Post on 14-Aug-2019
transcript
BUDGET STATEMENTS
2019-20
for
Environment, Planning and Sustainable Development Directorate
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2018-19 Budget Statements 2 Environment, Planning and Sustainable Development Directorate
ContentsENVIRONMENT, PLANNING AND SUSTAINABLE DEVELOPMENT DIRECTORATE......................1
Purpose................................................................................................................................ 1
2019-20 Priorities.................................................................................................................2
Estimated Employment Level...............................................................................................3
Strategic Objectives and Indicators......................................................................................4
Output Classes......................................................................................................................8
Accountability Indicators....................................................................................................14
Changes to Appropriation..................................................................................................20
Summary of 2019-20 Infrastructure Program....................................................................27
Financial Statements – Controlled......................................................................................29
Financial Statements – Territorial......................................................................................39
CITY RENEWAL AUTHORITY – STATEMENT OF INTENT...........................................................51
CITY RENEWAL AUTHORITY....................................................................................................52
Purpose.............................................................................................................................. 52
Nature and scope of activities............................................................................................53
2019-20 priorities...............................................................................................................55
Estimated Employment Level and Employment Profile.....................................................56
Key performance indicators for 2019-20 to 2022-2023.....................................................57
Changes to Appropriation..................................................................................................61
Monitoring and Reporting..................................................................................................63
Financial arrangements......................................................................................................65
Financial Statements..........................................................................................................66
SUBURBAN LAND AGENCY – STATEMENT OF INTENT...........................................................74
SUBURBAN LAND AGENCY.....................................................................................................75
Purpose.............................................................................................................................. 75
Nature and Scope of Activities...........................................................................................75
2018-19 Budget Statements 3 Environment, Planning and Sustainable Development Directorate
Risks................................................................................................................................... 78
Priorities and Strategies for 2019-20 to 2022-23...............................................................80
Estimated Employment Level and Employment Profile.....................................................81
Key Performance Indicators for 2019-20 to 2022-23.........................................................82
Assessment of Performance Against 2018-19 Objectives..................................................85
Monitoring and Reporting..................................................................................................87
Financial Arrangements......................................................................................................88
Financial Statements..........................................................................................................89
2018-19 Budget Statements 4 Environment, Planning and Sustainable Development Directorate
ENVIRONMENT, PLANNING AND SUSTAINABLE DEVELOPMENT DIRECTORATE
PurposeThe Environment, Planning and Sustainable Development Directorate (the Directorate) promotes the orderly growth of our city, strengthens the Territory’s response to climate change, provides an integrated planning and land use system that contributes to the sustainable development and future of the ACT and manages the Territory’s parks and reserves.
The Directorate’s vision is to ‘Shape Canberra’s Future’. We deliver on this vision through our Strategic Plan 2019-22 and the Directorate’s four strategic objectives, which provide a blueprint for the Directorate’s priorities and performance management. The objectives require the Directorate to plan and deliver a compact and efficient city that balances the needs of the environment, our heritage and our culture, and that we do this while building resilience against climate change and other change stressors.
The Directorate is responsible for developing and implementing key ACT Government strategic and spatial plans (including the Territory Plan), climate change strategies, housing policy, building policy, the Indicative Land Release Program, management plans for reserves and urban renewal initiatives.
The Directorate’s objectives operate individually as well as in cooperation with each other to ensure a holistic approach to delivery of the Government’s agenda.
A compact and efficient city built around the principles of people-centered and outcomes-based planning must also be in harmony with its natural environment to make sure that our citizens can continue to engage with nature and enjoy all the benefits that brings. A more compact city is a more energy efficient city that reduces the impact on our climate and environment. Through transparent planning changes and planning decisions and engagement with all demographic groups in the community we can build trust and confidence in the Directorate.
We are motivated by working proactively to build the trust and confidence of our stakeholders in all that we do. We will do this by behaving ethically, transparently and efficiently while making administratively sound decisions.
This all means the shape that we will leave Canberra in for future generations will be one that we can all be proud of.
2018-19 Budget Statements 5 Environment, Planning and Sustainable Development Directorate
2019-20 PrioritiesEnvironment, Planning and Sustainable Development Directorate’s priorities for 2019-20 reflect its Strategic Objectives, which are outlined in its Strategic Plan 2019-22.
The Directorate is committed to operating in a manner that is informed, connected and innovative. Our key actions for 2019-20 reflect this commitment – they enable achievement of specific Strategic Objectives and work collectively to allow the Directorate to meet all its Objectives and overarching vision.
To deliver on these Objectives, the Directorate will undertake the following key actions:
Deliver a compact and efficient city
Key actions:
Review the Territory Plan and ACT planning system to align with the 2018 ACT Planning Strategy and best practice
Commence the Western Edge Study to identify opportunities for greenfield development
Commence development of planning and design directions for a City to Woden Light Rail corridor
Undertake due diligence studies of urban renewal and greenfield sites for release in the Indicative Land Release Program; and
Continue improvement to, and reform of, the ACT’s building regulatory system.
Enhance Canberrans’ quality of life by conserving and experiencing nature and culture
Key actions:
Commence the Ingledene Forest Project
Deliver the Sullivans Creek Floodplain Management Plan
Undertake feasibility and design activities to support community connection through a new Woden Community Centre; and
Implement initiatives that enable the design and delivery of safe, accessible and inclusive communities.
Lead the transition to a net-zero emissions city
Key actions:
Support deployment of large-scale renewable energy generation to meet the ACT’s 100 per cent renewable electricity by 2020 target
Continue to administer and expand the scope of the Energy Efficiency (Cost of Living) Improvement Scheme
Deliver the Government’s Next Generation Battery Storage program
2018-19 Budget Statements 6 Environment, Planning and Sustainable Development Directorate
Progress initiatives and commitments to deliver the ACT Government’s climate change agenda; and
Implement initiatives and commitments under the ACT’s Transition to Zero Emissions Vehicles Action Plan 2018–2021.
Build trust and confidence
Key actions:
Establish the permanent National Capital Design Review Panel
Establish an engagement strategy to guide the ACT Planning Review
Complete the review of the pre-development application guidelines and implement recommended initiatives; and
Increase access to information that promotes community understanding of the work of the Directorate.
Estimated Employment Level
Table 1: Estimated Employment Level
2017-18Actual
Outcome
2018-19Budget
2018-19Estimated Outcome
2019-20Budget
Staffing (FTE)1 629 6782 6443 6854
Note(s):1. Includes the Office of the Commissioner for Sustainability and the Environment.2. The 2018-19 Budget includes a number of FTE associated with the delivery of new initiatives. 3. The variation between the 2018-19 Estimated Outcome and the 2018-19 Budget is mainly due to recruitment
processes still underway, or about to be completed.4. The variation between the 2018-19 Budget and the 2019-20 Budget is due to new FTE associated with 2019-20 Budget
initiatives, partly offset by a reduction in the number of FTE associated with the Public Housing Renewal Taskforce and the Loose-Fill Asbestos Insulation Eradication Scheme.
2018-19 Budget Statements 7 Environment, Planning and Sustainable Development Directorate
Strategic Objectives and Indicators
Strategic Objective 1 – Deliver a compact and efficient city1
Strategic Indicator 1.1: Drive integrated land use outcomes that deliver well-designed sustainable urban growth and community infrastructure while protecting Canberra's environment.2
Over 2019-20 the Directorate will:
Implement the ACT Planning Strategy through investigations on appropriate built form, community facilities and services and infrastructure to support urban intensification;
Undertake a review of the Territory planning system, encompassing legislation and consideration of the Territory Plan structure and policy content;
Commence development of a Light Rail City to Woden Planning Framework;
Continue to progress the Strata Reforms with the Strata Reform Consultative Group, progressing with the Stage 1 reforms through due process and confirming Stage 2 reforms to progress in 2020-21;
Implement the City Plan to make sure that the city centre has the appropriate controls for planning and development to maintain and grow its position as Canberra’s primary commercial centre;
Develop and monitor delivery of the Indicative Land Release Program, including undertaking necessary due diligence activities;
Support progression of East Lake between Kingston Foreshore and the Jerrabomberra Wetlands to deliver mixed-use land supply;
Enhance Development Approvals through expansion of the Directorate’s Merit Assessment team and online presence to provide faster and more efficient processing of the increasing number and complexity of development applications;
Administer an efficient, transparent and accountable leasehold and planning approvals system that underpins the Territory’s economy;
Continue to progress the implementation of the Housing Choices project to improve the availability of a range of housing options in residential areas, through Territory Plan Variations and through other mechanisms;
Continue to progress the implementation of the City and Gateway Urban Design Framework through Territory Plan Variations and through other mechanisms; and
Continue to promote urban renewal initiatives that provide innovation, sustainability, liveability and design quality, such as the Demonstration Housing project.
2018-19 Budget Statements 8 Environment, Planning and Sustainable Development Directorate
Strategic Indicator 1.2: Complete Improving the ACT Building Regulatory System reforms package and continue the further development of policies for safe, healthy and liveable buildings and transparent and efficient regulation of the building and construction industry.2
Over 2019-20 the Directorate will:
Continue to implement the outcomes of the review of the Building Act 2004, including the Improving the ACT Building Regulatory System reform program;
Continue to deliver the Loose-Fill Asbestos Insulation Eradication Scheme;
Continued progression of the eDevelopment renovation project; and
Increase capacity to support effective and efficient processing of heritage development approvals.
Strategic Objective 2 – Enhance Canberrans’ quality of life by conserving and experiencing nature and culture1
Strategic Indicator 2.1: Effectively manage and mitigate risks to the ACT's environment, culture and people to increase resilience in response to climate change and other stressors.2
Over 2019-20 the Directorate will:
Establish the Ingledene pine plantation to increase the Territory’s sustainable timber resources;
Implement the ACT’s environment strategies and plans – Nature Conservation Strategy 2013-2023, Water Strategy ‘Striking the Balance 2014–44’, ACT and Region Catchment Strategy 2016-46 and Action Plans; and
Develop the Sullivans Creek Floodplain Management Plan to inform strategies to minimise flood risk.
Strategic Indicator 2.2: Respect and enable Traditional Custodians’ aspirations and build capacity to Care for Country together.2
Over 2019-20 the Directorate will:
Partner with Traditional Custodians to proactively manage the ACT’s natural and cultural environment; and
Support the ACT Heritage Council and the Government to recognise, conserve and celebrate places and objects of historic, Aboriginal and natural heritage significance.
2018-19 Budget Statements 9 Environment, Planning and Sustainable Development Directorate
Strategic Indicator 2.3: Improve access to community facilities and enable people to experience nature and culture to improve people’s physical, emotional and social well-being.2
Over 2019-20 the Directorate will:
Identify areas suitable for nature reserves, environmental offsets and areas for heritage conservation as part of the Western Edge Study;
Support establishment of a Special Purpose Reserve North in the Molonglo River Reserve through remediation of the former Molonglo Sewerage Treatment Plant;
Work with the Woodlands and Wetlands Trust to deliver the Mulligan’s Flat Woodland Sanctuary;
Undertake feasibility and design for a new Woden Community Centre; and
Implement initiatives that enable the design and delivery of safe, accessible and inclusive communities.
Strategic Objective 3 – Lead the transition to a net-zero emissions city1
Strategic Indicator 3.1: ACT emissions reduced in line with Government targets.2
Over 2019-20 the Directorate will:
Develop and deliver a climate change policy to achieve zero-net emissions by 2045, with a detailed action plan to achieve the 2025 interim target;
Deliver initiatives and programs to support increased energy efficiency in homes, businesses, schools and other parts of the built environment;
Implement the actions in the ACT Government’s Transition to Zero Emissions Vehicles Action Plan 2018–2021; and
Continue to administer the Renewable Energy Innovation Fund and programs to realise the Government’s vision for the ACT as an internationally recognised centre for renewable energy innovation and investment, diversifying the economy and creating new export industries.
Strategic Indicator 3.2: ACT electricity systems are 100% renewable.2
Over 2019-20 the Directorate will:
Support the deployment of large scale renewable energy generation to meet the ACT’s 100 per cent renewable electricity and greenhouse gas reduction targets; and
Support ACT Government agencies to maintain and improve carbon neutral operations.
2018-19 Budget Statements 10 Environment, Planning and Sustainable Development Directorate
Strategic Objective 4 – Build trust and confidence1
Strategic Indicator 4.1: Demonstrate probity, accountability, transparency and continual improvement in what we do.2
Implement an interactive Directorate’s policy register to promote, enhance and provide management oversight and accountability of policy and procedures;
Continue development and implementation of a comprehensive suite of guidance materials for land transactions and related activities;
Prepare advice for Government on learnings from Public Housing Renewal and Asbestos Response Taskforces to inform future Government projects; and
Establish the National Capital Design Review Panel.
Strategic Indicator 4.2: Engage with and educate communities, industry and organisations.2
Complete consultation on a new Biosecurity Bill for the ACT;
Engage with community on implementation of business improvement initiatives to enhance efficient assessment and processing of development applications;
Design engagements and information campaigns that make information accessible to the broader community;
Increase access to information that promotes community understanding of the work of the Directorate; and
Complete the review of the pre-development application guidelines and implement recommended initiatives.
Strategic Indicator 4.3: Identify and adopt innovative business models to remove barriers and create opportunities for efficient and effective operations.2
Undertake a review of the Directorate’s improved business model for the assessment and processing of development applications to test compliance with applicable legislative frameworks; and
Secure business and community understanding and endorsement on climate change action with support from the ACT’s Climate Change Council and the community.
Note(s):1. New Strategic Objective.2. New Strategic Indicator.
2018-19 Budget Statements 11 Environment, Planning and Sustainable Development Directorate
Output Classes
Output Class 1: Planning
Table 2: Output Class 1: Planning
2018-19 2019-20Estimated Outcome Budget
$'000 $'000
Total Cost1 32,038 37,625Controlled Recurrent Payments 27,003 31,362
Note(s):1. Total cost includes depreciation and amortisation of $0.117 million in 2018-19 and $0.149 million in 2019-20. Total
cost is also supplemented by own source revenue of $2.704 million in 2018-19 and $2.791 million in 2019-20.
Output 1.1: Planning Delivery
Facilitate and manage growth and change within the ACT through development assessment and leasehold management, with the overarching objective of promoting and facilitating economically productive, sustainable, attractive, safe and well-designed urban and rural environments in the ACT.
Table 3: Output 1.1: Planning Delivery2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost1 15,393 18,837Controlled Recurrent Payments 12,876 15,244
Note(s):1. Total cost is supplemented by own source revenue of $2.704 million in 2018-19 and $2.791 million in 2019-20.
Output 1.2: Planning and Building Policy
Provision of high quality professional services in strategic land planning; administering the Territory Plan; planning for land release; developing policies for high quality urban design; and policies for buildings, building services, and the building and construction industry.
Table 4: Output 1.2: Planning and Building Policy2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost 16,645 18,788Controlled Recurrent Payments 14,127 16,118
2018-19 Budget Statements 12 Environment, Planning and Sustainable Development Directorate
Output Class 2: Environment
Table 5: Output Class 2: Environment
2018-19 2019-20Estimated Outcome Budget
$'000 $'000
Total Cost1 66,459 67,828Controlled Recurrent Payments 54,212 54,683
Note(s):1. Total cost includes depreciation and amortisation of $4.753 million in 2018-19 and $4.852 million in 2019-20. Total
cost is also supplemented by revenue from the Commonwealth Government and sales from forestry harvesting.
Output 2.1: Environment
Help protect the ACT’s natural environment through:
the implementation of programs responding to natural resource management as part of the Commonwealth’s National Landcare Program;
manage, review and implement legislation/action and plans to help protect land and species;
sustainable use of water, including through implementation of Striking the Balance, the ACT’s Water Strategy;
establish and support an ACT and region catchment management governance framework;
administer the annual funding of the ACT Environment Grants Program;
promotion and involvement of the community in caring for the ACT’s natural environment; and
develop, review and implement legislation, policies and standards to protect the natural and built environment.
Table 6: Output 2.1: Environment
2018-19 2019-20Estimated Outcome Budget
$'000 $'000
Total Cost1 19,223 17,829Controlled Recurrent Payments 15,013 13,505
Note(s):1. Total cost includes depreciation and amortisation and is supplemented by revenue from the Commonwealth for
environmental programs.
2018-19 Budget Statements 13 Environment, Planning and Sustainable Development Directorate
Output 2.2: Conservation and Land Management
Planning and management of the ACT’s parks, reserves, unleased public land and plantations, including associated community infrastructure. The land manager role includes management of land for recreational use; conservation management; including management of national parks, nature reserves; fire management; and pest and weed control as well as the management of the Territory’s softwood plantation and oversight of rural production areas.
Table 7: Output 2.2: Conservation and Land Management2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost1 45,058 47,534Controlled Recurrent Payments 37,138 38,970
Note(s):1. Total cost includes depreciation and amortisation and is also supplemented by sales from forestry harvesting.
Output 2.3: Heritage
Administration of the heritage provisions of the Heritage Act 2004 and assistance in the conservation of the ACT’s heritage assets to ensure their recognition, registration and conservation. The area provides administrative and operational support to the ACT Heritage Council and its projects and administers the annual funding of the ACT Heritage Grants Program, the annual Canberra and Region Heritage Festival and Capital Works projects as they relate to heritage conservation works. A key function is also the promotion and education of the community regarding heritage assets of the ACT.
Table 8: Output 2.3: Heritage2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost 2,179 2,465Controlled Recurrent Payments 2,061 2,208
Output Class 3: Climate Change and Sustainability
Output 3.1: Climate Change and Sustainability
Develop policy and provide advice in relation to:
the ACT’s climate change agenda;
investments in renewable electricity to achieve the government’s 100% renewable electricity target and delivery of local industry development strategies;
frameworks to ensure the ACT’s energy systems (electricity, fuel and liquid fuels) are reliable, sustainable and affordable;
measures to help households manage their energy better to reduce emissions and costs, including administration of the Actsmart programs;
2018-19 Budget Statements 14 Environment, Planning and Sustainable Development Directorate
the ACT Zero Emissions Government framework; and
administration of the Energy Efficiency (Cost of Living) Improvement Scheme.
Table 9: Output 3.1: Climate Change and Sustainability2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost1 28,532 27,068Controlled Recurrent Payments 12,602 14,176
Note(s):1. Total cost is supplemented by revenue from the Energy Efficiency (Cost of Living) Improvement Scheme of
$3.950 million in 2018-19 and $3.4 million in 2019-20. Total cost is also supplemented by revenue from the Renewable Energy Innovation Fund and Next Generation Battery Storage of $10.180 million in 2018-19 and $8.560 million in 2019-20.
Output Class 4: Land Strategy and Urban Renewal
Table 10: Output Class 4: Land Strategy and Urban Renewal
2018-19 2019-20Estimated Outcome Budget
$'000 $'000
Total Cost 21,145 27,450Controlled Recurrent Payments 20,446 26,690
Output 4.1: Land Strategy
Provide strategic, policy and planning direction and support, including preparation of the four-year Indicative Land Release Program (ILRP). The ILRP sets out the Government’s intended program for land release and seeks to facilitate housing diversity, provide affordable housing, stimulate economic activity, and meet the demand for land in the Territory and support a competitive land development and construction market. An element of this includes undertaking due diligence for land that contributes to the ILRP.
