1 Name of Orders

  These Orders are the Financial Management and Accountability Orders (Financial Statements for reporting periods ending on or after 1 July 2009).

Note:

These Orders relate to the preparation of financial statements.

2 Commencement

  These Orders are taken to have commenced on 1 July 2009.

3 Financial statements for reporting periods ending on or after 1 July 2009

(1)          Schedule 1 comprises the Orders which set out the requirements for the preparation of annual financial statements, for the reporting periods ending on or after 1 July 2009, for agencies prescribed in Schedule 1 to the Financial Management and Accountability Regulations 1997, and other Australian Government bodies, which are covered by the four Acts listed in this section:

(2)          For subsection 193H(1) of the Aboriginal and Torres Strait Islander Act 2005, these Orders are taken to be a determination under that subsection of the form of accounts and financial statements for reporting periods ending on or after 1 July 2009.

(3)          For subsection 50B(4) of the Defence Service Homes Act 1918:

(a)          these Orders are taken to be an approval under that subsection of the form of financial statements, for reporting periods ending on or after 1 July 2009; but

(b)          if a provision of these Orders is inconsistent with a requirement specified in AASB 1023, General Insurance Contracts, the provision does not apply, and the requirement specified in AASB 1023 (and any related provision, such as a definition or interpretation provision) is taken to be approved under that subsection for reporting periods ending on or after 1 July 2009.

(4)          For subsection 47(1) of the High Court of Australia Act 1979, these Orders are taken to be an approval under that subsection of the form of financial statements for reporting periods ending on or after 1 July 2009.

(5)          For subsection 43(3) of the Natural Heritage Trust of Australia Act 1997, these Orders are taken to be guidelines made under that subsection with which financial statements must comply for reporting periods ending on or after 1 July 2009.  

Note:

Schedule 1 is substantively similar to Schedule 1 to the Commonwealth Authorities and Companies Orders (Financial Statements for reporting periods ending on or after 1 July 2009) to achieve uniformity in financial reporting across the Australian Government public sector.  There are, however, certain terms, requirements and references in Schedule 1 that apply to Commonwealth Authorities and not to Agencies, and vice‑versa.

4 Financial Management and Accountability Act 1997, section 48

(1)          For section 48 of the Act, a Chief Executive must ensure that the Agency’s accounts and records properly record and explain the Agency’s transactions and financial position, and (without limiting the generality of this obligation) must ensure that the accounts and records are kept in a way that:

(a)          records the receipt and expenditure of public money on a daily basis; and

(b)          enables information to be provided to the Finance Chief Executive when required by the Finance Chief Executive:

(i)       on Commonwealth financial affairs to be included in budget and related documentation; and

(ii)     on the financial affairs of the Agency for the preparation of aggregate reporting for the Commonwealth; and

(c)          enables the preparation of financial statements in accordance with section 49 of the Act; and

(d)          allows those financial statements to be conveniently and properly audited in accordance with the Act; and

(e)          ensures that moneys are only expended for the purpose for which they are appropriated; and

(f)           ensures the limit on any appropriation is not exceeded.

Schedule 1 Finance Minister’s Orders for Financial Reporting for reporting periods ending on or after 1 July 2009.

SCHEDULE 1

finance minister’s orders for financial reporting

REQUIREMENTS FOR THE PREPARATION OF FINANCIAL STATEMENTS OF AUSTRALIAN GOVERNMENT ENTITIES FOR REPORTING PERIODS ENDING ON OR AFTER 1 JULY 2009

TABLE OF CONTENTS

Part A INTRODUCTION

1 Legislative Authority

2 Structure

3 Further Information

Part B DEFINITIONS AND ABBREVIATIONS

4 Definitions

5 Abbreviations

Part C APPLICATION AND PRESENTATION

6 Commencement

7 Applicable Entities

8 Authoritative Requirements

9 Financial Reporting Structure and Form

10 Simplified Reporting

11 Early Adoption of Accounting Pronouncements

12 Materiality and Information Disclosure

13 Rounding Off

14 Certificates

15 Departmental and Administered Items: Classification and Reporting

16 Exemptions from this Schedule

17 Approved Exemptions

Part D STATEMENT OF COMPREHENSIVE INCOME (Excluding Appropriations)

18 Statement of Comprehensive Income

19 Income – General Information (Excluding Appropriations)

20 Expenses – General Information

21 Borrowing Costs

22 Operating Leases

23 Director/Executive Remuneration

24 Remuneration of Auditors

25 Operating Expenditure

Part E BALANCE SHEET

30 Financial Assets – General Information

31 Receivables for Statutory Charges

32 Investment of Surplus Money by Authorities

33 Valuation of Non-Financial Assets

34 Impairment of Non-Financial Assets

35 Analysis of Non-Financial Assets

37 Heritage and Cultural Assets

38 Assets Held in Trust

39 Joint Ventures

40 Liabilities – General Information

41 Liabilities Relating to Dividends

42 Provisions

43 Employee Benefits

44 Measurement and Disclosure of Post Employment Plans

45 Financial Instruments

Part F OTHER FACE STATEMENTS AND SCHEDULES

50 Statement of Changes in Equity

60 Cash Flow Statement

75 Schedule of Administered Items

80 Contingencies

81 Commitments

82 Asset Additions

Part G ADMINISTERED REPORTING

85 Administered Reporting – General Information

86 Income and Expenses Administered on Behalf of Government

87 Administered Investments

88 Administered Investments Held for Sale

89 Impairment of Administered Assets

90 Liabilities Administered on Behalf of the Government

91 Transfer Payments

Part H RESTRUCTURES OF ADMINISTRATIVE ARRANGEMENTS

92 Restructures of Administrative Arrangements

Part I APPROPRIATIONS

100 Recognition of Appropriations – General Information

101 Recognition of Appropriations - Departmental

102 Recognition of Appropriations - Administered

103 Recognition of Appropriations – CAC Entities

104 Disclosure of Appropriations

Part J OTHER DISCLOSURES

120 Special Accounts

121 Reporting of Outcomes

122 Compensation and Debt Relief in Special Circumstances

123 Competitive Neutrality

ANNEXURE A – FORMS OF FINANCIAL STATEMENTS

Part A INTRODUCTION

1                  Legislative Authority

1.1                   The Minister for Finance and Deregulation (Finance Minister) makes:

(a)        the Financial Management and Accountability Orders (Financial Statements for Reporting Periods Ending on or after 1 July 2009) under subsection 63(1) of the FMA Act; and

(b)       the Commonwealth Authorities and Companies Orders (Financial Statements for Periods Ending on or after 1 July 2009) under subsection 48(1) of the CAC Act.

