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MURCHISON REGIONAL VERMIN COUNCIL
MINUTES
ORDINARY MEETING OF COUNCIL
10 MARCH 2015
1. DECLARATION OF OPENING / ANNOUNCEMENT OF VISITORS ................... 3
2. RECORD OF ATTENDANCE / APOLOGIES / LEAVE OF ABSENCE ................. 3
3. RESPONSE TO PREVIOUS PUBLIC QUESTIONS TAKEN ON NOTICE ........... 3
4. PUBLIC QUESTION TIME AND ADDRESS BY MEMBERS OF THE PUBLIC .. 3
4.1 Public Question Time .................................................................................... 3 4.2 Address by Members of the Public ................................................................ 3
5. APPLICATIONS FOR LEAVE OF ABSENCE ......................................................... 3
6. DEPUTATIONS / PRESENTATIONS / SUBMISSIONS.......................................... 4
7. CONFIRMATION OF MINUTES OF PREVIOUS MEETING................................. 4
7.1 Minutes of the Ordinary Meeting held on 3 December 2014 ........................ 4
8. ANNOUNCEMENTS BY PRESIDING PERSON WITHOUT DISCUSSION ......... 4
9. PETITIONS.................................................................................................................. 4
10. DECLARATIONS OF INTEREST ............................................................................. 4
11. BUSINESS DEFERRED FROM PREVIOUS MEETING ......................................... 4
12. REPORTS .................................................................................................................... 6
12.1 Cash Position Statement ................................................................................ 6 12.2 Accounts for Payment .................................................................................... 8 12.3 Debtors ......................................................................................................... 10
12.4 Investment Register ..................................................................................... 11 12.5 Statement of Financial Activity ................................................................... 13
12.6 Budget Review to 31 December 2014 ......................................................... 38 12.7 Compliance Audit Return - Calendar Year 2014 ......................................... 55
13. MOTIONS OF WHICH PREVIOUS NOTICE HAS BEEN GIVEN ....................... 65
14. NOTICE OF MOTIONS FOR THE NEXT MEETING............................................ 65
15. CONFIDENTIAL BUSINESS................................................................................... 65
16. LATE AGENDA ITEMS ........................................................................................... 65
17. ELECTED MEMBER MATTERS ............................................................................ 65
18. NEXT MEETING ...................................................................................................... 65
19. CLOSURE OF MEETING ........................................................................................ 65
20. CERTIFICATION BY CHAIRMAN ........................................................................ 66
Ordinary Meeting of Council Minutes - 10 March 2015 2 of 66
Murchison Regional Vermin Council
Minutes for the Ordinary Meeting of Council - 10 March 2015
In Council Chambers, Lot 163 Hepburn Street, Mount Magnet
To commence immediately at the conclusion of the Audit Committee Meeting
1. DECLARATION OF OPENING / ANNOUNCEMENT OF VISITORS
The President, Cr Jason Homewood, opened the meeting at 1:20pm.
2. RECORD OF ATTENDANCE / APOLOGIES / LEAVE OF ABSENCE
Attendance
President Cr Jason Homewood
Deputy President Cr Neil Grinham
Member Cr Carol Hodshon
Member Cr Roger Le Maitre
Member Cr Robert Grinham
Member Cr Alan Bloore
Member Cr Martin King
Member Cr Harvey Nichols
Apologies
Member Cr Peter Clancy
Member Cr Joe O'Brien
Staff
Chief Executive Officer Mr Warren Olsen
Administration Supervisor Ms Ronella Kelly
3. RESPONSE TO PREVIOUS PUBLIC QUESTIONS TAKEN ON NOTICE
Nil.
4. PUBLIC QUESTION TIME AND ADDRESS BY MEMBERS OF THE PUBLIC
4.1 Public Question Time
Nil.
4.2 Address by Members of the Public
Nil.
5. APPLICATIONS FOR LEAVE OF ABSENCE
Nil.
Ordinary Meeting of Council Minutes - 10 March 2015 3 of 66
6. DEPUTATIONS / PRESENTATIONS / SUBMISSIONS
Nil.
7. CONFIRMATION OF MINUTES OF PREVIOUS MEETING
7.1 Minutes of the Ordinary Meeting held on 3 December 2014
COUNCIL RESOLUTION
Moved: Cr Roger Le Maitre Seconded: Cr Bob Grinham
That the minutes of the Ordinary Meeting held on 3 December 2014 as circulated be
confirmed as a true and correct record of proceedings.
CARRIED 8/0
8. ANNOUNCEMENTS BY PRESIDING PERSON WITHOUT DISCUSSION
Nil.
9. PETITIONS
Nil.
10. DECLARATIONS OF INTEREST
Nil.
11. BUSINESS DEFERRED FROM PREVIOUS MEETING
Nil.
COUNCIL RESOLUTION
The Chief Executive Officer advised that the Council had established an Audit Committee
in 2012 comprising all members of the Council. However, having reviewed all the
minutes, he could not find a COUNCIL RESOLUTION since the October 2013
establishing an Audit Committee. Advice from the Department of Local Government was
that the COUNCIL RESOLUTION of 2012 was no longer effective as all committees
cease to exist on election day.
