 years
Present value of finance lease liabilities
Included in the financial statements as:
Current ( note 33 ‘Borrowings’ )
Non-current ( note 33
‘Borrowings’
)
650
1,280
15
1,945
(140)
1,805
640
1,160
5
1,805
600
1,205
1,805
The Authority has the option to purchase leased assets at their agreed fair value on expiry of the lease. These leasing arrangements do not have escalation clauses, other than in the event of payment default. There are no restrictions imposed by these leasing arrangements on other financing transactions. Certain finance leases have a contingent rental obligation; however these are not material when compared to the total lease
800
1,100
120
2,020
(150)
1,870
700
1,050
120
1,870
650
1,220
1,870
31.12.2014 Page 68 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference payments made.
Commentary:
The present value of finance leases payable within 1 year is generally greater than the outstanding liability recognised as current liabilities ( note 33 ‘Borrowings’ ) in the financial statements. This is due to minimum lease payments affecting only small reduction of the outstanding liability and satisfying large finance charge early in the lease term. As the entity approaches the contractual end date, the finance charge becomes smaller and the outstanding liability is settled rapidly.
AASB 117.35(a)
AASB 117.35(d)
AASB 117.31(c),
35(c)
Non-cancellable operating lease commitments
2014
$000
2013
$000
Commitments for minimum lease payments are payable as follows:
Within 1 year
Later than 1 year and not later than 5 years
Later than 5 years
5,400
22,126
-
27,526
5,000
20,000
-
25,000
The Authority has entered into a property lease which is a non-cancellable lease with a five year term, with rent payable monthly in advance. Contingent rent provisions within the lease agreement require that the minimum lease payments shall be increased by the lower of CPI or 4% per annum. An option exists to renew the lease at the end of the five year term for an additional term of five years.
Commentary:
Where material, contingent rents shall be charged as expenses in the periods in which they are incurred and must be disclosed separately.
AASB 101.114(d)(i)
TI 1103 Guidelines
The commitments below are inclusive of GST.
Capital expenditure commitments
Capital expenditure commitments, being contracted capital expenditure additional to the amounts reported in the financial statements, are payable as follows:
Within 1 year
Later than 1 year and not later than 5 years
Later than 5 years
Other expenditure commitments AASB 101.114(d)(i)
TI 1103 Guidelines
Other expenditure commitments [describe] contracted for at the end of the reporting period but not recognised as liabilities, are payable as follows:
Within 1 year
Later than 1 year and not later than 5 years
Later than 5 years
2014
$000
27,000
61,000
-
88,000
2014
$000
-
-
-
-
2013
$000
55,000
75,000
-
130,000
2013
$000
-
-
-
-
31.12.2014 Page 69 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 101.105
AASB 137.86-92
AASB 139.47(c)
AASB 7.3(d)
AASB 137.89
AASB 137.34
The following contingent liabilities are additional to the liabilities included in the financial statements:
Litigation in progress
A plaintiff has made a claim for $50,000 in relation to an alleged breach of copyright.
Liability has been denied and any legal claim will be defended.
Native title claims
The Authority’s land is subject to a number of native title claims that have yet to be assessed by the National Native Title Tribunal. The financial effect should these claims be successful cannot be estimated at this time.
Contaminated sites
Under the Contaminated Sites Act 2003 , the Authority is required to report known and suspected contaminated sites to the Department of Environment and
Conservation (DEC). In accordance with the Act, DEC classifies these sites on the basis of the risk to human health, the environment and environmental values. Where sites are classified as contaminated – remediation required or possibly contaminated – investigation required , the Authority may have a liability in respect of investigation or remediation expenses.
During the year the Authority reported three suspected contaminated sites to DEC.
These have yet to be classified. The Authority is unable to assess the likely outcome of the classification process, and accordingly, it is not practicable to estimate the potential financial effect or to identify the uncertainties relating to the amount or timing of any outflows. Whilst there is no possibility of reimbursement of any future expenses that may be incurred in the remediation of these sites, the Authority may apply for funding from the
Contaminated Sites Management Account to undertake further investigative work or to meet remediation costs that may be required.
Other
[ describe ]
Commentary:
Agencies that have ent ered into contracts or arrangements as the issuer of ‘financial guarantee contracts’ shall recognise and measure the contracts in accordance with
AASB 139. Disclosures for these contracts are required under AASB 7.B9, B10(c),
B10A(b) and B11C(c).
The following contingent assets are additional to the assets included in the financial statements:
Litigation in progress
A negligence claim has been filed against a supplier for faulty materials. The potential financial impact of a successful outcome cannot be reliably measured at this time.