1.2                   These Orders are relevant to all reporting entities covered by:

(a)        section 49 of the FMA Act; or

(b)       clause 2 of Schedule 1 to the CAC Act.

1.3                   These Orders form part of the financial reporting framework for Australian Government entities. Elements and requirements of the framework are set out in Division 8.

1.4                   Where a choice of accounting policy is required to be made that is not covered by these Orders, and an accounting treatment that is consistent with the GFS framework is available, that treatment must be applied.

2                  Structure

2.1                   The following numbering conventions are used within this schedule:

(a)        major components are parts, denoted by an upper case letter, e.g. A, B, C;

(b)       parts are broken into divisions, denoted by a number. Divisions are not always numbered consecutively, to allow for future additions; and

(c)        each division is further broken up into sections, which commence at .1 in each division.

3                  Further Information

Part B DEFINITIONS AND ABBREVIATIONS

4                  Definitions

5                  Abbreviations

This schedule contains references to the sources of accounting and disclosure requirements. Key abbreviations used are as follows:

Part C  APPLICATION AND PRESENTATION

6                  Commencement

6.1                   Subject to section 6.2, the requirements of this schedule, including Annexure A, apply to financial statements prepared for reporting periods ending on or after 1 July 2009. These requirements replace previously published Finance Minister’s Orders for financial reporting.

6.2                   For entities that cease to exist on or after 1 July 2009, the financial reporting requirements set out in this schedule shall apply.

7                  Applicable Entities

7.1                   Financial statements must be prepared for the following entities:

(a)        each agency and authority;

(b)       the economic entity, comprising the agency or authority and its subsidiaries; and

(c)        each activity or activities of an agency that is/are determined to be a business operation.

8                  Authoritative Requirements

8.1                   Where there is a conflict between this schedule and any other named authoritative requirement in section 8.2, entities are to apply the provisions in this schedule.

8.2                   Subject to section 8.1, the financial statements of each entity must comply with the applicable financial reporting framework for Australian Government entities. This framework comprises and requires entities to:

(a)        comply with:

(i)            all applicable requirements of this schedule including Annexure A and other policies issued by Finance;

(ii)         applicable AAS and interpretations issued by the AASB that apply for the reporting period; and

(b)       have regard to:

(i)            guidance to this schedule and Annexure A;

(ii)         the Statements of Accounting Concepts 1 and 2 (SACs);

(iii)       the AASB Framework for the Preparation and Presentation of Financial Statements; and

(iv)        Estimates Memorandums, FinanceBriefs, Finance Circulars, Financial Management Guidance series, Accounting Guidance Notes and other guidance issued by Finance.

9                  Financial Reporting Structure and Form

9.1                   The financial statements of each entity must:

(a)        include the primary financial statements, schedules and notes in the form prescribed in Annexure A;

(b)       include all note disclosures specified in this schedule and outlined in Annexure A;

(c)        be presented in the English language and Australian dollars; and

(d)       for entities that operate on a for-profit basis, disclose that fact.

9.2                   The financial statements of each entity must be presented in the following order:

(a)        statement required by section 14.2 or 14.3;

(b)       primary financial statements (statement of comprehensive income, balance sheet, statement of changes in equity and cash flow statement); and

(c)        schedules and notes to the financial statements.

9.3                   Comparative information must be disclosed in the financial statements unless not required by this schedule or AAS.

9.4                   This schedule applies to departmental as well as administered items unless otherwise specified.

9.5                   Entities must include sub-total rows and/or columns in Annexure A notes as required to reconcile to line items on the face of the primary statements. Additional total and sub-total rows and columns may be included to present information required by AAS or to improve the clarity of the financial statements.

9.6                   Where zero balances occur in the current and comparative years, the line item may be omitted, except for balances that relate to the following items:

(a)        Compensation and debt relief disclosures under Division 122; and

(b)       Remuneration of Auditors.

10            Simplified Reporting

10.1               Entities may adopt the simplified reporting provisions set out in sections 10.2 to 10.6 having regard to section 8.2 and the order of information outlined in Annexure A.

Presentation of Primary Financial Statements

10.2               Where an entity’s net surplus/deficit is solely attributable to the Australian Government in both the current and immediately preceding reporting periods, the statement of comprehensive income line items titled surplus (deficit) attributable to the Australian Government, surplus (deficit) attributable to any non-controlling interest and total comprehensive income (loss) attributable to any non-controlling interests may be omitted.

10.3               Where an amount is disclosed on the face of a primary financial statement, it is not necessary to repeat this information in the notes to the financial statements, unless this is required in conjunction with the presentation of other information.

Notes to the Financial Statements

10.4               Where the fair value of each class of an entity’s financial assets and financial liabilities equals its carrying amount in both the current and immediately preceding reporting periods, entities may state this fact rather than disclosing fair values alongside carrying amounts.

10.5               In relation to Division 122 of this schedule, an entity that has no transactions in either the current reporting or any comparative period, must disclose by way of a note that there were no such transactions or balances.

10.6               Where there are no commitments or contingencies in either the current or the immediately preceding reporting periods, it is not necessary to include a schedule for such items. Instead, the fact that there are no such items must be disclosed in the notes to the financial statements.

11            Early Adoption of Accounting Pronouncements

11.1               If an entity wishes to adopt a new AAS or AASB Interpretation earlier than its effective date of application, other than as permitted or required by this schedule, it must seek approval from the Finance Chief Executive.

11.2               The Finance Chief Executive may instruct one or more entities to early adopt a new AAS or AASB Interpretation.

12            Materiality and Information Disclosure

12.1               The requirements of this schedule apply where information resulting from their application is material, or as specifically stated within the schedule.

12.2               Information is material if its omission, misstatement or non-disclosure has the potential, individually or collectively, to:

(a)        influence the economic decisions of users taken on the basis of the financial statements; or

(b)       affect the discharge of accountability by management or the governing body of the entity.

12.3               Entities must prepare financial statements to reflect materiality of information pursuant to this schedule at the individual entity level.

12.4               Entities must maintain proper accounting records to support all disclosures required by this schedule and the supporting policy.

12.5               Each change in accounting policy must be disclosed separately.

13            Rounding Off

13.1               Unless otherwise provided in this schedule, amounts in the financial statements may be rounded off to the nearest dollar, or where applicable as follows:

(a)        where a reporting entity has assets, liabilities, expenses, income, commitments or contingencies in excess of $10 million — it may round an amount to the nearest $1,000, unless that amount is less than $500, in which case the amount should be rounded to zero; and

(b)       where a reporting entity has assets, liabilities, expenses, income, commitments or contingencies in excess of $1 billion — it may round an amount to the nearest $1 million, unless that amount is less than $500,000, in which case the amount should be rounded to zero.