Moved: Cr Roger Le Maitre Seconded: Cr Bob Grinham
That the Murchison Regional Vermin Council Audit Committee be established with a
membership of all Councillors.
CARRIED 8/0
Ordinary Meeting of Council Minutes - 10 March 2015 4 of 66
COUNCIL RESOLUTION
Moved: Cr Roger Le Maitre Seconded: Cr Bob Grinham
That the meeting adjourns at 1:25pm.
CARRIED 8/0
COUNCIL RESOLUTION
Moved: Cr Roger Le Maitre Seconded: Cr Carol Hodshon
That the meeting resumes at 1:45pm.
CARRIED 8/0
Ordinary Meeting of Council Minutes - 10 March 2015 5 of 66
12. REPORTS
12.1 Cash Position Statement
File: MRVC
Officer: Finance Manager
Amended By: Nil
Disclosure of Interest: Nil
Meeting Date: 10 March 2015
Comment
The Cash Position Statement is as stated below.
Statement of Cash Position - As at 31 January 2015 $
Balance of Cash Position - As at 1 July 2014 2,050.90
Add - Operating - Revenue
Annual Subsidy 32,675.50
Precepts 70,240.50
Fence Rentals 5,199.51
Credit Interest 1.90
Total – Operating - Revenue $ 108,117.41
Less – Operating - Expenditure
Fence Maintenance -13,672.32
Advertising -369.51
Secretarial Services -6,600.00
Financial/Audit Services -7,951.39
Member Fees -4,492.50
Meeting Expenses -750.00
Communication Expenses -270.00
Insurance -825.00
Legal Expenses -3,434.76
Bank Fees -108.60
Total – Operating – Expenditure -38,474.08
Less - ATO – BAS - April 2014 to June 2014 -56,083.00
Less - ATO – BAS - July 2014 to September 2014 -52,830.00
Add – Capital - Revenue
CLGF 2012/2013 Regional Groups 526,731.70
Less - Capital - Expenditure
Fencing Materials -310,956.76
Clearing & Grading -81,346.67
Field Coordinator -18,370.13
Advertising -1,508.00
CLGF Audit – Year End 30 June 2014 -275.00
Total – Capital – Expenditure -$ 412,456.56
Cash Deposit – At Call
Drawdown - Cash Deposit 27,563.90
Transfer to Cash Deposit -30,000.00
Cash Deposit
Drawdown – Cash Deposit 465,000.00
Transfer to Cash Deposit - CLGF 2012/2013 Regional Groups -526,731.70
Cash Balance - As At 31 January 2015 12,888.57
Ordinary Meeting of Council Minutes - 10 March 2015 6 of 66
Consultation
Nil
Statutory Environment
Nil
Policy Implications
Nil
Financial Implications
Nil
Strategic Implications
Nil
Voting Requirements
Simple Majority
COUNCIL RESOLUTION
Moved: Cr Roger Le Maitre Seconded: Cr Alan Bloore
That the Cash Position Statement as at 31 January 2015 be received.
CARRIED 8/0
Ordinary Meeting of Council Minutes - 10 March 2015 7 of 66
12.2 Accounts for Payment
File: MRVC
Officer: Finance Manager
Amended By: Nil
Disclosure of Interest: Nil
Meeting Date: 10 March 2015
Comment
The accounts for payment list for November 2014, December 2014 and January 2015 are
attached for notation.
Consultation
Nil
Statutory Environment
Nil
Policy Implications
Nil
Financial Implications
Nil
Strategic Implications
Nil
Voting Requirements
Simple Majority
COUNCIL RESOLUTION
Moved: Cr Bob Grinham Seconded: Cr Carol Hodshon
That payments of accounts for payment list for November 2014, December 2014 and
January 2015 are noted.