Other
[ describe ]
Commentary:
A contingent asset is disclosed only where an inflow of economic benefits is probable.
31.12.2014 Page 70 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 110.3
AASB 110.19
AASB 110.21
TI 945(4)
Commentary:
AASB 110.3 notes that events after the end of the reporting period are those events, favourable and unfavourable, that occur between the end of the reporting period and the date when the financial statements are authorised for issue. Two types of events can be identified:
 those that provide evidence of conditions that existed at the end of the reporting period (adjusting events after the end of the reporting period); and
 those that are indicative of conditions that arose after the end of the reporting period (non-adjusting events after the end of the reporting period).
Updating Disclosure about Conditions at the End of the Reporting Period
If an entity receives information after the end of the reporting period about conditions that existed at the end of the reporting period, it shall update disclosures that relate to these conditions, in light of the new information.
Non-adjusting Events after the end of the Reporting Period
If non-adjusting events after the end of the reporting period are material, non-disclosure could influence the economic decisions of users taken on the basis of the financial report.
Accordingly, an entity shall disclose the following for each material category of nonadjusting event after the end of the reporting period:
 the nature of the event; and
 an estimate of its financial effect, or a statement that such an estimate cannot be made.
Significant variations between estimates and actual results for 2014 and between the actual results for 2013 and 2014 are shown below. Significant variations are considered to be those greater than 10% or $5 million.
Commentary
Agencies should set their own thresholds, which may or may not coincide with this.
Significant variances between estimated and actual result for 2014
Supplies and services
User charges and fees
Sales
2014
Estimate
$000
56,680
13,500
12,537
2014
Actual
$000
61,980
16,497
14,267
Variation
$000
5,300
2,997
1,730
Supplies and services
Additional materials were required to provide training courses.
User charges and fees
Additional revenues were received as extra training courses were conducted to meet an unexpected surge in demand.
Sales
Sale of books, guides and training materials increased due to the extra demand for training courses.
31.12.2014 Page 71 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
Significant variances between actual results for 2013 and 2014
Income
Sales
User charges and fees
Expenses
Employee benefits expense
Supplies and services
Cost of sales
2014
$000
14,267
16,497
669,757
61,980
5,560
2013
$000
12,970
14,997
512,584
56,345
3,700
Variance
$000
1,297
1,500
157,173
5,635
1,860
Sales
The variance is due to additional sales on the various books, guides and training materials to agencies.
User charges and fees
The variance is due to additional revenues received from services provided in respect of the corporate services reforms, which involved changes to agencies’ financial management systems and increased training courses during the financial year.
Employee benefits expense
The variance is due to the hiring of more employees during the financial year.
Supplies and services
The variance is due to higher use of contractors and consultants in providing services to agencies and higher communication expenses incurred during the financial year.
Cost of sales
The variance is due to additional sales on the various books, guides and training materials to agencies.
Commentary:
Agencies should set their own significant variations thresholds, which may or may not coincide with the example disclosures above.
AASB 7.7, 31
AASB 7.21, B5, 33,
34, 42B
Commentary:
Disclose information that enables users of its financial statements to evaluate the significance of financial instruments for its financial position and performance. This shall include information that enables users to evaluate the nature and extent of risks arising from financial instruments to which the agency is exposed at the end of the reporting period.
AASB 7 requires disclosure of information used by key management personnel to measure and manage risk. The agency shall decide, in light of the circumstances, how much detail it provides to satisfy the requirements of this Standard, how much emphasis it places on different aspects of the requirements and how it aggregates information to display the overall picture without combining information with different characteristics.
The minimum disclosures set out in this note of the model annual report are provided by way of example only. They do not necessarily represent the only disclosures which may be appropriate for particular financial instruments and do not cover all financial instruments that may be used in practice, or importantly, reflect the manner in which the agency reports internally to its key management personnel.
AASB 7 requires comprehensive disclosure requirements for financial instruments including, but not limited to, the following:
 the measurement basis (bases) and the criteria used to determine classification for
31.12.2014 Page 72 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 7.31, 33
AASB 7.33, 34(c),
36(c)
AASB 7.33, 39(c)
AASB 7.33 different types of financial instruments;
 the qualitative and quantitative disclosures for each type of risk (e.g. credit risk, liquidity risk, and market risk) that the agency is exposed to;
 qualitative disclosures concerning the exposures to risk and how they arise; the objectives, policies and processes for managing the risk and methods used to measure the risk; and any changes in these from the previous period; and
 disclosures enabling financial statement users to: understand the relationship between transferred financial assets not derecognised in their entirety and associated liabilities, and, evaluate the nature and risks associated with continuing involvement in derecognised financial assets.