13.2               The thresholds in section 13.1 must be applied separately to departmental and administered reporting.

13.3               Subject to section 13.4, amounts reported in the notes to the financial statements for appropriations, special accounts and outcomes are to be rounded to the nearest dollar, or $1,000 where the entity meets the requirements of paragraph 13.1(a). Paragraph 13.1(b) does not apply.

13.4               The items relating to appropriations in the following tables are not to be rounded and are excluded from the requirements in section 13.5:

(a)        section 104.15 Table A2; and

(b)       section 104.16 Table B2.

13.5               Except where otherwise provided by this schedule:

(a)        rounding must be applied consistently within departmental reporting; and

(b)       rounding must be applied consistently within administered reporting.

13.6               Rounding need not be consistent between departmental and administered reporting, with the exception of appropriations, outcomes and special accounts disclosures.

13.7               Materiality must be considered prior to rounding generally, to ensure rounding does not affect whether or not the item is considered material.

14            Certificates

14.1               The signed audit report on the financial statements must be attached to the financial statements.

14.2               Each authority or, where relevant, each economic entity comprising an authority and its subsidiaries’ financial statements as applicable, must present a statement signed by: the chair of the board (or a director) in accordance with a resolution of the board; the chief executive officer; and the CFO, stating:

(a)        whether the financial statements, in their opinion, give a true and fair view of the matters required by this schedule;

(b)       whether the financial statements, in their opinion, have been prepared based on properly maintained financial records;

(c)        for entities other than the Reserve Bank of Australia, whether, in their opinion, there are, when the statement is made, reasonable grounds to believe that the entity will be able to pay its debts as and when they fall due;

(d)       when additional information is included in the notes to give a true and fair view and/or to satisfy section 16.3 where applicable, then the reasons for forming this view and the location of the additional notes in the financial statements;

(e)        that the statement has been made in accordance with a resolution of the directors; and

(f)         the date on which the statement is made.

14.3               Each other entity identified in section 7.1 required to prepare financial statements must include a statement signed by the chief executive officer and CFO stating:

(a)        whether the financial statements, in their opinion, give a true and fair view of the matters required by this schedule;

(b)       whether the financial statements, in their opinion, have been prepared based on properly maintained financial records;

(c)        when additional information is included in the notes to give a true and fair view and/or to satisfy section 16.3 as applicable, then the reasons for forming this view and the location of the additional notes in the financial statements; and

(d)       the date on which the statement is made.

15            Departmental and Administered Items: Classification and Reporting

15.1               With the exception of items covered under Division 38, agencies must distinguish items as departmental or administered in the financial statements for all disclosures outlined in this schedule.

15.2               The financial statements of agencies must present departmental and administered items in accordance with Cabinet decisions on their classification.

15.3               No changes are to be made to the classification of existing items without the approval of Cabinet or the Finance Minister.

15.4               Money held in trust for other persons is neither departmental nor administered. Specific reporting requirements apply in relation to assets held in trust (refer to Division 38 of this schedule).

16            Exemptions from this Schedule

16.1               The Finance Minister may grant a written exemption to the Chief Executive Officer of an agency, or directors of an authority, from any specified requirements of this schedule.

16.2               An exemption may be granted subject to conditions, including a requirement for alternative forms of disclosure.

16.3               The Chief Executive Officer or directors must disclose the particulars of any exemptions applied by the entity in the financial statements that were granted under section 16.1 and Division 17.

17            Approved Exemptions

17.1               Certain limited exemptions to this schedule apply to entities as specified below.

17.2               Section 33.7 constitutes an approved exemption for a for-profit entity or an entity that is a university to elect not to apply the requirements at sections 33.2, 33.3, 33.5 and 33.6 relating to valuation of non-financial assets.

17.3               Section 23.1 provides an exemption to for-profit entities from making disclosures under Division 23, however these entities are required to make the necessary disclosures in accordance with AASB 124.

17.4               Section 44.3 provides an exemption to PFCs and GBEs allowing them to apply any of the three recognition options for recognising actuarial gains and losses for defined benefit plans as outlined in AASB 119. All other entities are to apply the direct to equity option of recognising actuarial gains and losses for defined benefit plans as outlined in AASB 119.

17.5               The Australian Office of Financial Management (AOFM) is excluded from the requirement to present the schedule of administered items and associated administered notes required by section 85.1 and Annexure A. However, AOFM must instead adhere to the statement of comprehensive income reporting requirements of AASB 101.

17.6               In accordance with section 38.4, intelligence and security agencies, defence agencies and prescribed law enforcement agencies are exempt from making disclosures under Division 38.

17.7               The Reserve Bank of Australia is not required to prepare financial statements in the format prescribed by Annexure A. The Reserve Bank of Australia may determine the format of the financial statements to the extent that it applies generally accepted industry reporting principles and applicable AAS.

17.8               The Future Fund is exempt from presenting the financial statements required by this schedule and Annexure A, on the condition that:

(a)        the Future Fund presents its financial statements as a single entity;

(b)       the financial statements are presented in a format consistent with that used in the funds management industry and applying applicable AAS;

(c)        the financial statements for the Future Fund contain sufficient information to ensure appropriate accountability and transparency, consistent with that applying to general purpose financial statements;

(d)       the Future Fund present such additional disclosures as required in Division 81, Part H and Part J, to the extent that they are relevant to the Future Fund’s operations; and

(e)        to the extent that there is a conflict between paragraph (b) and paragraphs (c) and (d), paragraphs (c) and (d) will have precedence.

17.9               The term Future Fund refers collectively to the Board of Guardians and the Future Fund Management Agency as well as the Future Fund itself including the investments and special account constituted under the Future Fund Act 2006.

17.10           In the presentation of the financial statements required under the Aboriginal and Torres Strait Islander Act 2005, the Aboriginal and Torres Strait Islander Land Account (Land Account) is exempt from the following items in this schedule:

(a)        Part G and the administered disclosures in Annexure A;

(b)       Part I to the extent that the Land Account has no appropriation transactions and balances other than through its special account;

(c)        Division 121 to the extent that the Land Account does not have any defined outcomes; and

(d)       Division 122 to the extent that the Land Account has not made any payments specified in that Division.

17.11           The Land Account is required to present its administered activities in departmental format as illustrated in Annexure A. The accounting policy note must clearly state that all activities are administered.

17.12           Other entities that include the activities of the Land Account must continue to comply with this schedule in the preparation of their financial statements.

