2010-2011 annual report sydney metropolitan … · llb (sydney), mba (unsw) lucy is a...

2010-2011 Annual Report

SYDNEY METROPOLITANDEVELOPMENT AUTHORITY

The Sydney Metropolitan Development Authority (SMDA) was established on 15 December 2010 to pursue the NSW Government’s commitment to urban renewal in the Sydney Metropolitan area and to ensure delivery of the objectives of the State Environmental Planning Policy (Urban Renewal) 2010 (SEPP).

The purpose of the SMDA is to drive housing and employment opportunities in specific areas serviced by public transport and infrastructure while ensuring community development and positive social outcomes.

The SMDA is constituted under the Growth Centres (Development Corporations) Act 1974 and reports to the Minister for Planning through the SMDA Board.

The Growth Centres (Development Corporations) Act 1974 defines the extent of the SMDA’s growth centre areas and also sets out the SMDA’s functions within these areas, including the responsibility of dealing and acquiring land.

The Minister for Planning is responsible for the GC Act and for preparing an order for approval by the Governor to amend Schedule 1 of the GC Act to include the description of land that constitutes each of the SMDA growth centres.

Schedule 1 of the Growth Centres Act identifies the growth centres for which the SMDA is constituted, with the initial SMDA growth centres being Redfern-Waterloo and Granville, including the ‘Auto Alley’ precinct.

CONTENTS

To The MiniSTer 3

STATeMenT froM The ChAirperSon AnD Chief exeCuTive offiCer 4

AiMS & oBJeCTiveS 5

CorporATe GovernAnCe 5

BoArD MeMBerS 6

DevelopMenT 10

reDfern-WATerloo preCinCT 12

GrAnville preCinCT 14

DireCTor’S STATeMenT 16

inDepenDenT AuDiT reporT 18, 42

finAnCiAl STATeMenTS 20

AppenDiCeS 59

ChArTer

Front cover: Granville Shopping Precinct

TO THE MINISTER

The Hon. Brad Hazzard MPMinisterforPlanningandInfrastructure,MinisterassistingthePremieronInfrastructureNSWGovernorMacquarieTowerFarrerPlaceSydney

DearMinisterHazzard

ItiswithpleasurethatIforwardyouthefirstAnnualReportoftheSydneyMetropolitanDevelopmentAuthorityfortheyearending30June2011.

ThisreporthasbeenpreparedinaccordancewiththeNSW Annual Report (Statutory Bodies) Act 1984 No 87,theAnnual Report (Statutory Bodies) Regulation 2000andtheGrowth Centres (Development Corporations) Act 1974.

YoursSincerely

Roy Wakelin-King AMChiefExecutiveOfficerSydneyMetropolitanDevelopmentAuthority

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TheSMDAcommencedoperationsinDecember2010andhasbeenformedtodrivehousingandemploymentopportunitiesinspecificareasservicedbypublictransportandinfrastructureandtobuildeconomiesofurbancentres.

AninememberBoardwasappointedon17December2010toestablishthepoliciesanddirectionsfortheSMDA.

TheinitialSMDAgrowthcentreswillbetheRedfern-WaterlooareaandGranville,includingthe‘AutoAlley”precinct.

TheestablishmentoftheSMDAdemonstratesthestrongcommitmentoftheNSWGovernmenttothefutureoftheseareas.

WE HAvE gREAT plEASuRE IN WElcOMINg yOu TO THE

fIRST ANNuAl REpORT fOR THE SydNEy METROpOlITAN

dEvElOpMENT AuTHORITy (SMdA) 2010/2011.

STATEMENT fROM THE cHAIRpERSON ANd cHIEf ExEcuTIvE OffIcER

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Roy Wakelin-King AMChiefExecutiveOfficer

Dr Col Gellatly AOChairman

TheSMDAacknowledgestheimportanceofcreatingandmaintaininggoodandeffectiverelationshipswiththelocalgovernmentsandthecommunitiesintheseareas.Weseethisascentraltothesuccessoftheurbanrenewaloftheseprecincts.

TheworkoftheAuthoritysinceDecember2010hasbeenfocussedoncontinuingtherenewaloftheRedfern-WaterlooprecinctaswellasundertakingearlystudiesintheGranvillearea.NaturallytheSMDAhasalsoputconsiderableeffortintheseearlymonthsintotheessentialgovernance,policyandproceduralaspectsofestablishingandoperatingaNSWGovernmentstatutoryAuthority.

TheworkoftheRedfern-WaterlooAuthority(RWA)willcontinueinthisimportantareaofSydneyandtheSMDAwilllooktobuildonthegreatworkdonebytheRWAaccordingly.

WewouldliketotaketheopportunitytothankthecommunitiesofRedfern-WaterlooandGranvillefortheirsupporttotheSMDAandtoexpressourappreciationtothemembersoftheBoard,staffandconsultantsfortheirsupport,professionalismandcommitmenttotheAuthorityanditsfutureoperations.

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SMDA Structure

Specifically,theroleoftheSydneyMetropolitanDevelopmentAuthorityincludes:

• Workingwithtransportandplanningdepartmentstoidentifyprecinctsforrenewal;

• Undertakinglanduseplanninginvestigationsandfeasibilityanalyses;

• Deliveringanoverarchingprecinctplan;

• Coordinatingtransportandinfrastructureplanning;

• Planningforopenspaceinidentifiedprecincts;

• Levyinginfrastructurecontributionsandenteringintoplanningagreements;

• Dealingwithland;

• Borrowingandmanagingfunds;and

• Partneringwithpublicagenciesandprivateentitieswhennecessary.

AIMS & OBJEcTIvES

cORpORATE gOvERNANcE

Minister for Planning

SMDA Board

CEO

PMO & EA

Precinct Planning & Urban Renewal

Executive Assistant

Urban RenewalStrategy & Policy

Finance &Corporate Services

Communications

Legal Services

TheMinisterforPlanningandInfrastructure,MinisterassistingthePremierforInfrastructureNSW,theHon.BradHazzard,isresponsibleforthecontrolanddirectionoftheSMDA.TheMinisterhasestablishedaBoardofGovernanceand,whiletheBoardestablishthepoliciesanddirectionsfortheSMDA,itsdaytodaymanagementistheresponsibilityoftheChiefExecutiveOfficer.

ThereisoneBoardCommittee

Audit and Risk Management Committee

TheAuditandRiskManagementCommitteeisthefocalpointforcommunicationbetweentheBoard,theexternalauditors,theinternalauditorsandmanagement,astheirdutiesrelatetofinancialaccounting,reportingandinternalcontrolsandcompliance.

TheAuditandRiskManagementCommitteeassiststheBoardinfulfillingitsresponsibilitiesastoaccountingpoliciesandreportingpracticesoftheSMDA.ItistobetheBoard’sprincipalagentinassuringtheindependenceofSMDAauditors,theintegrityofmanagementandtheadequacyofthedisclosurestothepublic.

Membership

BonnieBoezmanAOandVictoriaWeekes

TheSMDAassumesmanyofthefunctionsoftheRedfern-WaterlooAuthority(RWA)and,therefore,Redfern-Waterloohasbeenidentifiedasoneoftwopriorityareas,alongwithGranville(includingthe‘AutoAlley’precinct),forurbanrenewal.ThiswillbeachievedthroughthestrategicdeliveryoftheobjectivesoftheStateEnvironmentalPlanningPolicy(UrbanRenewal)2010(SEPP).

TheintentofthenewSEPPistoprovidetheopportunityfortheStateGovernmenttoplanforhighqualityurbanrenewaltocreaterevitalisedandmorevibrantcentreswithabroaderrangeofhousingandemploymentoptions,andtoencourageinvestment.

ThisprincipalobjectiveoftheSMDAbuildsontheMetropolitanTransportPlan“ConnectingtheCityofCIties”andupdatedMetropolitanPlanforSydney2036.

Precinct Team

Precinct Team

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Dr Col Gellatly AOBAgEc(Hons)UNE,MComm(Hons)UNSW,PhDNCState,FIPAA

DrColGellatlyAOiscurrentChairpersonoftheSydneyMetropolitanDevelopmentAuthority.DrGellatlyistheformer

Director-GeneralofthePremier’sDepartment,arolewhichheheldsincebeingappointedin1994.HehasheldanumberofseniormanagementpositionswithintheNSWpublicservice,includingasDirectorGeneraloftheDepartmentofLandandWaterConservation.HewasChairoftheRedfern-WaterlooAuthority;iscurrentChairofAustralianTechnologyParkandPillarCorporation,amemberoftheBoardofStateWaterCorporation,amemberoftheUNECouncil,memberoftheBoardoftheNSWRugbyLeagueandanAdministratorofWollongongCityCouncil.

BOARd MEMBERS

BoardmembersareappointedinaccordancewithSection9Schedule2oftheRedfern-WaterlooAuthorityAct2004.

Les Wielinga Eng(Civil)GradDipMgt

LesWielingaistheDirectorGeneral,TransportNSWandiscurrentlyleadingtheimplementationofthenewTransportDepartment.HewasChiefExecutiveofthe

NSWRoadsandTrafficAuthority(2006-2009)andtheChiefExecutiveoftheSydneyMetroin2009.Leshasmorethan30years’experienceintransportissuesandmanagement,strategicplanning,infrastructuredevelopment,deliveryofinfrastructure,programandprojectmanagement,aswellasadministration.Hehassignificantexperienceinmanaginglargeteamsacrossmanydisciplinesincludinglegal,financial,economicandengineering.

Lucy Turnbull AO LLB(Sydney),MBA(UNSW)

Lucyisabusinesswoman,companydirectorandindependentmemberoftheSydneyMetropolitanDevelopmentAuthority.Formanyyearssheworkedasa

solicitorandasaninvestmentbanker.Lucyhashadalongstandinginterestintherolecitiesplay,andinarchitectureanddesign.SheisDeputyChairoftheCommitteeforSydney,wasaBoardmemberoftheRedfern-WaterlooAuthorityandiscurrentlyontheBoardoftheAustralianTechnologyPark.InJune2010shewasappointedtotheCitiesExpertPanelwhichreportstotheCOAGReformCouncilonmetropolitanstrategicplanningissues.From1999to2004LucywasSydney’sfirstfemaleLordMayor(2003-2004)andDeputyLordMayor(1999-2003).SheservedontheCounciloftheCityofSydneyfrom1999-2004andchairedmanycouncilcommittees,includingtheCentralSydneyPlanningCommittee,thePlanning,TransportandDevelopmentCommittee,theTrafficCommitteeandtheFinanceandAuditCommittees.Lucyhasalsobeenactiveinthenotforprofitsector.SheisamemberoftheboardsoftheCentreforIndependentStudiesandtheUnitedStatesStudiesCentreandtheRedfernFoundation.

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Matt Roberts M.EconBA(Econ)(Macq)

MattiscurrentlyDeputySecretaryoftheEconomic,EnvironmentandCommunitiesDirectorateandamemberoftheTreasuryExecutiveteam.Thisrole

isresponsibleforpolicydevelopment,budgetmanagementandagencystakeholderrelationsinthetransport,planning,environment,governmentservicesandcommunitiesportfolios.

InhispreviousroleasDirector,NationalReformBranch,hewasresponsiblefordevelopingTreasury’spolicyadvicefortheCouncilofAustralianGovernments’(COAG)NationalReformAgenda(NRA)aswellasrepresentingTreasuryatnumerousCommonwealth-Stateinter-governmentalmeetings.TheNRAcomprisedacomprehensivepackageofcompetition,regulatoryandhumancapitalreformsin:healthandageing;education,skills,trainingandearlychildhood;climatechangeandwater;infrastructure;businessregulationandcompetition;housing;andIndigenousreform.Priortothisappointment,MattwasPrincipalEconomicAnalystintheEconomicStrategyBranchandadvisedoneconomicreformmatters.including:NationalCompetitionPolicy,competitiveneutralitypolicy,thirdpartyaccesstoinfrastructure,pricingandcostrecoverypolicies,economicappraisals,economicdevelopmentandindustryadvice,naturalresourcepolicy,andregulatoryreforms.MattstartedhiscareerasagraduateeconomistinSydneyWaterin1996andeventuallymovedtothepositionofSeniorEconomist,dealingwithcompetition,pricingandregulatorymatters.

Mr Roy Wakelin-King AM BPS(UNE)GDPBus(UTS)ChiefExecutiveOfficer

RoyWakelin-KingwasappointedtheChiefExecutiveOfficeroftheSydneyMetropolitanDevelopmentAuthorityinDecember2010.

RoyisalsoChiefExecutiveOfficeroftheRedfern-WaterlooAuthorityandManagingDirectorofAustralianTechnologyPark,apositionhehasheldsince16February2009.PriortohisappointmentwiththeRWA,RoywastheDeputyDirectorGeneraloftheOfficeofPublicWorks&ServiceswiththeNSWDepartmentofCommerce.RoywasalsoCEOoftheWorldYouthDayCoordinationAuthoritywhichcoordinatedthedeliveryofGovernmentservicesforthehighlysuccessfulWorldYouthDay2008.RoyhasbeenanExecutiveDirectorwithintheNSWMinistryofTransportinthepositionofDirectorTransportOperationsDivision.

Royhasextensiveexperienceinbothoperationsandprojectleadership,particularlyinthefieldsoftransportandlogistics.HisexperienceincludesashortArmycareerasacommissionedofficerfollowedbyaseriesofseniorprojectandoperationalappointmentswithintheNSWGovernment.

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Shane PhillipsShanePhillipsisaprominentcommunityleaderandrespectedspokespersonforAboriginalAustralians,withculturalconnectionstotheBundjalung,Wonnarua,andEorapeoples.Priortohis

appointmentasCEOoftheTribalWarriorAssociation,Shane’scareerincludedrolesworkinginchildprotection,juvenilejusticeandthelaw.HehasalsoworkedasacommunityliaisonofficerwiththeRoyalCommissionintoAboriginalDeathsinCustodyandestablishedtheRedfernAboriginalCorporation(RAC).Shane’scommunityserviceachievementswererecognisedin2008whenhewasaninvitedparticipantinPrimeMinisterRudd’s2020Summitandsharedhisvisioninthe“OptionsfortheFutureofIndigenousAustralia”stream.HehasbeenaspokespersonfortheAboriginalRightsCoalition,aLifeMemberandCoachoftheRedfernAllBlacksUnder19’srugbyleagueteam,aMemberoftheNationalIndigenousChamberofCommerce,theGilbert&TobinReconciliationPlanningTeam,theNationalAboriginalAlliance,andtheQuarantineStationCommunityCommittee,andisafoundingDirectoroftheAustralianIndigenousChamberofCommerce.