Financial instruments held by the Authority are cash and cash equivalents, restricted cash and cash equivalents, loans and receivables, payables, bank overdraft, WATC/Bank borrowings, finance leases, and Treasurer’s advances. The Authority has limited exposure to financial risks. The Authority’s overall risk management program focuses on managing the risks identified below.
Credit risk
Credit risk arises when there is the possibility of the Authority’s receivables defaulting on their contractual obligations resulting in financial loss to the Authority.
The maximum exposure to credit risk at the end of the reporting period in relation to each class of recognised financial assets is the gross carrying amount of those assets inclusive of any allowance for impairment as shown in the table at note 44(c) ‘Financial instruments disclosures’ and note 23 ‘Receivables’.
Credit risk associated with the Authority’s financial assets is minimal because the main receivable is the amounts receivable for services (holding account). For receivables other than government, the Authority trades only with recognised, creditworthy third parties. The Authority has policies in place to ensure that sales of products and services are made to customers with an appropriate credit history. In addition, receivable balances are monitored on an ongoing basis with the result that the Authority’s exposure to bad debts is minimal. At the end of the reporting period there were no significant concentrations of credit risk.
Commentary:
Disclose policies for managing any past due receivables.
Allowance for impairment of financial assets is calculated based on objective evidence such as observable data in client credit ratings. For financial assets that are either past due or impaired, refer to note 44(c) ‘Financial instrument disclosures’.
Liquidity risk
Liquidity risk arises when the Authority is unable to meet its financial obligations as they fall due.
The Authority is exposed to liquidity risk through its trading in the normal course of business.
The Authority has appropriate procedures to manage cash flows including drawdown of appropriations by monitoring forecast cash flows to ensure that sufficient funds are available to meet its commitments.
Market risk
Market risk is the risk that changes in market prices such as foreign exchange rates and interest rates will affect the Authority’s income or the value of its holdings of financial instruments. The Authority does not trade in foreign currency and is not materially exposed to other price risks [ for example, equity securities or commodity prices changes ].
The Authority’s exposure to market risk for changes in interest rates relates primarily to the long-term debt obligations.
All borrowings are due to the Western Australian Treasury Corporation (WATC) and are
31.12.2014 Page 73 of 87

Reference
AASB 7.33
AASB 7.8
AASB 7.8(c)
AASB 7.8(f)
AASB 132.AG12
Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014 repayable at fixed rates with varying maturities. Other than as detailed in the interest rate sensitivity analysis table at note 44(c), the Authority is not exposed to interest rate risk because the majority of cash and cash equivalents and restricted cash are non-interest bearing and it has no borrowings other than the Treasurer’s advance (non-interest bearing), WATC borrowings and finance leases (fixed interest rate).
Commentary:
Disclose any changes from the previous period in respect of the exposures for each type of risk, such as how they arise, how they are managed and the methods used to measure such risks.
The carrying amounts of each of the following categories of financial assets and financial liabilities at the end of the reporting period are:
2014
$000
2013
$000
Financial Assets
Cash and cash equivalents
Restricted cash and cash equivalents
Loans and receivables (a)
Financial Liabilities
Bank overdraft
Financial liabilities measured at amortised cost
1,465
50
94,276
470
7,992
(a) The amount of loans and receivables excludes GST recoverable from the ATO (statutory receivable).
4,625
50
67,798
680
12,880
31.12.2014 Page 74 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 7.6, 7, 34,
36(a), 37(a)-(b)
AASB 7.36(b), 38
Credit risk
The following table discloses the Authority’s maximum exposure to credit risk and the ageing analysis of financial assets. The Authority’s maximum exposure to credit risk at the end of the reporting period is the carrying amount of financial assets as shown below. The table discloses the ageing of financial assets that are past due but not impaired and impaired financial assets. The table is based on information provided to senior management of the Authority.
The Authority does not hold any collateral as security or other credit enhancement relating to the financial assets it holds.
2014
Cash and cash equivalents
Restricted cash and cash equivalents
Receivables (a)
Loans and advances
Amounts receivable for services
2013
Cash and cash equivalents
Restricted cash and cash equivalents
Receivables (a)
Loans and advances
Amounts receivable for services
Ageing analysis of financial assets
Carrying
Amount
$000
1,465
50
8,134
-
86,142
95,791
4,625
50
1,736
-
66,062
72,473
Not past due and not impaired
$000
1,465
50
7,686
-
86,142
95,343
4,625
50
1,618
-
66,062
72,355
Up to
1 month
$000
-
330
-
-
-
330
92
-
-
92
-
-
Past due but not impaired
1-3 months
$000
-
88
-
-
-
88
17
-
-
17
-
-
3 months to
1 year
$000
-
22
-
-
-
22
6
-
-
6
-
-
1-5 years
$000
-
-
-
-
-
-
-
-
-
-
-
-
More than
5 years
$000
-
-
-
-
-
-
-
-
-
-
-
-
Impaired financial assets
$000
-
8 (b)
-
-
-
8
3 (b)
-
-
-
-
3
(a) The amount of receivables excludes the GST recoverable from the ATO (statutory receivable).