17.13           In the presentation of the financial statements required under the Aboriginal Land Rights (Northern Territory) Act 1976, the Aboriginals Benefit Account is exempted from the items listed in section 17.10 under the same conditions imposed on the Land Account in sections 17.11 and 17.12.

17.14           The Australian Reinsurance Pool Corporation (ARPC) is not required to prepare financial statements in the format prescribed by Annexure A. ARPC may determine the format of the financial statements to the extent that it applies generally accepted industry reporting principles and applicable AAS.

17.15           The Australian National University (ANU) is exempt from the requirements of Division 18 and the format of the statement of comprehensive income in Annexure A, on the condition that the ANU presents that statement in accordance with the Financial Statement Guidelines for Australian Higher Education Providers required by the Department of Education, Employment and Workplace Relations to the extent those Guidelines are are not inconsistent with AAS.

Part D STATEMENT OF COMPREHENSIVE INCOME (Excluding Appropriations)

18            Statement of Comprehensive Income

18.1               Entities must present all items of income and expense recognised in a period in a single statement of comprehensive income.

18.2               Not-for-profit entities must adopt the Net Cost of Services (NCOS) format for the statement of comprehensive income.

19            Income – General Information (Excluding Appropriations)

Grants

19.1               For‑profit entities must:

(a)        recognise non‑monetary government grants at fair value and not at nominal amount;

(b)       present government grants related to assets as deferred income and not as a deduction to the carrying amount of the asset; and

(c)        present government grants related to income as income in the statement of comprehensive income and not deduct them from the related expense.

20            Expenses – General Information

21            Borrowing Costs

21.1               Not‑for‑profit entities are to expense borrowing costs as incurred.

22            Operating Leases

22.1               Entities must recognise minimum operating lease payments as expenses on a straight-line basis over the lease term unless another systematic basis is more representative of the time pattern of the user’s benefit.

22.2               Contingent operating lease rentals are recognised as expenses in the period in which they are incurred.

23            Director/Executive Remuneration

23.1               Not-for-profit entities must disclose directors’ and executive remuneration in compliance with this division. For-profit entities are exempt from making these disclosures but they must make disclosures required by AASB 124.

23.2               Division 23 applies to the following groups of individuals:

(a)        senior executives of an agency;

(b)       senior executives and directors of an authority; and

(c)        senior executives and directors of the economic entity, where an agency or authority is the parent in the economic entity.

23.3               The following must be disclosed in the notes to the financial statements:

(a)        the number of individuals, listed in section 23.2, whose total remuneration for the financial year falls within each successive $15,000 band, commencing at

(i)            For all senior executives – $145,000, with all senior executives whose total remuneration is less than $145,000 being disclosed in a single band; and

(b)       For all directors - the band incorporating the lowest paid director;the total remuneration for each group of individuals referred to in paragraph (a); and

(c)        the aggregate amount of separation and redundancy expenses for the individuals in paragraph (a)(i).

Senior executives and directors are to be disclosed separately.

23.4               The entity that is the recipient of a senior executive or director in a secondment arrangement must disclose the amount of remuneration of the senior executive or director. This is regardless of whether the remuneration is paid by the recipient entity, or otherwise received as resources free of charge by the recipient entity. Entities benefiting from a resources free of charge arrangement must make a statement to the effect that amounts disclosed are included as receipt of goods or services from another Government entity.

23.5               An entity that is party to a fee for service contract with a second Australian Government entity and is not the direct employer of the senior executive or director subject to the contract, is exempt from making remuneration disclosures under Division 23 in respect of those arrangements.

23.6               The remuneration of star ranked military officers must be disclosed, as required by section 23.3, including any short period of secondment or deployment domestically or overseas.

24            Remuneration of Auditors

24.1               The financial statements of an entity must include a note giving particulars of the amounts paid or payable to the auditor of the financial statements, for:

(a)        auditing the financial statements for the reporting period; and

(b)       any other audit services provided during the reporting period.

24.2               The fair value of any of the services provided free of charge by auditors must be shown in the notes to the financial statements. For the purpose of this Division, performance audits are not taken to be services provided to an entity.

24.3               Entities must disclose the extent to which auditor’s remuneration is paid to an auditor other than the Auditor-General.

25            Operating Expenditure

25.1               An entity that is a Collection Institution must report operating expenditure for heritage and cultural assets.

Part E BALANCE SHEET

30            Financial Assets – General Information

31            Receivables for Statutory Charges

31.1               Receivables for statutory charges are to be assessed for impairment under AASB 136.

32            Investment of Surplus Money by Authorities

32.1               The financial statements of an authority must include a note giving particulars of any investments held that are not covered by paragraphs 18(3)(a)-(c) of the CAC Act.

32.2               Details must include the statutory basis for holding additional investments outside those allowed under paragraphs 18(3)(a)-(c) of the CAC Act, including whether an approval has been received by the authority under paragraph 18(3)(d) of the CAC Act.

33            Valuation of Non-Financial Assets

33.1               This Division applies to assets within scope of AASB 116, AASB 138 and AASB 140.

33.2               Unless required by the applicable standard to be measured otherwise, subsequent to initial recognition entities must measure every type of asset listed below at fair value in accordance with AASB 116 or AASB 140 as applicable:

(a)        land;

(b)       buildings;

(c)        heritage and cultural assets (where not intangible assets);

(d)       investment properties; and

(e)        other property, plant and equipment.

33.3               Intangible assets must be valued by class in accordance with AASB 138, at;

(a)        cost, in the absence of an active market; or

(b)       fair value, where an active market exists for all assets in a class.

33.4               The cost model must be applied to specialist military equipment.

33.5               Each non-financial asset listed in section 33.2 or recognised in compliance with section 33.3(b), other than investment property, must be assessed each year to ensure that the carrying amount does not differ materially from fair value as at reporting date. If there is a material difference then revaluation of the entire class is required.

33.6               Investment property must be revalued annually in compliance with AASB 140.

33.7               For-profit entities and entities classified as universities may elect not to apply the requirements of sections 33.2, 33.3, 33.5 and 33.6.

34            Impairment of Non-Financial Assets

34.1               For the purposes of AASB 136, parts of entities are not cash‑generating units where they are primarily dependent on funding from appropriations.

35            Analysis of Non-Financial Assets

35.1               Notes to the financial statements must include the following tables in Annexure A, where applicable:

              Table A: Reconciliation of the Opening and Closing Balances of  Property, Plant and Equipment;

              Table B: Reconciliation of the Opening and Closing Balances of  Investment Property; and

              Table C: Reconciliation of the Opening and Closing Balances of  Intangibles.