Table 11: Output 4.1: Land Strategy2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost 12,164 11,793Controlled Recurrent Payments 11,725 11,327
2018-19 Budget Statements 15 Environment, Planning and Sustainable Development Directorate
Output 4.2: Urban Renewal
Urban Renewal delivers projects that involve multiple policy outcomes. This work includes the identification of key precincts and individual projects, prioritisation of projects based on community need, undertaking feasibility studies and due diligence, and project delivery including demolition and minor works. This work seeks to integrate urban renewal opportunities across Government around defined urban renewal precincts, including within town and group centres and within pockets of established suburbs, such as local centres.
Table 12: Output 4.2: Urban Renewal2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost 8,981 15,657Controlled Recurrent Payments 8,721 15,363
Output Class 5: Loose Fill Asbestos Insulation Eradication
Output 5.1: Loose-fill Asbestos Insulation Eradication Scheme
The Asbestos Response Taskforce delivers the Loose-Fill Asbestos Insulation Eradication Scheme safely, compassionately and efficiently. It provides support and advice to affected homeowners, the Canberra community, industry and Government.
Table 13: Output 5.1: Loose-Fill Asbestos Insulation Eradication Scheme2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost1 38,004 24,076Controlled Recurrent Payments 10,911 21,061
Note(s):1. Total cost includes the transfer of the net profit on land sales back to the Government.
2018-19 Budget Statements 16 Environment, Planning and Sustainable Development Directorate
Output Class 6: Public Housing Renewal Taskforce
Output 6.1: Public Housing Renewal Taskforce
The Public Housing Renewal Taskforce is delivering 1,288 replacement public housing dwellings that will better meet the needs of tenants, now and into the future, as part of the ACT Government’s public housing renewal program. This program supports the renewal of Canberra’s urban areas as the Public Housing Renewal Taskforce works with Urban Renewal, the City Renewal Authority and Housing ACT, to support the sale of older multi-unit public housing properties that are no longer fit for purpose.
Table 14: Output 6.1: Public Housing Renewal Taskforce2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost1 59,061 2,838Controlled Recurrent Payments 40,935 2,785
Note(s):1. Total cost in 2019-20 includes the cost of land and transfer back to Government of the net profit on sale of land.
Output Class EBT: Office of the Commissioner for Sustainability and the Environment
Output EBT 1: Office of the Commissioner for Sustainability and the Environment
Publication of the State of the Environment Report, investigation of complaints by Ministerial direction, or where a Territory agency’s actions may have a substantial impact on the environment.
Table 15: Output EBT 1: Office of the Commissioner for Sustainability and the Environment2018-19 2019-20
Estimated Outcome Budget$'000 $'000
Total Cost 1,373 2,025Payment for Expenses on Behalf of the Territory 1,368 2,010
2018-19 Budget Statements 17 Environment, Planning and Sustainable Development Directorate
Accountability Indicators
Output Class 1: Planning
Output 1.1: Planning Delivery
Table 16: Accountability Indicators Output 1.1
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. Development application processing times:- average processing times in working days 45 721 45- median processing times in working days 30 601 30
b. Percentage of development application decisions made within statutory deadlines
75% 39%1 75%
c. Percentage of development applications appeals resolved by mediation in relation to development proposals
35% 22% 35%
d. Percentage of ACT Civil and Administrative Tribunal (ACAT) decisions which uphold the Directorate’s original decision
85% 86% 85%
Notes:1. The variance from the 2018-19 Targets to the 2018-19 Estimated Outcome is mainly due to the number and
complexity of Development Applications which have consistently increased over the last five years, significantly increasing decision timeframes. Canberra experienced an unprecedented level of urban renewal in the City, Belconnen, Gungahlin, Woden and Tuggeranong town centres during 2018-19. There has been a doubling of more complex and higher public interest multi-unit residential developments and mixed-use or commercial developments since 2015-16. To address this situation, additional resources have been engaged and a new staged assessment model commenced in August 2018. Processing and determination times have subsequently improved. The 2019-20 target is based on the improvements flowing from these changes.
Output 1.2: Planning and Building Policy
Table 17: Accountability Indicators Output 1.2
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. Number of Environment and Planning Forums held during the year to assist in community consultations
6 5 6
b. Completion and publication of master plans1 2 3 n/ac. Undertake the ACT Planning Strategy Refresh2 1 1 n/ad. Number of Improving the ACT Building
Regulatory System reforms completed in year3
15 15 15
Notes:1. Indicator discontinued. The master plan program under the 2012 ACT Planning Strategy has been completed. The
Kippax and Curtin master plans and the additional Tharwa Village Plan were completed in 2018-19.2. Indicator discontinued. The Planning Strategy is reviewed every 5 years or as required, it was programmed for 2018-
19 and was completed and is therefore not relevant for 2019-20.3. A reform will be considered complete when the Minister reports its complete status to the Legislative Assembly or a
complete status is recorded in a project status update published on the Directorate’s website.
2018-19 Budget Statements 18 Environment, Planning and Sustainable Development Directorate
Output Class 2: Environment
Output 2.1: Environment
Table 18: Accountability Indicators Output 2.1
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. Submit twice yearly progress reports to the Commonwealth for the National Landcare Program
1 1 1
b. Prepare and submit National Environment Protection Measure jurisdictional reports to the National Environment Protection Council within agreed timeframe
Sep 2018 Sep 2018 Sep 2019
c. Prepare a public report on the implementation of the ACT Water Strategy
Jun 2019 Jun 2019 Jun 2020
d. Submit ACT Healthy Waterways project milestone reports to the Commonwealth in accordance with the Commonwealth agreement1
4 4 n/a
e. The conservator of Flora and Fauna to finalise Action Plans for matters listed under the Nature Conservation Act 2014, within 6 months following public consultation
100% 100% 100%
f. Implementation report on the Nature Conservation Strategy 2013-23 to be publicly released2.
Mar 2019 Jun 2019 Mar 2020
g. Prepare a public report annually on the Conservators actions to protect ACT flora and fauna
1 1 1
Notes:1. Indicator discontinued. The project program for delivery is to June 2019, therefore not applicable in 2019-20 as the
report was completed in 2018-19.2. Implementation report to be released in June 2019 as a result of balancing work priorities.
2018-19 Budget Statements 19 Environment, Planning and Sustainable Development Directorate
Output 2.2: Conservation and Land Management
Table 19: Accountability Indicators Output 2.2
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. Customer satisfaction with the Management of protected areas (Tidbinbilla Nature Reserve, Namadgi National Park and Canberra Nature Park)1
90% 90% 90%
b. Implement fuel management activities – grazing – as identified under the approved Bushfire Operational Plan (BOP)1
100% 100% 100%
c. Implement fuel management activities – physical removal – as identified under the approved Bushfire Operational Plan (BOP)1
100% 99% 100%
d. Implement fuel management activities – slashing – as identified under the approved Bushfire Operational Plan (BOP)1
100% 100% 100%
e. Implement fuel management activities – burning – as identified under the approved Bushfire Operational Plan (BOP)1
100% 85% 100%
f. Implement access activities – as identified under the approved Bushfire Operational Plan (BOP)1
100% 85% 100%
Notes:1. The Directorate anticipates the 100 per cent target will be met, however burning and access activities are heavily
influenced by appropriate weather conditions which will result in a reduced target achieved in 2018-19.
Output 2.3: Heritage
Table 20: Accountability Indicators Output 2.3
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. Notification on the legislation register of Heritage Council decisions within 5 working days of the decision
100% 100% 100%
b. Development application advice issued within 15 working days of referral by the ACT Land and Planning Authority1
90% 97% 90%1
c. Decisions about heritage registrations by the ACT Heritage Council made within statutory timeframes2
100% 100% 100%
Notes:1. The target is based on actual time to assess development applications including consultation and clarifications.2. This indicator relates to the timeframe imposed on the ACT Heritage Council to make a decision on final registrations
under the Heritage Act 2004.
2018-19 Budget Statements 20 Environment, Planning and Sustainable Development Directorate
Output Class 3: Climate Change and Sustainability
Output 3.1: Climate Change and Sustainability
Table 21: Accountability Indicators Output 3.1
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. Estimated total electricity saved from Carbon Neutral Government Fund projects1
10,000MWh 9,230MWh n/a
b. Number of households assisted by the Household Low Income Program
1,200 1,200 1,200
c. Number of businesses supported by energy, water and waste programs
750 750 750
d. Oversee the actions of the ACT’s Climate Strategy to a Net Zero Emissions Territory: - publish an annual greenhouse gas inventory for the ACT- publish an annual report on actions to achieve the ACT Government’s target of net zero carbon emissions in the ACT by 2050, at the latest and in Government operations by 2020
Dec 2018
Dec 2018
Feb 2019
Nov 2018
Dec 2019
Dec 2019
Notes:1. Indicator discontinued - With the move to 100% renewable electricity, moving from gas to electricity leads to
significant emissions reductions. Outcomes from government operations policy are included in the report referred to in indicator 3.1(d).
Output Class 4: Land Strategy and Urban Renewal
Output 4.1: Land Strategy
Table 22: Accountability Indicators Output 4.1
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. 4-year Indicative Land Release Program published1
1 1 1
b. Publish the annual affordable, community and public housing targets.
1 1 1
Notes:1. This accountability indicator covers publication of the 2018-19 to 2021-22 and the 2019-20 to 2022-23 Indicative Land
Release Program.
Output 4.2: Urban Renewal
Table 23: Accountability Indicators Output 4.2
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. Asset Recycling Initiative – number of 100% 100% n/a
2018-19 Budget Statements 21 Environment, Planning and Sustainable Development Directorate
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
settlements to be finalised of the eight remaining sites by 2018-19 to enable claim of the 15% Commonwealth Bonus1
b. Demolish and remediate the former Woden Canberra Institute of Technology (CIT)2
n/a n/a May 2020
Notes:1. Indicator discontinued as ARI program will be discontinued post 2018-19.2. New indicator.
Output Class 5: Loose-Fill Asbestos Insulation Eradication
Output 5.1: Loose-Fill Asbestos Insulation Eradication Scheme
Table 24: Accountability Indicators Output 5.1
2018-19Targets
2018-19Estimated Outcome1
2019-20Targets
Buy-Back and Demolition Program:a. Purchase affected dwellings 1 8 24b. Demolish affected dwellings 21 19 18c. Deregister affected properties post
demolition and soil validation27 19 18
Sales Program:d. Sale of remediated and deregistered blocks 221 161 63
Output Class 6: Public Housing Renewal Taskforce
Output 6.1: Public Housing Renewal Taskforce
Table 25: Accountability Indicators Output 6.1
2018-19Targets
2018-19Estimated Outcome1
2019-20Targets
a. Public Housing Renewal Program Contracts1 78 58 n/ab. Public Housing Renewal Program Delivery2 464 469 40
Notes:1. The last Public Housing Renewal Program contracts were awarded in 2018-19 for the final 40 dwellings to be
completed in 2019-20.2. This indicator covers the delivery of the ACT Government’s Public Housing Renewal Program and measures the
number of replacement dwellings completed and transferred to Housing ACT in the target year.
2018-19 Budget Statements 22 Environment, Planning and Sustainable Development Directorate
Output Class EBT: Office of the Commissioner for Sustainability and the Environment
Output EBT 1: Office of the Commissioner for Sustainability and the Environment
Table 26: Accountability Indicators Output EBT 1
2018-19Targets
2018-19Estimated Outcome
2019-20Targets
a. Report on the uptake of recommendations on the ACT State of the Environment and special reports as part of the annual report
Oct 2018 Oct 2018 Oct 2019
a. Undertake Ministerial initiated investigations in accordance with the Minister’s direction
100% 100% 100%
b. Undertake Commissioner initiated investigations in accordance with the Terms of Reference
100% 100% 100%
c. Undertake complaints generated investigations in accordance with the Terms of Reference
100% 100% 100%
d. Report on the complaints about the management of the environment by the Territory or a Territory agency as part of the annual report
Oct 2018 Oct 2018 Oct 2019
2018-19 Budget Statements 23 Environment, Planning and Sustainable Development Directorate
Changes to Appropriation
Table 27: Changes to appropriation – Controlled Recurrent Payments
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
2018-19 Budget 133,079 134,024 119,064 113,941 113,941
FMA Section 16B Rollovers from 2017-18Better Public Housing - New public housing properties 31,712 0 0 0 0Better services in your community - Implementation of ACT
Climate Change Adaptation Strategy80 0 0 0 0
Better services in your community - Improving sustainability through innovative financing
-41 0 0 0 0
Better services in your community - Managing native wildlife 150 0 0 0 0Better support when it matters - Public Housing Renewal -
New and better properties77 0 0 0 0
Better support when it matters - Public Housing Renewal - Taskforce operations
467 0 0 0 0
Building a better city - Molonglo East-West arterial road - Early planning
2 0 0 0 0
Building a better city - William Hovell Drive upgrade - Early planning
-86 0 0 0 0
Caring for our Country Complementary Investment 145 0 0 0 0Improving Our Suburbs - New Molonglo Valley Infrastructure 212 0 0 0 0Implementing Water Reform in the Murray-Darling Basin 98 0 0 0 0Loose Fill Asbestos Eradication Scheme 2,936 0 0 0 0Master Planning Program - Group Centres, Transport Corridors
and Rural Villages78 0 0 0 0
Molonglo Valley - Implementation of Commitments in the NES Plan
4 0 0 0 0
More services for our suburbs - Due diligence for urban renewal
669 0 0 0 0
Planning for our Future Transport Needs 143 0 0 0 0Securing Electricity Supply in the ACT - Second supply network -20 0 0 0 0Supporting Aboriginal and Torres Strait Islander Peoples -
Kickstarting careers by connecting to culture32 0 0 0 0
Upper Murrumbidgee Waterwatch Program 68 0 0 0 0
2018-19 Budget Review Policy Decisions Better Government - Supporting the Freedom of Information
Act 201665 132 0 0 0
More jobs for a growing city - Woden CIT campus urban renewal
100 6,526 0 0 0
More services for our suburbs - Implementing the ACT Planning Strategy
250 0 0 0 0
More services for our suburbs - Monitoring and protecting environmental offsets
59 144 148 152 157
More support for families and inclusion - Supporting local farmers
450 0 0 0 0
2019-20 Budget Policy DecisionsDue diligence to deliver a strong housing pipeline 0 1,585 500 0 0Faster processing for development applications 0 1,033 898 922 936Faster processing for heritage applications 0 121 125 128 130
2018-19 Budget Statements 24 Environment, Planning and Sustainable Development Directorate
2018-19 Budget Statements 25 Environment, Planning and Sustainable Development Directorate
Table 27: Changes to appropriation – Controlled Recurrent Payments (continued)
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Feasibility and infrastructure planning for future Molonglo land releases
0 835 434 0 0
Ginninderry Environmental Management Trust 0 465 479 492 507Government Office Projects: Workplace Transition 0 934 751 767 150Implementing the City Plan 0 250 0 0 0Leading the next phase of action towards a zero emissions
future - ACT Climate Change Strategy 2019-2025 and Living Infrastructure Plan
0 2,474 3,258 3,186 3,114
Managing the Sullivans Creek floodplain 0 117 158 0 0Managing the Sullivans Creek floodplain 0 -117 -158 0 0More jobs for our growing city - Ecotourism Woodlands
Learning Centre0 1,238 72 74 76
Planning framework supporting delivery of Stage 2 of Light Rail to Woden
0 200 150 0 0
Protecting grasslands and conservation areas 0 78 0 0 0Remediating the former Molonglo sewerage treatment facility 0 408 3,732 2,633 392Scoping for East Lake urban renewal 0 441 167 0 0Training ACT Government frontline workers to respond to
family violence0 5 0 1 0
2019-20 Budget Technical AdjustmentsCommonwealth Grant - Established Pest and Weed
Management42 0 0 0 0
General Savings - More jobs for our growing city - Helping homes be energy smart
0 -2,000 -1,500 0 0
New Commonwealth Grant - On-Farm Emergency Water Infrastructure Rebate Scheme
760 780 760 0 0
New Commonwealth Grant - Prepared communities 250 0 0 0 0Revised Funding Profile - Better services in your community -
Reviewing the ACT energy rating disclosure scheme-85 85 0 0 0
Revised Funding Profile - Better support when it matters - Housing Innovation Fund
-500 500 0 0 0
Revised Funding Profile - Better support when it matters - Public Housing Renewal - New and better properties
-150 150 0 0 0
Revised Funding Profile - Building a better city - Bindubi Street extension - Early planning
-25 25 0 0 0
Revised Funding Profile - Building a better city - Molonglo East-West arterial road - Early planning
-78 78 0 0 0
Revised Funding Profile - Building Audits -550 550 0 0 0Revised Funding Profile - Building Regulation Reform -200 200 0 0 0Revised Funding Profile - Implementing Water Reform in the
Murray-Darling Basin-150 150 0 0 0
Revised Funding profile - Keeping our growing city moving - Antill Street Sewer - design works
-84 84 0 0 0
Revised Funding Profile - Keeping our growing city moving - National Capital City Design Review Panel
-50 50 0 0 0
Revised Funding Profile - Loose Fill Asbestos Eradication Scheme
-2,225 2,225 0 0 0
Revised Funding Profile - Microsoft User Licensing Expansion 0 126 131 132 136Revised Funding Profile - More and better jobs - Ensuring
sustainable commercial development-100 0 100 0 0
2018-19 Budget Statements 26 Environment, Planning and Sustainable Development Directorate
Revised Funding Profile - More services for our suburbs - Better public places
-30 30 0 0 0