Sam Haddad ChemEng,MBA

SamHaddadwasappointedDirectorGeneraloftheNSWDepartmentofPlanningin2005.Hehashadmorethan38yearsofprofessionalexperienceincludingtwo

decadesatseniorexecutivelevel.Hehasworkedintheprivatesectorinprojectmanagementandinfrastructuredevelopment,andhasheldseveralseniorandexecutivepositionswiththeNSWDepartmentofPlanninganditspredecessors.SamhasextensiveexperienceinshapingandleadingtheState’splanningsystem;leadingandimplementingsignificantpolicy,legislative,organisationalandoperationalreforms.

Peter Duncan Appointed23May2011CertL&ESD,Grad,CertTrafficEng,A.DipLand.Studies,G.Dip.Mgt

PeterDuncanisDeputyDirectorGeneraloftheDepartmentofPremierandCabinet.Formerly,

hewasDirectorGeneraloftheDepartmentofServices,TechnologyandAdministration.PreviousrolesincludeChiefExecutiveOfficerofForestsNSW,DirectorandChiefExecutiveoftheCentennialParkandMooreParkTrust,andDirectorEstateManagementatOlympicCoordinationAuthority.PeterhasservedonanumberofBoardsandCommitteesincludingasChairoftheNSWMarineParksAuthority,AdministratorofJenolanCavesReserveTrustandiscurrentlyaGovernoroftheCentennialParklandsFoundation.

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Brendan O’ReillyTermofAppointment17/12/10to18/04/11

BrendanO’ReillywastheDirectorGeneralwiththeNSWDepartmentofPremierandCabinet,aroleinwhichheleadstheNSWPublicSector

andensuresitsdeliveryonNSWGovernmentpolicydirectionandagenda.BrendanwaspreviouslyDirectorGeneral,DepartmentofAgeing,DisabilityandHomeCare,DeputyDirectorGeneral,Premier’sDepartment;DirectorGeneral,DepartmentofSportandRecreation;DeputyDirectorGeneral,DepartmentofCommunityServices.PriortothesesignificantGovernmentroles,BrendanwasinvolvedintheeducationsectorasDirector,SouthernSydneyInstituteofTAFEandwasalsoresponsiblefortheManufacturingandEngineeringConsortium.HewasalsoNetworkManager,TAFE,NSWIllawarraInstituteofTechnology,providingleadershipandmanagementofanetworkoftenTAFEcollegesintheOranaandFarWestregionsofNSW.

Disclosures

TheSMDAhasnorelatedpartydisclosurestodeclare.

SMDA Board Attendance FYR 10/11

January - June 2011

Directors Board Meetings

A1 B2

ColinGellatlyAO 6 6

RoyWakelin-KingAM 6 6

MikeMrdak 5 6

LucyTurnbullAO 6 6

LesWielinga 4 6

MattRoberts 6 6

SamHaddad 5 6

ShanePhillips 4 6

BrendanO’Reilly 5 5

PeterDuncan 1 1

1 Number of meetings attended2 Number of meetings held

Mark Mrdak BA(Hon.)(UNE),GradDipEd,GradDipAppEcon(UC)

MarkwasappointedSecretaryoftheDepartmentofInfrastructureandTransportinJune2009.TheDepartmentprovidespolicyadvice,programsand

regulationacrossawiderangeofactivitiesincludingmajorinfrastructureprojects,roadandrail,aviationandairports,transportsecurity,maritime,vehiclesafetystandardsandroadsafety.Markbeganhispublicservicecareerin1988withtheDepartmentofTransportandCommunicationsandhassinceheldanumberofseniorpositionsacrosstheportfolio.Hisworkincludesmanagementofinternationalanddomesticaviationpolicyandregulation,theairportsalesandregulationprogram,infrastructureinvestment,theCOAGcompetitionpolicyreformagenda,railinvestmentandregulatoryreform,maritimepolicy,emissions,energyandnaturalresourcespolicy.

BetweenMarch2008andJune2009,MarkwasDeputySecretary(Governance)withtheDepartmentofPrimeMinisterandCabinetwithresponsibilityforgovernment,governance,cabinetsecretariatandcorporatefunctionswithinPM&C.

In2009hewastheinauguralCommonwealthCoordinatorGeneralchargedwithensuringtheeffectiveimplementationofkeyCommonwealtheconomicstimulusinfrastructureinvestments.MarkisalsoamemberofseveralkeyGovernmentBoardsandCommittees.

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State Environmental Planning Policy (SEPP)

On15December2010,theNSWGovernmentannouncedanewState Environmental Planning Policy (Urban Renewal) 2010(UrbanRenewalSEPP)tofacilitateurbanrenewalplanningacrosstheState.

TheSEPPisanenvironmentalplanninginstrumentwhichismadeandamendedbytheMinisterforPlanningandInfrastructure.Itwillonlyapplytothenominatedpotentialurbanrenewalprecinctswithinitandwillfacilitatelanduserezoning.

TheUrbanRenewalSEPPrespondstotheMetropolitan Plan for Sydney 2036toaccommodate70%oftheState’spopulationgrowthwithinexistingareas,andtoprovideadequatehousingandjobsinaccessiblelocations.

TheUrbanRenewalSEPPaimstointegratelanduseplanningwithexistingorplannedinfrastructuretocreaterevitalisedcentres,greateraccesstopublictransport,andarangeofhousingandemploymentopportunities.

Future Precincts

ThegovernmenthasinitiallyidentifiedtwoprecinctsforurbanrenewalundertheSMDAandUrbanRenewalSEPP.Theseare:

1. Redfern-Waterloo

2. Granville including the ‘Auto Alley’ precinct

TheSMDAwillworkwiththeDepartmentofPlanningandInfrastructureandotherkeyagenciestohelpidentifyotherprecinctsthatoffersignificantopportunityforurbanrenewal.Ultimately,anyfutureprecinctsareamatterfortheGovernmenttodecide.

AllprecinctsapprovedbytheMinisterforPlanningandInfrastructureforinclusionundertheUrbanRenewalSEPPwillalsobedeclaredasprecinctsundertheGrowth Centres (Development Corporations) Act 1974.

Aprecinctisanareathatmaybeidentifiedasofferingtheopportunityforurbanrenewalacrossaparticulargeographicorsocio-economicarea.Thisincludesidentifyingthepotentialforimprovedandmoresustainableoptionsfortransport,jobsandhousing.

Aprecinctcanbedefinedasaparticularsite,asacentre-basedprecinctsuchasaparticularsuburb,oralargercorridororclusterofcentresorsuburbs.

Theprecinctboundary,onwhateverscale,willrequireapprovalbytheDepartmentofPlanningandInfrastructureundertheUrbanRenewalSEPPtobeconsideredapotentialprecinct,whichwillallowfurtherassessmenttobeundertakenbytheSMDAundertheGrowth Centres Act.

Theflowchartontherightoutlinestheprocess.

dEvElOpMENT

THE uRBAN RENEWAl SEpp

AIMS TO INTEgRATE lANd uSE

plANNINg WITH ExISTINg OR

plANNEd INfRASTRucTuRE TO

cREATE REvITAlISEd cENTRES

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Precinct Planning Process

Minister identifies potential precinct on a map in the SEPP

Identification of study requirements and proposed urban renewal outcomes

Detailed investigations undertaken (traffic, urban design, economic, social, etc) and study prepared

Exhibition of study and proposed planning framework (e.g. SEPP, LEP or DCP)

Director-General’s recommendation to Minister

Minister agrees that the precinct should be

developed for urban renewal

New statutory framework for precinct is legally made, effectively rezoning the land

Minister disagrees that the precinct should be

developed for urban renewal

No further action to be taken for the precinct at this time

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AlexAnDriA

reDfern-WATerloo PRECINCT

reDfern-WATerloo iS in A priMe loCATion, neAr SyDney’S CenTrAl BuSineSS DiSTriCT WiTh exCellenT linkS To puBliC TrAnSporT AnD The opporTuniTy To AliGn urBAn reneWAl WiTh poSiTive SoCiAl DevelopMenT ouTCoMeS.

Redfern-Waterloo Authority Operational Area

REDFERN

WATERLOO

EVELEIGH

DARLINGTON

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TheRedfern-WaterlooAuthority(RWA)wasresponsibleforrevitalisingtheareathroughurbanrenewal,humanservicesandemploymentandtrainingundertheRedfern-Waterloo Authority Act 2004.TheSMDAhasassumedmanyoftheurbanrenewalandplanningfunctionsoftheRWA,tocontinuetherevitalisationofRedfernandWaterlootoensurethearearealisesitsfulleconomic,socialandcreativepotential.TheSMDAhasassumedresponsibilityfortheongoingimplementationofBuiltEnvironmentPlanStage1.

Built Environment Plan Stage 1 (BEP 1)

TheBuiltEnvironmentPlanStage1ofRedfern,Waterloo,EveleighandDarlingtonconcentratesontheissuesofurbandesign,traffic,publicaccess,publictransport,landuse,affordablehousingandurbanrenewal.Stage1oftheBuiltEnvironmentPlanwasreleasedon30August2006andisprimarilyaplanningframeworktoencouragefutureeconomicgrowthandthecreationofupto18,000jobsthroughoutRedfernandWaterloo.Theaimistogeneratemorethan444,000sqmofnewemploymentspace,2,000newhomes,anewTownCentre,improvedpedestrianaccesstoourresidentialandbusinesshubsandbetterurbandesign.TheBuiltEnvironmentPlanencouragesanemploymentandinvestmentbasedrevitalisationoftheareabyprovidingaplanningframeworkforthefollowingstrategicsites:

• NorthEveleigh

• AustralianTechnologyPark

• SouthEveleighRailyards

• EveleighStreetPrecinct(includingtheBlock)

• RedfernStation/GibbonsStreet/RegentStreetPrecinct

• FormerRachelForsterHospital

• FormerRedfernPoliceStationandCourtHouse

• FormerRedfernPublicSchool

Mostofthesesites,whichtotalaround35hectares,areStateGovernmentownedandarelocatedneartheRedfernTrainStationandRedfernTownCentre.

TheBuiltEnvironmentPlanproposesaconsistentsetofcontrolsrelatingtourbandesign,landusezoningandthecarryingoutfuturedevelopmentofRedfern-Waterloosites.Italsoidentifiesstrategiesforassociatedtransportandtrafficmanagement,heritageprotection,openspaceandpublicdomainimprovements,infrastructureprovision,pedestrianandcycleaccessandguidelinesfortheachievementofsafeandsustainablecommunities.

TheunderlyingconceptforthePlanisbasedonthecreationofaTownCentrewithaneconomicandcivicheartfocussedaroundRedfernTrainStation,andwhichisconnectedthroughpedestrianlinkagestobusinesshubsattheAustralianTechnologyPark,NorthEveleigh,RedfernandRegentStreets.

Draft Built Environment Plan Stage 2 (BEP 2)

TheDraftBuiltEnvironmentPlanStage2wasreleasedforcommunityfeedbackinJanuary2011.ThePlanwaspubliclyexhibitedfrom27Januaryto28February2011.TheDraftBuiltEnvironmentPlanproposesplanningcontrols,includinglanduse,heightandfloorspacecontrols,tosupporttherenewalofHousingNSWsitesinRedfernandWaterloo,includingSouthEveleighovera20-25yeartimeframe.TheDraftBEP2aimstoachieveamixofprivate,affordableandsocialhousing,proposingamixof60%privateandaffordablehousingand40%socialhousing.

TheSydneyMetropolitanDevelopmentAuthority’sUrbanRenewalSEPPprocessandtheHousingNSWMasterPlanprocesswillprovidefurtheropportunitiesforthecommunitytoprovidefeedbackontheredevelopmentofthisimportantarea.

Redfern-Waterloo Heritage Taskforce & Interpretation Plan

TheRedfern-WaterlooHeritageTaskforcewasestablishedin2009toidentifyopportunitiesfortheconservation,interpretationand,whereappropriate,adaptivereuseofthecultural,naturalandarcheologicalheritageoftheRedfern-Waterlooarea.

Meanwhile,theEveleighSteeringCommittee(ESC)wassetupinrecognitionofthesignificantculturalandsocialsignificanceoftheformerEveleighLocomotiveWorkshopspecificallyandcomprisesabroadrangeofcommunityrepresentativesaswellasrepresentativesofAustralianTechnologyPark(ATP)andtheRWA.

TheTaskforceandESCseektoincreasecommunityawareness,understanding,appreciationandenjoymentofexistingheritageandstimulategreatercommunityinvolvementinconservationefforts.

ThedraftInterpretationPlanwaspublicallyexhibitedbetween9Marchand6April2011.

TheSMDAwillcontinuetoplanforandfacilitateappropriategrowthofRedfern-Waterlootoensuretheareareachesitsfulleconomic,socialandcreativepotentialbycreatingavibrant,sociallyinclusiveandmoresustainablecommunity.Redfern-WaterlooremainsapriorityfortheSMDAandwilluseitsachievementsasamodeltobenefitallofSydney.

Other initiatives

TheSMDAwillcontinuetheworkon:

• RedfernTrainStation;

• NorthEveleigh;and

• AffordableHousing.

GrAnville ToWn CenTre hAS Been iDenTifieD AS A prioriTy AreA By The SMDA for urBAn reneWAl.

pArrAMATA

MerrylAnDS

GRANVILLE

Aerial view of Granville Precinct with Urban SEPP boundary

GrAnvillePRECINCT

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TheSMDAwillcarryoutitsfunctionsinpartnershipwithkeyNSWStateagencies,ParramattaandHolroydCityCouncilsandtheFederalGovernment.