              Entities may combine tables where it is considered appropriate to simplify disclosure. Sufficient information and sub-total columns must be disclosed to enable reconciliation of amounts to the corresponding line items disclosed on the balance sheet.

37            Heritage and Cultural Assets

37.1               Heritage and cultural items must only be recognised as assets where they meet the asset definition and recognition criteria set out in AASB 116.

37.2               Only assets that are primarily used for purposes that relate to their cultural, environmental or historical significance are to be accounted for as heritage and cultural assets.

37.3               When an entity controls or administers heritage and cultural items that are not recognised as assets, the notes to the financial statements must disclose:

(a)        a description of those items;

(b)       the reason for non-recognition of those items;

(c)        the amount expended to acquire such items during the financial year; and

(d)       the amount of proceeds from the disposal of such items during the financial year.

37.4               For the purposes of this Division, the term ‘government department’ in the Australian Implementation Guidance to AASB 116 means an entity as defined in these Orders.

38            Assets Held in Trust

38.1               Financial statements of entities must include a note giving particulars of assets held in trust when the entity is a trustee in a legal trust arrangement. A legal trustee relationship may occur through formal appointment or otherwise.

38.2               The note referred to in section 38.1 must contain:

(a)        a summary of the categories of assets held in trust at the end of the reporting period and the purpose for which they are being held in trust;

(b)       in relation to monetary assets held in trust, an entity is required to disclose:

(i)            total amount held at the beginning of the reporting period;

(ii)         total receipts during the reporting period;

(iii)       total payments during the reporting period;

(iv)        total amount held at the end of the reporting period; and

(c)        in relation to non-monetary assets held in trust, an entity is required to disclose the:

(i)            estimated value at the beginning of the reporting period;

(ii)         estimated value of assets obtained during the reporting period;

(iii)       estimated value of assets disposed of during the reporting period; and

(iv)        estimated value of assets at the end of the reporting period.

38.3               Where an estimated value cannot be assigned to a non-monetary asset, either because it is uneconomical or impractical to do so, the details in section 38.2(c) do not need to be disclosed. A statement from the entity asserting that it is uneconomical or impractical is taken to be sufficient evidence. However, an entity must provide additional disclosure stating why estimated values have not been used.

38.4               Intelligence and security agencies, defence agencies and prescribed law enforcement agencies are exempt from the disclosure requirements under Division 38.

39            Joint Ventures

39.1               Subject to Division 87, entities must recognise interests in jointly controlled entities using the equity method and not proportionate consolidation.

40            Liabilities – General Information

| (a) |

41            Liabilities Relating to Dividends

41.1               Where legislation provides that a Minister(s) may determine the amount to be paid as a dividend or similar distribution, the entity must recognise a liability for any dividend or distribution determined by a Minister(s) at the date of the Ministerial determination.

41.2               Where a wholly-owned Australian Government entity is required to pay its profit for the year to the Australian Government, a liability for the dividend must be recognised for an amount equal to profit for the current year as at the entity’s reporting date.

41.3               Where an entity is required to pay its profit for the year to the Australian Government after the deduction of certain amounts, a liability for the dividend must be recognised if those amounts are known before the date of completion of the financial statements. If these amounts are not known before this date, the entity should instead disclose a contingent liability.

41.4               Entities must account for a return of capital through non-reciprocal payments in accordance with section 101.15 and recognise a reduction in equity in the financial statements in compliance with section 101.16. These are not dividends.

42            Provisions

43            Employee Benefits

Employee Benefits Disclosures

43.1               Leave liabilities are to be discounted on the basis of when the benefits are due to be settled.

Long Service Leave

43.2               Entities with less than or equal to 1,000 full-time equivalent employees (FTE) may continue to use the shorthand method when calculating their long-service leave liability.

43.3               Entities with more than 1,000 FTE are to undertake their own assessments to estimate the liability for long service leave. The method of doing this would be one of the following:

(a)        If an entity’s employee profile is demonstrably not materially different from the Australian Government’s standard profile, entities may use the shorthand method;

(b)       Undertake an actuarial assessment; or

(c)        Use a detailed calculation basis (e.g. employee by employee).

44            Measurement and Disclosure of Post Employment Plans

44.1               Entities as agents collecting contributions from employees for the Public Sector Superannuation Scheme (PSS), Commonwealth Superannuation Scheme (CSS) and military superannuation schemes (including the Military Superannuation and Benefits Scheme (MSBS)) must account for, and make the required disclosures in accordance with AASB 119 as if they were contributing to defined contribution plans. In addition, the following must be disclosed:

(a)        that the entity is accounting for the scheme as a defined contribution plan;

(b)       that at the whole-of-Government level the scheme is a defined benefit plan and is accounted for as such; and

(c)        a reference to the financial statements in which the defined benefit disclosures have been or will be made.

44.2               Entities participating in the PSS and CSS Schemes must reference the administered disclosures made in Finance’s financial statements for these schemes. The Finance financial statements do not need to be published for these references to be made.

44.3               PFCs and GBEs can apply any of the three recognition options for recognising actuarial gains and losses for defined benefit plans as outlined in AASB 119. All other entities are to apply the direct to equity option.

44.4               Plans where the actuarial risk (shortfall risk) falls on the entity must be accounted for as defined benefit plans.

44.5               The market yield on 10-year Government bonds must be referenced when determining a discount rate for discounting in compliance with AASB 119.

45            Financial Instruments

45.1               Where an active market exists for a financial asset entities must classify the instrument as either at fair value through profit or loss, or available for sale, unless otherwise required under AASB 139.

45.2               Where an active market exists for a financial liability, entities must classify the instrument as at fair value through profit or loss, unless otherwise required under AASB 139.

45.3               For regular way purchase or sale, trade date accounting must be applied.

45.4               Entities must recognise all impairment losses on financial instruments under AASB 139 in an allowance account where permitted, rather than adjusting these losses directly against the carrying amounts of the related assets. A separate account must be maintained for each class of financial asset.

45.5               Where AASB 139 allows entities to choose between:

(a)        capitalising gains and losses on hedges into the carrying amount of the underlying assets; and

(b)       progressively transferring such gains and losses from equity to income or expense,

entities must adopt (a) in all cases.

45.6               Where an entity has held derivative financial instruments that are not part of a qualifying hedging arrangement at any time during the period, it shall disclose:

(a)        management’s objectives for holding or issuing those derivatives;

(b)       the context needed to understand those objectives; and

(c)        the strategies for achieving those objectives.