2018-19 Budget Statements 27 Environment, Planning and Sustainable Development Directorate
Table 27: Changes to appropriation – Controlled Recurrent Payments (continued)
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000Revised Funding Profile - More services for our suburbs -
Urban renewal in Dickson-580 580 0 0 0
Revised Funding Profile - More jobs for our growing city-Urban renewal in Kenny-early planning
-50 50 0 0 0
Revised Funding Profile - More services for our suburbs - Sullivans Creek Flood Management Plan
-75 75 0 0 0
Revised Funding Profile - More support for families and inclusion - Innovation in housing choices
-80 80 0 0 0
Revised Funding Profile - More support for families and inclusion - Innovation to boost affordable housing
-350 350 0 0 0
Revised Funding Profile - Securing Electricity Supply in the ACT - Second supply network
-125 125 0 0 0
Revised Funding Profile - Supporting Aboriginal and Torres Strait Islander Peoples - Kickstarting careers by connecting to culture
-85 85 0 0 0
Revised Funding Profile - Shared Services - Cost Model Review 0 -3,152 -3,233 -3,315 -3,398Revised Funding Profile - Threatened Species Conservation -100 100 0 0 0Revised Funding Profile - Workers’ compensation savings 0 -271 -271 -271 -271Revised Indexation Parameters 0 -112 -58 -42 1,825Superannuation contribution uplift - Controlled 0 1,171 1,163 1,167 1,182Superannuation Round Robin 0 -266 -124 -108 -10Transfer - City Centre Marketing Levy to CRA 0 -1,984 -1,987 -1,990 -1,991
2019-20 Budget 166,109 150,757 124,759 117,869 116,876
2018-19 Budget Statements 28 Environment, Planning and Sustainable Development Directorate
Table 28: Changes to appropriation – Expenses on Behalf of the Territory
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
2018-19 Budget 2,209 2,279 2,113 1,975 1,975
FMA Section 16B Rollovers from 2017-18Environmental Grants 6 0 0 0 0Heritage Grants 291 0 0 0 0
2019-20 Budget Technical AdjustmentsRevised Funding Profile - State of the Environment report -300 300 0 0 0Revised Indexation Parameters 0 -6 -4 -2 36Revised Notional Superannuation Contributions 0 5 5 5 5Superannuation Reprofiling 0 2 1 1 4
2019-20 Budget 2,206 2,580 2,115 1,979 2,020
2018-19 Budget Statements 29 Environment, Planning and Sustainable Development Directorate
Table 29: Changes to appropriation – Capital Injections, Controlled
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
2018-19 Budget 152,911 105,989 26,428 3,143 2,567
FMA Section 16B Rollovers from 2017-18Revised Funding Profile - Sustainable Rural Water Use and
Infrastructure Program0 -35 35 0 0
Revised Funding Profile - Better Public Housing - Karuah 342 0 0 0 0Revised Funding Profile - Better Public Housing - New public
housing properties-12,620 0 0 0 0
Revised Funding Profile - Better services in your community - Improving our capacity to fight bushfires
157 0 0 0 0
Revised Funding Profile - Better services in your community - Jarramlee Nature Reserve - Protecting our nature reserves
-10 0 0 0 0
Revised Funding Profile - Better support when it matters - Public Housing Renewal - New and better properties
10,844 0 0 0 0
Revised Funding Profile - Better support when it matters - Public Housing Renewal - Taskforce operations
-42 0 0 0 0
Revised Funding Profile - Carbon Neutral Government 2,033 0 0 0 0Revised Funding Profile - Caring for our Environment -
Establishing the Molonglo River Reserve Stage 31 0 0 0 0
Revised Funding Profile - Caring for our Environment - Improving species and habitat protection
492 0 0 0 0
Revised Funding Profile - Caring for our Environment - Tharwa fish habitat improvement
8 0 0 0 0
Revised Funding Profile - Digital Canberra - New digital radio communication system
92 0 0 0 0
Revised Funding Profile - Enhancing the Protection of Endangered Species and Habitat
-1,082 0 0 0 0
Revised Funding Profile - Environmental Offsets - Gungahlin (EPIC)
38 0 0 0 0
Revised Funding Profile - Environmental Offsets - Lawson South
-33 0 0 0 0
Revised Funding Profile - Implementation of Commitments in the NES Plan - Stage 2
-68 0 0 0 0
Revised Funding Profile - Improving Our City - Woden bus interchange improvements
-119 0 0 0 0
Revised Funding Profile - Loose Fill Asbestos Eradication Scheme
107 0 0 0 0
Revised Funding Profile - More and better jobs - Ensuring continuity of the Spatial Data Management System
137 0 0 0 0
Revised Funding Profile - Red Hill Nature Reserve Remediation 10 0 0 0 0Revised Funding Profile - Support for Building Industry -
eDevelopment Renovation Project 1118 0 0 0 0
Revised Funding Profile - Urban Renewal Program - Better Public Housing - Allawah Court
446 0 0 0 0
Revised Funding Profile - Urban Renewal Program - Better Public Housing - Red Hill housing precinct
1,030 0 0 0 0
Revised Funding Profile - Woden Valley Stormwater Retardation Basins (Design)
153 0 0 0 0
2019-20 Budget Policy DecisionsDelivering better community facilities for Woden Town Centre 0 300 1,450 0 0Improving online lodgement for development applications 0 600 0 0 0Protecting grasslands and conservation areas 0 199 399 200 0Remediating the former Molonglo sewerage treatment facility 0 0 0 1,498 1,115
2018-19 Budget Statements 30 Environment, Planning and Sustainable Development Directorate
2018-19 Budget Statements 31 Environment, Planning and Sustainable Development Directorate
Table 29: Changes to appropriation – Capital Injections, Controlled (continued)
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Replanting the Ingledene Forest 0 186 680 454 414
2019-20 Budget Technical AdjustmentsBetter Infrastructure Fund 0 765 1,025 1,051 1,104New Commonwealth Grant - Murray-Darling Basin water
infrastructure program0 200 10,500 10,000 0
Re-Profiling - Healthy Waterways ACT Contribution 0 -500 500 0 0Revised Funding Profile - Better services in your community -
Red Hill Nature Reserve - Landfill remediation-305 305 0 0 0
Revised Funding Profile - Loose Fill Asbestos Eradication Scheme
-6,925 6,925 0 0 0
Revised Funding Profile - Better services in your community - Improving our capacity to fight bushfires
-550 550 0 0 0
Revised Funding Profile - Caring for our Environment - Water Quality Improvement - Contributions to the ACT Healthy Waterways Project
-2,600 1,300 1,300 0 0
Revised Funding Profile - Establishing the Molonglo River Reserve
-200 100 100 0 0
Revised Funding Profile - Sustainable Rural Water Use and Infrastructure Program
-1,269 600 669 0 0
Strategic re-profiling of the 2019-20 Capital Works Program 0 -60,000 17,000 43,000 0
2019-20 Budget 143,096 57,484 60,086 59,346 5,200
2018-19 Budget Statements 32 Environment, Planning and Sustainable Development Directorate
Table 30: Changes to appropriation – Capital Injections, Territorial
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
2018-19 Budget 4 0 0 0 0
2019-20 Budget 4 0 0 0 0
2018-19 Budget Statements 33 Environment, Planning and Sustainable Development Directorate
Summary of 2019-20 Infrastructure Program
Table 31: 2019-20 Environment, Planning and Sustainable Development Directorate Infrastructure Program
Project 2019-20$'000
2020-21$'000
2021-22$'000
2022-23$'000
Four YearInvestment
$'000
PhysicalCompletion
Date
CAPITAL WORKS PROGRAM
Work In ProgressBetter Public Housing - New public
housing properties8,024 17,000 43,000 0 68,024 Oct-19
Better services in your community - Improving our capacity to fight bushfires
980 0 0 0 980 Jun-20
Better services in your community - Red Hill Nature Reserve - Landfill remediation
305 0 0 0 305 Jun-20
Better support when it matters - Public Housing Renewal - Karuah
3,000 0 0 0 3,000 Oct-19
Better support when it matters - Public Housing Renewal - New and better properties
4,008 0 0 0 4,008 Oct-19
Better support when it matters - Public Housing Renewal - Taskforce operations
85 0 0 0 85 Oct-19
Building a better city - Bindubi Street extension - Early planning
125 0 0 0 125 Aug-19
Building a better city - Molonglo East-West arterial road - Early planning
278 0 0 0 278 Jun-20
Caring for our Environment - Improving species and habitat protection
257 72 72 0 401 Jun-22
Caring for our environment - Water Quality Improvement - Contributions to the ACT Healthy Waterways Project
800 1,800 0 0 2,600 Jun-21
Keeping our growing city moving - Best of Canberra mountain bike experience - Design
300 0 0 0 300 Jun-20
More and better jobs - Ensuring continuity of the Spatial Data Management System
300 0 0 0 300 Jun-20
More jobs for our growing city - Delivering a new nature reserve in the Molonglo Valley - NES Plan Implementation Stage 3
900 934 504 0 2,338 Jun-22
More jobs for our growing city - Urban renewal in Dickson
580 0 0 0 580 Jun-20
More jobs for our growing city - Urban renewal in Kenny - early planning
300 0 0 0 300 Jun-20
More services for our suburbs - Equestrian infrastructure
250 0 0 0 250 Jun-20
More services for our suburbs - Improved conversation management
232 65 0 0 297 Jun-21
More services for our suburbs - Sullivans Creek Flood Management Plan
75 0 0 0 75 Dec-19
2018-19 Budget Statements 34 Environment, Planning and Sustainable Development Directorate
2018-19 Budget Statements 35 Environment, Planning and Sustainable Development Directorate
Table 31: 2019-20 Environment, Planning and Sustainable Development Directorate Infrastructure Program (continued)
Project 2019-20$'000
2020-21$'000
2021-22$'000
2022-23$'000
Four YearInvestment
$'000
PhysicalCompletion
Date
More support for families and inclusion - Innovation in housing choices
430 125 0 0 555 Jun-21
Securing Electricity Supply in the ACT - Second supply network
125 0 0 0 125 Jun-20
Support for Building Industry - eDevelopment Renovation Project 1
600 0 0 0 600 Jun-20
Total Work In Progress 21,954 19,996 43,576 0 85,526
CAPITAL WORKS PROGRAM
New WorkDelivering better community facilities for
Woden Town Centre300 1,450 0 0 1,750 Jun-21
Feasibility and infrastructure planning for future Molonglo land releases
835 434 0 0 1,269 Jun-21
Improving online lodgement for development applications
600 0 0 0 600 Jun-20
Protecting grasslands and conservation areas
199 399 200 0 798 Jun-22
Remediating the former Molonglo sewerage treatment facility
0 0 1,498 1,115 2,613 Jun-23
Replanting the Ingledene Forest 186 680 454 414 1,734 Jun-23Scoping for East Lake urban renewal 441 167 0 0 608 Jun-21
Total New Capital 2,561 3,130 2,152 1,529 9,372
CAPITAL WORKS PROGRAM
Better Infrastructure FundBetter Infrastructure Funds 715 733 751 786 2,985 Jun-20Prior Year Upgrades 310 318 326 318 1,272 Jun-20
Total Capital Upgrade Programs 1,025 1,051 1,077 1,104 4,257
2018-19 Budget Statements 36 Environment, Planning and Sustainable Development Directorate
Financial Statements – Controlled
Table 32: Environment, Planning and Sustainable Development Directorate: Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Income
Revenue133,079 Controlled Recurrent
Payments166,109 150,757 -9 124,759 117,869 116,876
31,272 Land Revenue 26,194 15,856 -39 12,674 0 029 Taxes, Fees and Fines 29 29 - 29 30 31
31,288 User Charges 31,288 12,881 -59 11,803 9,630 9,943440 Interest 440 148 -66 91 92 93
2,358 Resources Received Free of Charge
2,358 4,208 78 4,351 4,459 4,505
2,364 Other Revenue 70,600 2,810 -96 3,318 1,704 1,762
200,830 Total Revenue 297,018 186,689 -37 157,025 133,784 133,210
Gains
0 Total Gains 0 0 - 0 0 0
200,830 Total Income 297,018 186,689 -37 157,025 133,784 133,210
Expenses 65,651 Employee Expenses 65,641 68,369 4 68,408 65,941 66,233
9,616 Superannuation Expenses 9,629 10,964 14 11,461 11,703 11,90368,180 Supplies and Services 99,120 69,024 -30 56,028 50,968 49,759
3,123 Depreciation and Amortisation
4,998 5,129 3 5,849 5,893 5,927
10,508 Grants and Purchased Services
11,658 9,867 -15 7,802 1,656 1,737
13,506 Cost of Goods Sold 13,506 207 -98 207 208 2080 Borrowing Costs 33 33 - 33 33 33
6,894 Other Expenses 9,760 6,375 -35 7,153 2,396 2,45532,300 Transfer Expenses 30,894 16,917 -45 13,772 1,136 1,176
209,778 Total Expenses 245,239 186,885 -24 170,713 139,934 139,431
-8,948 Operating Result 51,779 -196 -100 -13,688 -6,150 -6,221
-8,948 Total Comprehensive Income
51,779 -196 -100 -13,688 -6,150 -6,221
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 37 Environment, Planning and Sustainable Development Directorate
Table 33: Environment, Planning and Sustainable Development Directorate: Balance Sheet
Budgetat
30/6/19 $'000
2018-19 Estimated Outcome
$'000
Budgetat
30/6/20 $'000
Var1
%Estimate
at30/6/21
$'000
Estimateat
30/6/22 $'000
Estimateat
30/6/23 $'000
Current Assets103,834 Cash and Cash Equivalents 126,184 126,824 1 128,990 122,554 116,118
5,139 Receivables 10,209 10,129 -1 10,230 10,331 10,43275 Inventories 112 112 - 112 112 112
7,901 Assets Held for Sale 23,246 20,457 -12 0 0 0145 Other Assets 137 0 -100 0 0 0
117,094 Total Current Assets 159,888 157,522 -1 139,332 132,997 126,662
Non Current Assets5,774 Receivables 5,383 4,584 -15 3,953 3,322 2,691
286,616 Property, Plant and Equipment
190,801 207,128 9 213,618 210,138 205,790
106,637 Intangible Assets 160,361 160,032 .. 162,242 161,424 160,60648,065 Capital Works in Progress 87,255 86,198 -1 117,737 174,627 178,20529,917 Other Assets 29,769 29,769 - 29,769 29,769 29,769
477,009 Total Non Current Assets 473,569 487,711 3 527,319 579,280 577,061
594,103 TOTAL ASSETS 633,457 645,233 2 666,651 712,277 703,723
Current Liabilities23,021 Payables 26,829 26,927 .. 21,971 13,068 4,165
0 Finance Leases 333 333 - 333 333 33321,803 Employee Benefits 23,245 24,453 5 25,713 27,005 28,33431,550 Other Provisions 42,734 19,627 -54 0 0 0
2,753 Other Liabilities 2,339 2,325 -1 2,311 2,297 2,283
79,127 Total Current Liabilities 95,480 73,665 -23 50,328 42,703 35,115
Non Current Liabilities0 Finance Leases 359 359 - 359 359 359
1,053 Employee Benefits 1,101 1,157 5 1,214 1,271 1,32817,091 Other Provisions 1,698 1,698 - 0 0 0
18,144 Total Non Current Liabilities 3,158 3,214 2 1,573 1,630 1,687
97,271 TOTAL LIABILITIES 98,638 76,879 -22 51,901 44,333 36,802
496,832 NET ASSETS 534,819 568,354 6 614,750 667,944 666,921
364,904 Accumulated Funds 455,230 488,765 7 535,161 588,355 587,332131,928 Asset Revaluation Surplus 79,589 79,589 - 79,589 79,589 79,589
496,832 TOTAL FUNDS EMPLOYED 534,819 568,354 6 614,750 667,944 666,921
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 38 Environment, Planning and Sustainable Development Directorate
2018-19 Budget Statements 39 Environment, Planning and Sustainable Development Directorate
Table 34: Environment, Planning and Sustainable Development Directorate: Statement of Changes in Equity
Budgetat
30/6/19 $'000
2018-19 Estimated Outcome
$'000
Budgetat
30/6/20 $'000
Var1
%Estimate
at30/6/21
$'000
Estimateat
30/6/22 $'000
Estimateat
30/6/23 $'000
Opening Equity492,533 Opening Accumulated Funds 555,181 455,230 -18 488,765 535,161 588,355131,928 Opening Asset Revaluation
Reserve79,589 79,589 - 79,589 79,589 79,589
624,461 Balance at the Start of the Reporting Period
634,770 534,819 -16 568,354 614,750 667,944
Comprehensive Income-8,948 Operating Result - Including
Economic Flows51,779 -196 -100 -13,688 -6,150 -6,221
-8,948 Total Comprehensive Income
51,779 -196 -100 -13,688 -6,150 -6,221
0 Total Movement in Reserves 0 0 - 0 0 0
Transactions Involving Owners Affecting Accumulated Funds152,911 Capital Injections 143,096 57,484 -60 60,086 59,346 5,200
-105,388 Capital Distributions to Government
-128,622 -7,922 94 0 0 0
-166,204 Inc/Dec in Net Assets due to Admin Restructure
-166,204 -15,831 90 -2 -2 -2
-118,681 Total Transactions Involving Owners Affecting Accumulated Funds
-151,730 33,731 122 60,084 59,344 5,198
Closing Equity364,904 Closing Accumulated Funds 455,230 488,765 7 535,161 588,355 587,332131,928 Closing Asset Revaluation
Reserve79,589 79,589 - 79,589 79,589 79,589
496,832 Balance at the end of the Reporting Period
534,819 568,354 6 614,750 667,944 666,921
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 40 Environment, Planning and Sustainable Development Directorate
Table 35: Environment, Planning and Sustainable Development Directorate: Cash Flow Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
CASH FLOWS FROM OPERATING ACTIVITIESReceipts
133,079 Controlled Recurrent Payments
166,109 150,757 -9 124,759 117,869 116,876
29 Taxes, Fees and Fines 29 29 - 29 30 3131,650 User Charges 31,650 13,243 -58 12,165 9,992 10,305
440 Interest Received 440 148 -66 91 92 934,467 Other 4,467 4,913 10 5,421 3,807 3,865
169 665 Operating Receipts 202,695 169,090 -17 142,465 131,790 131,170
Payments64,716 Employee 64,294 67,064 4 67,296 64,797 65,052
9,620 Superannuation 9,633 10,968 14 11,518 11,760 11,96067,117 Supplies and Services 62,687 66,136 6 53,021 47,853 46,59810,533 Grants and Purchased
Services11,683 9,892 -15 7,827 1,681 1,762
0 Interest Expenses 33 33 - 33 33 3332,300 Transfer of Territory Receipts
to the ACT Government20,894 16,917 -19 13,772 1,136 1,176
206 Related to Cost of Goods Sold 8,850 18,371 108 20,995 208 2087,979 Other 10,845 7,440 -31 8,218 12,131 12,190
192,471 Operating Payments 188,919 196,821 4 182,680 139,599 138,979
-22,806 NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES
13,776 -27,731 -301 -40,215 -7,809 -7,809
CASH FLOWS FROM INVESTING ACTIVITIESReceipts
136,660 Proceeds from Sale of Property, Plant and Equipment
94,856 46,614 -51 45,898 0 0
1,664 Repayment of Loan Principal 1,664 1,827 10 1,478 1,478 1,478138,324 Investing Receipts 96,520 48,441 -50 47,376 1,478 1,478
Payments136,677 Purchase of Property, Plant
and Equipment100,410 23,464 -77 35,615 57,856 3,710
12,135 Purchase of Land and Intangibles
7,423 44,573 500 27,871 0 0
413 Loans Provided (Loans Receivable)
2,446 920 -62 920 920 920
149,225 Investing Payments 110,279 68,957 -37 64,406 58,776 4,630
-10,901 NET CASH INFLOW/(OUTFLOW) FROM INVESTING ACTIVITIES
-13,759 -20,516 -49 -17,030 -57,298 -3,152
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 41 Environment, Planning and Sustainable Development Directorate
Table 35: Environment, Planning and Sustainable Development Directorate: Cash Flow Statement (continued)
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
CASH FLOWS FROM FINANCING ACTIVITIESReceipts
152 911 Capital Injections 143,096 57,484 -60 60,086 59,346 5,200152 911 Financing Receipts 143,096 57,484 -60 60,086 59,346 5,200
Payments105 388 Distributions to Government 128,622 7,922 -94 0 0 0
0 Repayment of Finance Lease Liabilities
675 675 - 675 675 675
105 388 Financing Payments 129,297 8,597 -93 675 675 675
47 523 NET CASH INFLOW/(OUTFLOW) FROM FINANCING ACTIVITIES
13,799 48,887 254 59,411 58,671 4,525
13 816 NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS
13,816 640 -95 2,166 -6,436 -6,436
90 018 CASH AT THE BEGINNING OF REPORTING PERIOD
112,368 126,184 12 126,824 128,990 122,554
103 834 CASH AT THE END OF REPORTING PERIOD
126,184 126,824 1 128,990 122,554 116,118
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 42 Environment, Planning and Sustainable Development Directorate
Notes to the Controlled Budget Statements
Significant variations are as follows:
Operating Statement
controlled recurrent payments:
- the increase of $33.030 million in the 2018-19 estimated outcome from the original budget is mainly due to rollover of undisbursed appropriation under Section 16B of FMA due to the timing of delivery of the Public Housing Renewal Taskforce ($31.712 million).