(b) A particular debtor has filed for bankruptcy and it is expected that only $8,000 in 2014 (2013: $3,000) of the amount owing will be recovered. The carrying amount of the receivable before deducting the impairment loss was
$28,000 (2013: $12,000).
31.12.2014 Page 75 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
AASB 7.6, 7, 34, 39,
B11E
Liquidity risk and interest rate exposure
The following table de tails the Authority’s interest rate exposure and the contractual maturity analysis of financial assets and financial liabilities.
The maturity analysis section includes interest and principal cash flows. The interest rate exposure section analyses only the carrying amounts of each item.
2014
Financial Assets
Cash and cash equivalents
Restricted cash and cash equivalents
Receivables (a)
Loans and advances
Amounts receivable for services
Financial Liabilities
Payables
Bank overdraft
WATC/Bank borrowings
Finance lease liabilities
Amounts due to the Treasurer
Interest rate exposure and maturity analysis of financial assets and financial liabilities
Weighted
Average
Effective
Interest
Rate
%
-
4.6
-
-
-
-
6.5
6.3
7.1
-
Carrying
Amount
$000
1,465
50
8,134
-
86,142
95,791
2,787
470
1,000
1,805
2,400
8,462
Interest rate exposure
Fixed interest rate
$000
-
-
-
1,000
-
1,805
-
2,805
-
-
-
-
(a) The amount of receivables excludes the GST recoverable from the ATO (statutory receivable).
Variable interest rate
$000
-
50
-
-
-
50
470
-
-
-
-
470
Noninterest bearing
$000
1,465
-
8,134
-
86,142
95,741
2,787
-
-
-
2,400
5,187
Nominal
Amount
$000
1,465
50
8,134
-
86,142
95,791
2,787
470
1,221
1,945
2,400
8,823
Up to
1 month
$000
1,465
50
8,134
-
1,429
11,078
2,787
470
-
-
2,400
5,657
1-3 months
$000
-
-
Maturity dates
-
-
4,270
4,270
-
63
-
150
-
213
3 months to 1 year
$000
-
-
-
-
8,540
8,540
-
63
-
500
-
563
1-5 years
$000
-
-
More than
5 years
$000
-
-
-
-
64,713
64,713
-
1,095
-
1,280
-
2,375
-
-
7,190
7,190
15
-
15
-
-
-
31.12.2014 Page 76 of 87

Model Annual Report
Statutory Authority (Net Cost of Services) – 31 December 2014
Reference
Interest rate exposure and maturity analysis of financial assets and financial liabilities
Interest rate exposure Maturity dates
2013
Financial Assets
Cash and cash equivalents
Restricted cash and cash equivalents
Receivables (a)
Loans and advances
Amounts receivable for services
Financial Liabilities
Payables
Bank overdraft
WATC/Bank borrowings
Finance lease liabilities
Amounts due to the Treasurer
Weighted
Average
Effective
Interest
Rate
%
-
4.5
-
6.5
6.3
7.1
-
-
-
-
Carrying
Amount
$000
4,625
50
1,736
-
66,062
72,473
2,040
680
1,000
1,870
7,970
13,560
Fixed interest rate
$000
-
-
(a) The amount of receivables excludes the GST recoverable from the ATO (statutory receivable).
1,000
1,870
-
2,870
-
-
-
-
-
-
Variable interest rate
$000
-
50
-
-
-
50
-
680
-
680
-
-
Noninterest bearing
$000
4,625
-
1,736
-
66,062
72,423
2,040
-
7,970
10,010
-
-
Nominal
Amount
$000
4,625
50
1,736
-
66,062
72,473
2,040
680
1,284
2,020
7,970
13,994
Up to
1 month
$000
4,625
50
1,736
-
1,817
8,228
2,040
680
7,970
10,690
-
-
1-3 months
$000
-
-
-
-
5,440
5,440
63
200
-
263
-
-
3 months to 1 year
$000
-
-
-
-
10,880
10,880
63
600
-
663
-
-
1-5 years
$000
-
-
More than
5 years
$000
-
-
-
-
43,133
43,133
1,158
1,100
-
2,258
-
-
-
-
4,792
4,792
-
120
-
120
-
-
31.12.2014 Page 77 of 87

Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
Reference
AASB 7.39(b) Commentary:
Disclose a maturity analysis for derivative financial liabilities where applicable. The maturity analysis shall include the remaining contractual maturities for those derivative financial liabilities for which contractual maturities are essential for an understanding of the timing of the cash flows.