45.7               Entities must disclose the nominal value of concessional loans as well as the unexpired discount.

Part F OTHER FACE STATEMENTS AND SCHEDULES

50            Statement of Changes in Equity

60            Cash Flow Statement

60.1               Entities must present a cash flow statement using the direct method in compliance with AASB 107.

60.2               Dividends paid are to be presented as a component of financing activities.

60.3               Administered cash flows to/from the OPA must be shown as adjustments to administered cash held by an agency, rather than as a cash flow related to operating or other activities.

75            Schedule of Administered Items

75.1               Agencies must prepare a schedule of administered items in compliance with Division 85 of this schedule.

80            Contingencies

Schedule of Contingencies

80.1               Contingent liabilities and assets that are able to be reliably measured must be classified in accordance with the classes in the schedule of contingencies in Annexure A; where applicable, new classes can be added.

80.2               Unquantifiable contingent liabilities and assets that are not included in the schedule of contingencies but may have an impact on the operations of the entity must be explained in a note to the financial statements.

80.3               Where there are no contingencies in either the current or the immediately preceding reporting periods, it is not necessary for an entity to include a schedule for such items. Instead, the fact that there are no such items should be disclosed in the notes to the financial statements.

80.4               Contingent liabilities and assets are not required to be disclosed where it is expected that disclosure would seriously prejudice the Commonwealth. In these rare cases entities should apply AASB 137 para. 92.

Contingent Liabilities

80.5               Entities must disclose departmental contingent liabilities that can be reliably measured (quantifiable) in the schedule of contingencies, in accordance with Annexure A, except where the possibility of any outflow of resources embodying economic benefits is remote. Equivalent disclosure for administered contingent liabilities must be included in the schedule of administered items.

80.6               Significant remote contingent liabilities excluded from the schedule of contingencies (as per section 80.5) must be disclosed in the notes to the accounts in accordance with Annexure A.

Contingent Assets

80.7               Entities must disclose departmental contingent assets that can be reliably measured (quantifiable) in the schedule of contingencies, in accordance with Annexure A where it is probable that an asset will be recognised in the future. Equivalent disclosure for quantifiable administered contingent assets must be included in the schedule of administered items by agencies.

81                          Commitments

81.1               Entities must disclose the nature, and where quantifiable, the amount of each class of departmental commitment in a schedule of commitments in accordance with the tables in Annexure A and in compliance with AAS. Equivalent disclosure for administered commitments must be included in the schedule of administered items by agencies (see Division 85).

81.2               Where there are no commitments in either the current or the immediately preceding reporting periods, it is not necessary to include a schedule for such items. Instead, the fact that there are no such items should be disclosed in the notes to the financial statements.

81.3               Commitments receivable must be disclosed where the inflow of resources is probable.

81.4               The amounts reported as commitments payable and commitments receivable must include GST where applicable. A corresponding commitment receivable or payable must be recorded for the net GST amounts recoverable from or payable to the ATO.

82            Asset Additions

82.1               Entities must disclose the amount of each class of non-financial non-current departmental asset additions in a schedule of asset additions in accordance with tables in Annexure A. Equivalent disclosure for each class of non-financial non-current administered asset additions must be included in the schedule of administered items by entities.

82.2               Where there are no asset additions in either the current or the immediately preceding reporting periods, it is not necessary for an entity to include a schedule of such items. Instead, the fact that there are no such items should be disclosed in the notes to the financial statements.

Part G ADMINISTERED REPORTING

85            Administered Reporting – General Information

85.1               The financial statements of an entity that administers activities for the Australian Government, must include a schedule of administered items and associated administered notes.

85.2               The schedule of administered items and associated administered notes must:

(a)        include administered items as defined in Division 15;

(b)       be presented in the form prescribed by Annexure A;

(c)        include the administered reconciliation table in accordance with section 85.5;

(d)       include disclosures in relation to accounting policies in accordance with the relevant AAS; and

(e)        use background shading for the schedule of administered items and administered notes.

85.3               The schedule of administered items and administered notes must:

(a)        comply with AASB 1050 and all applicable requirements of this schedule; and

(b)       provide in the heading of, or as a footnote to, the schedule of administered items, a brief description of the activities being administered on behalf of the Australian Government.

85.4               A statement of changes in equity is not required for administered items.

85.5               The administered reconciliation table must include the following line items:

| (a)        Opening administered assets less administered liabilities as at 1 July | | (b)       Adjustment for change in accounting policies | | (c)        Adjustment for errors | | (d)       Adjusted opening administered assets less administered liabilities | | (e)        Plus: Administered income | | (f)         Less: Administered expenses (non CAC) <br>                      Payments to CAC Act bodies | | (g)        Administered transfers to/from Australian Government:<br>(i)       Appropriation transfers from OPA:<br>     Annual appropriations administered expenses (non CAC)     Administered assets and liabilities appropriations     Annual appropriations for payment to CAC Act bodies     Special appropriations (limited) (non CAC)     Special appropriations (limited) paid to CAC Act bodies     Special appropriations (unlimited) (non CAC)     Special appropriations (unlimited) paid to CAC Act bodies<br>(ii)     Transfers to OPA<br>(iii)   Restructuring of administrative arrangements | | (h)       Transfers to other entities (Finance only) | | (i)          Transfers from other entities (Finance only) | | (j)         Administered revaluations taken to/from reserves | | (k)       Currency translation gain/loss | | (l)          Closing administered assets less administered liabilities as at 30 June |

86            Income and Expenses Administered on Behalf of Government

87            Administered Investments

87.1               Administered investments must be disclosed in the financial statements by all entities.

87.2               Administered investments, other than those held for sale in accordance with AASB 5, must be measured at fair value.

87.3               Administered investments are not considered controlled by the entities reporting them.

87.4               Administered investments must not be consolidated on a line by line basis into an entity’s financial statements without approval from the Finance Chief Executive.

88            Administered Investments Held for Sale

88.1               Where a decision has been made to transfer an administered investment to another entity for sale, but the transfer date is not specified, the asset is assumed to have been transferred on the date of the decision to sell the asset.

88.2               Transfers of administered investments held for sale must be transferred at net book value and accounted for in accordance with Division 45 of this schedule.

88.3               The costs of sale of an administered investment are expensed as incurred, regardless of whether the investment meets the criteria to be held for sale in AASB 5. Costs of sale are not added to the carrying amount of administered investments but the total selling cost must be disclosed in a note to the financial statements where the selling costs are expensed across a number of financial years.

88.4               The following particulars must be disclosed in the administered notes for each sale of an administered investment:

(a)        proceeds from sale;

(b)       written down value of the asset sold;

(c)        recognised gain or loss on sale;

(d)       selling costs incurred; and

(e)        the net gain or loss after deducting selling costs incurred.