CARRIED 8/0
Ordinary Meeting of Council Minutes - 10 March 2015 8 of 66
ACCOUNTS PAID
1 November 2014 to 31 January 2015
Date Paid Invoice No Name Particulars Amount $
01/11/2014 Direct CBA Account Service Fee 5.00
01/11/2014 Direct CBA Account Service Fee 0.20
21/11/2014 5139 Shire of Mount Magnet Reimbursement –
Advertisement – Meeting Dates
116.66
21/11/2014 5138 Shire of Mount Magnet Reimbursement –
Advertisement – Quotation
Vermin Fence Maintenance Works
136.19
21/11/2014 1957 Robbro WA Pty Ltd MRVC/11 – Clearing & Grading 67,760.00
28/11/2014 290009255 RSM Bird Cameron Financial Services 2,032.25
28/11/2014 9234 Swagman Roadhouse Catering – Council Lunch 250.00
28/11/2014 5141 Shire of Mount Magnet Reimbursement –
Freight –Fence Materials
$1819.76 Satellite Phone Account $90.00
1,909.76
28/11/2014 96065605
96070340
Landmark MRVC/10 – Supply of Fencing
Materials-Category 2–Star
Pickets
73,986.00
28/11/2014 100-119978 LGIS Liability Insurance 825.00
01/12/2014 Direct CBA Account Service Fee 5.00
01/12/2014 Direct CBA Account Service Fee 2.40
19/12/2014 Direct A Bloore Member Fees – Jul 14 to Dec 14 300.00
19/12/2014 Direct N Grinham Member Fees – Jul 14 to Dec 14
plus Deputy Presidents
Allowance
362.50
19/12/2014 Direct H Nichols Member Fees – Jul 14 to Dec 14 150.00
19/12/2014 Direct M King Member Fees – Jul 14 to Dec 14 300.00
19/12/2014 Direct R Grinham Member Fees – Jul 14 to Dec 14 300.00
19/12/2014 Direct J Homewood Member Fees – Jul 14 to Dec 14
plus Presidents Allowance
1150.00
19/12/2014 Direct R LeMaitre Member Fees – Jul 14 to Dec 14 450.00
19/12/2014 Direct C Hodshon Member Fees – Jul 14 to Dec 14 450.00
19/12/2014 Direct J O’Brien Member Fees – Jul 14 to Dec 14 450.00
19/12/2014 1967 Robbro WA Pty Ltd MRVC/11 – Clearing & Grading
– Additional Works
13,586.67
19/12/2014 490 Murchison Aviation Field Co-Ordinator to 10 Dec
2014
6,299.15
01/01/2015 Direct CBA Account Service Fee 5.00
08/01/2015 80107 McLeods Legal Advice re Imposing Fence
Rental Fees & Charges
3,434.76
08/01/2015 96106187 Landmark MRVC/10 – Supply of Fencing
Materials-Category 2–Star
Pickets
8,162.00
TOTAL 182,428.54
Ordinary Meeting of Council Minutes - 10 March 2015 9 of 66
12.3 Debtors
File: MRVC
Officer: Finance Manager
Amended By: Nil
Disclosure of Interest: Nil
Meeting Date: 10 March 2015
Comment
Outstanding Debtors - As at 31 January 2015
Outstanding Current Fence Rental $ 2,310.51
Outstanding Previous Years Fence Rental $ 6,213.57
Recovery Expenses $ 249.29
Total Amount Outstanding $ 8,773.37
Details of outstanding debtors are available to Councillors as a separate document.
Consultation
Nil
Statutory Environment
Nil
Policy Implications
Nil
Financial Implications
Nil
Strategic Implications
Nil
Voting Requirements
Simple Majority
COUNCIL RESOLUTION
Moved: Cr Carol Hodshon Seconded: Cr Roger Le Maitre
That the outstanding Debtors Report be received.
CARRIED 8/0
Ordinary Meeting of Council Minutes - 10 March 2015 10 of 66
12.4 Investment Register
File: MRVC
Officer: Finance Manager
Amended By: Nil
Disclosure of Interest: Nil
Meeting Date: 10 March 2015
Comment
The Investment Register is attached for notation.
Consultation
Nil
Statutory Environment
Nil
Policy Implications
Nil
Financial Implications
Nil
Strategic Implications
Nil
Voting Requirements
Simple Majority
COUNCIL RESOLUTION
Moved: Cr Bob Grinham Seconded: Cr Martin King
That the Investment Register is noted.
CARRIED 8/0
Ordinary Meeting of Council Minutes - 10 March 2015 11 of 66
At Call 2.450% 36,318.04 1,278.93 99,947.45 -27,563.90 109,980.52
At Call 2.450% 10,000.00 1,720.11 530,600.80 -479,090.75 63,230.16
2/03/2015 2.490% 589,112.51 9,969.94 -55,856.70 543,225.75
- 3,869.10 526,731.70 -530,600.80 -
TOTAL 16,838.08$ 1,157,279.95$ 1,093,112.15-$ 716,436.43$
OPERATING
CAPITAL
CAPITAL
CAPITAL
INVESTMENT REGISTER
01 JULY 2014 TO 31 JANUARY 2015
Commonwealth Bank of Australia - Cash Deposit Account Number 36558508
Maturity Date Interest Rate Opening Balance Interest Earnt to 31.01.2015
Transfers to Investments
Transfers from Investments
Closing Balance 31.01.2015
Ordinary Meeting of Council Minutes - 10 March 2015 12 of 66
12.5 Statement of Financial Activity
File: MRVC
Officer: Warren Olsen - CEO
Amended By: Nil
Disclosure of Interest: Nil
Meeting Date: 10 March 2015
Application
To review the Statement of Financial Activity to 31 January 2015.
Background The attached Statement of Financial Activity to 31 January 2015 has been prepared by
RSM Bird Cameron.
Consultation
Mr Travis Bate – RSM Bird Cameron
Statutory Environment
Nil
Policy Implications
Nil
Financial Implications
Nil
Strategic Implications
Nil
Voting Requirements
Simple Majority
COUNCIL RESOLUTION
Moved: Cr Roger Le Maitre Seconded: Cr Martin King
That the Statement of Financial Activity to 31 January 2015 be adopted.