- the decrease of $15.352 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the funding available for the Public Housing Taskforce decreasing as the program is nearing completion ($38.150 million) and transfer of the City Centre Marketing and Improvements Levy ($1.984 million) to the City Renewal Authority, partially offset by Loose-Fill Asbestos Insulation Eradication Scheme ($10.150 million), as well as movement in existing and new initiatives ($14.632 million).
land revenue:
- the decrease of $5.078 million in the 2018-19 estimated outcome from the original budget is mainly due to below forecast sales in 2018-19 including delayed settlement of remediated land under the Loose-Fill Asbestos Insulation Eradication Scheme as a result of the longer settlement timeframes granted to accommodate tighter lending guidelines.
- the decrease of $10.338 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the decrease in the number of sales of remediated land under the Loose-Fill Asbestos Insulation Eradication Scheme as the program nears completion. The timing of the revenue in 2019-20 has been impacted by the below forecast sales in 2018-19 now budgeted in 2019-20 and forward years including the timing of settlement of remediated land as a result of the longer settlement timeframes granted to accommodate tighter lending guidelines.
user charges:
- the decrease of $18.407 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the sale proceeds of 33 dwellings to the market by the Public Housing Renewal Taskforce in the 2018-19 financial year.
other revenue:
- the increase of $68.236 million in the 2018-19 estimated outcome from the original budget is mainly due to the recognition of additional Large Scale Generation Certificates to be transferred by large scale generators of electricity under the Renewable Energy Target Scheme.
2018-19 Budget Statements 43 Environment, Planning and Sustainable Development Directorate
- the decrease of $67.790 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the Large Scale Generation Certificates not being recognised in the Directorate’s Budget Statements in 2019-20. The 2019-20 budget has been included in the whole of government Budget Statements.
employee expenses:
- the increase of $2.728 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to movement in staffing related to existing and new initiatives.
supplies and services:
- the increase of $30.940 million in the 2018-19 estimated outcome from the original budget is mainly due to rollover of funding due to the timing of delivery of the Public Housing Renewal Taskforce.
- the decrease of $30.096 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to the funding available for the Public Housing Taskforce decreasing as the program is nearing completion.
depreciation
- the increase of $1.875 million in the 2018-19 estimated outcome from the original budget is mainly due to asset revaluation resulting in reduction of asset useful lives.
grants and purchased services:
- the increase of $1.150 million in the 2018-19 estimated outcome from the original budget is mainly due to a new Commonwealth grant for the On-Farm Emergency Water Infrastructure Rebate Scheme and a support package for local farmers.
- the decrease of $1.791 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the transfer of the City Centre Marketing and Improvements Levy to the City Renewal Authority ($1.984 million).
cost of goods sold:
- the decrease of $13.299 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the cost of the dwellings to be sold by the Public Housing Renewal Taskforce.
other expenses:
- the increase of $2.866 million in the 2018-19 estimated outcome from the original budget is mainly due to payments originally expected to be made in 2017-18, paid in 2018-19 under the Loose-Fill Asbestos Insulation Eradication Scheme.
2018-19 Budget Statements 44 Environment, Planning and Sustainable Development Directorate
- the decrease of $3.385 million in the 2019-20 Budget from the 2018-19 estimated outcome is primarily due to a decrease in agents’ fees and financial assistance payments under the Loose-Fill Asbestos Insulation Eradication Scheme.
transfer expenses:
- the decrease of $1.406 million in the 2018-19 estimated outcome from the original budget is due to an decrease in sales under the Loose-fill Asbestos Insulation Eradication Scheme being paid back to Government.
- the decrease of $13.977 million in the 2019-20 Budget from the 2018-19 estimated outcome is due the lower land sales under the Loose-Fill Asbestos Insulation Eradication Scheme being paid back to Government.
Balance Sheet
cash and equivalents:
- the increase of $22.350 million in the 2018-19 estimated outcome from the original budget is mainly due to the cash received from the Renewable Energy Innovation Fund, the Commonwealth’s ACT Healthy Waterways program and the additional money available under the Carbon Neutral Government loan fund.
- the increase of $0.640 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the cash received from the Renewable Energy Innovation Fund and the additional money available under the Carbon Neutral Government loan fund.
current and non-current receivables:
- the increase of $4.679 million in the 2018-19 estimated outcome from the original budget is mainly due to new Carbon Neutral Government loans.
- the decrease of $0.879 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the repayment of the Carbon Neutral Government loans.
assets held for sale:
- the increase of $15.345 million in the 2018-19 estimated outcome from the original budget is due to the higher number of blocks held for sale under the Loose-Fill Asbestos Insulation Eradication Scheme.
- the decrease of $2.789 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to a lower number of blocks held following sale of land under the Loose-Fill Asbestos Insulation Eradication Scheme as the program winds down.
2018-19 Budget Statements 45 Environment, Planning and Sustainable Development Directorate
property, plant and equipment:
- the decrease of $95.815 million in the 2018-19 estimated outcome from the original budget is due primarily to a reduction in the value of infrastructure assets ($22.989 million) and heritage and community assets ($23.938 million) resulting from asset revaluation in the 2017-18 financial year being reflected in the 2018-19 estimated outcome. A further reduction relates to land transferred to assets held for sale under the Loose-Fill Asbestos Insulation Eradication Scheme ($40.209 million).
- the increase of $16.327 million in the 2019-20 Budget from the 2018-19 estimated outcome is primarily due to further movements in land values under the Loose-Fill Asbestos Insulation Eradication Scheme and a budgeted increase in the value of infrastructure assets.
intangible assets:
- the increase of $53.724 million in the 2018-19 estimated outcome from the original budget is due primarily to the additional Large Scale Generation Certificates received as part of the Renewable Energy Target Scheme.
capital works in progress:
- the increase of $39.190 million in the 2018-19 estimated outcome from the original budget is mainly due to the timing of financial completion of capital works associated with the Public Housing Renewal Taskforce.
- the decrease of $1.057 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the timing of financial completion of capital works associated with the Public Housing Renewal Taskforce.
payables:
- the increase of $3.808 million in the 2018-19 estimated outcome from the original budget is due to an increase in accrued expenditure at the end of the financial year.
other provisions:
- the decrease of $4.209 million in the 2018-19 estimated outcome from the original budget relates to the decrease in the value of the provisions associated with the Loose-Fill Asbestos Insulation Eradication Scheme.
- the decrease of $23.107 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to a decrease in the value of the provisions associated with the Loose-Fill Asbestos Insulation Eradication Scheme as the majority of property remediation is expected to be completed.
2018-19 Budget Statements 46 Environment, Planning and Sustainable Development Directorate
other liabilities:
- the decrease of $0.414 million in the 2018-19 estimated outcome from the original budget is due to a reduction in the sales deposits held under the Loose-Fill Asbestos Insulation Eradication Scheme.
Statement of Changes in Equity
capital injections:
- the decrease of $9.815 million in the 2018-19 estimated outcome from the original budget is mainly due to the timing of funding requirements for delivery of the Loose-Fill Asbestos Insulation Eradication Scheme, ACT Healthy Water Ways, Parks and Conservation capital projects and Carbon Neutral Government.
- the decrease of $85.612 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the timing of funding associated with the Public Housing Renewal Taskforce and the capital works program.
Cash Flow Statement
Variations in the Statement are explained in the notes above.
2018-19 Budget Statements 47 Environment, Planning and Sustainable Development Directorate
Financial Statements – Territorial
Table 36: Environment, Planning and Sustainable Development Directorate: Statement of Income and Expenses on behalf of the Territory
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Revenue2 209 Payment for Expenses on
Behalf of the Territory2 206 2 580 17 2 115 1 979 2 020
29 150 Taxes, Fees and Fines 14 479 10 489 -28 9 891 8 370 8 76252 171 Land Revenue 35 043 46 624 33 41 546 41 470 20 434
2 847 Interest 1 635 2 138 31 1 750 2 249 1 162
86 377 Total Revenue 53 363 61 831 16 55 302 54 068 32 378
Gains
86 377 Total Income 53 363 61 831 16 55 302 54 068 32 378
Expenses 854 Employee Expenses 857 876 2 900 922 933102 Superannuation Expenses 102 114 12 121 124 128714 Supplies and Services 414 1 035 150 538 550 562541 Grants and Purchased
Services838 560 -33 561 560 574
3 950 Other Expenses 3 950 3 397 -14 2 398 0 080 218 Transfer Expenses 47 207 55 851 18 50 787 51 914 30 183
86 379 Total Expenses 53 368 61 833 16 55 305 54 070 32 380
-2 Operating Result -5 -2 60 -3 -2 -2
Other Comprehensive Income
Items that will not be Reclassified Subsequently to Profit or Loss0 Total Other Comprehensive
Income0 0 - 0 0 0
-2 Total Comprehensive Income
-5 -2 60 -3 -2 -2
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 48 Environment, Planning and Sustainable Development Directorate
Table 37: Environment, Planning and Sustainable Development Directorate: Statement of Assets and Liabilities on behalf of the Territory
Budgetat
30/6/19 $'000
2018-19 Estimated Outcome
$'000
Budgetat
30/6/20 $'000
Var1
%Estimate
at30/6/21
$'000
Estimateat
30/6/22 $'000
Estimateat
30/6/23 $'000
Current Assets1,855 Cash and Cash Equivalents 1 636 1 603 -2 1 570 1 537 1 504
79,347 Receivables 44 396 44 671 1 44 946 45 221 45 495133 Inventories 133 133 - 133 133 133
81,335 Total Current Assets 46 165 46 407 1 46 649 46 891 47 132
Non Current Assets1,217 Receivables 889 995 12 1 101 1 207 1 313
76,061 Property, Plant and Equipment
67 359 67 359 - 67 359 67 359 67 359
77,278 Total Non Current Assets 68 248 68 354 .. 68 460 68 566 68 672
158,613 TOTAL ASSETS 114 413 114 761 .. 115 109 115 457 115 804
Current Liabilities31,583 Payables 43 959 44 186 .. 44 413 44 640 44 867
163 Employee Benefits 153 160 5 168 175 18149,097 Other Liabilities 1 330 1 335 .. 1 340 1 345 1 350
80,843 Total Current Liabilities 45 442 45 681 1 45 921 46 160 46 398
Non Current Liabilities222 Payables 894 1 005 12 1 116 1 227 1 338
3 Employee Benefits 20 20 - 20 20 201,005 Other Liabilities 0 0 - 0 0 0
1,230 Total Non Current Liabilities 914 1 025 12 1 136 1 247 1 358
82,073 TOTAL LIABILITIES 46 356 46 706 1 47 057 47 407 47 756
76,540 NET ASSETS 68 057 68 055 .. 68 052 68 050 68 048
REPRESENTED BY FUNDS EMPLOYED
34,043 Accumulated Funds 34 262 34 260 .. 34 257 34 255 34 25342,497 Asset Revaluation Surplus 33 795 33 795 - 33 795 33 795 33 795
76,540 TOTAL FUNDS EMPLOYED 68 057 68 055 .. 68 052 68 050 68 048
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 49 Environment, Planning and Sustainable Development Directorate
Table 38: Environment, Planning and Sustainable Development Directorate: Statement of Changes in Equity on behalf of the Territory
Budgetat
30/6/19 $'000
2018-19 Estimated Outcome
$'000
Budgetat
30/6/20 $'000
Var1
%Estimate
at30/6/21
$'000
Estimateat
30/6/22 $'000
Estimateat
30/6/23 $'000
Opening Equity34 041 Opening Accumulated Funds 34 263 34 262 .. 34 260 34 257 34 25542 497 Opening Asset Revaluation
Reserve33 795 33 795 - 33 795 33 795 33 795
76 538 Balance at the Start of the Reporting Period
68 058 68 057 .. 68 055 68 052 68 050
Comprehensive Income-2 Operating Result - Including
Economic Flows-5 -2 60 -3 -2 -2
-2 Total Comprehensive Income
-5 -2 60 -3 -2 -2
0 Total Movement in Reserves 0 0 - 0 0 0
Transactions Involving Owners Affecting Accumulated Funds
4 Capital Injections 4 0 -100 0 0 0
4 Total Transactions Involving Owners Affecting Accumulated Funds
4 0 -100 0 0 0
Closing Equity34 043 Closing Accumulated Funds 34,262 34,260 .. 34,257 34,255 34,25342 497 Closing Asset Revaluation
Reserve33,795 33,795 - 33,795 33,795 33,795
76 540 Balance at the end of the Reporting Period
68,057 68,055 .. 68,052 68,050 68,048
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 50 Environment, Planning and Sustainable Development Directorate
Table 39: Environment, Planning and Sustainable Development Directorate: Cash Flow Statement on behalf of the Territory
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
CASH FLOWS FROM OPERATING ACTIVITIESReceipts
2 209 Payment for Expenses on Behalf of the Territory
2 206 2 580 17 2 115 1 979 2 020
29 150 Taxes, Fees and Fines 14 479 10 489 -28 9 891 8 370 8 7622 847 Interest Received 1 635 2 138 31 1 750 2 249 1 162
47 204 Land Sales 34 256 45 518 33 36 797 36 563 12 5985 139 Other 5 139 5 278 3 5 421 5 579 5 579
86 549 Operating Receipts 57 715 66 003 14 55 974 54 740 30 121
Payments856 Employee 856 874 2 897 920 931102 Superannuation 102 114 12 121 124 128914 Supplies and Services 614 1 235 101 738 750 762541 Grants and Purchased
Services838 560 -33 561 560 574
80 218 Transfer of Territory Receipts to the ACT Government
51 387 59 851 16 51 287 52 414 27 754
3 955 Other 3 955 3 402 -14 2 403 5 586 586 Operating Payments 57 752 66 036 14 56 007 54 773 30 154
-37 NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES
-37 -33 11 -33 -33 -33
CASH FLOWS FROM FINANCING ACTIVITIESReceipts
4 Capital Injections 4 0 -100 0 0 04 Financing Receipts 4 0 -100 0 0 0
Payments0 Financing Payments 0 0 - 0 0 0
4 NET CASH INFLOW/(OUTFLOW) FROM FINANCING ACTIVITIES
4 0 -100 0 0 0
-33 NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS
-33 -33 - -33 -33 -33
1 888 CASH AT THE BEGINNING OF REPORTING PERIOD
1,669 1,636 -2 1,603 1,570 1,537
1 855 CASH AT THE END OF REPORTING PERIOD
1,636 1,603 -2 1,570 1,537 1,504
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 51 Environment, Planning and Sustainable Development Directorate
Notes to the Territorial Budget Statements
Significant variations are as follows:
Statement of Income and Expenses on behalf of the Territory
taxes, fees and fines:
- the decrease of $14.671 million in the 2018-19 estimated outcome from the original budget and the decrease of $3.990 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to a decrease in the estimate for the lease variation charge.
land revenue:
- the decrease of $17.128 million in the 2018-19 estimated outcome from the original budget and the increase of $11.581 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to timing of the land release program.
interest revenue:
- the decrease of $1.212 million in the 2018-19 estimated outcome from the original budget and the increase of $0.503 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to timing of the land release program.
supplies and services:
- the decrease of $0.300 million in the 2018-19 estimated outcome from the original budget and the increase of $0.621 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the timing of expenditure associated with the State of the Environment Report.
grants and purchased services:
- the increase of $0.297 million in the 2018-19 estimated outcome from the original budget and the decrease of $0.278 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the timing of Heritage Grants expenditure associated with Heritage Grants.
transfer expenses:
- variations in these expenses reflect the variations in revenues described above.
Statement of Assets and Liabilities on behalf of the Territory
cash and equivalents:
2018-19 Budget Statements 52 Environment, Planning and Sustainable Development Directorate
- the decrease of $0.219 million in the 2018-19 estimated outcome from the original budget is mainly due to the flow-on effects of the 2017-18 financial results.
current and non-current receivables:
- the decrease of $35.279 million in the 2018-19 estimated outcome from the original budget is mainly due to the timing of receipts for the sale of land under the land release program to the Suburban Land Agency and the City Renewal Authority.
property, plant and equipment:
- the decrease of $8.702 million in the 2018-19 estimated outcome from the original budget is mainly due to the revaluation of land as a result of a change in the 10-year Government bond rate.
current and non-current liabilities:
- the decrease of $35.717 million in the 2018-19 estimated outcome from the original budget and the increase of $0.350 million in the 2019-20 Budget from the 2018-19 estimated outcome is mainly due to the timing of payments back to Government for land revenue.
Statement of Changes in Equity and Cash Flow Statement
Variations in the Statement are explained in the notes above.