89            Impairment of Administered Assets

90            Liabilities Administered on Behalf of the Government

90.1               The Australian Government has a legal liability to meet the deficits of the PSS, CSS and military superannuation schemes, and as such liabilities related to these schemes are reported in the administered financial statements of Finance (PSS and CSS) and the Department of Defence (military superannuation schemes) on behalf of the Australian Government.

91            Transfer Payments

91.1               The broad categories of and amounts transferred to recipients of transfer payments must be disclosed in the financial statements.

Part H RESTRUCTURES OF ADMINISTRATIVE ARRANGEMENTS

92            Restructures of Administrative Arrangements

92.1               Where a restructure of administrative arrangements has occurred during the reporting period, as per AASB 1004, the financial statements of entities must include a note giving particulars of the restructure of administrative arrangements. Separate disclosure must be made for departmental and administered items. Entries need not physically have been processed by the date of transfer for an entity to make the required note disclosure as of that date.

92.2               Assets and liabilities transferred as a result of a restructure of administrative arrangements must be recognised at their net book value immediately prior to transfer.

92.3               For the purposes of this Division, the term ‘government department’ in AASB 1004 means a Government controlled entity.

92.4               The meaning of ‘legislation or other authority’ in the definition of a restructure of administrative arrangements in AASB 1004 is interpreted as meaning one of the following:

(a)        a decision of the Cabinet or Prime Minister;

(b)       an AAO;

(c)        an Act of Parliament or a Regulation under an Act; or

(d)       a written agreement between the relevant portfolio minister(s) and the Finance Minister or the Prime Minister, as appropriate.

Part I APPROPRIATIONS

100      Recognition of Appropriations – General Information

100.1           Appropriations, including special appropriations, are to be recognised and disclosed, in accordance with this schedule, regardless of whether the relevant amounts are considered to be material in accordance with section 12.2.

101      Recognition of Appropriations - Departmental

101.1           An agency must recognise all departmental appropriations for which it is the responsible agency, as outlined in section 101.3.

101.2           Departmental outputs and departmental non-operating appropriations with the exception of loan appropriations are non-reciprocal transactions for recognition purposes.

101.3           Subject to section 101.10, the earliest point of recognition for a departmental appropriation by an agency is when the agency gains control of the appropriation for accounting purposes as follows, for:

(a)        Departmental outputs and departmental non-operating appropriations (excluding loans) specified in the Appropriation Acts at the later of:

(i)            Date of Royal Assent of the Appropriation Act; or

(ii)         The commencement of the financial period the appropriation relates to. That is, when the appropriation is effective (normally Appropriation Acts No. 1 and No. 2 and Appropriation (Parliamentary Departments) Act No. 1 are effective from 1 July);

(b)       Loans specified in the Appropriation Acts, when drawn down from the OPA for the amount to be received;

(c)        Subject to the revenue recognition principles for special accounts in section 120.3, departmental special appropriations, when the obligation for which the special appropriation exists is incurred to the amount of the obligation;

(d)       section 31 of the FMA Act, for the increased appropriation provided by amounts received that are relevant agency receipts, as the amount is earned (i.e. on an accrual basis); and

(e)        Advance to the Finance Minister (for Parliamentary Departments, the responsible Presiding Officer) specified in the Appropriation Acts, the date of the determination.

101.4           Each agency must ensure they have a valid appropriation for all amounts drawn from the OPA for refunds (including repayments) required or permitted by law. These refunds, which include repayments made under section 28 of the FMA Act, must be recognised and/or disclosed under their valid appropriation, and as required by section 104.20.

Measurement

101.5           For departmental output appropriations specified in the Appropriation Acts, the full amount appropriated is to be recognised as income in the year of appropriation, as adjusted by certain current year formal additions and reductions listed at section 101.13. Additions and reductions listed at section 101.13 are recognised as adjustments to income, except where an alternative treatment is required under AAS.

Departmental Appropriations Specified in Appropriation Acts

101.6           Subject to section 101.7, departmental non-operating appropriations must be recognised and disclosed at the amounts in the Appropriation Acts, adjusted, where applicable, in accordance with section 101.13.

101.7           Equity injections, loans and previous years’ outputs must be recognised in compliance with the following sections for each item. These entries must be adjusted only by applicable current year formal additions and reductions listed at section 101.13.

101.8           Equity injections must be recognised as a contribution by owners, increasing contributed equity in full from the commencement of the financial year to which the appropriation applies irrespective of when drawn down. Appropriations for equity in Acts passed after the commencement of the period for which the appropriation applies will be recognised from the date of Royal Assent.

101.9           Loan appropriations must be recognised as increases in borrowings. They are not revenue.

101.10       Where additional work is requested by Government with funding to follow in the subsequent period, as previous years’ outputs, the agency must record the funding and an appropriation receivable in the year of agreement for the amount agreed, so long as the transaction is appropriately evidenced. Evidence will include at a minimum, written Ministerial agreement. The subsequent appropriation for previous years’ outputs will reduce the appropriation receivable.

101.11       When an agency transfers cash, for which it has a valid appropriation, to the OPA, but does not relinquish the right to redraw those amounts, the agency must account for this by increasing appropriations receivable.

Adjustments to Current Year Departmental Appropriations

101.12       Formal additions or reductions to recognition of departmental appropriations as outlined in section 101.13, occur when an agency has gained or lost the capacity to control the appropriation. Formal additions or reductions necessitate adjustments to recognition and/or disclosure of appropriations to the extent they have not already resulted in adjustments in previous years.

101.13       Departmental appropriations for the current year may only be adjusted by formal additions or reductions in the current year in relation to the appropriations. To be a formal addition or reduction, the gain or loss of control event, as outlined below, must be evidenced in writing from the appropriate authority. Formal additions and reductions are as follows:

(a)        Annual appropriations increased by the operation of section 31 of the FMA Act;

(b)       transfers of appropriation under section 32 of the FMA Act;

(c)        other amounts determined by the Finance Minister (or delegate) or an agency Minister or Presiding Officer under Part 3 Adjusting appropriation items of Appropriation Acts;

(d)       adjustments as stipulated by any agreement that provides for additional revenue for over-delivery or a reduction of revenue for under-delivery, such as purchasing, workload or other agreements, as well as funding arrangements that are specifically designed to not financially advantage or disadvantage an entity (appropriation on a no-win/no-loss basis);

(e)        adjustments made as a result of a decision by the Government, for an agency to provide additional outputs during the current financial period that will be provided for in the subsequent financial period or to provide fewer outputs where the related funding is to be withdrawn; and/or

(f)         all other adjustments made as a consequence of a decision of the Cabinet or the Prime Minister.