CARRIED 8/0
Ordinary Meeting of Council Minutes - 10 March 2015 13 of 66
RSM Bird Cameron
Level 1, 12 Bayly Street Geraldton WA 6530
PO Box 61 Geraldton WA 6531
T +61 8 9920 7400 F +61 8 9920 7450
www.rsmi.com.au
Liability limited by a scheme approved under Professional Standards Legislation
Birdanco Nominees Pty Ltd ABN 33 009 321 377 Practising as RSM Bird Cameron ABN 65 319 382 479
Major Offices in: Perth, Sydney, Melbourne, Adelaide and Canberra
RSM Bird Cameron is an independent member firm of RSM International, an affiliation of independent accounting and consulting firms. RSM International is the name given to a network of independent accounting and consulting firms each of which practices in its own right. RSM International does not exist in any jurisdiction as a separate legal entity.
Compilation Report
To the Council
Murchison Region Vermin Council
Scope
We have compiled the accompanying special purpose financial statements.
The specific purpose for which the special purpose financial report has been prepared is to provide information
relating to the financial performance and financial position of the Shire that satisfies the information needs of the
Council and the Local Government Act 1995 and associated regulations.
The responsibility of the Murchison Region Vermin Council
The Murchison Region Vermin Council (MRVC) is solely responsible for the information contained in the special
purpose financial report and have determined that the accounting policies used are consistent and are appropriate
to satisfy the requirements of the Council and the Local Government Act 1995 and associated regulations.
Our responsibility
On the basis of information provided by the MRVC, we have compiled the accompanying special purpose
financial statements.
Our procedures use accounting expertise to collect, classify and summarise the financial information, which the
Management provided, into a financial report. Our procedures do not include any verification or validation
procedures. No audit or review has been performed and accordingly no assurance is expressed.
To the extent permitted by law, we do not accept liability for any loss or damage which any person, other than the
MRVC, may suffer arising from negligence on our part. No person should rely on the report without having an
audit or review conducted.
This report was prepared for the benefit of the Council of the MRVC and the purpose identified above. We do not
accept responsibility to any other person for the content of the report.
Signed at GERALDTON RSM BIRD CAMERON
Chartered Accountants
Date 26 February 2015 RSM BIRD CAMERON
Ordinary Meeting of Council Minutes - 10 March 2015 14 of 66
Appendix A: Issues Noted in Preparation of Financial Report
We noted the following issues during the preparation of the financial statements which we wish to bring to your
attention:
Format of Report
The format of the Financial Statement is consistent with that used previously with the Council. We accept no
responsibility for the Financial Statements compliance or otherwise with the requirements of the Local
Government Act 1995 and associated regulations.
Fixed Assets, Depreciation and Profit / Loss on Sale of Asset
Depreciation expense is brought to account for the MRVC at the 30 June and is not reflected in these financial
statements..
Ordinary Meeting of Council Minutes - 10 March 2015 15 of 66
Murchison Region Vermin Council
FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
Local Government Act 1995
Local Government (Financial Management) Regulations 1996
This report should be read in conjunction with the notes to the accounts
Ordinary Meeting of Council Minutes - 10 March 2015 16 of 66
Table of Contents
Income Statement by Nature and Type
Income Statement by Statutory Reporting Program
Statement of Financial Position at 31 January 2015
Note 1 Significant Accounting Policies
MYOB "Profit & Loss Statement" 1 July 2014 to 31 January 2015
MYOB "Balance Sheet" at 31 January 2015
MYOB "GST Detail" Report Year to 31 January 2015
MYOB "Bank Register" Report Year to 31 January 2015
Ordinary Meeting of Council Minutes - 10 March 2015 17 of 66
Jan-15 2015 Jan-14$ Budget $
$REVENUES FROM ORDINARY ACTIVITIESSubsidy-Meekatharra Rangelands 29,705 29,705 31,724Fees and Charges 70,047 70,047 68,007Interest Earnings 16,840 15,000 1,124
116,592 114,752 100,855
EXPENSES FROM ORDINARY ACTIVITIESMaterials and Contracts (31,315) (89,752) (36,435)Depreciation - (49,693) -Other Expenditure - - -
(31,315) (139,445) (36,435)
REVENUES FROM ORDINARY ACTIVITIESNon Operating Grants 478,847 478,847 -
478,847 478,847 -
NET RESULT 564,125 454,154 64,419
Jan-15 2015 Oct-13$ Budget $
$REVENUES FROM ORDINARY ACTIVITIESEconomic Services 116,592 114,752 100,855
116,592 114,752 100,855
EXPENSES FROM ORDINARY ACTIVITIESEXCLUDING BORROWING COSTS EXPENSEGovernance (24,464) (56,462) (30,490)Economic Services (6,851) (82,983) (5,945)
(31,315) (139,445) (36,435)
REVENUES FROM ORDINARY ACTIVITIESNon Operating Grants 478,847 478,847 -
478,847 478,847 -
NET RESULT 564,125 454,154 64,419
This statement is to be read in conjunction with the accompanying notes.