AASB 7.40, B17-21
AASB 7.40(c)
Interest rate sensitivity analysis
Th e following table represents a summary of the interest rate sensitivity of the Authority’s financial assets and liabilities at the end of the reporting period on the surplus for the period and equity for a 1% change in interest rates. It is assumed that the change in interest rates is held constant throughout the reporting period.
-100 basis points +100 basis points
2014
Financial Assets
Restricted cash and cash equivalents
Financial Liabilities
Bank overdraft
[ List details ]
Total Increase/(Decrease)
Carrying amount
$000
50
470
-
Surplus
$000
(0.5)
5
-
4.5
Equity
$000
(0.5)
5
-
4.5
-100 basis points
Surplus
$000
0.5
(5)
-
(4.5)
Equity
$000
0.5
(5)
-
(4.5)
+100 basis points
2013
Financial Assets
Restricted cash and cash equivalents
Financial Liabilities
Bank overdraft
[ List details ]
Total Increase/(Decrease)
Carrying amount
$000
50
680
-
Surplus
$000
(0.5)
7
-
6.5
Equity
$000
(0.5)
7
-
6.5
Surplus
$000
0.5
(7)
-
(6.5)
Equity
$000
0.5
(7)
-
(6.5)
Commentary:
Take into account of past performance, future explanations, economic forecasts, and management’s knowledge and experience of the financial markets to determine possible movements that are reasonably likely over the next 12 months.
Disclose any changes in the methods and assumptions used in the previous period.
If applicable, a sensitivity analysis for currency risk and other price risks should be disclosed.
AASB 7.25, 27, 29
AASB 7.25, 30
AASB 13.91
AASB 13.92-99
Fair values
All financial assets and liabilities recognised in the Statement of Financial Position, whether they are carried at cost or fair value, are recognised at amounts that represent a reasonable approximation of fair value unless otherwise stated in the applicable notes.
Commentary:
Where a material difference between the carrying amount and fair value exists in respect of financial assets or liabilities, then the aggregate fair value of the class of financial assets or liabilities should be disclosed.
AASB 13 requires disclosures for financial instruments recognised or disclosed at fair value to assist users to assess the valuation techniques used, and the inputs used to develop those measurements. Moreover, the effect of the measurements on profit or loss or other comprehensive income for the period is required for recurring fair value
31.12.2014 Page 78 of 87

Reference
AASB 12.21
AASB 12.21(b)
AASB 12.22
AASB 12.23(a)
AASB 12.23(b)
TI 952(3)
TI 952(3)(i)(c)
TI 952(3)(i)(a)
TI 952(3)(i)(c)
Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014 measurements utilising significant unobservable inputs (Level 3).
Name of Operation
JO 1
Principal Place Of
Business
Western Australia
Principal Activity Ownership
Interest (%)
50
JO 2 Western Australia
Training Centre
Construction
College
Construction
50
Commentary:
Additional minimum disclosure requirements apply to joint arrangements classified as joint ventures. Requirements for joint ventures, subject to applicability and materiality, include the following:
(a) whether investments in joint ventures are measured using the equity method or at fair value;
(b) additional summarised financial information about the joint venture;
(c) the fair value of an investment in the joint venture if the joint venture is accounted for using the equity method where there is a quoted market price for the investment;
(d) the nature and extent of any significant restrictions on the ability of joint ventures to transfer funds to the agency in the form of cash dividends, or to repay loans or advances made by the agency;
(e) information about capital commitments relevant to joint ventures; and,
(f) information about contingent liabilities relevant to joint ventures.
The number of members of the accountable authority, whose total of fees, salaries, superannuation, non-monetary benefits and other benefits for the financial year, fall within the following bands are:
Remuneration Band ($)
100,001
– 110,000
110,001 – 120,000
120,001
– 130,000
130,001 – 140,000
Base remuneration and superannuation
Annual leave and long service leave accruals
Other benefits
Total remuneration of members of the accountable authority
2014
1
1
-
1
$000
400
(40)
10
370
2013
1
1
1
-
$000
300
50
10
360
Total remuneration includes the superannuation expense incurred by the Authority in respect of members of the accountable authority.