101.14       The agreements referred to in section 101.13(d) must:

(a)        set out one or more quantifiable deliverable(s) and/or a specific amount of appropriation relating to each; and

(b)       be approved by, or arise from, Ministerial or Cabinet decisions prior to the funding being given.

Equity Returns and Adjustments

101.15       Departmental equity returns must be recognised as a return of capital by adjusting contributed equity and not as a reduction in, or refund of, revenue. Entities shall account for these payments as a reduction in contributed equity from the time the return of capital is paid. Departmental equity returns occur:

(a)        where an agency relinquishes control of funds which had been appropriation revenue in a previous financial year; or

(b)       by making a non-reciprocal payment to the OPA other than as a dividend referred to in Division 41.

101.16       Reductions in contributed equity under section 101.15 are recognised in the financial statements of the agency:

(a)        at the date the appropriation amount is reduced as a consequence of Government policy;

(b)       at the date of effect of a Ministerial direction;

(c)        at the date of the determination reducing a departmental appropriation in accordance with annual Appropriation Acts; or

(d)       at the date that payment is made in all other cases.

Investment of Funds

101.17       Each agency must recognise and/or disclose all public money invested in authorised investments under section 39 of the FMA Act or surplus funds under section 18 and section 19 of the CAC Act in Table E (appropriately modified) in section 104.25. All money invested under a special account must also be disclosed in accordance with Division 120 of this schedule.

101.18       Where investments are made under an Act of Parliament other than section 39 of the FMA Act, the same format as Table E in section 104.25 should be followed. The name of the relevant Act and section under which the investment is made must be noted. The title of the table may be amended, e.g. for authorities.

102      Recognition of Appropriations - Administered

102.1           An agency must recognise all administered appropriations for which it is the responsible agency, as outlined below, in the administered reconciliation table (refer section 85.5). Administered appropriations are not to be recognised as revenue in the schedule of administered items.

102.2           The earliest point of recognition for an administered appropriation by an agency for accounting purposes is as follows, for:

(a)        Administered appropriations, administered non‑operating appropriations, administered special appropriations, when it is drawn down to an agency’s bank account for payment against the appropriation; and

(b)       other amounts determined by the Finance Minister (or delegate) or an agency Minister or Presiding Officer under Part 3 Adjusting appropriation items of the Appropriation Acts, the date stated in the determination, or if there is none stated, then the date of the determination.

102.3           Agencies must ensure that they have a valid appropriation for all amounts drawn from the OPA for refunds (including repayments) required or permitted by law. These refunds, which include repayments made under section 28 of the FMA Act, must be recognised and/or disclosed under their valid appropriation, and as required by section 104.20.

103      Recognition of Appropriations – CAC Entities

104      Disclosure of Appropriations

104A Disclosure - General

104.1           Agencies must make the disclosures in tabular form in the notes to the financial statements required for all appropriations identified in section 101.3, applying to departmental and administered items, pursuant to Tables A1 to G in subdivision 104B.

104.2           Where the responsible agency for the appropriation provides drawing rights to another agency (the agent) to act on its behalf to expend the appropriation, the agent agency will disclose the information required by Table G in section 104.29.

104.3           For special appropriations, a table must be prepared by agencies for each Act authorising the appropriation in accordance with subdivision 104B or alternatively an agency can present each special appropriation as an additional column to the table.

104.4           For special appropriations, where an appropriation has not been drawn on in the current and the previous year, in place of completing the tables in subdivision 104B, an agency may elect to make an abbreviated disclosure that includes all of the following:

(a)        whether the special appropriation  is departmental or administered;

(b)       the legislative provision that provides the authority for the special appropriation;

(c)        the outcomes it is associated with;

(d)       the fact that the special appropriation  was not drawn on in the current or previous year; and

(e)        for limited special appropriations, the balance remaining available.

104.5           The responsible agency is to include the relevant details of its special appropriations in the following elements of its financial statements:

(a)        for administered special appropriations:

(i)            administered expenses as part of the schedule of administered items;

(ii)         administered assets and liabilities as part of the schedule of administered items;

(iii)       administered cash flows as part of the schedule of administered items;

(iv)        administered reconciliation table in accordance with section 85.5;

(v)          appropriation Tables C, D, E and F in subdivision 104B (as appropriate); and

(vi)        where applicable, full disclosure of the relationship between the responsible agency and the agency paying money from the CRF.

(b)       for departmental special appropriations:

(i)            departmental revenues and expenses as part of the statement of comprehensive income;

(ii)         departmental assets and liabilities as part of the balance sheet;

(iii)       departmental cash flows as part of the cash flow statement;

(iv)        appropriation Tables C, D, E and F in subdivision 104B (as appropriate); and

(v)          where applicable, full disclosure of the relationship between the responsible agency and the agency paying money from the CRF.

104.6           The amounts shown in the lines of the table for the annual Appropriation Acts (and limited special appropriations legislation) must be the same as the amounts set out in those Acts.

104.7           Where there are material variances between the cash payments for the reporting period and the amount appropriated, or otherwise authorised, agencies must provide an explanation of those variances below the relevant table.

104.8           The availability of any un-drawn non-operating appropriations must be disclosed in the notes to the financial statements.

104.9           The amounts shown in the lines for the Budget Estimates for unlimited special appropriations legislation must use the latest estimates from the 2010‑11 budget papers, and be based on an agency’s estimate of payments where eligibility is established.

104.10       Special appropriations under sections 28 and 39 of the FMA Act are to be reported by the agency making the payment from the CRF. Additional disclosure is required by Tables D and E in sections 104.20 and 104.25 respectively.

104.11       Where an agency, that is not the responsible agency, has paid money out of the CRF from a special appropriation or an annual appropriation:

(a)        the responsible agency must disclose the name of the agency to which it has given authority to act as its agent and apply the reporting requirements outlined in this division, namely disclosing the transactions in its face statements and appropriations note; and

(b)       the agency that has paid money out of the CRF against an appropriation must disclose the name of the responsible agency and apply the reporting requirements outlined at section 104.12.

104.12       An agency paying money out of the CRF on behalf of a responsible agency against a special appropriation or annual appropriation must include relevant details of the appropriation as a separate note in its financial statements as follows:

(a)        full disclosure of the relationship between the agency paying from the CRF and each responsible agency; and

(b)       for each special appropriation or annual appropriation, the amount of receipts, subsequent payments from the CRF and the resulting balance of any money held using Table G in section 104.29.

104.13       Where an agent pays money out of the CRF on behalf of the responsible agency, the responsible agency must ensure that systems and processes are in place to enable appropriate reporting of the appropriation.