TheGranvilleurbanrenewalprecinctoccupiesastrategiclocationingreaterwesternSydney,iswellservicedbypublictransportandisidentifiedashavinghighpotentialforsocialandeconomicgrowthwithintheParramattaLGAboundary.

ThedraftGranvilleurbanrenewalprecincthasanapproximateareaof264hectares.

WhilstthedrafturbanrenewalprecinctisdefinedasoneareaintheUrbanRenewalSEPP,ithasthreedistinctanduniquegeographicalcommunitiescomprising:

1. Granville Town Centre

2. Church St, ‘Auto Alley’ Precinct

3. Harris Park Precinct

Specifically,theroleoftheSMDAintheGranvilleprecinctwillinclude:

• WorkingwithDepartmentofPlanningandInfrastructure,NSWDepartmentofTransportandotherrelevantagenciestoidentifyprecinctspecificrenewalissues;

• Undertakinglanduseplanninginvestigationsandfeasibilityanalyses;

• Deliveringanoverarchingprecinctplan;

• Coordinatingtransportandinfrastructureplanning;

• Planningforopenspaceinidentifiedareas;

• Levyinginfrastructurecontributionsandenteringintoplanningagreements;

• Dealingwithlandasappropriate;

• Borrowingandmanagingfunds;

• Partneringwithpublicagenciesandprivateentitieswhennecessary;and

• Ensuringextensivecommunityconsultationisundertakenatappropriatestagesintheprocess.

Interagency Urban Renewal Committee

TheSydneyMetropolitanDevelopmentAuthoritywillleadtheplanningfortheGranvilleurbanrenewalareaidentifiedundertheSEPPinpartnershipwithkeyagenciesincludingtheDepartmentofPlanningandInfrastructure,NSWDepartmentofTransport,FamilyandCommunityServices,HousingNSWandothersasrequiredthroughanInteragencyUrbanRenewalCommitteethatischairedbytheSydneyMetropolitanDevelopmentAuthority.

TheCommitteeisbeingformedandwillmeetonaregularbasis.ItwillreportthroughtheSydneyMetropolitanDevelopmentAuthorityBoardtotheMinisterforPlanningandInfrastructure.RepresentativesofParramattaCityCouncilandHolroydCityCouncil,othergovernmentagenciesandorganisationswillalsobeinvitedtoparticipateintheCommittee.

ThemainroleofthecommitteeistoinvestigateurbanrenewalopportunitiesandtoprovideinputintothestudiesbeingpreparedundertheUrbanRenewalSEPP.

Auto Alley Reference Group

InadditiontotheproposalsforthegreaterGranvilleUrbanRenewalPrecinct,andgiventheuniqueattributesandopportunitiesofthisChurchStreetsubprecinct,aReferenceGroupisbeingformedtoaddressthisspecificareaandwillinclude:

• SydneyMetropolitanDevelopmentAuthority(Chair)

• DepartmentofPlanningandInfrastructure

• NSWDepartmentofTransport

• ParramattaCityCouncil

• HolroydCityCouncil

• ACommunityrepresentative

• ParramattaChamberofCommerce

• PropertyCouncilofAustralia

THE MAIN ROlE Of THE cOMMITTEE

IS TO INvESTIgATE uRBAN RENEWAl

OppORTuNITIES ANd TO pROvIdE INpuT

INTO THE STudIES BEINg pREpAREd

uNdER THE uRBAN RENEWAl SEpp.

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dIREcTOR’S STATEMENT

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Statement by the Chairman and Chief Executive Officer on the adoption of the financial statements for the year ended 30 June 2011. Certificate under Section 41C of the Public Finance and Audit Act 1983

PursuanttoSection41C(B)and1(C)ofthePublicFinanceandAuditAct1983andinourcapacityasChairmanandChiefExecutiveOfficeroftheSydneyMetropolitanDevelopmentAuthority(SMDA),wedeclarethatinouropinion:

TheaccompanyingfinancialstatementsexhibitatrueandfairviewofthefinancialpositionoftheSMDAasat30June2011andtransactionsfortheyearendedonthatdate.ThestatementshavebeenpreparedinaccordancewiththeprovisionsofthePublicFinanceandAuditRegulation2000andtheTreasurer’sDirections.

Further,wearenotawareofanycircumstancesthatwouldrenderanyparticularsincludedinthefinancialstatementstobemisleadingorinaccurate.

Roy Wakelin-King AMChiefExecutiveOfficer

Dr Col Gellatly AOChairman

16

SMDA Proforma Accounts

STATEMENT By MEMBERS Of THE BOARd

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Statement by Members of the Board of Sydney Metropolitan Development Authority on the adoption of the financial statements for the year ended 30 June 2011.

Pursuant to Section 41C (1B) of the Public Finance and Audit Act 1983 and in accordance with a resolution of the members of the Board of the Sydney Metropolitan Development Authority, we declare than in our opinion:

1. The accompanying financial statements exhibit a true and fair view of the financial position and financial performance of Sydney Metropolitan Development Authority as at 30 June 2011.

2. The financial statements have been prepared in accordance with the Australian Accounting Standards and Interpretations and the provisions of the Public Finance and Audit Act 1983, the Public Finance and Audit Regulation 2010 and the Treasurer’s Directions; and

3. We are not aware of any circumstances that would render any particulars included in the financial statements to be misleading or inaccurate.

Dr Col Gellatly AO Roy Wakelin-King AMChairman ChiefExecutiveOfficer

28October2011


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INdEpENdENT AudIT REpORT

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For the period 17 December 2010 to 30 June 2011

STATEMENT Of cOMpREHENSIvE INcOME

notes Consolidated SMDA

Period 17 December to

30 June 2011


30 June 2011

$’000 $’000

Revenue from continuing operations

Sales and services income 7(a) 1,048 1,048

Grants and contributions 7(b) 1,500 1,500

Interest income 5 5

Total income 2,553 2,553

Expenditure

Employee benefits expenses 8 (a) 1,512 799

Personnel services 8 (b) -- 713

Other expenses 8 (c) 544 544

Total expenditure 2,056 2,056

Surplus for the period 497 497

Other comprehensive income -- --

Total comprehensive income for the period 497 497

The above statement should be read in conjunction with the accompanying notes.


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STATEMENT Of fINANcIAl pOSITION


As at 30 June 2011

Consolidated SMDA

notes 2011 2011

$’000 $’000

ASSETS Current assets

Cash and cash equivalents 10 690 690

Trade and other receivables 11 486 60

Total current assets 1,176 750

Non-current assets -- --

Total non-current assets -- --

Total assets 1,176 750

LIABILITIES

Current liabilities

Trade and other payables 13 295 253

Provisions 14 127 --

Total current liabilities 422 253

Non current liabilities

Provisions 14 257 --

Total non current liabilities 257 --

Total liabilities 679 253

Net assets 497 497

EQUITY

Accumulated funds 15 497 497

Contributed equity

Total equity 497 497


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STATEMENT Of cHANgES IN EquITy

Consolidated SMDA

notes


30 June 2011


30 June 2011

$’000 $’000

Balance of equity at the beginning of the period -- --

Total comprehensive income for the period 497 497

Transactions with owners in their capacity as owners -- --

Balance of equity at the end of the period 497 497



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STATEMENT Of cASH flOWS

Consolidated SMDA

Period

17 December to 30 June 2011

Period

17 December to 30 June 2011

$’000 $’000

inflow/ inflow/

notes (outflow) (outflow)

Cash flows from operating activities

Receipts from customers 667 1,093

Government grants received 7(b) 985 983

Payments to suppliers and employees (967) (1,393)

Interest received 5 5

Net cash flows from operating activities 16(b) 690 690

Cash flows from investing activities -- --

Net cash flows used in investing activities -- --

Cash flows from financing activities -- --

Net cash flows from financing activities -- --

Net increase in cash held 690 690

Cash and cash equivalents at the beginning of the period -- --

Cash and cash equivalents at the end of period 690 690


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NOTES TO THE fINANcIAl STATEMENTS

1. REPORTING ENTITY AND FINANCIAL PERIOD

TheSydneyMetropolitanDevelopmentAuthority(the“Authority”)isaStatutoryBodyconstitutedbytheGrowth Centres (Development Corporations) Act 1974on17December2010andthesefinancialstatementscovertheperiodfromthatdateto30June2011.TheAuthoritypromotesthedevelopmentoflandidentifiedaspotentialurbanrenewalprecinctsincludingRedfern-WaterlooandGranvilleandotherprecinctstobeidentifiedinthefuture.TheAuthorityhasanimportantroleinboostingtheamount,mixandchoiceofhousingandcommercialdevelopmentwithinwalkingdistanceofkeypublictransporthubs.Asapriority,theAuthoritywillfocusonareascurrentlyadministeredbytheRedfern-WaterlooAuthority,includingNorthEveleighandtheAustralianTechnologyPark.TheAuthoritywillalsofocusonthedevelopmentofGranvilleTownCentreandAutoAlleyinGranville.

TheAuthority,asareportingentity,comprisesalltheentitiesunderitscontrol,whichat30June2011isonlytheOfficeofSydneyMetropolitanDevelopmentAuthority(the“Office”).TheOfficeprovidespersonnelservicestotheAuthority.PlansandrelevantlegislationarecurrentlybeingpreparedforthetransferofcertainoftheoperationsoftheRedfern-WaterlooAuthorityandtheoperationofAustralianTechnologyParkSydneyLimited,totheAuthority.

TheAuthorityiscurrentlyfundedbytheNSWGovernmentthroughto30June2014.

Thefinancialstatementsfortheperiodended30June2011havebeenauthorisedforissuebytheBoardonthe21October,2011.

2. BASIS OF PREPARATION

(a) Statement of Compliance

TheAuthority’sfinancialstatementsaregeneralpurposefinancialstatementswhichhavebeenpreparedinaccordancewithapplicableAustralianAccountingStandards(whichincludeAustralianAccountingInterpretations)andtherequirementsofthePublic Finance and Audit Act 1983 and Regulation, Treasurer’s Directions, the Growth Centres (Development Corporations) Act 1974.

(b) Historical cost convention

Thesefinancialstatementshavebeenpreparedunderthehistoricalcostconvention,asmodifiedbythe

revaluationoffinancialassetsandliabilitiesatfairvaluethroughprofitorloss,certainclassesofproperty,plantandequipmentandinvestmentproperty.

(c) Profit status of the Authority

TheAuthorityhasassesseditsprofitstatusforthefinancialperiodended30June2011anddetermineditsstatusasnot-for-profitforfinancialreportingpurposes.

(d) Basis of measurement

Thefinancialstatementshavebeenpreparedonthehistoricalcostbasisexceptforthefollowingmaterialitems:

• Financialinstrumentsatfairvaluethroughprofitandlossandavailableforsale,aremeasuredatfairvalue.

• Thedefinedbenefitassetismeasuredasthenettotaloftheplanassets,plusunrecognisedpastservicecostandunrecognisedactuariallosses,lessunrecognisedactuarialgainsandthepresentvalueofthedefinedbenefitobligation.

(e) Functional and presentation currencyThesefinancialstatementsarepresentedinAustraliandollars,whichistheAuthority’sfunctionalcurrency.

Allamountsareroundedtothenearestonethousanddollarsunlessotherwisestated.

(f) Use of estimates and judgements

Thepreparationoffinancialstatementsrequiresmanagementtomakejudgements,estimatesandassumptionsthataffecttheapplicationofaccountingpoliciesandreportedamounts,toassets,liabilities,incomeandexpensesthatarenotreadilyapparentfromothersources.

Theestimatesandassociatedassumptionsarebasedonhistoricalexperienceandotherfactorsthatareconsideredtoberelevant.Estimatesandunderlyingassumptionsarereviewedonanongoingbasis.Revisionstoaccountingestimatesarerecognisedintheperiodinwhichtheestimatesarereviewedorintheperiodinwhichtheestimateisrevisediftherevisionaffectsonlythatperiod,orintheperiodoftherevisionandfutureperiodsiftherevisionaffectsbothcurrentandfutureperiods.

Informationaboutcriticaljudgementsinapplyingaccountingpoliciesthathavethemostsignificanteffectontheamountsrecognisedinthefinancialstatementsisincludedinthefollowingnotes:


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• Note3(c),3(d)(ii),3(d)(iii)&3(e)(ii)

Informationaboutassumptionsandestimationsthatmayresultinadjustmentsinthefuturefinancialyearisincludedinthefollowingnotes:

• Note10–financialassets

• Note20–financialinstruments

(g) Principles of consolidation

ControlledentitiesareallthoseentitiesoverwhichtheAuthorityhasthepowertogovernthefinancialandoperatingpoliciessoastoobtainbenefitsfromitsactivities.

Intercompanytransactions,balancesandunrealisedgainsontransactionsbetweenentitiesareeliminated.Unrealisedlossesarealsoeliminatedunlessthetransactionprovidesevidenceoftheimpairmentoftheassettransferred.Accountingpoliciesofsubsidiarieshavebeenchangedwherenecessarytoensureconsistencywiththepoliciesadoptedbytheparententity.

(h) Accounting policy adopted

Inthecurrentperiod,theAuthorityhasadoptedallofthenewandrevisedStandardsandInterpretationsthatarerelevanttoitsoperationsandwhichareeffectiveforthereportingperiodbeginningon17December2010.

3 STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

TheaccountingpoliciessetoutbelowareasummaryofthesignificantaccountingpoliciesthathavebeenappliedtotheaccountingperiodpresentedinthesefinancialstatementsandhavebeenappliedconsistentlybytheAuthority.

a) Goods and services tax (GST)

Revenues,expensesandassetsarerecognisednetoftheamountofassociatedGST,unlesstheGSTincurredisnotrecoverablefromtheAustralianTaxationOffice.Inthiscaseitisrecognisedaspartofthecostofacquisitionoftheassetoraspartoftheexpense.ReceivablesandpayablesarestatedinclusiveoftheamountofGSTreceivableorpayable.ThenetamountofGSTrecoverablefrom,orpayableto,theAustralianTaxationOfficeisincludedwithotherreceivablesorpayablesinthebalancesheet.