2018-19 Budget Statements 53 Environment, Planning and Sustainable Development Directorate
Table 40: Output Class 1: Planning Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Revenue27 319 Controlled Recurrent
Payments27,003 31,362 16 26,706 25,995 26,252
2 704 User Charges 2,704 2,791 3 2,903 3,015 3,1131 266 Resources Received Free of
Charge1,266 1,844 46 1,911 1,958 1,972
70 Other Revenue 60 983 # 1,020 998 1,038
31 359 Total Revenue 31,033 36,980 19 32,540 31,966 32,375
31 359 Total Income 31,033 36,980 19 32,540 31,966 32,375
Expenses 17 777 Employee Expenses 17,415 19,300 11 18,257 18,735 18,839
2 875 Superannuation Expenses 2,885 3,276 14 3,318 3,595 3,67411 137 Supplies and Services 11,253 13,647 21 10,368 8,841 9,029
151 Depreciation and Amortisation
117 149 27 644 655 658
368 Other Expenses 368 330 -10 341 353 3610 Transfer Expenses 0 923 # 960 998 1,038
32 308 Total Ordinary Expenses 32,038 37,625 17 33,888 33,177 33,599
-949 Operating Result -1,005 -645 36 -1,348 -1,211 -1,224
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 54 Environment, Planning and Sustainable Development Directorate
Table 41: Output Class 2: Environment Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Revenue52 562 Controlled Recurrent
Payments54,212 54,683 1 57,485 57,198 55,758
29 Taxes, Fees and Fines 29 29 - 29 30 316 634 User Charges 6,634 6,693 1 6,504 6,615 6,830
440 Interest 440 148 -66 91 92 93467 Resources Received Free of
Charge467 1,368 193 1,410 1,445 1,468
364 Other Revenue 374 184 -51 659 706 724
60 496 Total Revenue 62,156 63,105 2 66,178 66,086 64,904
Gains
0 Total Gains 0 0 - 0 0 0
60 496 Total Income 62,156 63,105 2 66,178 66,086 64,904
Expenses 26 887 Employee Expenses 27,052 27,755 3 28,144 28,069 28,292
4 182 Superannuation Expenses 4,185 4,859 16 5,136 5,580 5,71428 227 Supplies and Services 28,066 26,892 -4 30,486 29,878 28,321
2 844 Depreciation and Amortisation
4,753 4,852 2 5,082 5,168 5,199
393 Grants and Purchased Services
1,543 2,613 69 1,467 787 810
206 Cost of Goods Sold 206 207 .. 207 208 2080 Borrowing Costs 33 33 - 33 33 33
691 Other Expenses 621 479 -23 438 452 4630 Transfer Expenses 0 138 # 138 138 138
63 430 Total Ordinary Expenses 66,459 67,828 2 71,131 70,313 69,178
-2 934 Operating Result -4,303 -4,723 -10 -4,953 -4,227 -4,274
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 55 Environment, Planning and Sustainable Development Directorate
Table 42: Output Class 3: Climate Change and Sustainability Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Revenue12 563 Controlled Recurrent
Payments12,602 14,176 12 15,157 17,723 17,776
3 950 User Charges 3,950 3,397 -14 2,396 0 0625 Resources Received Free of
Charge625 856 37 887 909 914
1 930 Other Revenue 70,166 1,643 -98 1,639 0 0
19 068 Total Revenue 87,343 20,072 -77 20,079 18,632 18,690
Gains
0 Total Gains 0 0 - 0 0 0
19 068 Total Income 87,343 20,072 -77 20,079 18,632 18,690
Expenses 8 182 Employee Expenses 8,221 8,837 7 9,580 9,041 9,017
991 Superannuation Expenses 991 1,138 15 1,246 1,312 1,33410 855 Supplies and Services 10,894 9,572 -12 8,235 6,384 6,399
38 Depreciation and Amortisation
38 38 - 39 42 42
6 909 Grants and Purchased Services
6,909 6,005 -13 5,864 399 409
1 479 Other Expenses 1,479 1,478 .. 1,524 1,568 1,607
28 454 Total Ordinary Expenses 28,532 27,068 -5 26,488 18,746 18,808
-9 386 Operating Result 58,811 -6,996 -112 -6,409 -114 -118
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 56 Environment, Planning and Sustainable Development Directorate
Table 43: Output Class 4: Land Strategy and Urban Renewal Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Revenue21 606 Controlled Recurrent
Payments20,446 26,690 31 16,707 16,905 17,090
0 Resources Received Free of Charge
0 140 # 143 147 151
21 606 Total Revenue 20,446 26,830 31 16,850 17,052 17,241
21 606 Total Income 20,446 26,830 31 16,850 17,052 17,241
Expenses 9 297 Employee Expenses 9,407 9,656 3 9,897 10,096 10,085
927 Superannuation Expenses 927 1,046 13 1,115 1,168 1,1818 716 Supplies and Services 7,556 15,449 104 5,988 5,865 6,010
28 Depreciation and Amortisation
28 28 - 28 28 28
3 206 Grants and Purchased Services
3,206 1,249 -61 471 470 518
21 Other Expenses 21 22 5 22 23 24
22 195 Total Ordinary Expenses 21,145 27,450 30 17,521 17,650 17,846
-589 Operating Result -699 -620 11 -671 -598 -605
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 57 Environment, Planning and Sustainable Development Directorate
Table 44: Output Class 5: Loose Fill Asbestos Insulation Eradication Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Revenue10 200 Controlled Recurrent
Payments10,911 21,061 93 8,681 48 0
31 272 Land Revenue 26,194 15,856 -39 12,674 0 0
41 472 Total Revenue 37,105 36,917 -1 21,355 48 0
Gains
0 Total Gains 0 0 - 0 0 0
41 472 Total Income 37,105 36,917 -1 21,355 48 0
Expenses 2 453 Employee Expenses 2,483 2,492 .. 2,530 0 0
506 Superannuation Expenses 506 525 4 623 48 01 550 Supplies and Services 1,550 1,137 -27 951 0 0
55 Depreciation and Amortisation
55 55 - 56 0 0
4 280 Other Expenses 7,216 4,011 -44 4,828 0 027 600 Transfer Expenses 26,194 15,856 -39 12,674 0 0
36 444 Total Ordinary Expenses 38,004 24,076 -37 21,662 48 0
5 028 Operating Result -899 12,841 # -307 0 0
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 58 Environment, Planning and Sustainable Development Directorate
Table 45: Output Class 6: Public Housing Renewal Taskforce Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Revenue8 829 Controlled Recurrent
Payments40,935 2,785 -93 23 0 0
18 000 User Charges 18,000 0 -100 0 0 0
26 829 Total Revenue 58,935 2,785 -95 23 0 0
Gains
0 Total Gains 0 0 - 0 0 0
26 829 Total Income 58,935 2,785 -95 23 0 0
Expenses 1 055 Employee Expenses 1,063 329 -69 0 0 0
135 Superannuation Expenses 135 120 -11 23 0 07 695 Supplies and Services 39,801 2,327 -94 0 0 0
7 Depreciation and Amortisation
7 7 - 0 0 0
13 300 Cost of Goods Sold 13,300 0 -100 0 0 055 Other Expenses 55 55 - 0 0 0
4 700 Transfer Expenses 4,700 0 -100 0 0 0
26 947 Total Ordinary Expenses 59,061 2,838 -95 23 0 0
-118 Operating Result -126 -53 58 0 0 0
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2018-19 Budget Statements 59 Environment, Planning and Sustainable Development Directorate
CITY RENEWAL AUTHORITY – STATEMENT OF INTENT
The City Renewal Authority is a Territory Authority established under the City Renewal Authority and Suburban Land Agency Act 2017.
The Authority was established to play the crucial role of co-ordinating and implementing world-class urban renewal within the City Renewal Precinct. The establishment of the City Renewal Authority ensures that as Canberra grows, its city centre and immediate surrounds will further evolve into a thriving precinct with well-designed buildings and public spaces that improve activity, connectivity and sustainability.
This Statement of Intent for 2019-20 has been prepared in accordance with Section 61 of the Financial Management Act 1996.
The responsible Minister, Andrew Barr MLA, was consulted during the preparation of the Statement of Intent. The Statement of Intent, which focuses on the 2019-20 Budget year, has been developed in the context of a four year forward planning horizon to be incorporated, as far as practicable, into the City Renewal Authority strategic and business planning processes.
The City Renewal Authority 2019-20 Statement of Intent has been agreed between:
Dr Michael Easson AM
Chair
City Renewal Authority
17 May 2019
Mr Andrew Barr MLA
Chief Minister
20 May 2019
2019-20 Budget Statements 60 City Renewal Authority
CITY RENEWAL AUTHORITY
Purpose
The City Renewal Authority (the Authority) is established under Section 7 of the City Renewal Authority and Suburban Land Agency Act 2017 (the Act), and regulated by Parts 8 and 9 of the Financial Management Act 1996, Section 50 of the Planning and Development Act 2007 and the Public Sector Management Act 1994, to lead, manage, facilitate and undertake urban renewal projects in declared urban renewal precincts.
Working with the community, the Authority recognises that the places that define our city are for its citizens to live in, enjoy and to support a quality of life Canberrans expect and deserve. The objects of the Authority are set out in Section 8 of the Act and include: the encouragement and promotion of a vibrant city through the delivery of design-led,
people-focused urban renewal;
the encouragement and promotion of social and environmental sustainability; and
operational effectiveness, delivering value for money using sound risk practices.
The functions of the Authority are set out in Section 9 of the Act and include:
carrying out urban renewal;
buying and selling leases of land on behalf of the Territory;
making arrangements for the public service or another entity to carry out development or works;
supporting public and private sector investment and participation in urban renewal;
managing orderly urban renewal, including holding, managing and selling land and other property;
supporting cooperation between the Authority, the community, and relevant entities;
supporting high quality design, planning and delivery of sustainable urban renewal;
meeting housing targets determined under Section 65 of the Act that relate to affordable, community and public housing;
supporting statutory greenhouse gas emissions targets and delivering environmentally sustainable development;
following and supporting whole-of-government strategies; and
any other function given to the Authority under the Act or another Territory law.
The City Renewal Authority must exercise its functions in a way that is consistent with its Statement of Operational Intent (as required by Section 9 of the Act).
With the approval of the Minister and the Treasurer, the Authority may exercise its functions through subsidiaries, joint ventures or trusts, or by holding shares in, or other securities of, corporations.
2019-20 Budget Statements 61 City Renewal Authority
Nature and scope of activities
The City Renewal Authority is charged with shaping the growth of the central parts of Canberra to make it a great place to live, work, explore and enjoy.
We are doing this by leading the transformation of the City Renewal Precinct, which spans Dickson, Northbourne Avenue, Haig Park, the city centre and West Basin.
In partnership with the community, private-sector and other government agencies, we will create a vibrant and vital city heart through the delivery of design-led, people focused urban renewal with a commitment to social and environmental sustainability.
We will work with the community, business and government to create new buildings and places within the precinct that are of exemplary design quality, excite interest and participation and stimulate new investment.
We will activate the precinct with events, interventions and attractions that bring people into the city and enliven the experience for residents, workers and visitors.
Our success will be measured by:
the creation of high-quality places and undertaking precinct development which takes a people-focused and design-led approach;
the facilitation of new and diverse investment into the precinct;
the application of robust and innovative social and environmental sustainability principles and programs that will underpin precinct-wide renewal;
being a strong, strategic, influential and capable organisation; and
demonstrating exemplary accountability and transparency in governance and compliance.
Government’s Expectations
Subject to a Statement of Expectations from Government for 2019-20, the Authority will continue its work on the following initiatives:
Undertake a first phase package of funded actions and initiatives as described in the Cabinet endorsed City Precinct Renewal Program Implementation Plan in order to deliver co-ordinated urban renewal within the precinct as a whole.
The Government expects the Authority will prioritise the following projects and works in the precinct:
- Civic, Arts and Cultural Precinct – prepare a precinct urban design and development framework.
2019-20 Budget Statements 62 City Renewal Authority
- Haig Park – enliven and revitalise this important public open space.
- West Basin Project – review the planning and development principles and progress Stage 2 works.
- City Bus Interchange – support improvements to the current interchange and investigate options for its possible future relocation.
- Sydney and Melbourne Buildings – liaise with property and business owners to direct and support revitalisation of these key heritage assets.
- Northbourne Avenue – improve the quality of the built environment befitting the primary gateway to the national capital.
- Garema Place, City Walk, Braddon, and Dickson Centre – enliven and revitalise these key renewal places.
- Place Making – activate and enliven key public spaces.
- City Centre Marketing and Improvements Program – continue to liaise with levy payers and effectively manage and deliver the program.
Establishing and maintaining positive working relationships, through:
- consulting and establishing productive working relationships with key stakeholders, including all levels of Government and other relevant bodies and organisations;
- engaging openly and meaningfully with the local community to inform both the design and delivery of works within declared precincts; and
- promoting cooperation, collaboration and coherent urban renewal with other key entities including the National Capital Authority and the Suburban Land Agency.
Establishing and maintaining positive relationships with other ACT Government directorates and agencies.
The achievement of the Government’s ongoing commitment to good public-sector governance, the principles of ‘Open Government’, and the effective management of significant land resources under the stewardship of the Authority.
2019-20 Budget Statements 63 City Renewal Authority
2019-20 priorities
The City Renewal Authority will deliver the following project-related outcomes, consistent with the City Precinct Renewal Program1:
Garema Place / City Walk Place Plan – prepare a place plan for the revitalisation of Garema Place and City Walk, which will be people-focused and support the creation of a quality urban environment.
Haig Park – commence temporary activations, undertake minor public works and investigate the adaptive re-use of the Haig Park Depot in accordance with the Haig Park Action Plan and implementation strategy.
West Basin Precinct – complete a review of the West Basin project to finalise the planning principles and economic analysis that will underpin the successful redevelopment of the precinct. Work with the National Capital Authority to obtain approvals and schedule commencement of stage 2.
City Bus Interchange – plan for longer term opportunities to integrate a revitalised transport interchange as part of catalytic renewal efforts in Civic.
Sydney and Melbourne Buildings – finalise a strategy and associated implementation plan for revitalising the Sydney and Melbourne buildings and surrounding public realm.
Dickson Group Centre – undertake a package of capital improvements and place activations in the Dickson Group Centre.
Braddon Village – undertake a package of capital improvements and place activations in Braddon.
Public Realm Improvements – undertake capital improvements in Hobart Place, Knowles Place and Mort Street (Civic).
City Activation – continue a comprehensive program of place making and activation for the public spaces across the City Renewal Precinct, and partner with local businesses and the creative sector to strengthen its cultural capital.
Future Land Sales – prepare for future sales of land within the City Renewal Precinct in accordance with the ACT Government’s Indicative Land Release Program.
Development Referrals – The City Renewal Authority will provide comments to the Environment, Planning and Sustainable Development Directorate for all development within the City Renewal Precinct to encourage high quality design outcomes.
1 Subject to the future 2019-20 CRA Statement of Expectations
2019-20 Budget Statements 64 City Renewal Authority
Estimated Employment Level and Employment Profile
Table 1: Estimated Employment Level
2017-18Actual
Outcome
2018-19Budget
2018-19Estimated Outcome
2019-20Budget
Staffing (FTE) 26 25 271 27
Note(s):1. The increase of two FTE from the 2018-19 Budget is due to:
a. transfer of finance staff from the Suburban Land Agency to the City Renewal Authority on 23 April 2019.
Table 2: 2019-20 Employment Profile
Classification Male Female TotalExecutive 4 0 4INFRMS2/3 0 2 2INFR4/5 1 3 4INFR3 0 1 1SOGA/B 2 3 5SOGC 3 2 5ASO6 0 1 1ASO5 1 3 4ASO4 0 1 1Total 11 16 27
2019-20 Budget Statements 65 City Renewal Authority
Key performance indicators for 2019-20 to 2022-2023
Financial Measures
Table 3: Key performance indicators
2019-20 2020-21 2021-22 2022-23
Land Sales Revenue ($ million) 14.130 20.754 23.436 0.000Gross Profit Margin on Land Sales (%)1 41.45% 38.64% 41.71% 0.00%Appropriated Capital Works Expenditure (million) 24.144 20.890 16.175 4.160
Gross Profit Margin = (lease sales - cost of goods sold including duty and holding costs) / lease sales
1 The profit margins of the City Renewal Authority are used for internal purposes to provide comparatives across projects and time periods. These margins are not comparable with private industry and should be considered in context with the following:
In general, the Government enters the land development process at an earlier stage than private developers as it has responsibility for planning activities which can impact on zoning and lease conditions on the land. The uplift in the value of land attributable to these activities is recognised by the City Renewal Authority and forms part of the Authority’s return to Government.
The Government invests in significant infrastructure within and around the City Renewal Precinct, but these costs are often incurred by other Government agencies and therefore do not impact on the Authority’s profit margins.
The City Renewal Authority relies on independent market valuations to inform land sales prices.
2019-20 Budget Statements 66 City Renewal Authority
Non-Financial Measures
The Authority’s non-financial performance will be assessed against the Government’s Statement of Expectations, including:
projects implemented; and city centre vitality.
The indicators of success for each measure are described in Table 4 below.
Table 4: Key performance indicators (non-financial)
Projects Indicator Target2019-20
Garema Place / City Walk Place Plan
Garema Place / City Walk Place Plan approved by the Authority Board. Quarter 2
Haig Park
A program of at least three temporary activations completed as well as the installation of temporary improvements. Project planning commenced for permanent capital works and the adaptive re-use of the former depot.
By 30 June 2020
West Basin PrecinctWest Basin Review approved by the Authority Board and submitted to Government for consideration.
Quarter 2
Sydney and Melbourne Buildings
- Revitalisation strategy and implementation plan finalised and approved by the Authority Board before consideration by Government.- Subject to the outcomes of the strategy and implementation plan, commence relevant revitalisation works and actions.
By 30 June 2020
Dickson Group Centre Streetscape improvement works commenced and place activations undertaken.
By 30 June 2020
Braddon Village Streetscape improvement works commenced and place activations undertaken.
By 30 June 2020
Public Realm Improvements Mort Street, Hobart Place, and Knowles Place capital works projects commenced.
By 30 June 2020
City Activation
All activities and/or events scheduled to be undertaken in the 2019-20 City Activation Program Calendar are completed or commenced in accordance with that calendar.
By 30 June 2020
Future Land Sales Release to market of part or all of Section 63, City
By 30 June 2020
2019-20 Budget Statements 67 City Renewal Authority
Assessment of non-financial performance against 2018-19 objectives
The Authority’s achievements against its non-financial objectives set for 2018-19 are described below:
City Renewal Precinct Place Plans
Over the 2018-19 year, the Authority finalised and published place plans for Dickson, Braddon and Haig Park. These plans will inform the feasibility, planning and design for a number of major and minor capital works projects, events and activations, and have been put forward as part of the 2019-20 City Precinct Renewal Program budget proposal.
Haig Park Action Plan and Implementation Strategy
A Haig Park Place Plan has been finalised and publicly released. The plan identified a number of short and medium term actions within an accompanying implementation plan. Phase one of the implementation plan will see the installation of temporary furniture and lighting as well as a program of events and activations. Later stages will include more permanent works including pocket parks, lighting and the adaptive re-use of the former Haig Park Depot.
West Basin Precinct Review
A review of the West Basin project is approaching completion. The review will confirm the planning principles and economic analysis that underpin the redevelopment of the precinct and will be presented to Government for consideration. Over the year, the Authority also finalised the stage two design for the extension of the West Basin boardwalk, which will support the future works approval application to the National Capital Authority and construction of stage two.
City Bus Interchange
Planning commenced to investigate longer term opportunities to integrate a revitalised transport interchange as part of catalytic renewal in Civic.
Sydney and Melbourne Buildings
A strategy for the revitalisation of the heritage listed Sydney and Melbourne Buildings and surrounding public realm was completed over the year. An accompanying implementation plan outlining various options is undergoing final development before being brought to Government for consideration in 2019-20.
Northbourne Avenue
The formulation of design guidelines and standards was completed over the year that will ensure the quality of the built environment along Northbourne Avenue is befitting the primary gateway to the national capital.
2019-20 Budget Statements 68 City Renewal Authority
Dickson Group Centre
Through the preparation and publication of the Dickson Place Plan, a number of opportunities for future development and renewal in the Dickson Group Centre have been identified. These opportunities have been included in the City Precinct Renewal Program business case and include a package of public realm works and events and activations with an early focus on Challis and Woolley Streets.
Braddon Village
Through the development and publication of the Braddon Place Plan, a number of opportunities for future development and renewal have been identified. These opportunities have also been included in the City Precinct Renewal Program business case and include a package of public realm works and events and activations with an early focus on Lonsdale Street.
Civic, Arts and Cultural Precinct
Planning and design work commenced on phase 1 of a new Civic, Arts and Cultural Precinct. A number of land use scenarios and public realm options have been explored which will inform concurrent work on the development of a business case for a new Canberra Theatre.
City and Gateway Urban Design Framework
The Authority worked closely with the National Capital Authority and the Environment, Planning and Sustainable Development Directorate in the public release of the City and Gateway Urban Design Framework.
City Activation
The Authority delivered a comprehensive program of place making and activation for the public spaces of the City Renewal Precinct, and partnered with local businesses and the creative sector to strengthen the cultural capital of the city centre.