By ProgramFor the Period 1 July 2014 to 31 January 2015
INCOME STATEMENT
Murchison Region Vermin CouncilINCOME STATEMENTBy Nature and Type
For the Period 1 July 2014 to 31 January 2015
Murchison Region Vermin Council
Ordinary Meeting of Council Minutes - 10 March 2015 18 of 66
NOTE Jan-15 Jan-14$ $
CURRENT ASSETSCash and Cash Equivalents 729,325 66,892Trade and Other Receivables 3,396 3,860Inventories 10,060 620,220TOTAL CURRENT ASSETS 742,782 690,972
NON-CURRENT ASSETSInfrastructure 1,976,242 1,023,930TOTAL NON-CURRENT ASSETS 1,976,242 1,023,930
TOTAL ASSETS 2,719,024 1,714,902
CURRENT LIABILITIESTrade and Other Payables (35,346) 6,210TOTAL CURRENT LIABILITIES (35,346) 6,210
TOTAL LIABILITIES (35,346) 6,210
NET ASSETS 2,754,370 1,708,692
EQUITYEquity 2,754,370 1,708,692TOTAL EQUITY 2,754,370 1,708,692
Murchison Region Vermin CouncilSTATEMENT OF FINANCIAL POSITION
For the Period 1 July 2014 to 31 January 2015
Ordinary Meeting of Council Minutes - 10 March 2015 19 of 66
1. SIGNIFICANT ACCOUNTING POLICIESThe significant accounting policies which have been adopted in the preparation of this financialreport are:
(a) Basis of Preparation
The report has also been prepared on the accrual basis and is based on historical costs, modified, whereapplicable, by the measurement at fair value of the selected non-current assets, financial assetsand liabilities.
Critical Accounting Estimates
(b) The Local Government Reporting EntityAll Funds through which the Council controls resources to carry on its functions have beenincluded in the financial statements forming part of this financial report.
In the process of reporting on the local government as a single unit, all transactions and balancesbetween those funds (for example, loans and transfers between Funds) have been eliminated.
(c) Goods and Services TaxIn accordance with recommended practice, revenues, expenses and assets capitalised are stated netof any GST recoverable. Receivables and payables in the statement of financial position are statedinclusive of applicable GST.
(d) Cash and Cash Equivalents
(e) Trade and Other Receivables
Bank overdrafts are shown as short term borrowings in current liabilities on the statement of financial position.
Collectability of trade and other receivables is reviewed on an ongoing basis. Debts that are known to be uncollectible are written off when identified. An allowance for doubtful debts is raised when there is objective evidence that they will not be collectible.
Cash and cash equivalents include cash on hand, cash at bank, deposits held at call with banks, other short term highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value and bank overdrafts.
Murchison Region Vermin CouncilNOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
The financial report is a general purpose financial statement which has been prepared in accordance with Australian Accounting Standards (as they apply to local governments and not-for-profit entities), Australian Accounting Interpretations, other authoritative pronouncements of the Australian Accounting Standards Board, the local Government Act 1995 and accompanying regulations.
The preparation of a financial report in conformity with Australian Accounting Standards requires management to make judgements, estimates and assumptions that effect the application of policies and reported amounts of assets and liabilities, income and expenses.
The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances; the results of which form the basis of making the judgements about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.
Ordinary Meeting of Council Minutes - 10 March 2015 20 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(f) Inventories
General
Land Held for Resale
Land purchased for development and/or resale is valued at the lower of cost and net realisablevalue. Cost includes the cost of acquisition, development, borrowing costs and holding costsuntil Finance costs and holding charges incurred after development is completed are expensed.
Revenue arising from the sale of property is recognised in the statement of comprehensive incomeas at the time of signing an unconditional contract of sale.
Land held for resale is classified as current except where it is held as non-current based on Council's intentionto release for sale.
(g) Fixed Assets
Initial Recognition
Revaluation
Certain asset classes may be revalued on a regular basis such that the carrying values are not materiallydifferent from fair value. For infrastructure and other asset classes where no active market exists, fairvalue is determined to be the current replacement cost of an asset less, where applicable, accumulateddepreciation calculated on the basis of such cost to reflect the already consumed or expired futureeconomic benefits of the asset.
Those assets carried at a revalued amount, being their fair value at the date of revaluation less anysubsequent accumulated depreciation and accumulated impairment losses, are to be revalued withsufficient regularity to ensure the carrying amount does not differ materially from that determined usingfair value at reporting date.
Murchison Region Vermin CouncilNOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
Inventories are measured at the lower of cost and net realisable value.
Net realisable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale.
Each class of fixed assets is carried at cost or fair value as indicated less, where applicable, any accumulated depreciation or impairment losses.
All assets are initially recognised at cost. Cost is determined as the fair value of the assets given as consideration plus costs incidental to the acquisition. For assets acquired at no cost or for nominal consideration, cost is determined as fair value at the date of acquisition. The cost of non-current assets constructed by the Council includes the cost of all materials used in construction, direct labour on the project and an appropriate proportion of variable and fixed overhead.