Cashflowsareincludedinthecashflowstatementonagrossbasis.However,theGSTcomponentsofcash

flowsarisingfrominvestingandfinancingactivitieswhichisrecoverablefrom,orpayableto,theAustralianTaxationOfficeareclassifiedasoperatingcashflows.

b) Income tax

TheAuthorityisanotforprofitentityandisnotalistedentityintheNationalTaxEquivalentRegimeEntityRegister.HenceisnotliableforincometaxundertheNationalTaxEquivalentRegime.

c) Revenue recognition

TheAuthorityrecognisesrevenuewhentheamountofrevenuecanbereliablymeasured,itisprobablethatfutureeconomicbenefitswillflowtotheentityandspecificcriteriahavebeenmetforeachoftheAuthority’sactivitiesasdescribedbelow.Theamountofrevenueisnotconsideredtobereliablymeasurableuntilallcontingenciesrelatingtothesalehavebeenresolved.TheAuthoritybasesitsestimatesonhistoricalresults,takingintoconsiderationthetypeofcustomer,thetypeoftransaction,andthespecificsofeacharrangement.

Revenueismeasuredatthefairvalueoftheconsiderationreceivedorreceivable.Amountsdisclosedasrevenuearenetofreturns,tradeallowances,rebatesandamountscollectedonbehalfofthirdparties.

Revenueisrecognisedforthemajorbusinessactivitiesasfollows:

(i) Sale of goods and services

RevenueisrecognisedwhentheAuthoritytransfersthesignificantrisksandrewardsofownershipoftheassetsandobtainscontroloftheassetsthatresultfromsales.

(ii) Grants and contributions

AnunconditionalcontributionandgrantsreceivedarerecognisedasrevenuewhentheAuthorityobtainscontrolovertheassetscomprisingthecontribution.Controlovercontributionsisnormallyobtaineduponthereceiptofcash.

Whereanyunspentcontributionsatyearendarerepayabletothefundingbodiesinthefollowingfinancialyear,theunspentcontributionsareaccountedforasliabilitiesratherthanrevenue.

(iii) Investment revenue

Investmentrevenuecomprisesinterestincomeonfundsinvestedwithfinancialinstitutions.Anychangesinfairvalueoffinancialassetsheldwiththefinancialinstitutionsismeasuredatfairvaluethroughprofitandlossaccountandrecognisedusingtheeffective

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interestmethodassetoutinAASB139Financial Instruments: Recognition and Measurement.

(iv) Other revenue

Otherrevenueisrecognisedwhentherighttoreceivetherevenuehasbeenestablished.

c) Expenses

AllexpensesincurredonanaccrualbasisarerecognisedasexpenditurefortheyeartotheextentthattheAuthorityhasbenefitedbyreceivinggoodsorservicesandtheexpenditurecanbereliablymeasured.

Employee expenses

Employeeexpensesincludessalariesandwagesfortheyear,workerscompensationinsurancepremiumfortheyear,9%definedcontributionincurredforemployeesunderdefinedcontributionschemeandamountsnominatedbythefundmanagersinrespectofdefinedbenefitschemes.

Depreciation expenses

TheAuthoritydoesnotownanyassets.

Insurance expenses

TheAuthorityholdsinsurancepoliciescoveringproperty,publicliability,workerscompensation,directors’liabilityandothercontingencies.TheseinsurancecoversareconductedthroughtheNSWTreasuryManagedFundSchemeofselfinsuranceforGovernmentagencies.ThepremiumisdeterminedbytheFundManagerbasedonpastclaimexperienceandtheinsurancecoverageisreviewedperiodicallytoensurethatitisadequate.

Finance costs

Financecostsincurredfortheconstructionofanyqualifyingassetarecapitalisedduringtheperiodoftimethatisrequiredtocompleteandpreparetheassetforitsintendeduseorsale.Otherfinancecostsareexpensed.

d) Assets

(i) Cash and cash equivalent

Cashandcashequivalentsincludecashonhand,depositsheldatcallwithfinancialinstitutionsandothershort-term,highlyliquidinvestmentswiththeNSWTreasuryCorporation’sHour-Glassfacilities.Thesearereadilyconvertibletocashandclassifiedascashandcashequivalents.

(ii) Receivables

Receivablesincludetrade,interagencyandotherreceivables.

Tradeandotherreceivablesarenon-derivativefinancialassetswithfixedordeterminablepaymentsthatarenotquotedinanactivemarket.Thesefinancialassetsarerecognisedinitiallyatfairvalue,usuallybasedonthetransactioncostorfacevalue.Subsequentmeasurementisatamortisedcostusingtheeffectiveinterestmethod,lessanallowanceforanyimpairmentofreceivables.

Collectabilityoftradereceivablesisreviewedonanongoingbasis.Debtswhichareknowntobeuncollectiblearewrittenoffbyreducingthecarryingamountdirectly.Anychangesarerecognisedinthesurplus/(deficit)fortheyearwhenimpaired,derecognisedorthroughtheamortisationprocess.AnallowanceaccountisusedwhenthereisobjectiveevidencethattheAuthoritywillnotbeabletocollectallamountsdueaccordingtotheoriginaltermsofthereceivables.Significantfinancialdifficultiesofthedebtor,probabilitythatthedebtorwillenterbankruptcyorfinancialreorganisation,anddefaultordelinquencyinpayments,areconsideredindicatorsthatthetradereceivableisimpaired.

Theamountoftheimpairmentallowanceisthedifferencebetweentheasset’scarryingamountandthepresentvalueofestimatedfuturecashflows,discountedattheoriginaleffectiveinterestrate.Short-termreceivableswithnostatedinterestratearemeasuredattheoriginalinvoiceamountwheretheeffectofdiscountingisimmaterial.

Theamountoftheimpairmentlossisrecognisedintheincomestatementwithinotherexpenses.Whenatradereceivableforwhichanimpairmentallowancehadbeenrecognisedbecomesuncollectibleinasubsequentperiod,itiswrittenoffagainsttheallowanceaccount.Subsequentrecoveriesofamountspreviouslywrittenoffarecreditedagainstotherexpensesintheincomestatement.

(iii) Impairment of financial assets

Allfinancialassets,exceptthosemeasuredatfairvaluethroughtheStatementofComprehensiveIncome,aresubjecttoanannualreviewforimpairment.Anallowanceforimpairmentisestablishedwhenthereisobjectiveevidencethattheentitywillnotbeabletocollectallamountsdue.

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Forfinancialassetscarriedatamortisedcost,theamountoftheallowanceisthedifferencebetweentheassets’carryingamountandthepresentvalueofestimatedfuturecashflows,discountedattheeffectiveinterestrate.TheamountoftheimpairmentlossisrecognisedintheStatementofComprehensiveIncome.

Whenanavailableforsalefinancialassetisimpaired,theamountofthecumulativelossisremovedfromequityandrecognisedintheStatementofComprehensiveIncome,basedonthedifferencebetweentheacquisitioncost(netofanyprincipalrepaymentandamortisation)andcurrentfairvalue,lessanyimpairmentlosspreviouslyrecognisedintheStatementofComprehensiveIncome.

AnyreversalsofimpairmentlossesarereversedthroughtheStatementofComprehensiveIncome,wherethereisobjectiveevidence,theonlyexceptionbeingreversalsofimpairmentlossesonaninvestmentinanequityinstrumentclassifiedas“availableforsale”mustbemadethroughthereserve.Reversalsofimpairmentlossesoffinancialassetscarriedatamortisedcostcannotresultinacarryingamountthatexceedswhatthecarryingamountwouldhavebeenhadtherenotbeenanimpairmentloss.

(iv) De-recognition of financial assets and financial liabilities

Afinancialassetisderecognisedwhenthecontractualrightstothecashflowsfromthefinancialassetsexpire;oriftheAuthoritytransfersthefinancialasset:

• Wheresubstantiallyalltherisksandrewardshavebeentransferredor;

• WheretheAuthorityhasnottransferredsubstantiallyalltherisksandrewards,ifithasnotretainedcontrol.

WheretheAuthorityhasneithertransferrednorretainedsubstantiallyalltherisksandrewardsortransferredcontrol,theassetisrecognisedtotheextentoftheAuthority’scontinuinginvolvementintheasset.

Afinancialliabilityisderecognisedwhentheobligationspecifiedinthecontractisdischargedorcancelledorexpires.

(v) Other Assets

Otherassetsincludesuperannuationassetsandprepayments.Otherassetsarerecognisedonacostbasis.

(iv) Property, plant and equipment

TheAuthorityhasnotacquiredanypropertyplantandequipmentsinceinception.Itdidnotownanyassetsasatthebalancedate.TheRedfern-WaterlooAuthoritycurrentlychargesafeetotheAuthorityfortheuseofitspropertyplantandequipment.

Maintenance

Day-to-dayservicingcostsormaintenancearechargedasexpensesasincurred,exceptwheretheyrelatetothereplacementofapartorcomponentofanasset,inwhichcasethecostsarecapitalisedanddepreciated.Nomaintenanceexpenseswerecapitalisedduringtheperiod.

(vii) Leased assets

TheAuthoritydidnotownanyleasedassetsasatthebalancedate.

(viii) Investment properties

TheAuthoritydidnotownanyinvestmentpropertiesasatthebalancedate.

(ix) Intangible assets

TheAuthoritydidnotownanyintangibleassetsasatthebalancedate.

e) Liabilities

(ii) Trade and other payables

TheseamountsrepresentliabilitiesforgoodsandservicesprovidedtotheAuthorityandotheramounts.Payablesarerecognisedinitiallyatfairvalue,usuallybasedonthetransactioncostorfacevalue.Subsequentmeasurementisatamortisedcostusingtheeffectiveinterestmethod.Short-termpayableswithnostatedinterestratearemeasuredattheoriginalinvoiceamountwheretheeffectofdiscountingisimmaterial.

(ii) Employee benefits

Wages and salaries, annual leave and sick leave

Liabilitiesforwagesandsalaries,includingnon-monetarybenefitsandannualleaveexpectedtobesettledwithintwelvemonthsofthereportingdatearerecognisedinrespectofemployees’serviceuptothereportingdateatundiscountedamountsandaremeasuredattheamountsexpectedtobepaidwhentheliabilitiesaresettled.

Long-termannualleavethatisnotexpectedtobetakenwithintwelvemonthsismeasuredatpresent

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valueinaccordancewithAASB119EmployeeBenefits.Marketyieldsongovernmentbondsof5.21%wereappliedtodiscountlong-termannualleave.

Long service leave

Theliabilityforlongserviceleaveisrecognisedintheprovisionforemployeebenefitsandmeasuredasthepresentvalueofexpectedfuturepaymentstobemadeinrespectofservicesprovidedbyemployeesuptothereportingdateusingthediscountmethod.Considerationisgiventoexpectedfuturewageandsalarylevels,experienceofemployeedeparturesandperiodsofservice.Expectedfuturepaymentsarediscountedusingmarketyieldsatthereportingdateonnationalgovernmentbondswithtermstomaturityandcurrencythatmatch,ascloselyaspossible,theestimatedfuturecashoutflows.

Provisionsmadeinrespectofemployeebenefitswhicharenotexpectedtobesettledwithin12monthsaremeasuredatthepresentvalueoftheestimatedfuturecashoutflowstobemadebytheconsolidatedentityinrespectofservicesprovidedbyemployeesuptoreportingdate.Thegovernmentbondrateof5.21%wasappliedfordiscountingpurposes.

Theoutstandingamountsofpayrolltax,workers’compensation,insurancepremiumsandfringebenefitstax,whichareconsequentialtoemployment,arerecognisedasliabilitiesandexpenseswhentheemployeebenefitstowhichtheyrelatehavebeenrecognised.

Retirement benefit obligations

AllemployeesoftheAuthorityareentitledtohavecontributionsmadetoanominatedordefaultsuperannuationplanontheirbehalf,inaccordancewiththeSuperannuationGuaranteelegislation.TheliabilityoftheAuthorityislimitedtotheamountofthecontributionsrequiredbythelegislationandisrecognisedasanexpenseasthecontributionsbecomepayable.

(iii) Provisions

ProvisionsarerecognisedwhentheAuthorityhasapresentobligationasaresultofapastevent,itisprobablethattheAuthoritywillberequiredtosettletheobligation,andareliableestimatecanbemadeoftheamountoftheobligation.

Provisionsaremeasuredatthepresentvalueofmanagement’sbestestimateoftheexpenditurerequiredtosettlethepresentobligationatthereportingdate.Thediscountrateusedtodetermine

thepresentvaluereflectscurrentassessmentsofthetimevalueofmoneyandtherisksspecifictotheliability.Theincreaseintheprovisionduetothepassageoftimeisrecognisedasinterestexpense.

f) Comparative information

TherearenocomparativebalancesastheAuthoritywasincorporatedon17December2010anditcommenceditsoperationfromthatdate.

Application of new and revised Accounting Standards

StandardsandInterpretationsaffectingamountsreportedinthecurrentperiod(and/orpriorperiods)

ThefollowingnewandrevisedStandardsandInterpretationshavebeenadoptedinthecurrentperiodandhaveaffectedtheamountsreportedinthesefinancialstatements.DetailsofotherStandardsandInterpretationsadoptedinthesefinancialstatementsbutthathavehadnoeffectontheamountsreportedaresetoutinsection(ii).

Standards affecting presentation and disclosure

• AmendmentstoAASB7‘FinancialInstruments:Disclosure’(adoptedinadvanceofeffectivedateof1January2011).Theamendments(partofAASB2010-4‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’)clarifytherequiredlevelofdisclosuresaboutcreditriskandcollateralheldandproviderelieffromdisclosurespreviouslyrequiredregardingrenegotiatedloans.NotapplicabletotheAuthorityasatthebalancedate.