2019-20 Budget Statements 69 City Renewal Authority
Changes to Appropriation
Table 5: Changes to appropriation – Controlled Recurrent Payments
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
2018-19 Budget 8,013 7,980 620 633 633
FMA Section 16B Rollovers from 2017-18Building a better city- City Renewal Authority - Initial
works package119 0 0 0 0
Building a better city- City Renewal Authority - Operational funding
667 0 0 0 0
2018-19 Budget Review Policy DecisionsMore jobs for our growing city - City Renewal
Authority activations and place making 600 0 0 0 0
2019-20 Budget Policy AdjustmentsRenewing Canberra's city heart 0 1,250 1,250 1,250 1,250
2019-20 Budget Technical AdjustmentsRevised Indexation Parameters 0 0 0 0 146Revised Superannuation Parameters 0 242 285 293 309More jobs for our growing city - City Renewal
Authority activations and place making -158 158 0 0 0
More jobs for our growing city - City Renewal Authority activations and place making -100 100 0 0 0
Transfer- City Centre Marketing and Improvements Levy- from EPSDD 0 1,984 1,987 1,990 1,991
Workers’ Compensation Savings 0 -7 -7 -7 -7Microsoft User Licensing Expansion 0 4 4 4 4
2019-20 Budget 9,141 11,711 4,139 4,163 4,326
2019-20 Budget Statements 70 City Renewal Authority
Table 6: Changes to appropriation – Capital Injections
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
2018-19 Budget 18,118 22,508 5,888 0 0
FMA Section 16B Rollovers from 2017-18Building a better city - City Renewal Authority - Canberra's
Lakeside824 0 0 0 0
Building a better city - West Basin Infrastructure 507 0 0 0 0Urban Renewal Program - Civic and Braddon Public Realm
Improvements 171 0 0 0 0
Building a better city - West Basin Public Waterfront 60 0 0 0 0Building a better city - City Renewal Authority - Initial
works package -96 0 0 0 0
Building a better city - City Renewal Authority - City Precinct Improvements 1,239 0 0 0 0
2018-19 Budget Review Policy AdjustmentsTransfer - More jobs for our growing city - City Renewal
Precinct activation projects 850 0 0 0 0
Transfer - Building a better city - City Renewal Authority - Canberra's Lakeside -1,450 0 0 0 0
2019-20 Budget Policy AdjustmentsRenewing Canberra's city heart 0 5,000 5,850 6,150 4,160
2019-20 Budget Technical Adjustments
Revised Funding Profile - Building a Better City - City Renewal Authority - Initial Works Package -306 306 0 0 0
Revised Funding Profile- Building a better city - City Renewal Authority - City Precinct Improvements -3,152 3,152 0 0 0
Revised Funding Profile- Building a better city - West Basin Infrastructure -98 98 0 0 0
Revised Funding Profile- Building a better city - Canberra's lakeside -8,677 -10,500 9,152 10,025 0
Revised Funding Profile- More jobs for our growing city - City Renewal Precinct activation projects -2,000 2,000 0 0 0
Revised Funding Profile- Building a better city - West Basin Public Waterfront -33 33 0 0 0
Revised Funding Profile- More jobs for our growing city - City Renewal Precinct activation projects -405 405 0 0 0
Revised Funding Profile- More jobs for our growing city - City Renewal Precinct activation projects
-281 281 0 0 0
Revised Funding Profile- More jobs for our growing city - City Renewal Precinct design framework and activation -848 848 0 0 0
Revised Funding Profile- More jobs for our growing city - City Renewal Precinct activation projects -13 13 0 0 0
2019-20 Budget 4,410 24,144 20,890 16,175 4,160
2019-20 Budget Statements 71 City Renewal Authority
Monitoring and ReportingThe Authority will meet its reporting requirements as described below.
Monthly Reporting
To meet whole of government reporting requirements on a monthly basis, the Authority will ensure the timely availability of the financial statements to the Treasurer through the Chief Minister, Treasury and Economic Development Directorate (CMTEDD). The statements will be in the prescribed form and required detail, for the previous calendar month. These will be provided by the due dates set by Treasury. The statements include:
Operating Statement;
Balance Sheet; and
Cash Flow Statement.
Quarterly Reporting
As required by the Government Agencies (Land Acquisition Reporting) Act 2018, the Authority will provide to the responsible Minister, after the end of a quarter, a report which details any land acquisition by the Authority, or a statement to the effect that no land was acquired by the Authority, during the quarter.
Annual Reporting
To comply with the Financial Management Act 1996 and to enable whole of government reporting requirements to be met, the Authority will provide the following information to the Auditor-General and CMTEDD by the dates set by Treasury:
certified financial statements;
Statement of Performance;
management discussion and analysis;
a full and accurate set of audited financial records for the preceding financial year in the form requested; and
consolidation packs relating to the annual financial statements, draft and final.
As required by Section 14 of the Act, the Authority will prepare an annual report under the Annual Reports (Government Agencies) Act 2004, including:
any Statement of Expectations and Statement of Operational Intent in effect during the reporting year;
a report on the extent to which the Statement of Operational Intent in effect during the reporting year was met during the reporting year; and
if the Statement of Operational Intent was not met in whole or in part during the reporting year, give reasons why the Statement of Operational Intent was not met.
2019-20 Budget Statements 72 City Renewal Authority
Ministerial and Directorate Reporting
The Authority will provide timely, accurate and coordinated advice to Government, including the Minister, on significant issues in its core area of business, including (but not limited to):
matters for which the Government is likely to be accountable in the Legislative Assembly;
important operational or budgetary issues, including management of its responsibilities under the Work Health and Safety Act 2011;
the Authority’s achievement of set housing targets;
matters related to its internal governance, including compliance with the Government’s framework for management of risk; and
decisions made by the Authority’s Board.
2019-20 Budget Statements 73 City Renewal Authority
Financial arrangementsBudgeted financial statements for the 2019-20 Budget year, as well as forward estimates for the three financial years appear below. These general purpose financial statements, have been prepared in accordance with the ACT’s Model Financial Statements and include:
a) Operating Statement.
b) Balance Sheet.
c) Statement of Changes in Equity.
d) Cash Flow Statement.
2019-20 Budget Statements 74 City Renewal Authority
Financial Statements
Table 7: City Renewal Authority: Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var%
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Income
Revenue8,013 Controlled Recurrent
Payments9,141 11,711 28 4,139 4,163 4,326
0 Land Revenue 2,762 14,130 412 20,754 23,436 063 User Charges 63 63 - 0 0 0
222 Interest 222 265 19 185 144 1911,792 Resources Received Free of
Charge1,792 1,821 2 1,850 1,872 1,894
1,967 Other Revenue 1,966 0 -100 0 0 0
12,057 Total Revenue 15,946 27,990 76 26,928 29,615 6,411
Expenses 3,996 Employee Expenses 4,005 4,718 18 4,809 4,917 4,972
488 Superannuation Expenses 488 801 64 860 882 9146,921 Supplies and Services 8,711 8,346 -4 8,482 8,693 7,194
622 Depreciation and Amortisation 26 57 119 116 515 904638 Grants and Purchased Services 892 267 -70 268 269 270750 Cost of Goods Sold 0 8,273 # 11,875 12,803 0
0 Interest Expenses 0 0 - 377 377 00 Other Expenses 0 0 - 482 482 0
13,415 Total Expenses 14,122 22,462 59 27,269 28,938 14,254
-1,358 Operating Result from Ordinary Activities
1,824 5,528 203 -341 677 -7,843
0 Income Tax Equivalent 547 1,659 203 0 203 0
-1,358 Operating Result 1,277 3,869 203 -341 474 -7,843
-1,358 Total Comprehensive Income 1,277 3,869 203 -341 474 -7,843
2019-20 Budget Statements 75 City Renewal Authority
Table 8: City Renewal Authority: Balance Sheet
Budgetat
30/6/19 $'000
2018-19 Estimated Outcome
$'000
Budgetat
30/6/20 $'000
Var%
Estimateat
30/6/21 $'000
Estimateat
30/6/22 $'000
Estimateat
30/6/23 $'000
Current Assets8,082 Cash and Cash Equivalents 11,497 13,269 15 6,392 12,007 5,000
11,626 Inventories 465 2,454 428 9,108 4,484 4,55322,100 Capital Works in Progress 24,212 46,800 93 67,690 65,504 62,376
41,808 Total Current Assets 36,174 62,523 73 83,190 81,995 71,929
Non Current Assets5,966 Inventories 11,155 11,155 - 11,155 11,155 11,155
19,373 Property, Plant and Equipment
994 2,490 151 2,375 20,221 26,605
25,339 Total Non Current Assets 12,149 13,645 12 13,530 31,376 37,760
67,147 TOTAL ASSETS 48,323 76,168 58 96,720 113,371 109,689
Current Liabilities626 Employee Benefits 830 821 -1 821 821 821159 Other Liabilities 1,391 1,232 -11 1,232 1,232 1,232
785 Total Current Liabilities 2,221 2,053 -8 2,053 2,053 2,053
Non Current Liabilities26 Employee Benefits 38 38 - 38 38 38
0 Deferred Tax Liability 2,820 2,820 - 2,820 2,820 2,820748 Other Liabilities 0 2,316 # 2,316 2,791 2,791
774 Total Non Current Liabilities 2,858 5,174 81 5,174 5,649 5,649
1,559 TOTAL LIABILITIES 5,079 7,227 42 7,227 7,702 7,702
65,588 NET ASSETS 43,244 68,941 59 89,493 105,669 101,987
REPRESENTED BY FUNDS EMPLOYED
65,588 Accumulated Funds 43,244 68,941 59 89,493 105,669 101,987
65,588 TOTAL FUNDS EMPLOYED 43,244 68,941 59 89,493 105,669 101,987
2019-20 Budget Statements 76 City Renewal Authority
Table 9: City Renewal Authority: Statement of Changes in Equity
Budgetat
30/6/19 $'000
2018-19 Estimated Outcome
$'000
Budgetat
30/6/20 $'000
Var%
Estimateat
30/6/21 $'000
Estimateat
30/6/22 $'000
Estimateat
30/6/23 $'000
Opening Equity
48,828 Opening Accumulated Funds 37,311 43,244 16 68,941 89,493 105,669
48,828 Balance at the Start of the Reporting Period
37,311 43,244 16 68,941 89,493 105,669
Comprehensive Income-1,358 Operating Result - Including
Economic Flows1,277 3,869 203 -341 474 -7,843
-1,358 Total Comprehensive Income
1,277 3,869 203 -341 474 -7,843
0 Total Movement in Reserves 0 0 - 0 0 0
Transactions Involving Owners Affecting Accumulated Funds18,118 Capital Injections 4,410 24,144 447 20,890 16,175 4,160
0 Dividend Approved 246 -2,316 # 3 -473 1
18,118 Total Transactions Involving Owners Affecting Accumulated Funds
4,656 21,828 369 20,893 15,702 4,161
Closing Equity65,588 Closing Accumulated Funds 43,244 68,941 59 89,493 105,669 101,987
65,588 Balance at the end of the Reporting Period
43,244 68,941 59 89,493 105,669 101,987
2019-20 Budget Statements 77 City Renewal Authority
Table 10: City Renewal Authority: Cash Flow Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var %
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
CASH FLOWS FROM OPERATING ACTIVITIESReceipts
8,013 Controlled Recurrent Payments
9,141 11,711 28 4,139 4,163 4,326
63 User Charges 71 63 -11 0 0 0222 Interest Received 222 265 19 185 144 191
0 Land Sales 2,762 13,971 406 20,754 23,436 01,967 Other 2,211 0 -11 0 0 0
10,265 Operating Receipts 14,407 26,010 81 25,078 27,743 4,517
Payments4,004 Employee 4,048 4,727 17 4,809 4,917 4,972
490 Superannuation 490 801 63 860 882 9145,129 Supplies and Services 7,780 6,525 -16 6,633 6,821 5,301
638 Grants and Purchased Services
892 267 -70 268 269 270
0 Interest Expenses 0 0 - 377 377 00 Income Tax Equivalent
Payments1,329 1,658 25 0 204 0
1,890 Related to Cost of Goods Sold 465 10,263 # 18,528 8,178 700 Other 37 0 -100 482 482 0
12,151 Operating Payments 15,041 24,241 61 31,957 22,130 11,527
-1,886 NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES
-634 1,769 379 -6,879 5,613 -7,010
CASH FLOWS FROM INVESTING ACTIVITIESReceipts
Payments18,100 Purchase of Property, Plant
and Equipment4,395 24,141 449 20,888 16,173 4,157
18,100 Investing Payments 4,395 24,141 449 20,888 16,173 4,157
-18,100 NET CASH INFLOW/(OUTFLOW) FROM INVESTING ACTIVITIES
-4,395 -24,141 -449 -20,888 -16,173 -4,157
2019-20 Budget Statements 78 City Renewal Authority
Table 10: City Renewal Authority: Cash Flow Statement (continued)
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var %
2020-21 Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
CASH FLOWS FROM FINANCING ACTIVITIESReceipts
18,118 Capital Injections 4,410 24,144 447 20,890 16,175 4,16018,118 Financing Receipts 4,410 24,144 447 20,890 16,175 4,160
Payments0 Distributions to Government 983 0 -100 0 0 00 Financing Payments 983 0 -100 0 0 0
18,118 NET CASH INFLOW/(OUTFLOW) FROM FINANCING ACTIVITIES
3,427 24,144 605 20,890 16,175 4,160
-1,868 NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS
-1,602 1,772 211 -6,877 5,615 -7,007
9,950 CASH AT THE BEGINNING OF REPORTING PERIOD
13,099 11,497 -12 13,269 6,392 12,007
8,082 CASH AT THE END OF REPORTING PERIOD
11,497 13,269 15 6,392 12,007 5,000
2019-20 Budget Statements 79 City Renewal Authority
Notes to the Controlled Budget Statements
Significant variations are as follows:
Operating Statement
controlled recurrent payments:
- the increase of $1.128 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominately associated with the rollover of 2017-18 prior year controlled recurrent funding ($0.786 million) and spending on the City Renewal Precinct design framework and activation initiative which was funded in the 2018-19 Budget Review ($0.600 million).
- the increase of $2.570 million in the 2019-20 Budget from the 2018-19 estimated outcome is predominantly related to the City Centre Marketing and Improvements Levy which will be directly appropriated from the 2019-20 financial year rather than being received as other revenues from the Environment, Planning and Sustainable Development Directorate.
land revenue:
- the increase of $2.762 million in the 2018-19 estimated outcome from the 2018-19 Budget is due to additional land sales revenue from the sale of a city block which was not forecast in the 2018-19 Budget.
- the increase of $11.368 million in the 2019-20 Budget from the 2018-19 estimated outcome is associated with additional land sales expected to occur in the city during the 2019-20 financial year.
other revenue:
- the decrease of $1.966 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to the City Centre Marketing and Improvements Levy being directed appropriated from the 2019-20 financial year rather than being received as other revenues from the Environment, Planning and Sustainable Development Directorate.
supplies and services:
- the increase of $1.790 million in the 2018-19 estimated outcome from the 2018-19 Budget is due primarily to the rollover of 2017-18 prior year controlled recurrent funding ($0.786 million) and spending on the City Renewal Precinct design framework and activation initiative which was funded in the 2018-19 Budget Review ($0.342 million). Further a reclassification of expenditure occurred during the year ($0.750 million) from costs of goods sold to supplies and services to reflect the nature of the transactions.
cost of goods sold:
2019-20 Budget Statements 80 City Renewal Authority
- the increase of $8.273 million in the 2019-20 Budget from the 2018-19 estimated outcome is associated with the recognition of land and development costs upon settlement of additional land sales expected to occur in the city during the 2019-20 financial year.
Balance Sheet
cash and cash equivalents:
- the increase of $3.415 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to an increase in land sales revenue associated with the sale of a city block which was not forecast in the 2018-19 Budget.
- the increase of $1.772 million in the 2019-20 Budget from the 2018-19 estimated outcome is associated with additional land sales expected to occur in the city during the 2019-20 financial year offset by increased land development costs anticipated to be incurred.
current and non-current inventories:
- the decrease of $5.972 million in the 2018-19 estimated outcome from the 2018-19 Budget is due to lower inventory balances transferred to the Authority from the former Land Development Agency as recognised in the 2017-18 financial statements.
- the increase of $1.989 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to land development costs for future city releases expected to be incurred during the year.
current capital works in progress:
- the increase of $2.112 million in the 2018-19 estimated outcome from the 2018-19 Budget is largely due to a delay in capital works being completed and recognised as property, plant and equipment ($18.714 million). This is predominantly related to the City Renewal Authority - Canberra's lakeside initiative which has been delayed pending an agreement to the transfer of National land and the City Renewal Precinct activation projects initiative which has been impacted by delays in required utilities works. This is partially offset by decreased capital works expenditure during the 2018-19 financial year with funding reprofiled to later years ($15.813 million).
- the increase of $22.588 million in the 2019-20 Budget from the 2018-19 estimated outcome is predominately associated with the funding reprofiled from the 2018-19 financial year. In addition, this increase can be attributed to spending on the Renewing Canberra’s city heart ($5.000 million) initiative in the 2019-20 financial year.
property, plant and equipment:
2019-20 Budget Statements 81 City Renewal Authority
- the decrease of $18.379 million in the 2018-19 estimated outcome from the 2018-19 Budget is primarily due to a delay in capital works being completed and recognised as property, plant and equipment. This is predominantly attributable to West Basin Stage 1 ($17.030 million) which is not yet financially complete.
- the increase of $1.496 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to the capitalisation of capital works in progress balances.
other current liabilities:
- the increase of $1.232 million in the 2018-19 estimated outcome from the 2018-19 Budget is associated with the deferred recognition of revenue received in advance related to the City Centre Marketing and Improvements Levy in the 2017-18 year.
other non-current liabilities:
- the increase of $2.316 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to recognition of a dividend payable to the Territory in the 2019-20 financial year.
deferred tax liability:
- the increase of $2.820 million in the 2018-19 estimated outcome from the 2018-19 Budget is due to the recognition of a deferred tax liability arising from assets transferred from the former Land Development Agency which had not been envisaged when the 2018-19 Budget was prepared.
Statement of Changes in Equity and Cash Flow Statement
Variations in the Statements are explained in the notes above.
2019-20 Budget Statements 82 City Renewal Authority
SUBURBAN LAND AGENCY – STATEMENT OF INTENT
The Suburban Land Agency (the Agency) is a Territory Authority established under the City Renewal Authority and Suburban Land Agency Act 2017.
This Statement of Intent for 2019-20 has been prepared in accordance with Section 61 of the Financial Management Act 1996.
The responsible Ministers, Ms Yvette Berry MLA and Ms Rachel Stephen-Smith MLA, were consulted during the preparation of the Statement of Intent.
The Statement of Intent, which focuses on the 2019-20 Budget year has been developed in the context of a four-year horizon. This is to be incorporated, as far as practicable, into the Agency’s strategic and business planning processes.
The Suburban Land Agency 2019-20 Statement of Intent has been agreed between:
_________________________________
Mr John Fitzgerald Ms Yvette Berry MLAChairSuburban Land Agency Board
Minister for Housing and Suburban Development
29 May 2019 29 May 2019
Mr Andrew Barr MLATreasurer29 May 2019
2019-20 Budget Statements 83 Suburban Land Agency
SUBURBAN LAND AGENCY
PurposeThe Agency is a Territory Authority established under the City Renewal Authority and Suburban Land Agency Act 2017. Its purpose is to deliver the ACT Government’s desired suburban land development.