Increases in the carrying amount arising on revaluation of assets are credited to a revaluation surplus in equity. Decreases that offset previous increases in the same asset are charged against fair value reserves directly in equity; all other decreases are charged to the statement of comprehensive income.
Any accumulated depreciation at the date of revaluation is eliminated against the gross carrying amount of the asset and the net amount is restated to the revalued amount of the asset.
Ordinary Meeting of Council Minutes - 10 March 2015 21 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(g) Fixed Assets (Continued)
Depreciation of Non-Current Assets (Continued)
Depreciation is recognised on a straight-line basis, using rates which are reviewed each reportingperiod. Major depreciation periods are:
Fencing 50 yearsPlant and Equipment 10 years
Capitalisation Threshold
(h) Financial Instruments
Initial Recognition and Measurement
Classification and Subsequent Measurement
techniques are adopted.
NOTES TO AND FORMING PART OF THE FINANCIAL REPORTFor the Period 1 July 2014 to 31 January 2015
An asset's carrying amount is written down immediately to its recoverable amount if the asset's carrying amount is greater than its estimated recoverable amount.
Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These gains and losses are included in the statement of comprehensive income. When revalued assets are sold, amounts included in the revaluation surplus relating to that asset are transferred to retained earnings.
Expenditure on items of equipment under $2,000 is not capitalised. Rather, it is recorded on an asset inventory listing.
Financial assets and financial liabilities are recognised when the Council becomes a party to the contractual provisions to the instrument. For financial assets, this is equivalent to the date that the Council commits itself to either the purchase or sale of the asset (i.e. trade date accounting is adopted).
Financial instruments are initially measured at fair value plus transaction costs, except where the instrument is classified 'at fair value through profit or loss', in which case transaction costs are expensed to profit or loss immediately.
Financial instruments are subsequently measured at fair value, amortised cost using the effective interest rate method or at cost.
Fair value represents the amount for which an asset could be exchanged or a liability settled, between knowledgeable, willing parties. Where available, quoted prices in an active market are used to determine fair value. In other
Murchison Region Vermin Council
Ordinary Meeting of Council Minutes - 10 March 2015 22 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(h) Financial Instruments (Continued)
Classification and Subsequent Measurement (Continued)
(i) Financial assets at fair value through profit and loss
(ii) Loans and receivables
(iii) Held-to-maturity investments
If the Council were to sell other than an insignificant amount of held-to-maturity financial assets, the whole category would be tainted and reclassified as available-for-sale.
Amortised cost is calculated as:
(a) the amount in which the financial asset or financial liability is measured at initial recognition;
(b) less principal repayments;
(c) plus or minus the cumulative amortisation of the difference, if any, between the amount initially
recognised and the maturity amount calculated using the effective interest rate method; and
(d) less any reduction for impairment.
The effective interest rate method is used to allocate interest income or interest expense over the relevant period and is equivalent to the rate that exactly discounts estimated future cash payments or receipts (including fees, transaction costs and other premiums or discounts) through the expected life (or when this cannot be reliably predicted, the contractual term) of the financial instrument to the net carrying amount of the financial asset or financial liability. Revisions to expected future net cash flows will necessitate an adjustment to the carrying value with a consequential recognition of an income or expense in profit or loss.
Financial assets at fair value through profit or loss are financial assets held for trading. A financial asset is classified in this category if acquired principally for the purpose of selling in the short term. Derivatives are classified as held for trading unless they are designated as hedges. Assets in this category are classified as current assets.
Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market and are subsequently measured at amortised cost.
Loans and receivables are included in current assets, except for those which are not expected to mature within 12 months after the end of the reporting period (classified as non-current assets).
Held-to-maturity investments are non-derivative financial assets with fixed maturities and fixed or determinable payments and fixed maturities that the Council’s management has the positive intention and ability to hold to maturity.
Held-to-maturity financial assets are included in non-current assets, except for those which are expected to mature within 12 months after the end of the reporting period (classified as current assets).
For the Period 1 July 2014 to 31 January 2015
Murchison Region Vermin CouncilNOTES TO AND FORMING PART OF THE FINANCIAL REPORT
Ordinary Meeting of Council Minutes - 10 March 2015 23 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(h) Financial Instruments (Continued)
Classification and Subsequent Measurement (Continued)
(iv) Available-for-sale financial assets
(v) Financial liabilities
Impairment
(i) Estimation of Fair Value
The nominal value less estimated credit adjustments of trade receivables and payables are assumed to approximate their fair values. The fair value of financial liabilities for disclosure purposes is estimated by discounting the future contractual cash flows at the current market interest rate that is available to the Council for similar financial instruments.
Murchison Region Vermin CouncilNOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
Available-for-sale financial assets, are non-derivative financial assets that are either not suitable to be classified into other categories of financial assets due to their nature, or they are designated as such by management. They comprise investments in the equity of other entities where there is neither a fixed maturity nor fixed or determinable.