• AmendmentstoAASB5‘Non-currentAssetsHeldforSaleandDiscontinuedOperations’.DisclosuresinthesefinancialstatementshavebeenmodifiedtoreflecttheclarificationinAASB2009-5‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’thatthedisclosurerequirementsinStandardsotherthanAASB5donotgenerallyapplytononcurrentassetsclassifiedasheldforsaleanddiscontinuedoperations.NotapplicabletotheAuthorityasatthebalancedate.

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• AmendmentstoAASB101‘PresentationofFinancialStatements’(adoptedinadvanceofeffectivedateof1January2011).Theamendments(partofAASB2010-4‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’)clarifythatanentitymaychoosetopresenttherequiredanalysisofitemsofothercomprehensiveincomeeitherinthestatementofchangesinequityorinthenotestothefinancialstatements.Allmaterialitemsareadequatelydisclosedbywayofnotestothefinancialstatements.

• AmendmentstoAASB107‘StatementofCashFlows’.Theamendments(partofAASB2009-5‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’)specifythatonlyexpendituresthatresultinarecognisedassetinthestatementoffinancialpositioncanbeclassifiedasinvestingactivitiesinthestatementofcashflows.Consequently,cashflowsinrespectofdevelopmentcoststhatdonotmeetthecriteriainAASB138‘IntangibleAssets’forcapitalisationaspartofaninternallygeneratedintangibleasset(and,therefore,arerecognisedinprofitorlossasincurred)havebeenreclassifiedfrominvestingtooperatingactivitiesinthestatementofcashflows.NotapplicabletotheAuthorityasatthebalancedate.

Standards and Interpretations affecting the reported results or financial position

TherearenonewandrevisedStandardsandInterpretationsadoptedinthesefinancialstatementsaffectingthereportingresultsorfinancialposition.

ii Standards and Interpretations adopted with no effect on financial statements

ThefollowingnewandrevisedStandardsandInterpretationshavealsobeenadoptedinthesefinancialstatements.Theiradoptionhasnothadanysignificantimpactontheamountsreportedinthesefinancialstatementsbutmayaffecttheaccountingforfuturetransactionsorarrangements.

AASB2009-5‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’

ExceptfortheamendmentstoAASB5andAASB107describedearlierthissection,theapplicationofAASB2009-5hasnothadanymaterialeffectonamountsreportedinthefinancialstatements.

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AASB2009-8‘AmendmentstoAustralianAccountingStandards–GroupCash-SettledSharebasedPaymentTransactions’

TheapplicationofAASB2009-makesamendmentstoAASB2‘Share-basedPayment’toclarifythescopeofAASB2,aswellastheaccountingforgroupcash-settledshare-basedpaymenttransactionsintheseparate(orindividual)financialstatementsofanentityreceivingthegoodsorserviceswhenanothergroupentityorshareholderhastheobligationtosettletheaward.TheCouncil’sfinancialstatementsarenotimpactedbythisamendments.

AASB2009-10‘AmendmentstoAustralianAccountingStandards–ClassificationofRightsIssues’

TheapplicationofAASB2009-10makesamendmentstoAASB132‘FinancialInstruments:Presentation’toaddresstheclassificationofcertainrightsissuesdenominatedinaforeigncurrencyaseitheranequityinstrumentorasafinancialliability.Todate,theAuthorityhasnotenteredandithasnolegalrighttoenterintoanyarrangementsthatwouldfallwithinthescopeoftheamendments.

AASB2010-3‘AmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’

TheapplicationofAASB2010-3makesamendmentstoAASB3(2008)‘BusinessCombinations’toclarifythatthemeasurementchoiceregardingnon-controllinginterestsatthedateofacquisitionisonlyavailableinrespectofnoncontrollingintereststhatarepresentownershipinterestsandthatentitletheirholderstoaproportionateshareoftheentity’snetassetsintheeventofliquidation.Allothertypesofnoncontrollinginterestsaremeasuredattheiracquisition-datefairvalue,unlessanothermeasurementbasisisrequiredbyotherStandards.

Inaddition,theapplicationofAASB2010-3makesamendmentstoAASB3(2008)togivemoreguidanceregardingtheaccountingforshare-basedpaymentawardsheldbytheacquiree’semployees.Specifically,theamendmentsspecifythatshare-basedpaymenttransactionsoftheacquireethatarenotreplacedshouldbemeasuredinaccordancewithAASB2‘Share-basedPayment’attheacquisitiondate(‘market-basedmeasure’).ThisamendmentisnotapplicabletotheAuthority.



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Interpretation19‘ExtinguishingFinancialLiabilitieswithEquityInstruments’

ThisInterpretationprovidesguidanceregardingtheaccountingfortheextinguishmentofafinancialliabilitybytheissueofequityinstruments.Inparticular,theequityinstrumentsissuedundersucharrangementswillbemeasuredattheirfairvalue,andanydifferencebetweenthecarryingamountofthefinancialliabilityextinguishedandthefairvalueofequityinstrumentsissuedwillberecognisedinprofitorloss.ThisamendmentisnotapplicabletotheAuthority.

iii Standards and Interpretations in issue not yet adopted

Atthedateofauthorisationofthefinancialstatements,theStandardsandInterpretationslistedbelowwereinissuebutnotyeteffective.

Standard/Interpretation Effective for annual reporting periods beginning on or after

Expected to be initially applied in the financial year ending

AASB124‘RelatedPartyDisclosures’(revisedDecember2009),AASB2009-12‘AmendmentstoAustralianAccountingStandards’

1January2011 30June2012

AASB9‘FinancialInstruments’,AASB2009-11‘AmendmentstoAustralianAccountingStandardsarisingfromAASB9’andAASB2010-7‘AmendmentstoAustralianAccountingStandardsarisingfromAASB9(December2010)’


AASB2009-14‘AmendmentstoAustralianInterpretation–PrepaymentsofaMinimumFundingRequirement’


AASB2010-5‘AmendmentstoAustralianAccountingStandards’


AASB2010-6‘AmendmentstoAustralianAccountingStandards–DisclosuresonTransfersofFinancialAssets’

1July2011 30June2012

AASB2010-8‘AmendmentstoAustralianAccountingStandards–DeferredTax:RecoveryofUnderlyingAssets


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4. DETERMINATION OF FAIR VALUES

Anumberofaccountingpoliciesanddisclosuresrequirethedeterminationoffairvalue,forbothfinancialandnon-financialassetsandliabilities.Fairvalueshavebeendeterminedformeasurementand/ordisclosurepurposesbasedonthefollowingmethods:

(i) Trade and other receivables

Thefairvalueoftradeandotherreceivablesisbasedonthenetrealisablevalueafterconsideringanypossiblerisksofimpairment.Alltradeandotherreceivables,afterimpairment,areexpectedtobereceivedwithinashortperiodoftimeandconsideredasfairvaluesatthedatewhengoodsandserviceswereprovided.

(ii) Trade and other payables

Tradeandotherpayablesareexpectedtobepaidwithinashortperiodoftimeandwereconsideredasfairvaluesatthedategoodsandserviceswereacquired.

Whenapplicable,furtherinformationabouttheassumptionsmadeindeterminingfairvaluesaredisclosedinthenotesspecifictotheassetsortheliability.

5. FINANCIAL RISK MANAGEMENT

TheAuthorityhasexposuretothefollowingrisksfromtheuseoffinancialinstruments:

• Creditrisk

• Liquidityrisk

• Marketrisk

• Operationalrisk

ThisnotepresentsinformationabouttheAuthority’sexposuretoeachoftheaboverisks,theirobjectives,policies,andprocessesformeasuringandmanagingrisk,andthemanagementofcapital.Furtherquantitativedisclosuresareincludedthroughtheseconsolidatedfinancialstatements.

Risk Management framework

TheBoardofDirectorshastheoverallresponsibilityfortheestablishmentandoversightoftheriskmanagementframework.TheChiefExecutiveOfficerisresponsiblefordevelopingandmonitoringtheoverallriskmanagementstrategyandpoliciesfortheAuthority.TheChiefExecutiveOfficerisresponsiblefortheestablishmentandoversightofriskmanagementandreviewstheAuthority’s

activitiesandassets.TheChiefAuditExecutivereportstotheAuditandRiskCommittee,whichinturnreportsregularlytotheBoardonitsactivities.

Initsstart-upphase,theAuthorityisestablishingriskmanagementpoliciestoidentifyandanalysetherisksfacedbytheAuthorityinsettingappropriaterisklimitsandcontrols,andtomonitorriskandadherencetolimits.RiskmanagementpoliciesandsystemswillbereviewedregularlytoreflectchangesinmarketconditionsandtheAuthority’sactivities.TheAuthority,throughtraininginandimplementationofpoliciesandprocedureswilldevelopadisciplinedandconstructivecontrolenvironmentinwhichallemployeesunderstandtheirrolesandobligations.

TheAuditandRiskCommitteeoverseeshowmanagementmonitorscompliancewiththeriskmanagementpoliciesandproceduresandwillreviewtheadequacyoftheriskmanagementframeworkinrelationtorisksfacedbytheAuthority.TheChiefExecutiveinthecapacityoftheChiefAuditExecutivewillmanagetheinternalauditfunctionbyconductingscheduledandadhocreviewsofriskmanagementcontrolprocedures,theresultsofwhichwillbereportedtotheAuditandRiskCommittee.

TheAuthority’sprincipalfinancialinstrumentscomprisecashandshorttermdeposits.ThemainpurposeofthesefinancialinstrumentsistofundtheAuthority’soperations.TheAuthorityhasvariousotherfinancialinstrumentssuchasdebtorsandtradecreditors,whicharisedirectlyfromitsoperations.Itis,andhasbeenthroughouttheperiodunderreview,theAuthority’spolicythatnotradinginfinancialinstrumentsshallbeundertaken.ThemainrisksarisingfromtheAuthority’sfinancialinstrumentsareinterestraterisk,liquidityriskandcreditrisk.Theexecutivewillreviewandagreepoliciesformanagingeachoftheserisksandthesearesummarisedbelow.

(a) Credit Risk

CreditriskistheriskoffinanciallosstotheAuthorityifadebtororcounterpartytoafinancialinstrumentfailstomeetitscontractualobligations.CreditriskarisesfromthefinancialassetsoftheAuthority,includingcash,receivablesandtermdeposits.Themaximumexposuretocreditriskisgenerallyrepresentedbythecarryingamountofthefinancialassets(netofanyallowanceforimpairment).TheAuthorityhasnotgrantedanyfinancialguarantees.

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(i) Cash

CashcomprisescashonhandandbankbalanceswiththeWestpacBankofAustralia.Interestisearnedondailybankbalancesatthemonthlyaveragecashrate.ItistheAuthority’spracticetodealwithbanksof“AAA”ratingsrecommendedbytheNSWGovernment.

(ii) Receivables

TheAuthority’sexposuretocreditrisksisinfluencedmainlybytheindividualcharacteristicsofeachdebtor.TheAuthorityhastradedebtsandotherdebts.

• Trade debts

Tradedebtorsaremainlyinteragencyreceivablesrecognisedasamountsreceivableatbalancedate.Collectabilityoftradedebtorsisreviewedonanongoingbasisfromthemonthlyagedanalysisreport.TheDirectorofFinanceandCorporateServicesisresponsibleforthecreditcontrolfunctionofalloutstandingtradedebtors.Debtswhichareknowntobeuncollectiblearewrittenoff.Anallowanceforimpairmentisraisedwhenthereisobjectiveevidencethattheentitywillnotbeabletocollectallamountsdue.Thisevidenceincludespastexperience,andcurrentandexpectedchangesineconomicconditions.Thecreditriskisthecarryingamount(netofanyallowanceforimpairment).TheaveragecreditperiodextendedbytheAuthorityisproposedtobe30days.Nointerestischargedontheoverdueinvoicesanddebtors.

TherevenuestreamfortheAuthoritymainlyconsistsofGovernmentgrantsagainstwhichtherecanbenodoubtfuldebts.AsignificantportionofthetradereceivablesbalanceisduefromGeneralGovernmententitiesandthebalanceisduefromPublicTradingEnterprises.

• Other debts

TheAuthorityisexposedtovariousconcentrationsofcreditrisktootherdebts.Thesedebtswereincurredasaresultofthepaymentofminoradvancesrepayablewithininashortperiodoftime.Thecreditriskisexposedinthemonthlyagedanalysisreport.TheDirectorofFinanceandCorporateServicesisresponsibleforthecollectabilityofdebts.

(b) Liquidity Risk

LiquidityriskistheriskthattheAuthoritywillbeunabletomeetitspaymentobligationswhentheyfalldue.TheAuthoritycontinuouslymanagesthe

riskthroughmonitoringandplanningfuturecashflowsandensureadequateholdingofliquidassets.Theobjectiveistomaintainabalancebetweencontinuityoffundingandflexibilitythroughtheuseofappropriateinvestmentstrategies.

TheliquidityriskthatmightarisefromvariousclassesoffinancialassetsheldbytheAuthorityanditsmanagementisexplainedunderthecreditriskofeachclassoffinancialasset.

Duringtheperiod,therewerenodefaultsorbreachesonanyamountspayabletocreditors.Noassetshavebeenpledgedascollateral.TheAuthority’sexposuretoliquidityriskisdeemedinsignificantbasedonpriorperiods’dataandacurrentassessmentofrisk.

Theliabilitiesarerecognisedforamountsduetobepaidinthefutureforgoodsorservicesreceived,whetherornotinvoiced.Amountsowingtosuppliers(whichareunsecured)aresettledinaccordancewiththepolicysetoutinTreasurer’sDirection219.01.Iftradetermsarenotspecified,paymentismadenolaterthantheendofthemonthfollowingthemonthinwhichaninvoiceorastatementisreceived.Treasurer’sDirection219.01allowstheMinistertoawardinterestforlatepayment.Nointerestwaspaidduringtheyear.

(c) Market risk

Marketriskistheriskthatchangesinmarketprices,suchasforeignexchangerates,interestratesandequitypriceswillaffecttheincomeorvalueoftheholdingsoffinancialinstruments.Theobjectiveofmarketriskmanagementistomanageandcontrolmarketriskexposureswithininacceptableparameters,whileoptimisingthereturn.