Its vision is to deliver:
‘Great places where communities thrive’
Its objectives are to:
1) encourage and promote:
a) inclusive communities by delivering people-focussed neighbourhoods;
b) suburban development and urban renewal, other than in the City Renewal Precinct, that supports:
i) affordable living;
ii) a safe and healthy population;
iii) social inclusion;
iv) housing choice;
v) environmental sustainability;
c) growth and diversification of the Territory’s economy; and
2) operate effectively to deliver value for money using sound risk management practices.
Nature and Scope of Activities
The Agency develops and releases government-owned land for residential, commercial, industrial and community purposes.
The Agency:
buys and sells land leases on behalf of the Territory;
ensures a mixture of public and private housing in new suburbs;
increases the supply of affordable and community housing;
meets housing targets;
develops land in an environmentally sustainable way;
operates in ways that support statutory greenhouse gas emissions targets; and
follows and supports whole of government strategies.
2019-20 Budget Statements 84 Suburban Land Agency
The Agency works closely with other entities to encourage cohesive suburban development. By acting in a trustworthy, responsible and professional way, the Agency will:
work efficiently and provide agreed returns to the Territory;
consider the long-term sustainability of the Territory in all key commercial decisions on greenfield land in the ACT;
encourage and support innovation to build a city for the future with a focus on transport, water supply, sustainable environments, connectivity and energy efficiency;
deliver the ACT Government’s Indicative Land Release Program (see Table 4); and
engage with communities clearly, transparently, honestly and professionally about the land development process and projects.
The Agency carefully balances public and private sector priorities and is building strong and mutually beneficial relationships across both sectors.
Government’s Expectations
On 19 April 2018 the Minister for Housing and Suburban Development wrote to the Agency to reaffirm the Government’s expectations detailed in the previous advice of 25 August 2017, and to update the expectations.
The updated advice emphasised:
improving information management and governance;
actively participating in and contributing to land and housing planning;
assisting others with the Agency’s experience and knowledge; and
ensuring the Agency embodies the Government’s commitment to true gender equality.
On 5 February 2019 the Minister for Urban Renewal outlined what the Government expects of the Agency under the City Renewal Authority and Suburban Land Agency Act 2017 relating to urban renewal and major land and property project facilitation. The Minister reiterated the expectations set out by the Minister for Housing and Suburban Development and provided the Agency with additional principles to inform decisions on urban renewal, including:
design-led building quality to promote connectivity and active living;
high-quality public amenity;
land release that achieves positive environmental and social outcomes; and
community engagement and consideration regarding renewal sites and their place in the fabric of their neighbourhoods and communities.
2019-20 Budget Statements 85 Suburban Land Agency
ACT Government and Other Planning Strategies
The ACT Government’s policies and plans include the delivery of a city that is:
more compact, sustainable, and environmentally responsible (the ACT Government is aiming to achieve net zero emissions by 2045);
more inclusive and vibrant;
better connected and more accessible and liveable; and
more resilient and prosperous.
In its role in developing new communities, the Agency will recognise and respond to community’s desires for:
compact and sustainable neighbourhoods;
effective collaboration between public and private sectors;
better housing choice and affordability;
improved quality of urban design in public spaces; and
showcasing sustainability and quality design in new developments and precincts.
The Agency complies with ACT Government and Commonwealth legislation, codes and policies in its operations and land development activities. This includes but is not limited to the:
Planning and Development Act 2007 and the City Renewal Authority and Suburban Land Agency Act 2017;
ACT Housing Strategy and housing targets set in accordance with the City Renewal Authority and Suburban Land Agency Act 2017;
Territory Plan including Structure Plans, Concept Plans or Precinct Codes and other associated codes such as the Estate Development Code;
Municipal Infrastructure Standards as prepared by the Transport Canberra and City Services Directorate;
ACT Planning Strategy 2018 and Statement of Planning Intent 2015;
ACT Waste Management Strategy 2011-2025 and Waste Management and Resource Recovery Act 2016;
Climate Change Strategy to 2025, Canberra’s Living Infrastructure Plan and the Climate Change and Greenhouse Gas Reduction Act 2010;
draft Moving Canberra: Integrated Transport Strategy and Active Travel Framework;
ACT Water Strategy 2014-44: Striking the Balance; and
Nature Conservation Strategy 2013-2023; Environmental Protection Act 1997; Heritage Act 2004 and Environment Protection and Biodiversity Conservation Act 1999 (Cwth).
2019-20 Budget Statements 86 Suburban Land Agency
Land Supply
The ACT Government updates and publishes the Indicative Land Release Program (the ILRP) each year, which gives guidance on how the ACT Government intends to release land. The ILRP is an important part of the ACT Government’s economic, social and environmental strategic planning framework.
The Agency was consulted in the development of the 2019-20 to 2022-23 ILRP.
The ILRP includes residential, commercial, industrial and community releases. It aims to meet market needs by providing a range of land choices that allow for a variety of housing types and community and mixed use developments.
The ILRP provides important information to a variety of people and organisations such as property developers, builders, homeowners, investors, community organisations and the broader business and industry sectors.
The Agency is responsible for managing the release of land for residential, commercial, industrial and community purposes specified under the ILRP through:
releasing serviced sites from its own greenfield estates, urban renewal and infill locations;
partnering with others in joint venture developments;
releasing large areas of raw land directly to the private sector (Englobo releases); and
giving feedback to the Environment, Planning and Sustainable Development Directorate on the delivery of the ILRP, including any suggested refinements.
Risks
The Agency maintains a risk register that identifies risks under the following categories:
Strategic – ACT and Commonwealth Government policies, priorities and strategies; external conditions, activities and environments; and meeting community and Government expectations.
Operational – Management of financial and non-financial targets; business and financial systems and processes; organisational and workforce planning; projects and land development; and effective governance.
Fraud and Corruption – Management of information including procedures, procurement, resources and contracts, and compliant records management.
Work Health and Safety (WHS) – Through active engagement and a WHS framework the Agency manages risks to staff, contractors and visitors.
Risk registers for Agency functions and activities are maintained with a fit-for-purpose monitoring and review program that oversees activities.
The Agency is currently experiencing a challenging housing market with demand for product easing and competition to sell product increasing. The Agency, including its Governing Board, continues to work with the Government to find innovative solutions to this emerging risk.
2019-20 Budget Statements 87 Suburban Land Agency
The risk priorities, as defined in the Board-approved Suburban Land Agency Risk Appetite Statement, are:
Nil Appetite
Safety – Ensuring WHS risk is identified, managed and actively monitored.
Fraud and Corruption – Fraudulent or corrupt behaviour or activities, including the inappropriate use of assets and resources, are managed in accordance with the Fraud and Corruption Plan.
Environmental and Heritage Impact – Agency decisions will consider long-term environmental impact. Appropriate measures will be implemented to manage activities that can interfere with or damage cultural and heritage artefacts or events.
ICT Security, Privacy and Security – The Agency will actively engage with appropriate areas of government to maintain the security of information it holds.
Regulatory or Legislative Breaches and Probity – All areas will continue to comply with regulatory or legislative obligations. This includes operating in a fair, open and transparent manner in all activities, including procurement.
The Agency has an appetite for
Sustainability – Establishing the Agency as a leader in delivering long-term sustainable projects by considering social, environmental and economic impacts of its activities.
Productive Stakeholder Engagement – Establishing relationships and formal partnerships with relevant internal and external stakeholders (including government, industry and the community) in collaborative, purposeful, timely, accountable and inclusive ways.
Establishing a Performance Culture – Ensuring empowered and accountable staff combine with innovation to drive the Agency’s activities.
Design Excellence – Seeking to lead industry innovation through design excellence.
Affordability – Making Agency products more affordable through innovative financial options.
Government Policy – Continuing to actively support government policy in all its dealings.
2019-20 Budget Statements 88 Suburban Land Agency
Priorities and Strategies for 2019-20 to 2022-23
The Agency’s Strategic Priorities identified in its first two years have been matured. To meet its obligations to the Canberra community the Agency has identified three major priorities for 2019-20:
Innovation – The Agency will collaborate with industry to showcase the future in environmental and sustainable urban design.
Customer Focus – The Agency will increase value to its customers by targeting their specific needs and being more responsive.
Government Partnerships – The Agency will engage with its government partners to support whole of government strategies and influence the important decisions that affect its business.
The Suburban Land Agency Strategy Map (Figure 1) defines the operating environment, key drivers and strategic framework. A Balanced Scorecard approach to managing outcomes against these priorities has been adopted. It measures activities across key focus areas:
Financial Customers and Stakeholders Internal Business Processes People, Learning and Growth
Figure 1: Suburban Land Agency Strategy Map
2019-20 Budget Statements 89 Suburban Land Agency
The Balanced Scorecard identifies lead and lag measures. These are designed to assess performance against the objectives and priorities established by Government, the Agency’s Board and Executive, and the ILRP.
This approach is an improvement on the 2018-19 Statement of Intent and builds upon the Agency’s achievements and successes since it began on 1 July 2017.
Key land developments for 2019-20 to 2022-23 include:
a) Ginninderry – Continue to deliver construction work providing an innovative housing affordability model.
b) Molonglo – Deliver the suburb of Whitlam and release further commercial land.
c) Gungahlin – Continue development and release of land in Taylor and Jacka and release commercial land in the Gungahlin Town Centre.
d) Industrial – Continue to release land to meet market demand, including the Hume region.
e) Urban – Development and release of sites including Kingston, Belconnen and Phillip.
Estimated Employment Level and Employment Profile
Table 1: Estimated Employment Level
2018-19Budget
2018-19EstimatedOutcome
2019-20Budget
Staffing (FTE) 92 91 121
Table 2: 2019-20 Employment Profile
Classification Female Male Unfilled TotalAdministrative Services Officer 13 7 15 35Executive 1 4 1 6Government Solicitor 0 0 1 1Infrastructure Manager/Specialist 1 6 3 10Infrastructure Officer 5 17 1 23Senior Officer 16 12 18 46
Total 36 46 39 121
Notes:
1. As at the end of March 2019, against the 2019-20 budgeted FTE of 121, there were 82 staff employed. The remaining 39 are made up of vacancies against the 2018-19 budgeted establishment and new positions created in the 2019-20 budget.
2. The increase in budget FTE for 2019-20 includes new positions for identified capability gaps, project delivery and new functions from 1 July 2019 in Community Development and Engagement, Project Support, Strategic and Corporate, Sales and Marketing, Sustainability and Affordable Housing.
2019-20 Budget Statements 90 Suburban Land Agency
Key Performance Indicators for 2019-20 to 2022-23
Financial Measures
The following table outlines the Agency’s performance measures for profitability and financial stability.
Table 3: Financial Measures
2018-19 Estimated Outcome
2019-20 Budget
2020-21 Estimate
2021-22 Estimate
2022-23 Estimate
Land Revenue (million) $544 $434 $469 $682 $698Total Return to Government (million)1 $390 $274 $255 $294 $268Return on Assets (%)2 47.4 35.1 31.2 41.0 50.7Gross Profit Margin on Land Sales (%)3, 6, 7 78.4 66.4 58.0 46.3 54.4Net Profit Margin (%)4 & 6 33.5 37.1 32.5 26.4 24.7Inventory Turnover (%)5 34.8 34.8 36.2 69.9 83.1
Notes:
1. Total return to government = operating result before tax + payments for land acquisitions + payroll tax + stamp duty equivalents + interest expenses + capital distributions.
2. Return on assets = (operating result before tax + interest expenses) / average total assets for period.
3. Gross profit margin on land sales = (land sales - cost of land sold including duty) / land sales.
4. Net profit margin = operating result / total revenue.
5. Inventory turnover = cost of land sold / average inventory.
The high inventory turnover in 2021-22 and 2022-23 is due to high cost of land sold, as the majority of settlements in these years are greenfield sites which require more construction work.
6. The profit margins of the Suburban Land Agency are used for internal purposes to provide comparatives across projects and time periods. These margins are not comparable with private industry, noting that the Government, through the Suburban Land Agency, enters into the land development process at an earlier stage than a private developer. Additionally, the Government invests in infrastructure within and around its developments with the cost incurred by other Government agencies and therefore not reflected in the Suburban Land Agency’s profit margins.
7. The higher profit margins in 2018-19 and 2019-20 are affected by the accounting treatment of Asset Recycling Initiative (ARI) land – the cost of ARI land is expensed at the time it is transferred to the Suburban Land Agency, and is therefore not considered when calculating gross profit. If adjusted, the gross profit margin in 2018-19 and 2019-20 would be 56.3% and 54.5%, and the net profit margins would be 34.2% and 25.5% respectively.
2019-20 Budget Statements 91 Suburban Land Agency
Non-Financial Measures
The Agency’s non-financial performance will be measured by assessing:
achievement against the targets for the release of residential, commercial, industrial and community land specified in the Government’s ILRP for 2019-20 (see Table 4); and
performance against the targets in Table 5.
Table 4: Key Performance Indicators (non-financial) – Land Release
Indicative Land Release Program – Suburban Land Agency sites1
Release Type 2019-20 Target
a. Residential 3,090 dwellings
b. Mixed Use 58,072 m2
c. Commercial 21,209 m2
d. Industrial 20,000 m2
e. Community 67,838 m2
Affordable Housing Land Release Type (included in above totals)Affordable Purchase and Land Rent 428 dwellings
Public Housing 75 dwellings
Community Housing 55 dwellings
Note:1. The full ILRP is available at https://www.planning.act.gov.au/topics/land-release.
2019-20 Budget Statements 92 Suburban Land Agency
Table 5: Key Performance Indicators (non-financial) – non-Land Release
Indicator2019-20 Target
1 Work Health and Safety (Active Certification) audits completed 35
2 Enter into strategic partnerships for service delivery 2
3 Social media (Facebook) total monthly post engagement 10% increase on 2018-19
4 Annual unique users visiting the Agency website 10% increase on 2018-19
5 Total annual Agency email subscribers 5% increase on 2018-19
6 Develop an Innovation Framework to be considered by the Board for approval
1
7 Develop a framework for tree canopy cover for future Agency developments, to be considered by the Board for approval
1
8 Deliver at least one resident-led activity in each active suburb as part of the Suburban Land Agency Mingle Program
6
9 Agency staff employed at 30 April 2020 have approved Performance and Development Plans in place
90%
10 Agency staff1 have completed Fraud and Ethics Training by 30 June 2020
70%
11 Agency staff1 have completed Work Health and Safety Training by 30 June 2020
70%
12 Offer Respect, Equity and Diversity Training to all staff 4 courses made available to Agency staff
1 Agency staff employed as at 1 January 2020
2019-20 Budget Statements 93 Suburban Land Agency
Assessment of Performance Against 2018-19 Objectives
Culture
1) Strengthen a positive culture in the Agency through education, better communication and actively responding to concerns.
2) Ensure awareness throughout the Agency of the 2018 Staff Survey outcomes and action plan, and undertake a staff satisfaction survey in 2019.
3) Improve and implement risk and WHS frameworks.
4) Promote diversity within the Agency workplace, which may include partnering with local universities and reviewing employment advertising strategies.
5) Finalise a Strategic Human Resources Plan for the Agency.
Assessment
The Agency’s Board (including through its Committees) and Executive have actively engaged with staff to further embed a positive culture throughout the organisation. This has been achieved with regular engagement, an organisational restructure and open and transparent communication with all staff. The Executive has demonstrated its commitment to improved communication and recognition with a number of activities including all staff meetings, all staff emails reiterating expectations and awards recognising outstanding performance.
During 2018-19 the Board approved the Suburban Land Agency Risk Appetite Statement, risk registers and reporting processes. The Board approved various frameworks, policies and procedures, including incident reporting processes, and made them available to staff.
The Board also endorsed the Suburban Land Agency Diversity Action Plan and key initiatives were implemented.
The Agency remains committed to engaging with the Environment, Planning and Sustainable Development Directorate to deliver a number of initiatives to benefit staff. One example is the development of a Strategic Human Resources Plan, scheduled for finalisation in 2019.
Business Improvement
6) Work with other areas of the ACT Government to improve whole of life urban infrastructure outcomes within the Agency’s estates and developments.
7) Collaborate and co-operate with other ACT and Commonwealth Government agencies to deliver and advise the ACT Government on key government priorities. This includes land development, future areas of growth, housing, renewal, affordable housing, property market conditions and building effective communities.
Assessment
The Agency has developed strong working relationships with other agencies to improve long-term infrastructure outcomes and deliver government priorities. For example, the Agency is represented on various working groups that also involve the Environment, Planning and Sustainable Development Directorate and the Transport Canberra and City Services Directorate. These working groups cover climate change, stormwater, active travel, housing and land release. A series of presentations and discussion sessions has been organised to support information sharing and collaboration between agencies.
2019-20 Budget Statements 94 Suburban Land Agency
Community Needs
8) Establish capabilities to help enhance outcomes in community needs, inclusive communities and diversity.
9) Engage and build strategic relationships with local communities, industry associations, special interest groups and the broader ACT community to ensure relevant interests are identified.
10) Increase opportunities to improve participation in Agency engagement activities.
11) Deliver community building and development programs to encourage residents to get involved and connect more with their local communities.
12) Share the learnings of the Mingle program within the ACT Government and with other interested parties.
Assessment
The Mingle Program has continued to deliver community development programs through a range of community initiatives delivered in Moncrieff, Wright, Coombs, Throsby and Lawson. This includes both Mingle-led and community-led activities, partnerships, grants, mentoring and events.
The Mingle program has a strong focus on building inclusive communities. It does this by actively engaging and connecting with a diverse mix of residents. A number of ACT Government partnerships have also been established in the areas of sustainability and education.
Affordable Living
13) Review Government initiatives and industry exemplar projects to determine the best approach for industry partnering, particularly for affordable living and climate adaptation.
14) Identify opportunities within the Indicative Land Release Program and with industry partners to create affordable housing and climate adaptation demonstration projects.
15) Facilitate and support the delivery of affordable housing including community and public housing.
Assessment
The Agency has focussed on delivering the housing targets through the framework established under the City Renewal Authority and Suburban Land Agency Act 2017. This includes working closely with the Environment, Planning and Sustainable Development Directorate to implement the ACT Government’s Affordable Home Purchase Initiative. The Agency is also working to identify demonstration opportunities, such as display homes or display villages. Furthermore, it has collaborated with other government land organisations to understand government initiatives and exemplar projects in jurisdictions around Australia.
2019-20 Budget Statements 95 Suburban Land Agency
Climate Adaptation
16) New Agency greenfield estates (>500 single residential dwellings) exhibit and promote initiatives focussed on biodiversity, energy efficiency and sustainability.
17) Bushfire Management Plans will be implemented and monitored as part of the Estate Development Planning process.
Assessment
The Agency has continued to focus on sustainability in developing new communities. This includes water sensitive urban design, active travel, incorporation of living infrastructure and running community events and activities to encourage and support sustainable living. The Agency is developing new initiatives focussed on improving tree canopy cover and active travel, improving community understanding of climate-wise buildings and gardens, and increasing renewable energy use.
Monitoring and Reporting
The Agency will report against the requirements of this Statement of Intent as well as the Chief Minister’s Annual Report Directions in the Suburban Land Agency Annual Report.
The Financial Management Act 1996 allows the Treasurer to receive financial and other statements from the Suburban Land Agency for a specific period. This includes annual and monthly reporting.