Available-for-sale financial assets are included in non-current assets, except for those which are expected to mature within 12 months after the end of the reporting period (classified as current assets).
Non-derivative financial liabilities (excluding financial guarantees) are subsequently measured at amortised cost.
At the end of each reporting period, the Council assesses whether there is objective evidence that a financial instrument has been impaired. In the case of available-for-sale financial instruments, a prolonged decline in the value of the instrument is considered to determine whether impairment has arisen. Impairment losses are recognised in the statement of comprehensive income.
The fair value of financial assets and financial liabilities must be estimated for recognition and measurement or for disclosure purposes.
The fair value of financial instruments traded in active markets is based on quoted market prices at the reporting date.
The fair value of financial instruments that are not traded in an active market is determined using valuation techniques. The Council uses a variety of methods and makes assumptions that are based on market conditions existing at each reporting date. These include the use of recent arm’s length transactions, reference to other instruments that are substantially the same, discounted cash flow analysis, and option pricing models making maximum use of market inputs and relying as little as possible on entity-specific inputs.
Quoted market prices or dealer quotes for similar instruments are used for long-term debt instruments held. Other techniques, such as estimated discounted cash flows, are used to determine fair value for the remaining financial instruments.
Ordinary Meeting of Council Minutes - 10 March 2015 24 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(j) ImpairmentIn accordance with Australian Accounting Standards the Council's assets, other than inventories,are assessed at each reporting date to determine whether there is any indication they may be impaired.
Where such an indication exists, an estimate of the recoverable amount of the asset is madein accordance with AASB 136 'Impairment of Assets' and appropriate adjustments made.
An impairment loss is recognised whenever the carrying amount of an asset or its cash-generating unitexceeds its recoverable amount. Impairment losses are recognised in the statement of comprehensive income.
For non-cash generating assets such as roads, drains, public buildings and the like, value in use isrepresented by the depreciated replacement cost of the asset.
(k) Trade and Other PayablesTrade and other payables represent liabilities for goods and services provided to the Councilprior to the end of the financial year that are unpaid and arise when the Council becomesobliged to make future payments in respect of the purchase of these goods and services.The amounts are unsecured and are usually paid within 30 days of recognition.
(l) Employee BenefitsThe provisions for employee benefits relates to amounts expected to be paid for long serviceleave, annual leave, wages and salaries and are calculated as follows:
(i) Wages, Salaries, Annual Leave and Long Service Leave (Short-term Benefits)The provision for employees’ benefits to wages, salaries, annual leave and long service leaveexpected to be settled within 12 months represents the amount the Council has a presentobligation to pay resulting from employees services provided to reporting date. The provision hasbeen calculated at nominal amounts based on remuneration rates the Council expects to payand includes related on-costs.
(ii) Long Service Leave (Long-term Benefits)
(m) Borrowing CostsBorrowing costs are recognised as an expense when incurred except where they are directlyattributable to the acquisition, construction or production of a qualifying asset. Where this isthe case, they are capitalised as part of the cost of the particular asset.
Murchison Region Vermin CouncilNOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
Ordinary Meeting of Council Minutes - 10 March 2015 25 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(n) ProvisionsProvisions are recognised when:
a) the Council has a present legal or constructive obligation as a result of past events; b) for which it is probable that an outflow of economic benefits will result to settle the obligation; and c) that outflow can be reliably measured.
Provisions are not recognised for future operating losses.
(o) Joint VentureThe Council does not have any interest in a joint venture.
(p) Rates, Grants, Donations and Other ContributionsRates, grants, donations and other contributions are recognised as revenues when the localgovernment obtains control over the assets comprising the contributions. Control over assetsacquired from rates is obtained at the commencement of the rating period or, where earlier, uponreceipt of the rates.
Where contributions recognised as revenues during the reporting period were obtained on thecondition that they be expended in a particular manner or used over a particular period, and thoseconditions were undischarged as at the reporting date, the nature of and amounts pertaining tothose undischarged conditions are disclosed in Note 2(c). That note also discloses the amountof contributions recognised as revenues in a previous reporting period which were obtained inrespect of the local government's operation for the current reporting period.
(q) Superannuation
(r) Current and Non-Current Classification
(s) Rounding Off FiguresAll figures shown in this annual financial report, other than a rate in the dollar, are rounded to thenearest dollar.
(t) Comparative FiguresWhere required, comparative figures have been adjusted to conform with changes in presentationfor the current financial year.
(u) Budget Comparative FiguresUnless otherwise stated, the budget comparative figures shown in this annual financial report relate tothe original budget estimate for the relevant item of disclosure.
Provisions are measured using the best estimate of the amounts required to settle the obligation at the end of the reporting period.
The Council contributes to a number of superannuation funds on behalf of employees.
In the determination of whether an asset or liability is current or non-current, consideration is given to the time when each asset or liability is expected to be settled. The asset or liability is classified as current if it is expected to be settled within the next 12 months, being the Council’s operational cycle. In the case of liabilities where the Council does not have the unconditional right to defer settlement beyond 12 months, such as vested long service leave, the liability is classified as current even if not expected to be settled within the next 12 months. Inventories held for trading are classified as current even if not expected to be realised in the next 12 months except for land held for resale where it is held as non-current based on Council’s intentions to release for sale.