TheAuthority’sexposurestomarketriskareasfollows:

• Growth:thedepthandlengthoftheglobaleconomicdownturn,anditsimpactontheinvestmentsheldbytheAuthority

• Systematicrisk:liquidityandcounterpartyrisksinfinancialmarkets

• LackofCorporateGovernance:Universallackofcorporategovernanceleadstofraudandbankruptcies.

TheAuthoritywillmanageitsmarketriskexposurebytheconstructionofariskframeworkthatquantifiesthepossiblerisksoutcomeindifferentevents.

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(i)Currencyrisk

TheAuthorityhasnoexposuretoforeigncurrencyriskonthefinancialinstrumentsatthebalancedate.

(ii)Interestraterisk

TheConsolidatedentityisexposedtointerestrateriskonitsdepositswithbankwhichissubjecttomarketrateofinterest.

(iii)Otherpricerisk

TheAuthorityisnotexposedtoanysignificantpriceriskonthefinancialinstrumentsatthebalancedate.

(d) Operational risk

TheAuthoritywillmanageitsoperationalriskaspartoftheriskmanagementstrategy.OperationalriskistheriskofdirectandindirectlossesarisingfromawidevarietyofcausesassociatedwiththeAuthority’sprocesses,personnel,technology,legalandregulatoryrequirementsandgenerallyacceptedstandardsofcorporatebehaviour.OperationalriskarisesfromalloftheAuthority’soperations.

TheAuthority’sobjectiveistomanageoperationalrisksoastobalancetheavoidanceoffinanciallossesanddamagestotheAuthority’sreputationwithoverallcosteffectivenessandtoavoidcontrolproceduresthatrestrictinitiativeandcreativity.

Theprimaryresponsibilityforthedevelopmentandimplementationofcontrolstoaddressoperationalriskisassignedtoseniormanagementwithineachbusinessunit.Theresponsibilitywillbesupportedbythedevelopmentofstandards,policiesandproceduresinthefollowingareas:

• Requirementsforappropriatesegregationofduties,includingtheindependentauthorisationoftransactions

• Requirementsforthereconciliationandmonitoringoftransactions

• Compliancewithregulatoryandlegalrequirements

• Documentationofcontrolsandprocedures

• Requirementsfortheperiodicreportingtoseniormanagement,relevantcommitteesandtheBoard.

• Trainingandprofessionaldevelopment

• Riskmitigation,includinginsurancewherethisiseffective.

Compliancewithestablishedstandards,policiesandprocedureswillbesupportedbyaprogrammeofperiodicreviewundertakenbyInternalAudit.Theresultsoftheinternalauditreviewswillbediscussedwithmanagementofthebusinessunittowhichtheyrelate,withreportssubmittedtoSeniorManagement,theAuditandRiskCommitteeandtheBoard.

Net fair values of financial assets and liabilities

Thecarryingamountoffinancialassetsandfinancialliabilitiesrecordedinthefinancialstatementsapproximatestheirnetfairvalues.

6. Capital Management

TheAuthoritymanagesitscapitaltoensurethatitwillbeabletocontinueasagoingconcerninordertomeetitsstatutoryobligations.ThecapitalstructureoftheAuthorityconsistsofcashandcashequivalentsandretainedprofits.

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Consolidated SMDA

Period 17 December

to 30 June 2011

Period 17 December to 30 June 2011

$’000 $’000

7 (a) Revenue from continuing operations:

Income from services 1,048 1,048

1,048 1,048

(b) Grants and Contributions

NSW Government agencies (i)

Cash 985 985

In-Kind 515 515

1,500 1,500

(c) Interest from bank deposits 5 5

(i) Grants income received from Sydney Harbour Foreshore Authority.

8 (a) Employee benefit expenses

Salaries and wages 1,357 799

Superannuation 64 --

Leave benefits 58 --

Payroll Tax 33 --

1,512 799

(b) Personal services from OSMDA -- 713

-- 713

(c) Other Expenses

Conferences and seminars 4 4

External Audit 25 25

Legal 27 27

Consultancies and contract expenses 158 158

Accomodation 59 59

Other 271 271

total other expenses 544 544

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Consolidated SMDA



$’000 $’000

9 Surplus for the period

Surplus has been arrived at after charging/(crediting) the following losses/(gains):

Auditor’s remuneration 25 25

Consolidated SMDA

As at 30 June 2011 As at 30 June 2011

10 Cash and Cash Equivalents

Cash on hand and at bank 690 690

690 690

11 Receivables

Current

Trade receivables 426 --

Goods and Services tax recoverable 52 52

Prepayments 8 8

Total trade & other receivables 486 60

12 Ageing of past due but not impaired receivables

Less than 3 months overdue 426 --

3 to 6 months overdue -- --

later than 6 months overdue -- --

426

13 Trade and other payables

Current trade & other payables

Trade payables 132 89

Other Payables 163 164

295 253

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Consolidated SMDA


$’000 $’000

14 Provisions

Employee benefits and related on-costs

Current

Recreation leave

Short term 76 --

Long term 37 --

Long Service leave 14 --

127 --

Non-Current

Long Service leave 257 --

257 --

Total employee benefits 384 --

Total provisions 384 --

15 Accumulated funds

Balance at the beginning of the period -- --

Surplus for the period 497 497

Balance at end of the period 497 497

16 (a) Cash and cash equivalents (Note 10) 690 690

(b) Reconciliation of surplus for the period to net cash from operating activities

Surplus for the period from continuing operations 497 497

decrease/(Increase) in trade and other receivables (486) (60)

(decrease)/Increase in trade and other payables and provisions 679 253

Net cash flows from operating activities 690 690

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Consolidated SMDA


$’000 $’000

17 Commitments for Expenditure

Capital Commitments -- --

Operating commitments 7 7

Payable within one year (inclusive of GST) 7 7

The above includes GST of $636 that is expected to be recoverable from the Australian Taxation Office.

18 Controlled Entities

Name of entity Country of Incorporation 2011

%

The Office of Sydney Metropolitan Development Authority

Australia, NSW-

The Office is a division of the Government Service and provides personnel services to the Authority.

19 Contingent Liabilities

There are no known contingent liabilities for the Authority as at the balance date.

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20 Financial instruments

The Authority’s principal financial instruments, and the main risks associated with them, are outlined below. The financial instruments arise directly from the Authority’s trading activities and operations. The Authority does not enter into or trade in financial instruments for speculative purposes.

Consolidated SMDA


$’000 $’000

Financial instrument categories

Financial assets

Cash & deposits 690 690

Trade & other receivables 486 486

1,176 1,176

Financial liabilities

Trade & other payables 295 295

295 295

Non interest bearing trade payables 295 295

295 295

BankbalancesheldwiththeWestpacbankearnedaninterestof5%duringtheperiod.

TheabovetradereceivablesbalanceisduefromGeneralGovernmententitiesandrecoveredattheendofeachmonth.Nointerestischargedonthisbalanceandthedebtisnotimpaired.

Netfairvaluesoffinancialassetsandliabilities:Thecarryingamountoffinancialassetsandfinancialliabilitiesrecordedinthefinancialstatementsapproximatetheirnetfairvalues.

21 Events after the balance date

On5September2011theNewSouthWalesGovernmenthasapprovedthewindingupoftheRedfern-WaterlooAuthority.Whenwoundup,allassetsandliabilities,rightsandobligationswillbetransferredtotheSydneyMetropolitanDevelopmentAuthority.ThiswillalsoleadtothewindingupofOfficeoftheRedfern-WaterlooAuthorityandtransferallemployeestotheOfficeoftheSydneyMetropolitanDevelopmentAuthority.

ENDOFAUDITEDFINANCIALSTATEMENTS

41

INTERNAl AudIT ANd RISK MANAgEMENT STATEMENT

OSMDA Accounts

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OSMDA Accounts

INdEpENdENT AudIT REpORT

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STATEMENT By MEMBERS Of THE BOARd

Statement by Members of the Board of Sydney Metropolitan Development Authority on the adoption of the financial statements for the year ended 30 June 2011.

Pursuant to Section 41C (1B) of the Public Finance and Audit Act 1983 and in accordance with a resolution of the members of the Board of the Sydney Metropolitan Development Authority, we declare than in our opinion:

1. The accompanying financial statements exhibit a true and fair view of the financial position and financial performance of Sydney Metropolitan Development Authority as at 30 June 2011.2. The financial statements have been prepared in accordance with the Australian Accounting Standards and Interpretations and the provisions of the Public Finance and Audit Act 1983, the Public Finance and Audit Regulation 2010 and the Treasurer’s Directions; and3. We are not aware of any circumstances that would render any particulars included in the financial statements to be misleading or inaccurate.

Dr Col Gellatly AO Roy Wakelin-King AMChairman ChiefExecutiveOfficer

28October2011

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STATEMENT Of cOMpREHENSIvE INcOME

notes Period ended

30-June-2011

$’000

Revenue from continuing operations

Income from personnel services to Authority 5 713

Total income 713

Other Income

Expenditure

Employee benefits expenses 6 713

Total expenditure 713

Surplus for the period --

Other comprehensive income --

Total comprehensive income for the period --

OSMDA Accounts

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OSMDA Accounts

STATEMENT Of fINANcIAl pOSITION

As at 30 June 2011

As at

notes 30-June-2011

$’000

ASSETS

Current assets

Trade and other receivables 8 713

Total current assets 713

Non-current assets --

Total non-current assets --

Total assets 713

LIABILITIES

Current liabilities

Trade and other payables 10 329

Provisions 11 182

Total current liabilities 511

Non current liabilities

Provisions 11 202

Total non current liabilities 202

Total liabilities 713

Net assets --

EQUITY

Accumulated funds 12 --

Contributed equity

Total equity --


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STATEMENT Of cHANgES IN EquITy

Period ended

notes 30-June-2011

$’000

Balance of equity at the beginning of the period --

Total comprehensive income for the period --

Transactions with owners in their capacity as owners --

Balance of equity at the end of the period --


OSMDA Accounts

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OSMDA Accounts


STATEMENT Of cASH flOWS

Period ended

30-June-2011

$’000

inflow/

notes (outflow)

Cash flows from operating activities

Receipts from customers --

Payments to suppliers and employees --

Net cash flows from operating activities 13(b)

Cash flows from investing activities --

Net cash flows used in investing activities --

Cash flows from financing activities --

Net cash flows from financing activities --

Net increase in cash held

Cash and cash equivalents at the beginning of the period --

Cash and cash equivalents at the end of period


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1. REPORTING ENTITY

TheOfficeoftheSydneyMetropolitanDevelopmentAuthority(theOffice)isaDivisionoftheGovernmentService,establishedpursuanttoPart2ofSchedule1tothePublic Sector Employment and Management Act 2010.Itisanotforprofitentity,asprofitisnottheprincipalobjective.ItisconsideredaspartoftheNSWTotalStateSectorAccounts.ItisdomiciledinAustraliaanditsprincipalofficeisatLevel11,Tower2,1LawsonSquare,RedfernNSW2016.

TheOffice’sobjectiveistoprovidepersonnelservicestotheSydneyMetropolitanDevelopmentAuthority(theAuthority).

TheOfficecommencedoperationson17December2010,whenitassumedresponsibilityfortheemployeesandemployee-relatedliabilitiesoftheAuthoritywhoweretransferredfromothergovernmentagencies.Theassumedliabilitieswererecognisedon17December2010togetherwithanoffsettingreceivablerepresentingtherelatedfundingduefromothergovernmentagencies.

TheAuthority(andthereforetheOffice)iscurrentlyfundedbytheNSWGovernmentthroughto30June2012.TheFinancialstatementsfortheyearended30June2011hasbeenauthorisedforissuebytheBoardoftheAuthorityonthe21October,2011.

2. BASIS OF PREPARATION

(a) Statement of Compliance

TheOffice’sfinancialstatementsaregeneralpurposefinancialstatementswhichhavebeenpreparedinaccordancewithapplicableAustralianAccountingStandards(whichincludeAustralianAccountingInterpretations)andtherequirementsofthePublic Finance and Audit Act 1983andRegulation,Treasurer’sDirections,theGrowth Centres (Development Corporations) Act of 1974.

(b) Historical cost convention

Thesefinancialstatementshavebeenpreparedunderthehistoricalcostconvention,asmodifiedbytherevaluationoffinancialassetsandliabilitiesatfairvaluethroughprofitorloss,certainclassesofemployeeentitlements.

(c) Profit status of the Authority

TheOfficehasassesseditsprofitstatusforthefinancialyearended30June2011anddetermineditsstatusasnot-for-profitforfinancialreportingpurposes.

(d) Basis of measurement

Thefinancialstatementshavebeenpreparedonthehistoricalcostbasisexceptforthefollowingmaterialitems:

• Financialinstrumentsatfairvaluethroughprofitandlossandavailableforsalearemeasuredatfairvalue

• Thedefinedbenefitassetismeasuredasthenettotaloftheplanassets,plusunrecognisedpastservicecostandunrecognisedactuariallosses,lessunrecognisedactuarialgainsandthepresentvalueofthedefinedbenefitobligation

(e) Functional and presentation currency

ThesefinancialstatementsarepresentedinAustraliandollars,whichistheAuthority’sfunctionalcurrency.Allamountsareroundedtothenearestonethousanddollarsunlessotherwisestated.

(f) Comparative information

SincetheAuthoritywasincorporatedandtheOfficewasestablishedon17December2010andcommencedoperationonthesamedaythefinancialstatementswaspreparedfrom17Decemberto30June2011.Therefore,thereisnocomparativeinformationtoreportforthisperiod.

(f) Use of estimates and judgements

Thepreparationoffinancialstatementsrequiresmanagementtomakejudgements,estimatesandassumptionsthataffecttheapplicationofaccountingpoliciesandreportedamountstoassets,liabilities,incomeandexpensesthatarenotreadilyapparentfromothersources.