The number of senior officers, other than senior officers reported as members of the accountable authority, whose total fees, salaries, superannuation, non-monetary benefits and other benefits for the financial year fall within the following bands are:
31.12.2014 Page 79 of 87

Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
Reference
TI 952(3)(i)(a)
TI 952(3)(i)(d)
TI 952 Guidelines
Remuneration Band ($)
50,001
– 60,000
60,001
– 70,000
100,001 – 110,000
130,001
– 140,000
Base remuneration and superannuation
Annual leave and long service leave accruals
Other benefits
Total remuneration of senior officers
2014
-
2
1
1
$000
416
(50)
20
386
2013
1
1
1
1
$000
330
30
20
380
Total remuneration includes the superannuation expense incurred by the Authority in respect of senior officers other than senior officers reported as members of the accountable authority.
Commentary:
Disclose the number of members of the accountable authority and senior officers who are members of the Pension Scheme.
Remuneration should be determined by applying the relevant requirements under
AASB 119 ‘Employee Benefits’ as the basis for measuring the components of remuneration. Employee benefits are all forms of consideration given by an agency in exchange for service rendered. The calculations are to be made on an accrual accounting basis to ensure that the total remuneration disclosed does not necessarily represent the cash paid to a senior officer in a single reporting period.
Base remuneration and superannuation – cash remuneration received in the financial year, adjusted for salary/superannuation accruals (i.e. minus cash received in the current year in relation to remuneration earned in prior years and plus remuneration earned in the current year but not yet received in cash).
AASB 1054.10
AASB 1054.10, 11
Remuneration paid or payable to the Auditor General in respect of the audit for the current financial year is as follows:
2014
$000
2013
$000
Auditing the accounts, financial statements and key performance indicators
55 50
Commentary:
AASB 1054 requires agencies to disclose the amounts paid or payable to:
(a) the auditor of the entity for an audit or a review of the financial statements of the entity; and
(b) the auditor of the entity for non-audit services in relation to the entity, disclosing separately the nature and amount of each of the non-audit services provided by the auditor.
The amounts disclosed above differ from the amounts recognised in note 13 ‘Other expenses’ and represents the totals of interim and final audit fees for the current year financial statement.
TI 951(3), (4)
The Authority had two related bodies during the financial year meeting all operating expenses of:
TNT Agency
ABN Agency
2014
$000
6,290
75
2013
$000
6,540
70
31.12.2014 Page 80 of 87

Reference
TI 951(5), (6)
FMA sec 17
TI 1103
TI 1103(15)(ii)
Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
The transactions and results of the related bodies have been included in the financial statements.
Commentary:
A related body is a body that receives more than half of its funding and resources from an agency and is subject to operational control by that agency.
Excellent Board is a government affiliated body that received administrative support and a grant of $2,300,000 (2013: $1,200,000) from the Authority. The Excellent Board is not subject to operational control by the Authority.
Commentary:
An affiliated body is a body that receives more than half its funding and resources from an agency but is not subject to operational control by that agency.
The Prize Fund (a)
The purpose of the account is to hold funds from donations and bequests in trust for the purpose of awarding prizes to schools and colleges in the information technology field.
Balance at start of period
Receipts
Payments
Balance at end of period
2014
$000
-
390
(305)
85
2013
$000
560
135
(695)
-
The Industry Fund (b)
The purpose of the account is to hold funds appropriated by Parliament for the development of initiatives improving the competitiveness of the Western Australian technology industry.
2014
$000
2013
$000
Balance at start of period
Receipts
Payments
Balance at end of period
-
100
(50)
50
-
-
-
-
(a) Established under section 16(1)(c) of FMA.
(b) Established under section 16(1)(d) of FMA.
Commentary:
Statutory authorities are required to provide cash-based reporting for any special purpose accounts established under section 16(1)(c) or (d) of the Act. The relevant disclosure requirements are:
 a statement as to the purpose of the special purpose account;
 the balance of the account at the beginning of the financial year;
 total receipts;
 total payments; and
 the balance of the account at the end of the financial year.
The above information can be presented in a table format.
31.12.2014 Page 81 of 87

Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
Reference
FMA sec 48
TI 952(6)(i)
FMR reg 7
TI 807
FMA sec 49
TI 952(6)(ii)
TI 803
TI 952(6)(iii)
2014
$000
2013
$000
Public property written-off by the Executive Council during the period -
-
370
370
Commentary:
Disclose details of any other write-offs during the financial year, such as bad debts and, revenue and debts due to the State, public and other property written off during the financial year.