Monthly Reporting
The Agency will meet whole of government monthly reporting requirements by ensuring the timely availability of financial statements to the Treasurer through the Chief Minister, Treasury and Economic Development Directorate. The statements will be in the below prescribed form and required detail, for the previous calendar month. These will be provided by the due dates set by Treasury.
a) Statement of Comprehensive Income;
b) Balance Sheet; and
c) Cash Flow Statement.
Annual Reporting
To comply with the Financial Management Act 1996 and to enable whole of government reporting requirements to be met, the Agency will provide the following information to the Auditor-General and Chief Minister, Treasury and Economic Development Directorate by the dates set by Treasury:
a) Certified Financial Statements;
b) Statement of Performance;
c) Management Discussion and Analysis;
d) a full and accurate set of audited financial records for the preceding financial year in the form requested; and
e) consolidation packs relating to the annual financial statements – draft and final.
2019-20 Budget Statements 96 Suburban Land Agency
Ministerial and Directorate Reporting
The Agency will provide timely, accurate and coordinated advice to Government, including the Minister, on its activities, responsibilities, significant issues and decisions of the Suburban Land Agency Board. This is in accordance with the City Renewal Authority and Suburban Land Agency Act 2017.
The Agency will provide a quarterly report to the Minister detailing:
a) its activities, initiatives or business operations undertaken in support of the objectives of the Agency contained in Section 38 of the City Renewal Authority and Suburban Land Agency Act 2017;
b) assurance statements that any sale of land leases was consistent with Section 38 of the City Renewal Authority and Suburban Land Agency Act 2017; and
c) land acquisitions in accordance with Section 63 of the City Renewal Authority and Suburban Land Agency Act 2017.
The Agency will also report annually to the Minister on its achievements and progress with regards to gender diversity and cultural improvement activities.
Financial ArrangementsThe Agency is a self-funded statutory authority which normally requires no supplementary funding from the ACT Government.
Joint Venture
The West Belconnen joint venture is a 60:40 agreement between Riverview Pty Limited and the ACT Government.
The West Belconnen joint arrangement was established on 23 November 2016. In the 2019-20 Budget statements, the West Belconnen joint arrangement is classified as a joint operation in accordance with the accounting standards. The assets, liabilities, revenues and expenses of the joint operation are proportionately consolidated with the Agency in the Statement of Comprehensive Income and the Balance Sheet.
For consistency, all references outside this section of the Statement of Intent will apply the original nomenclature of the West Belconnen joint venture.
2019-20 Budget Statements 97 Suburban Land Agency
Financial Statements
Table 6: Suburban Land Agency: Operating Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var 1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
Income
Revenue700,646 Land Revenue 544,134 434,076 -20 469,365 681,702 698,450
979 User Charges 984 803 -18 711 519 5322,745 Interest 3,570 1,280 -64 1,599 1,253 4508,626 Resources Received Free of
Charge8,626 8,765 2 8,905 9,129 9,129
274 Other Revenue 450 291 -35 274 274 274
713,270 Total Revenue 557,764 445,215 -20 480,854 692,877 708,835
Gains
0 Total Gains 0 0 - 0 0 0
713,270 Total Income 557,764 445,215 -20 480,854 692,877 708,835
Expenses 12,972 Employee Expenses 11,232 16,562 47 17,202 17,665 18,438
1,609 Superannuation Expenses 1,419 2,093 47 2,185 2,256 2,35440,355 Supplies and Services 34,687 41,692 20 38,490 43,089 39,350
143 Depreciation and Amortisation
149 685 360 932 146 144
153 Grants and Purchased Services
329 437 33 448 457 465
202,345 Cost of Land Sold 116,710 144,622 24 196,119 364,753 318,0812,662 Interest Expenses 1,450 1,959 35 1,194 1,693 983
124,839 Other Expenses 124,551 1,421 -99 1,307 1,228 78,662
385,078 Total Expenses 290,527 209,471 -28 257,877 431,287 458,477
328,192 Operating Result from Ordinary Activities
267,237 235,744 -12 222,977 261,590 250,358
98,458 Income Tax Equivalent 80,171 70,723 -12 66,893 78,476 75,107
229,734 Operating Result 187,066 165,021 -12 156,084 183,114 175,251
Other Comprehensive Income
Items that will not be Reclassified Subsequently to Profit or Loss0 Total Other Comprehensive
Income0 0 - 0 0 0
229,734 Total Comprehensive Income
187,066 165,021 -12 156,084 183,114 175,251
2019-20 Budget Statements 98 Suburban Land Agency
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
Table 7: Suburban Land Agency: Balance Sheet
Budgetat
30/6/19 $'000
2018-19 Estimated Outcome
$'000
Budgetat
30/6/20 $'000
Var 1
%Estimate
at30/6/21
$'000
Estimateat
30/6/22 $'000
Estimateat
30/6/23 $'000
Current Assets58,989 Cash and Cash Equivalents 185,444 117,848 -36 22,667 22,825 23,955
7,383 Receivables 11,246 12,378 10 12,112 11,710 12,098300,939 Inventories 85,462 139,412 63 302,711 267,202 267,202
367,311 Total Current Assets 282,152 269,638 -4 337,490 301,737 303,255
Non Current Assets54,911 Receivables 52,406 48,027 -8 44,952 36,337 28,32445,254 Inventories 239,925 366,917 53 275,948 197,577 33,35645,980 Property, Plant and
Equipment46,537 47,144 1 45,871 45,799 45,730
65 Intangible Assets 65 26 -60 0 0 0
146,210 Total Non Current Assets 338,933 462,114 36 366,771 279,713 107,410
513,521 TOTAL ASSETS 621,085 731,752 18 704,261 581,450 410,665
Current Liabilities60,016 Payables 120,145 65,381 -46 65,381 65,381 65,381
0 Finance Leases 0 50 # 50 50 504,280 Employee Benefits 4,227 5,558 31 6,914 8,298 9,709
18,840 Other Provisions 41,877 41,877 - 41,877 41,877 41,87759,507 Income Tax Payable 36,023 34,943 -3 24,622 16,285 0
147,389 Other Liabilities 202,810 367,912 81 349,386 233,528 77,617
290,032 Total Current Liabilities 405,082 515,721 27 488,230 365,419 194,634
Non Current Liabilities0 Payables 10,806 10,806 - 10,806 10,806 10,8060 Finance Leases 0 28 # 28 28 28
201 Employee Benefits 148 148 - 148 148 14870,554 Other Provisions 49,923 49,923 - 49,923 49,923 49,92337,291 Deferred Tax Liability 52,705 52,705 - 52,705 52,705 52,70512,927 Other Liabilities 0 0 - 0 0 0
120,973 Total Non Current Liabilities 113,582 113,610 .. 113,610 113,610 113,610
411,005 TOTAL LIABILITIES 518,664 629,331 21 601,840 479,029 308,244
102,516 NET ASSETS 102,421 102,421 - 102,421 102,421 102,421
REPRESENTED BY FUNDS EMPLOYED
105,878 Accumulated Funds 101,991 101,991 - 101,991 101,991 101,991-3,362 Asset Revaluation Surplus 430 430 - 430 430 430
102,516 TOTAL FUNDS EMPLOYED 102,421 102,421 - 102,421 102,421 102,421
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2019-20 Budget Statements 99 Suburban Land Agency
Table 8: Suburban Land Agency: Statement of Changes in Equity
Budgetat
30/6/19 $'000
2018-19 Estimated Outcome
$'000
Budgetat
30/6/20 $'000
Var 1
%Estimate
at30/6/21
$'000
Estimateat
30/6/22 $'000
Estimateat
30/6/23 $'000
Opening Equity
105,878 Opening Accumulated Funds 67,774 101,991 50 101,991 101,991 101,991-3,362 Opening Asset Revaluation
Reserve430 430 - 430 430 430
102,516 Balance at the Start of the Reporting Period
68,204 102,421 50 102,421 102,421 102,421
Comprehensive Income229,734 Operating Result - Including
Economic Flows187,066 165,021 -12 156,084 183,114 175,251
229,734 Total Comprehensive Income
187,066 165,021 -12 156,084 183,114 175,251
0 Total Movement in Reserves 0 0 - 0 0 0
Transactions Involving Owners Affecting Accumulated Funds-122,386 Capital Distributions to
Government-123,496 0 100 0 0 0
122,386 Inc/Dec in Net Assets due to Admin Restructure
123,496 0 -100 0 0 0
-229,734 Dividend Approved -152,849 -165,021 -8 -156,084 -183,114 -175,251
-229,734 Total Transactions Involving Owners Affecting Accumulated Funds
-152,849 -165,021 -8 -156,084 -183,114 -175,251
Closing Equity105,878 Closing Accumulated Funds 101,991 101,991 - 101,991 101,991 101,991
-3,362 Closing Asset Revaluation Reserve
430 430 - 430 430 430
102,516 Balance at the end of the Reporting Period
102,421 102,421 - 102,421 102,421 102,421
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2019-20 Budget Statements 100 Suburban Land Agency
Table 9: Suburban Land Agency: Cash Flow Statement
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var 1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
CASH FLOWS FROM OPERATING ACTIVITIESReceipts
979 User Charges 1,075 803 -25 711 519 5321,575 Interest Received 2,479 382 -85 382 382 382
696,646 Land Sales 561,302 430,158 -23 465,846 677,681 698,48323,938 Other 35,082 32,396 -8 24,428 29,941 25,177
723,138 Operating Receipts 599,938 463,739 -23 491,367 708,523 724,574
Payments11,968 Employee 10,490 15,232 45 15,846 16,281 17,027
1,609 Superannuation 1,419 2,093 47 2,185 2,256 2,35431,729 Supplies and Services 25,436 32,927 29 29,584 33,959 30,220
153 Grants and Purchased Services
329 437 33 448 457 465
2,662 Interest Expenses 1,450 1,959 35 1,194 1,693 98392,454 Income Tax Equivalent
Payments72,342 71,803 -1 77,214 86,813 91,393
277,538 Related to Cost of Land Sold 185,652 321,563 73 264,449 246,874 231,81125,675 Other 42,660 38,114 -11 24,753 30,494 26,002
443,788 Operating Payments 339,778 484,128 42 415,673 418,827 400,255
279,350 NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES
260,160 -20,389 -108 75,694 289,696 324,319
CASH FLOWS FROM INVESTING ACTIVITIESReceipts
8,563 Repayment of Contribution 3,459 11,016 218 14,871 15,582 8,0818,563 Investing Receipts 3,459 11,016 218 14,871 15,582 8,081
Payments51 Purchase of Property, Plant
and Equipment150 1,100 633 0 0 0
18,821 Contribution to Joint Operation
12,909 5,740 -56 10,579 6,095 0
18,872 Investing Payments 13,059 6,840 -48 10,579 6,095 0
-10,309 NET CASH INFLOW/(OUTFLOW) FROM INVESTING ACTIVITIES
-9,600 4,176 144 4,292 9,487 8,081
2019-20 Budget Statements 101 Suburban Land Agency
Table 9: Suburban Land Agency: Cash Flow Statement (continued)
2018-19 Budget
$'000
2018-19 Estimated Outcome
$'000
2019-20 Budget
$'000
Var 1
%2020-21
Estimate
$'000
2021-22 Estimate
$'000
2022-23 Estimate
$'000
CASH FLOWS FROM FINANCING ACTIVITIES
Receipts
Payments170,179 Distributions to Government 119,981 51,308 -57 0 0 0
0 Repayment of Finance Lease Liabilities
0 75 # 75 75 75
183,421 Payment of Dividend 35,135 0 -100 175,092 298,950 331,195353,600 Financing Payments 155,116 51,383 -67 175,167 299,025 331,270
-353,600 NET CASH INFLOW/(OUTFLOW) FROM FINANCING ACTIVITIES
-155,116 -51,383 67 -175,167 -299,025 -331,270
-84,559 NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS
95,444 -67,596 -171 -95,181 158 1,130
143,548 CASH AT THE BEGINNING OF REPORTING PERIOD
90,000 185,444 106 117,848 22,667 22,825
58,989 CASH AT THE END OF REPORTING PERIOD
185,444 117,848 -36 22,667 22,825 23,955
1. “–“ denotes “nil”. “..” denotes that the figure rounds to zero. “#” denotes a result over 999%.
2019-20 Budget Statements 102 Suburban Land Agency
Notes to the Controlled Budget Statements
Significant variances are as follows:
Statement of Comprehensive Income
land revenue:
the decrease of $156.512 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to the delayed settlement of the Macarthur House, Braddon and Turner Northbourne Flats ARI sites and single residential greenfield sites. These are offset by a large englobo settlement which was delayed from 2017-18; and
the decrease of $110.058 million in the 2019-20 Budget from the 2018-19 estimated outcome is predominantly due to the reduction in ARI settlements and the large englobo settlement in 2018-19.
interest: the decrease of $2.290 million in the 2019-20 Budget from the 2018-19 estimated outcome is attributable to lower cash at bank, which in turn decreases interest revenue.
employee expenses:
the decrease of $1.740 million in the 2018-19 estimated outcome from the 2018-19 Budget is due to vacancies throughout the year; and
the increase of $5.330 million in the 2019-20 Budget from the 2018-19 estimated outcome is based on an expectation that vacancies carried throughout the 2018-19 financial year will be filled. The budgeted FTE also increases in the 2019-20 financial year to address capability gaps across the Agency.
supplies and services:
the decrease of $5.668 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to the capitalisation of project related consultancy expenses into inventory. Selling expenses and marketing expenses were also lower as a result of lower land sales being achieved throughout the year; and
the increase of $7.005 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to an increase in project related expenses in line with an increase in development activities and West Belconnen joint venture expenses.
cost of land sold:
the decrease of $85.635 million in the 2018-19 estimated outcome from the 2018-19 Budget corresponds with lower land sales achieved throughout the year and changes in the composition of sales. A significant amount of land sales revenue related to englobo settlements which have higher profit margins due to minimal land servicing requirements; and
the increase of $27.912 million in the 2019-20 Budget from the 2018-19 estimated outcome is predominantly due to an increase in cost of land sold for the West Belconnen joint venture, corresponding with first settlements of land sales beginning in May 2019
2019-20 Budget Statements 103 Suburban Land Agency
and the absence of significant englobo and ARI settlements occurring in 2019-20, which incur less land servicing costs.
interest expenses: the decrease of $1.212 million in the 2018-19 estimated outcome from the 2018-19 Budget corresponds with the decrease in cost of land sold explained above.
other expenses: the decrease of $123.130 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to winding up of the ARI program. The cost of ARI land is recognised against other expenses rather than cost of land sold.
income tax equivalent: the decrease of $18.287 million in the 2018-19 estimated outcome from the 2018-19 Budget and the decrease of $9.448 million in the 2019-20 Budget from the 2018-19 estimated outcome are due to lower reported operating profits, which reduces the amount of income tax payable.
Balance Sheet
cash and cash equivalents:
the increase of $126.455 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to the payment of dividends in the 2018-19 financial year being delayed to future years to maintain a minimum level of working capital. This is partially offset by a decrease in cash received from lower land sales; and
the decrease of $67.596 million in the 2019-20 Budget from the 2018-19 estimated outcome is predominantly due to a decrease in land sales and an increase in capitalised development expenses, partially offset by a higher opening cash balance carried over from the 2018-19 financial year.
current and non current receivables:
the increase of $1.358 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to a higher opening balance resulting from fewer infrastructure assets being completed and transferred by third parties in the 2017-18 financial year; and
the decrease of $3.247 million in the 2019-20 Budget from the 2018-19 estimated outcome is predominantly due to lower contributions made to the West Belconnen joint venture, as a result of delays in the timing of construction costs.
current and non current inventory: the increase of $180.942 million in the 2019-20 Budget from the 2018-19 estimated outcome is predominantly due to an extensive construction program planned across multiple estates, including Whitlam, Taylor, Jacka 2, Kingston Foreshore and Coombs with settlements scheduled for future years.
current and non current payables:
the increase of $70.935 million in the 2018-19 estimated outcome from the 2018-19 Budget relates to capital distributions payable to the Territory for ARI sites (Macarthur House, Braddon and Turner Northbourne Flats). The value of ARI land is paid to the Territory on settlement as a capital distribution. Deferred settlement of these sites from the 2017-18 financial year has resulted in a corresponding deferral of the capital distribution payable to the Territory; and
2019-20 Budget Statements 104 Suburban Land Agency
the decrease of $54.764 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to the wind up of the ARI program, under which capital distributions were made to the Territory for the value of ARI land.
income tax payable: the decrease of $23.484 million in the 2018-19 estimated outcome from the 2018-19 Budget corresponds with lower income tax expenses, which reduces the liability at year end.
deferred tax liability: the increase of $15.414 million in the 2018-19 estimated outcome from the 2018-19 Budget is due to recognition of additional tax liabilities arising from assets transferred from the former Land Development Agency, which were not envisaged when the 2018-19 Budget was prepared.
current and non current other liabilities: the increase of $42.494 million in the 2018-19 estimated outcome from the 2018-19 Budget and the increase of $165.102 million in the 2019-20 Budget from the 2018-19 estimated outcome are predominantly due to the deferral of dividend payments to future years to ensure sufficient working capital to sustain operations.
Statement of Cash Flow
Notes are not provided where significant variances are explained in the notes above.
other receipts: the increase of $11.144 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to increased GST refunds received from the Australian Taxation Office (ATO) relating to the supply of development services by developers.
income tax equivalent payments: the decrease of $20.112 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to higher 2017-18 instalment payments, which resulted in a lower balance requiring payment in the 2018-19 financial year.
payments related to cost of land sold:
the decrease of $91.886 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominately due to delays in commencing construction in Whitlam and other construction delays; and
the increase of $135.911 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to the flow on effect from construction delays from the 2018-19 financial year and a significant construction program commencing in Jacka.
other payments:
the increase of $16.985 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to increased GST paid on purchases and payments made to the ATO. In addition, payments to developers for GST on development services also contributes to this variance; and
the decrease of $4.546 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to decreased GST paid on purchases and payments made to the ATO.
repayment of contribution:
2019-20 Budget Statements 105 Suburban Land Agency
the decrease of $5.104 million in the 2018-19 estimated outcome from the 2018-19 Budget is predominantly due to the deferral of repayments by the West Belconnen joint venture resulting from delayed sales due to an ACT Civil and Administrative Tribunal appeal; and
the increase of $7.557 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to deferred repayments by the West Belconnen joint venture.
contribution to joint operation: the decrease of $5.912 million in the 2018-19 estimated outcome from the 2018-19 Budget and the decrease of $7.169 million in the 2019-20 Budget from the 2018-19 estimated outcome relate to changes in the timing of contribution payments required by the West Belconnen joint venture, as a result of delayed sales and development spending.
distributions to Government:
the decrease of $50.198 million in the 2018-19 estimated outcome from the 2018-19 Budget is due to delayed settlement of ARI sites. The book value of all ARI sites is paid to the Territory on settlement as a capital distribution; and
the decrease of $68.673 million in the 2019-20 Budget from the 2018-19 estimated outcome is due to winding up of the ARI scheme at the end of the 2018-19 financial year.
payment of dividend: the decrease of $148.286 million in the 2018-19 estimated outcome from the 2018-19 Budget and the decrease of $35.135 million in the 2019-20 Budget from the 2018-19 estimated outcome are due to the deferral of dividend payments to future years, to ensure adequate working capital to sustain operations.
Statement of Changes in Equity
Significant variances are explained in the notes above.
2019-20 Budget Statements 106 Suburban Land Agency