Theestimatesandassociatedassumptionsarebasedonhistoricalexperienceandotherfactorsthatareconsideredtoberelevant.Estimatesandunderlyingassumptionsarereviewedonanongoingbasis.Revisionstoaccountingestimatesarerecognisedintheperiodinwhichtheestimatesarerecognised,orintheperiodinwhichtheestimateisrevisediftherevisionaffectsonlythatperiod,orintheperiodoftherevisionandfutureperiodsiftherevisionaffectsbothcurrentandfutureperiods.

Informationaboutcriticaljudgementsinapplyingaccountingpoliciesthathavethemostsignificanteffectontheamountsrecognisedinthefinancialstatementsisincludedininnotes3(f)and3(h).

Informationaboutassumptionsandestimationsthatmayresultinadjustmentsinthefuturefinancialyearisincludedininnotes3(f)and3(h).

OSMDA Accounts


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(g) Changes in accounting policy

Inthecurrentyear,theOfficehasadoptedallofthenewandrevisedStandardsandInterpretationsthatarerelevanttoitsoperationsandwhichareeffectiveforannualreportingperiodsbeginningon1July2011.Asaresult,theOfficehaschangeditsaccountingpoliciesanddisclosureinrelationtothepresentationoffinancialstatements.

Whenthepresentationorclassificationofitemsinthefinancialstatementsareamended,comparativeamountsarereclassifiedunlessthereclassificationisimpracticable.Whencomparativeamountsarereclassified,theOfficediscloses:

i)thenatureofthereclassification;ii)theamountofeachitemorclassofitems

thatisreclassified;andiii)thereasonforthereclassification.

3. STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

Setoutbelowisasummaryofthesignificantaccountingpoliciesthathavebeenappliedconsistentlytoallperiodspresentedinthesefinancialstatements,exceptasexplainedinnotes2(e),3(a)(iv),and3(c)(v),whichaddresschangesinaccountingpolicies.

Certaincomparativeamountshavebeenreclassifiedtoconformwiththecurrentyear’spresentation.

a) Goods and services tax (GST)

Revenues,expensesandassetsarerecognisednetoftheamountofassociatedGST,unlesstheGSTincurredisnotrecoverablefromtheAustralianTaxationOffice.Inthiscaseitisrecognisedaspartofthecostofacquisitionoftheassetoraspartoftheexpense.ReceivablesandpayablesarestatedinclusiveoftheamountofGSTreceivableorpayable,ifany.ThenetamountofGSTrecoverablefrom,orpayableto,theAustralianTaxationOfficeisincludedwithotherreceivablesorpayablesinthebalancesheet.

Cashflowsareincludedinthecashflowstatementonagrossbasis.However,theGSTcomponentsofcashflowsarisingfrominvestingandfinancingactivitieswhichisrecoverablefrom,orpayableto,theAustralianTaxationOfficeareclassifiedasoperatingcashflows.

b) Income tax

TheOfficeisnotliableforIncomeTaxasitisanentityestablishedandcontrolledbytheNewSouthWalesGovernment.

c) Revenue recognition

Revenueismeasuredatthefairvalueoftheconsiderationreceivedorreceivable.Revenuefromtherenderingofpersonnelservicesisrecognisedwhentheserviceisprovidedandonlytotheextentthattheassociatedrecoverableexpensesarerecognised.

d) Expenses

AllexpensesincurredonanaccrualbasisarerecognisedasexpenditurefortheyeartotheextentthattheOfficehasbenefitedbyreceivinggoodsorservicesandtheexpenditurecanbereliablymeasured.

e) Employee expenses

Employeeexpensesincludessalariesandwagesfortheyear,workerscompensationinsurancepremiumfortheyear,9%definedcontributionincurredforemployeesunderdefinedcontributionschemeandamountsnominatedbythefundmanagersinrespectofdefinedbenefitschemes.AnnualleaveandlongserviceleaveexpensesarechargedasstatedinNote3(h).

f) Receivables

Tradereceivablesarerecognisedinitiallyatfairvalueandsubsequentlymeasuredatcostusingtheeffectiveinterestmethod,lessprovisionforimpairment.

Collectabilityoftradereceivablesisreviewedonanongoingbasis.Debts,whichareknowntobeuncollectible,arewrittenoffbyreducingthecarryingamountdirectly.Anallowanceforimpairmentaccountisusedwhenthereisobjectiveevidencethatthecorporationwillnotbeabletocollectallamountsdueaccordingtotheoriginaltermsofthereceivables.Significantfinancialdifficultiesofthedebtor,probabilitythatthedebtorwillenterbankruptcyorfinancialreorganisationanddefaultordelinquencyinpaymentsareconsideredindicatorsthatthetradereceivableisimpaired.

g) Payables

Payablesincludeaccruedwages,salaries,andrelatedoncosts(suchaspayrolltax,fringebenefitstaxandworker’scompensationinsurance)wherethereiscertaintyastotheamountandtimingofsettlement.

Apayableisrecognisedwhenapresentobligationarisesunderacontractorotherwise.Itisderecognisedwhentheobligationexpiresorisdischarged,cancelledorsubstituted.

Ashort-termpayablewithnostatedinterestrateismeasuredathistoricalcostiftheeffectofdiscontinuingisimmaterial.

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h) Employee benefits

(i) Wages and salaries, annual leave and sick leave

Liabilitiesforwagesandsalaries,includingnon-monetarybenefitsandannualleavesickleaveexpectedtobesettledwithintwelvemonthsofthereportingdatearerecognisedinrespectofemployees’serviceuptothereportingdateatundiscountedamountsandaremeasuredattheamountsexpectedtobepaidwhentheliabilitiesaresettled.

Long-termannualleavethatisnotexpectedtobetakenwithintwelvemonthsismeasuredatpresentvalueinaccordancewithAASB119EmployeeBenefits.Marketyieldsongovernmentbondsof5.21%(20105.50%%)wereappliedtodiscountlong-termannualleave.

(ii) Long service leave

Theliabilityforlongserviceleaveisrecognisedintheprovisionforemployeebenefitsandmeasuredasthepresentvalueofexpectedfuturepaymentstobemadeinrespectofservicesprovidedbyemployeesuptothereportingdateusingthediscountmethod.Considerationisgiventoexpectedfuturewageandsalarylevels,experienceofemployeedeparturesandperiodsofservice.Expectedfuturepaymentsarediscountedusingmarketyieldsatthereportingdateonnationalgovernmentbondswithtermstomaturityandcurrencythatmatch,ascloselyaspossible,theestimatedfuturecashoutflows.

Provisionsmadeinrespectofemployeebenefitswhicharenotexpectedtobesettledwithin12monthsaremeasuredatthepresentvalueoftheestimatedfuturecashoutflowstobemadebytheconsolidatedentityinrespectofservicesprovidedbyemployeesuptoreportingdate.Thegovernmentbondrateof5.21%(20105.50%)wasappliedfordiscountingpurposes.

Theoutstandingamountsofpayrolltax,workers’compensation,insurancepremiumsandfringebenefitstax,whichareconsequentialtoemployment,arerecognisedasliabilitiesandexpenseswhentheemployeebenefitstowhichtheyrelatehavebeenrecognised.

(iii) Retirement benefit obligations

AllemployeesoftheOfficeareentitledtobenefitsfromtheOffice’ssuperannuationplanonretirement,disabilityordeath.TheOfficehasadefinedbenefitplanandadefinedcontributionplan.ThedefinedcontributionplanreceivesfixedcontributionsfromtheOfficeandtheOffice’slegalorconstructiveobligationislimitedtothesecontributions.Contributionstothedefinedcontributionfundarerecognisedasanexpenseastheybecomepayable.Prepaidcontributionsarerecognisedasanassettotheextentthatacashrefundorareductioninthefuturepaymentsisavailable.

Aliabilityorassetofdefinedbenefitssuperannuationplansisrecognisedinthebalancesheetandismeasuredasthepresentvalueofthedefinedbenefitobligationatthereportingdatelessthefairvalueofthesuperannuationfund’sassetsatthatdateandanyunrecognisedpastservicecost.Thepresentvalueofthedefinedbenefitobligationsisbasedonexpectedfuturepaymentswhicharisefrommembershipofthefundtothereportingdate,calculatedannuallybyindependentactuariesusingtheprojectedunitcreditmethod.Considerationisgiventoexpectedfuturewageandsalarylevels,experienceofemployeedeparturesandperiodsofservice.

Expectedfuturepaymentsarediscountedusingmarketyieldsatthereportingdateonnationalgovernmentbondswithtermstomaturityandcurrencythatmatch,ascloselyaspossible,theestimatedfuturecashoutflows.

Pastservicecostsarerecognisedimmediatelyinincome,unlessthechangestothesuperannuationfundareconditionalontheemployeesremaininginserviceforaspecifiedperiodoftime(thevestingperiod).Inthiscase,thepastservicecostsareamortisedonastraight-linebasisoverthevestingperiod.

Contributionstothedefinedcontributionfundarerecognisedasanexpenseastheybecomepayable.Prepaidcontributionsarerecognisedasanassettotheextentthatacashrefundorareductioninthefuturepaymentsisavailable.

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j) Application of new and revised Accounting Standards

(i) Standards and Interpretations affecting amounts reported in the current period (and/or prior periods)

ThefollowingnewandrevisedStandardsandInterpretationshavebeenadoptedinthecurrentperiodandhaveaffectedtheamountsreportedinthesefinancialstatements.DetailsofotherStandardsandInterpretationsadoptedinthesefinancialstatementsbutthathavehadnoeffectontheamountsreportedaresetoutinsection(iv).

(ii) Standards affecting presentation and disclosure

• AmendmentstoAASB101‘PresentationofFinancialStatements’(adoptedinadvanceofeffectivedateof1January2011).Theamendments(partofAASB2010-4‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’)clarifythatanentitymaychoosetopresenttherequiredanalysisofitemsofothercomprehensiveincomeeitherinthestatementofchangesinequityorinthenotestothefinancialstatements.Allmaterialitemsareadequatelydisclosedbywayofnotestothefinancialstatements.

(iii) Standards and Interpretations adopted with no effect on financial statements

ThefollowingnewandrevisedStandardsandInterpretationshavealsobeenadoptedinthesefinancialstatements.Theiradoptionhasnothadanysignificantimpactontheamountsreportedinthesefinancialstatementsbutmayaffecttheaccountingforfuturetransactionsorarrangements.

AmendmentstoAASB7‘FinancialInstruments:Disclosure’(adoptedinadvanceofeffectivedateof1January2011)

Theamendments(partofAASB2010-4‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’).ThisamendmentisnotapplicabletotheOffice.

AmendmentstoAASB5‘Non-currentAssetsHeldforSaleandDiscontinuedOperations’

DisclosuresinthesefinancialstatementshavebeenmodifiedtoreflecttheclarificationinAASB2009-5‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’.

ThedisclosurerequirementsinStandardsotherthanAASB5donotgenerallyapplytononcurrentassetsclassifiedasheldforsaleanddiscontinuedoperationsThisamendmentisnotapplicabletotheOffice.

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AmendmentstoAASB107‘StatementofCashFlows’ Theamendments(partofAASB2009-5‘FurtherAmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’)specifythatonlyexpendituresthatresultinarecognisedassetinthestatementoffinancialpositioncanbeclassifiedasinvestingactivitiesinthestatementofcashflows.Consequently,cashflowsinrespectofdevelopmentcoststhatdonotmeetthecriteriainAASB138‘IntangibleAssets’forcapitalisationaspartofaninternallygeneratedintangibleasset(and,therefore,arerecognisedinprofitorlossasincurred)havebeenreclassifiedfrominvestingtooperatingactivitiesinthestatementofcashflows.ThisamendmentisnotapplicabletotheOffice.



AASB2009-8‘AmendmentstoAustralianAccountingStandards–GroupCash-SettledSharebasedPaymentTransactions’

TheapplicationofAASB2009-8makesamendmentstoAASB2‘Share-basedPayment’toclarifythescopeofAASB2,aswellastheaccountingforgroupcash-settledshare-basedpaymenttransactionsintheseparate(orindividual)financialstatementsofanentityreceivingthegoodsorserviceswhenanothergroupentityorshareholderhastheobligationtosettletheaward.TheCouncil’sfinancialstatementsarenotimpactedbythisamendments.

AASB2009-10‘AmendmentstoAustralianAccountingStandards–ClassificationofRightsIssues’

TheapplicationofAASB2009-10makesamendmentstoAASB132‘FinancialInstruments:Presentation’toaddresstheclassificationofcertainrightsissuesdenominatedinaforeigncurrencyaseitheranequityinstrumentorasafinancialliability.ThisamendmentisnotapplicabletotheOffice.

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AASB2010-3‘AmendmentstoAustralianAccountingStandardsarisingfromtheAnnualImprovementsProject’

TheapplicationofAASB2010-3makesamendmentstoAASB3(2008)‘BusinessCombinations’toclarifythatthemeasurementchoiceregardingnon-controllinginterestsatthedateofacquisitionisonlyavailableinrespectofnoncontrollingintereststhatarepresentownershipinterestsandthatentitletheirholderstoaproportionateshareoftheentity’snetassetsintheeventofliquidation.Allothertypesofnoncontrollinginterestsaremeasuredattheiracquisition-datefairvalue,unlessanothermeasurementbasisisrequiredbyotherStandards.

Inaddition,theapplicationofAASB2010-3makesamendmentstoAASB3(2008)togivemoreguidanceregardingtheaccountingforshare-basedpaymentawardsheldbytheacquiree’semployees.Specifically,theamendmentsspecifythatshare-basedpaymenttransactionsoftheacquireethatarenotreplacedshouldbemeasuredinaccordancewithAASB2‘Share-basedPayment’attheacquisitiondate(‘market-basedmeasure’).ThisamendmentisnotapplicabletotheOffice.



Interpretation19‘ExtinguishingFinancialLiabilitieswithEquityInstruments’

ThisInterpretationprovidesguidanceregardingtheaccountingfortheextinguishmentofafinancialliabilitybytheissueofequityinstruments.Inparticular,theequityinstrumentsissuedundersucharrangementswillbemeasuredattheirfairvalue,andanydifferencebetweenthecarryingamountofthefinancialliabilityextinguishedandthefairvalueofequityinstrumentsissuedwillberecognisedinprofitorloss.ThisamendmentisnotapplicabletotheOffice.