Losses of public money and public and other property through theft or default
Amounts recovered
2014
$000
-
-
-
2013
$000
20
-
20
Gifts of public property provided by the Authority
2014
$000
-
-
2013
$000
50
50
31.12.2014 Page 82 of 87

Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
Reference
AASB 1052.15
TI 1101(9)
COST OF SERVICES
Expenses
Employee benefits expense
Supplies and services
Depreciation and amortisation expense
Finance costs
Accommodation expenses
Grants and subsidies
Cost of sales
Other expenses
Total cost of services
Income
User charges and fees
Sales
Commonwealth grants and contributions
Interest revenue
Other revenue
Gain on disposal of non-current assets
Total income other than income from
State Government
NET COST OF SERVICES
INCOME FROM STATE GOVERNMENT
Service appropriation
Liabilities assumed
Assets transferred
Services received free of charge
Royalties for Regions Fund
Total income from State Government
SURPLUS/(DEFICIT) FOR THE PERIOD
Information Technology Training and Assistance
2014
$000
294,693
28,328
12,595
263
3,095
4,028
3,600
10,100
356,702
8,980
7,117
1,100
440
27
170
2013
$000
263,585
22,845
12,780
347
2,814
3,662
2,400
11,670
320,103
8,157
6,470
1,000
400
7
4,700
2014
$000
214,322
18,102
12,060
-
2,475
3,806
1,650
1,093
253,508
4,995
4,180
-
330
42
-
17,834
338,868
357,441
-
-
1,365
-
358,806
19,938
20,734
299,369
315,183
-
-
1,150
-
316,333
16,964
9,547
243,961
300,156
-
-
2,020
-
302,176
58,215
2013
$000
191,753
17,500
12,237
-
2,250
3,460
1,100
907
229,207
4,540
3,800
-
300
58
-
8,698
220,509
264,671
-
-
2,040
-
266,711
46,202
Competition Policy
2014
$000
160,742
15,550
8,675
-
1,393
1,967
310
1,052
189,689
2,522
2,970
-
220
8
-
2013
$000
143,664
16,000
8,803
-
1,266
1,788
200
497
172,218
2,300
2,700
-
200
5
-
5,720
183,969
138,637
-
-
1,015
-
139,652
(44,317)
5,205
167,013
122,247
-
-
810
-
123,057
(43,956)
Total
2014
$000
669,757
61,980
33,330
263
6,963
9,801
5,560
12,245
799,899
16,497
14,267
1,100
990
77
170
33,101
766,798
796,234
-
-
4,400
-
800,634
33,836
2013
$000
599,002
56,345
33,820
347
6,330
8,910
3,700
13,074
721,528
14,997
12,970
1,000
900
70
4,700
34,637
686,891
702,101
-
-
4,000
-
706,101
19,210
31.12.2014 Page 83 of 87

Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
Reference
TI 903(11)
FMA sec 64(1)(b)
TI 905
Commentary:
TI 903(8) requires agencies to include a discussion of actual results against budget targets for both financial and non-financial indicators in the Agency Performance section of the annual report. See note 42 ‘Explanatory Statement’.
In addition to the summary information contained in the Agency Performance section, agencies may wish to disclose further details including long term trends, graphs and supporting explanatory notes, as part of this section.
As the key performance indicators are audited, the Auditor General’s opinion is usually inserted into this section.
We hereby certify that the key performance indicators are based on proper records, are relevant and appropriate for assisting users to assess the Model Statutory Authority’s performance, and fairly represent the performance of the Model Statutory Authority for the financial year ended 31 December 2014.
( Signature )
B. Gate
Chairman of Accountable Authority
1 February 2015
( Signature )
H. Norman
Member of Accountable Authority
1 February 2015
31.12.2014 Page 84 of 87

Reference
Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
Agency Level Government Desired Outcome: Sustainability of the provision of information technology.
2011
%
2012
%
2013
%
2014
%
Key Effectiveness Indicator
The proportion (%) of government agencies using sustainable information technology plans 82 83 85 86
Service 1: Information Technology
Key Efficiency Indicators
Cost per sustainable IT plan
Cost per hour of service delivered
2011
$
24,000
6,032
2012
$
23,500
6,000
2013
$
22,700
6,000
2014
$
21,950
5,957
Commentary:
An example of longer term trend data is shown above. This is also an appropriate place to provide graphs and charts.
Insert a brief description of the services provided and a statement of how each service contributes to the identified agency level government desired outcome.
Key Performance Indicators are to be disclosed in the annual report in accordance with
TI 904.
In addition to the information disclosed on outcomes and services in the report on operations, all accountable authorities are required to disclose:
 the relationship between government goals, agency level government desired outcomes and services;
 key performance indicators of effectiveness; and
 key performance indicators of efficiency and cost effectiveness (if applicable).