(iv) Standards and Interpretations in issue not yet adopted

Atthedateofauthorisationofthefinancialstatements,theStandardsandInterpretationslistedbelowwereinissuebutnotyeteffective.

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Standard/Interpretation Effective for annual reporting periods beginning on or after

Expected to be initially applied in the financial year ending

AASB124‘RelatedPartyDisclosures’(revisedDecember2009),AASB2009-12‘AmendmentstoAustralianAccountingStandards’


AASB9‘FinancialInstruments’,AASB2009-11‘AmendmentstoAustralianAccountingStandardsarisingfromAASB9’and

AASB2010-7‘AmendmentstoAustralianAccountingStandardsarisingfromAASB9(December2010)’


AASB2009-14‘AmendmentstoAustralianInterpretation–PrepaymentsofaMinimumFundingRequirement’


AASB2010-5‘AmendmentstoAustralianAccountingStandards’


AASB2010-6‘AmendmentstoAustralianAccountingStandards–DisclosuresonTransfersofFinancialAssets’

1July2011 30June2012

AASB2010-8‘AmendmentstoAustralianAccountingStandards–DeferredTax:RecoveryofUnderlyingAssets


4. DETERMINATION OF FAIR VALUES

Anumberofaccountingpoliciesanddisclosuresrequirethedeterminationoffairvalue,forbothfinancialandnon-financialassetsandliabilities.Fairvalueshavebeendeterminedformeasurementand/ordisclosurepurposesbasedonthefollowingmethods:

(i) Trade and other receivables

Thefairvalueoftradeandotherreceivablesisbasedonthenetrealisablevalueafterconsideringanypossiblerisksofimpairment.Alltradeandotherreceivables,afterimpairment,areexpectedtobereceivedwithinashortperiodoftimeandconsideredasfairvaluesatthedatewhengoodsandserviceswereprovided.

Whenapplicable,furtherinformationabouttheassumptionsmadeindeterminingfairvaluesaredisclosedinthenotesspecifictotheassetsortheliability.

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OSMDA Accounts


Period ended

30-June-2011

$’000

5 Revenue from continuing operations:

Income from Personnel Service 713

713

6 Employee benefit expenses

Salaries and wages 558

Superannuation 64

Leave benefits 58

Payroll Tax 33

713

7 Surplus for the period

Surplus has been arrived at after charging/(crediting) the following

losses/(gains):

Auditor’s remuneration --

No fee charged by the Auditors

8 Receivables

Current

Trade receivables 713

Total trade & other receivables 713

9 Ageing of past due but not impaired receivables

Less than 3 months overdue 713

3 to 6 months overdue --

later than 6 months overdue --

713

10 Trade and other payables

Current trade & other payables

Trade payables 329

329

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Period ended

30-June-2011

$’000

11 Provisions

Employee benefits and related on-costs

Current

Recreation leave

Short term 76

Long term 92

Long Service leave 14

182

Non-Current

Long Service leave 202

202

Total employee benefits 384

Total provisions 384

12 Accumulated funds

Balance at the beginning of the period --

Surplus for the period --

Balance at end of the period

13 (a) Cash and cash equivalents (Note 10) --

(b) Reconciliation of surplus for the period to net cash from operating activities

Surplus for the period from continuing operations --

decrease/(Increase) in trade and other receivables (713)

(decrease)/Increase in trade and other payables and provisions 713

Net cash flows from operating activities

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14 Commitments for Expenditure

There were no outstanding commitment for expenditure

15 Contingent Liabilities

There are no known contingent liabilities for the Office as at the balance date.

16 Financial instruments The Office’s principal financial instruments, and the main risks associated with them, are outlined below. The financial instruments arise directly from the Office’s trading activities and operations. The Office does not enter into or trade in financial instruments for speculative purposes.

30-June2011

$’000

Financial instrument categories

Financial assets

Cash & deposits

Trade & other receivables 713

713

Financial liabilities

Trade & other payables 329

329

Non interst bearing trade payables 329

329

The above trade receivables and payable balances are due from/ due to General Government entities and recovered/paid at the end of each month. No interest is charged on this balance and the debt is not impaired.

Net fair values of financial assets and liabilities: The carrying amount of financial assets and financial liabilities recorded in the financial statements approximate their net fair values.

17 Events after the balance date

On5September2011theNewSouthWalesGovernmenthasapprovedthewindingupoftheRedfern-WaterlooAuthority.Whenwoundup,allassetsandliabilities,rightsandobligationswillbetransferredtotheSydneyMetropolitanDevelopmentAuthority.ThiswillalsoleadtothewindingupofOfficeoftheRedfern-WaterlooAuthorityandtransferallemployeestotheOfficeoftheSydneyMetropolitanDevelopmentAuthority.

END OF AUDITED FINANCIAL STATEMENTS

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AppENdIcES

Charter

TheSMDAisconstitutedundertheGrowth Centres (Development Corporations) Act 1974andreportstotheMinisterforPlanningandInfrastructure,MinisterassistingthePremierforInfrastructureNSWthroughtheSMDABoard.

Permanent Temporary Full-Time Part-Time Casual

Staff 4 3 6 1 -

% 57% 43% 86% 14% -

Men 1 1 2 - -

Women 3 2 4 1 -

AboriginalPerson

orTorresStraitIslander- - - - -

PersonwithaDisability - - - - -

PersonfromaRacial,EthnicorEthno-Religious

- - - - -

MinorityGroup - - - - -

PeoplewhosefirstlanguageisnotEnglish

1 - - - -

Staff Numbers by Level

Men Women Total

$39,670-$63,781 - 1 1

$63,782-$86,498 - 1 1

$86,499-$98,159 - - -

$98,160-$119,149 - 3 3

>$119,120(nonSES) 1 - 1

>$119,120(SES) 1 - 1

Chief and Senior Executive Officer

MrRoyWakelinKingwasChiefandSeniorExecutiveOfficerwiththeSMDA

ChiefExecutiveOfficer- SESLevel7RoyWakelin-King $342,317

Staff Numbers by Employment Basis as at 30 June 2011

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6060

Legislative Changes

Niltoreport.

Overseas Travel & Corporate Credit Cards Niltoreport.

Research and DevelopmentNiltoreport.

ConsultantsTwoconsultantswereengagedforthepurposeofManagementServicescostingatotalof$45,506.

Payment of AccountsAllagreedaccountsweresettledinatimelymanner.

Risk Management

TheSMDAhasaBusinessRiskMapofitsoperations.TheprimaryobjectiveoftheBusinessRiskMapistocoordinateriskmanagementactivitieswithintheSMDAtoensuretheactivityisfocusedonareasofgreatestriskandisalsousedbyBusinessAudittoderiveitsstrategicauditplan.

TheSMDAisamemberoftheNSWTreasuryManagedFund(TMF)whichprovidesinsurableriskprotection.

TheSMDA,itsemployeesandvolunteersarefullycoveredfortheirlegalliability,forworkerscompensation,motorvehicles,publicliability,propertyloss/damageandotherinsurancesinaccordancewiththeTMFContractofCoverage.

SMDAhasassignedfirewardenswhoattendedtrainingthroughouttheyearandallstaffparticipatedinemergencyevacuationdrills.NoOH&Sincidentshavearisen.

Fraud and Corruption Prevention Strategy

TheSMDAhasanobligationtothecommunitytoensurethatitsoperationsareefficient,effectiveandfreefromcorruption.TheresponsibilityforcorruptionpreventionrestswithallSMDAstaffandtheFraudandCorruptionPreventionStrategyprovidesaguideforstafftoidentifyreport,assessanddealwithconductthatcouldconstitutecorruption.

AppENdIcES

Funds granted to non-government community organisationsNiltoreport.

Government Information Public Access (GIPA) Act 2009

On1July2010theGovernmentInformationPublic Access (GIPA) Act 2009,anewrighttoinformationlegislation,cameintoeffect.ThisreplacestheformerFreedom of Information Act 1989.

Thenewlaw:

• Createsnewrightstoinformationthataredesignedtomeetcommunityexpectationsofmoreopenandtransparentgovernment.

• Encouragesgovernmentagenciestoproactivelyreleasegovernmentinformation.

Duringthereportingperiod,norequestsweremadetotheSMDAundertheGIPAAct.Inthesameperiod,nomajorissuesarose,andtherewerenoinvestigationsorapplicationsforreviewsubmitted.

MembersofthepublicmaycontacttheSMDAandaskforinformation.Thisisknownasaninformalrequest.SMDAmayreleaseinformationinformally,subjecttoanyreasonableconditions.Pleasenotethatcopychargesapply($1.10perA4sheet).

ApplicationforformalaccesstoSMDAinformationundertheGIPAActcanbemadebylodgingaformalAccessApplicationForm,alongwitha$30applicationfee.Processingchargescost$30perhourafterthefirsthour.Aninternalreviewofareviewabledecisioncosts$40.

Applicantsshouldbepreciseabouttheinformationtheywanttoaccesssoastoenablethecorrectinformationtobeidentified.

Applicationsshouldbedirectedto:

Right for Information OfficerSydney Metropolitan Development AuthorityPO Box 3332Redfern NSW 2016

Land Disposal

Therewerenolanddisposalsfortheyearended30June2011.

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Plans, Policies and Procedures

Code of Conduct

TheSMDAhasitsownCodeofConductwhichwasdevelopedinaccordancewiththeprinciplesofethicalandresponsibledecision-makingandembodiesthepublicsectorvaluesofrespectforthelaw,thesystemofGovernment,thecommunityanditspersons,integrity,diligence,economyandefficiency,andaccountability.

TheAuthority’sCodeofConductappliestoallemployeesofSMDAandotherpersonsengagedtodoworkoftheAuthority.TheCodeofConductconveysthestandardsofbehaviourexpectedfromstaffwhicharebasedaroundthefourprinciplesof:

• Respectforthelawandsystemofgovernment;

• Respectforpeople;

• Actwithhonestyandintegrity;and

• EfficientandeconomicuseofAuthorityresources.

Equal Employment Opportunity Policy (EEO)

TheAuthoritysupportsandisdedicatedtotheprinciplesoftheEEOincluding:

• Fairpracticesintheworkplace;

• Managementdecisionsmadewithoutbias;

• Recognitionofandrespectforthesocialandculturalbackgroundsofallstaffandclients;

• Employmentpracticeswhichproducestaffsatisfaction,jobcommitmentandqualityclientservice;and

• Improvedproductivity.

TheSMDAalsohasapolicyfortheActionPlanforWomenalongwithanAboriginalandTorresStraitIslanderEmploymentStrategy.

Disability Access Policy

TheSMDAcomplieswiththeNSWGovernmentDisabilityframeworkthroughitsDisabilityAccessPolicy.ThisprovidesaprocessfortheSMDAtobettermeettheneedsofstaffandthecommunityinrelationtopersonswithadisability.TheSMDAiscommittedtoensuringallpeoplehavereasonableaccesstotheresourcesandspacesgovernedbytheAuthority.

Ethnic Affairs Priority Statement

TheSMDArecognisesandvaluesthedifferentlinguistic,religious,racialandethnicbackgroundsofallthepeopleofNSWandendorsesthefourprinciplesofmulticulturalismassetoutintheCommunityRelationsCommissionandprinciplesoftheMulticultural Act 2000.

Towardsthisobjective,theSMDAwilldevelopandimplementpoliciessensitivetotheneedsofallstaffandclientsandensurethatitsBoardsandCommitteesreflectthemulticulturalismofthecommunity.

NSW Government Action Plan for Women

TheSMDAsupportstheNSWGovernmentActionPlanforWomenandpromotesworkplacesthatareequitable,safeandresponsivetoallaspectsofwomen’slives.Itwillalsopromotethepositionofwomeninallareasofsocietyaswellasaccesstoandsuccessfuloutcomesforwomeninallpartsoftheeducationandtrainingsystem.

Occupational Health & Safety Management Plan

TheSMDAiscommittedtotheoccupationalhealth,safetyandwelfareofitsemployees,thosecontractedtoperformworkonitsbehalfandvisitorstothepremises.Itiscommittedtoregularconsultationwithstaffandtheirrepresentatives,andwherenecessary,withcontractorsandsuppliersofequipmentandservicestoensureOH&Smanagementisofthehigheststandard.

SMDAhad0(zero)injuriesorclaimsunderthe

OH&S Act 2000.

Waste Reduction and Purchasing Policy

TheSMDAiscommittedtotheimplementationoftheGovernment’sWasteReductionandPurchasingPolicy(WRAPP).

SMDAengagestheservicesofanenvironmentalmanagementcompanythroughtheNSWGovernmentContracttomanagetherecyclingofpaperandcardboard.SMDAalsorecyclestonerandinkcartridges.SMDApurchasesrecycledpaperforprintingpurposes.

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INdEx

Aims&Objectives 05

Appendices 59

BoardMembers 06

Charter 02

ContactDetails BackCover

CorporateGovernance 05

Development 10

Director’sStatement 16

FinancialStatements 20

GranvillePrecinct 14

IndependentAuditReport 18,42

TotheMinister 03

Redfern-WaterlooPrecinct 12

StatementfromtheChairperson

andChiefExecutiveOfficer 04

This report is printed on Mega Recycled Silk A2+, an environmentally considered sheet consisting of 50% post consumer recycled waste and 50% FSC certified fibre. Mega Recycled is manufactured at the Gohrsmuhle Mill, who have their own waste water treatment plant and are ISO 14001 EMS approved. Mega Recycled is made elemental chlorine free.

Tonic Connectivewww.tonicconnective.com

Contact SMDA

Phone: 0292029100between9amto5pm, MondaytoFriday(excludingpublicholidays)Email: [email protected]: POBox3332,RedfernNSW2016Address: Level11,Tower2,

1LawsonSquare,RedfernNSW2016Website: www.smda.nsw.gov.au

2010-2011 annual report sydney metropolitan … · llb (sydney), mba (unsw) lucy is a...

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