Key effectiveness indicators provide information on the extent to which agency level government desired outcomes have been achieved through the funding and production of agreed services. For Statutory Authorities that are the subject of a separate division of the Consolidated Account Expenditure Estimates, the agency level government desired outcomes are those specified in the Budget Statements. For off-budget agencies, the government agency level Government desired outcomes will need to be either identified within the relevant enabling legislation or specified/endorsed by the Minister.
Agencies are encouraged to supplement their reporting of effectiveness with narrative.
This narrative may include comment on the projected timing of outcomes to be achieved in the long term. It is also appropriate for agencies to identify and discuss influences on achievement of outcomes other than their own services. These influences may include services provided by other agencies, or factors such as social or demographic trends.
Key efficiency indicators generally relate services to the level of resource inputs required to deliver them. In some cases ‘per unit cost’ information provided in the budget process may fulfil the key performance indicator reporting requirement. In other cases cost per unit information may need to be aggregated, or productivity indicators used.
Key cost effectiveness indicators are a type of key effectiveness indicator. They relate outcomes directly to inputs. In addition to providing key cost effectiveness indicators where there are no suitable key efficiency indicators, agencies are encouraged to also report cost effectiveness indicators where doing so adds value to reporting information.
Further information on, and discussion of, agency level government desired outcomes, services and key performance indicators are available in the Treasury publication
Outcome Based Management: Guidelines for Use in the Western Australian Public
Sector .
31.12.2014 Page 85 of 87

Reference
TI 903(12)
TI 903(13)
TI 810
Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
No Ministerial directives were received during the financial year.
Commentary:
Disclose any Ministerial directives relevant to the setting of desired outcomes or operational objectives, the achievement of desired outcomes or operational objectives, investment activities, and financing activities.
The Model Statutory Authority charges for goods and services rendered on a full or partial cost recovery basis. These fees and charges were determined in accordance with
Costing and Pricing Government Services: Guidelines for Use by Agencies in the
Western Australian Public Sector published by Treasury.
The current fees and charges were published in the Gazette on 31 December 2013 and introduced/payable from 7 January 2014. Details are available on the Model Statutory
Authority’s website at www.Authority.wa.gov.au.
The construction of a new building to accommodate the Model Statutory Authority’s increasing demand for additional seminars and training sessions will be completed by
April 2015. The building will also be used as a display centre for new computer equipment, which will be open to the public for viewing. The estimated total cost of the project is $20,000,000 and the estimated remaining cost to complete the project at 31 December 2014 is $13,000,000.
No capital projects were completed during 2014.
Full-time permanent
Full-time contract
Part-time measured on a FTE basis
On secondment
2014
260
150
10
3
423
2013
255
140
8
2
405
The Model Statutory Authority has a commitment to the development of its employees.
Our strategies are to build a highly skilled, professional and fair workforce with the ability to adapt to changing business technology and the environment.
During the financial year, our employees received training in excess of 3,000 hours of in-house and external training. As the result of our commitment to staff training and development, we are recognised as the industry leader in the information technology area in the public sector.
Five compensation claims of a minor nature were recorded during the financial year.
This compares with seven compensation claims of a minor nature recorded in 2014.
31.12.2014 Page 86 of 87

Reference
TI 903(14)
TI 903(15)
FMA sec 40
TI 953
TI 903(16)
Model Annual Report
Statutory Authority (Net Cost of Services)
– 31 December 2014
Commentary:
The above disclosure is an example and agencies should consider their own circumstances in addressing the requirement.
At the date of reporting, no senior officers, or firms of which senior officers are members, or entities in which senior officers have substantial interests, had any interests in existing or proposed contracts with the Model Statutory Authority other than normal contracts of employment of service.
Commentary:
The above disclosure is an example therefore agencies should consider their own circumstances in addressing the requirements of TI 903(14).
Commentary:
Section 40 of the FMA provides for the accountable authority of a statutory authority to submit annual estimates of the annual operations of the statutory authority to the Minister for approval.
The estimates are to be prepared and submitted to the Minister at such times as determined by the Treasurer, or no later than three months before the commencement of the next financial year.
Statutory authorities not funded as a separate Division of the Consolidated Account
Expenditure Estimates should include the approved annual estimates for the current financial year in the annual report of the preceding financial year submitted to the responsible Minister under the provisions of section 63 of the Act.
A comprehensive list of Other Legal Requirements is available from the Public Sector
Commission’s Annual Reporting Framework : http://www.publicsector.wa.gov.au/Pages/A-ZPublications.aspx
Commentary:
A comprehensive list of Government Policy Requirements is available from the Public
Sector Commission’s Annual Reporting Framework : http://www.publicsector.wa.gov.au/Pages/A-ZPublications.aspx
31.12.2014 Page 87 of 87