Murchison Region Vermin CouncilNOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
Ordinary Meeting of Council Minutes - 10 March 2015 26 of 66
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(w) New Accounting Standards and Interpretations for Application in Future Periods
Title and Topic Issued Applicable (*) Impact
(i) AASB 9 – Financial
InstrumentsDecember 2009 01 January 2013 Nil – The objective of this Standard is to improve and
simplify the approach for classification and
measurement of financial assets compared with the
requirements of AASB 139. Given the nature of the
financial assets of the Council, it is not anticipated the
standard will have any material effect.
(ii) AASB 124 – Related Party
DisclosuresDecember 2009 01 January 2011 Nil – It is not anticipated the Council will have any
related parties as defined by the Standard.
(iii) AASB 1053 - Application of
Tiers of Australian Accounting
Standards
June 2010 01 July 2013Nil - Due to its nature and statutory requirements the
Council will be deemed a Tier 1 entity and will continue
to prepare general purpose financial statements.
(iv) AASB 2009 -12 Amendments
to Australian Accounting
Standards
[AASB 5, 8, 108, 110, 112,
119, 133, 137, 139, 1023 &
1031 and Interpretations 2, 4,
16, 1039 & 1052]
December 2009 01 January 2011 Nil – The revisions embodied in this standard relate to
standards which do not apply to local government (i.e.
AASB8) or are largely editorial in nature and will have
minimal effect (if any) on the accounting practices of the
Council.
(v) AASB 2009– 11 Amendments
to Australian Accounting
Standards arising from AASB
9
December 2009 01 January 2013 Nil – The revisions embodied in this standard give effect
to the consequential changes arising from the issuance
of AASB 9 which is not anticipated to have any material
effect on the Council (refer (i) above).[AASB 1, 3, 4, 5, 7, 101, 102,
108, 112, 118, 121, 127, 128,
131, 132, 136, 139, 1023 &
1038 and Interpretations 10 &
12)
(vi) AASB 2010 - 2 Amendments
to Australian Accounting
Standards arising from
Reduced Disclosure
Requirements
[AASB 1, 2, 3, 5, 7, 8, 101,
102, 107, 108, 110, 111, 112,
116, 117, 119, 121, 123, 124,
127, 128, 131, 133, 134, 136,
137, 138, 140, 141, 1050, &
1052 and Interpretations 2, 4,
5, 15, 17, 127, 129 & 1052]
June 2010 01 July 2013 Nil - None of these amendments will have any effect on
the financial report as the standard does not apply in the
case of general purpose financial statements.
(vii) AASB 2010 - 4 Further
Amendments to Australian
Accounting Standards arising
from the Annual Improvements
Project [AASB 1, 7, 101, 134,
and Interpretation 13]
June 2010 01 January 2011 Nil - The revisions are part of the AASB's annual
improvement project to help ensure consistency with
presentation, recognition and measurement criteria of
IFRSs. It is not anticipated these will have any effect on
the Council.
Murchison Region Vermin Council
For the Period 1 July 2014 to 31 January 2015
Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet effective have not been adopted by the Council for the annual reporting period ending 30 June 2011.
Council’s assessment of these new standards and interpretations is set out below:
Ordinary Meeting of Council Minutes - 10 March 2015 27 of 66
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(w) New Accounting Standards and Interpretations for Application in Future Periods (Continued)
Title and Topic Issued Applicable (*) Impact
(viii) AASB 2010 - 5 Amendments
to Australian Accounting
Standards
[AASB 1, 3, 4, 5, 101, 107,
112, 118, 119, 121, 132, 133,
134, 137, 139, 140, 1023 &
1038 and Interpretations 112,
115, 127, 132 & 1042]
October 2010 01 January 2011 Nil - The revisions embodied in this standard are largely
editorial in nature or relate to standards not applicable to
the Council and will have minimal effect (if any) on the
accounting practices of the Council.
(ix) AASB 2010 - 6 Amendments
to Australian Accounting
Standards - Disclosures on
Transfers of Financial Assets
[AASB 1 & 7]
November 2010 01 July 2011 Nil - The revisions embodied in this standard amend
disclosures required on transfers of financial assets.
The Council is not expected to have any qualifying
transfers.
(x) AASB 2010 – 7 Amendments
to Australian Accounting
Standards arising from AASB
9 (December 2010)
December 2010 01 January 2013 Nil – The revisions embodied in this standard give effect
to the consequential changes arising from the issuance
of AASB 9 which is not anticipated to have any material
effect on the Council (refer (i) above).
[AASB 1, 3, 4, 5, 7, 101, 102,
108, 112, 118, 121, 127, 128,
131, 132, 136, 139, 1023 &
1038 and Interpretations 10 &
12)
(xi) AASB 2010 - 8 Amendments
to Australian Accounting
Standards - Deferred Tax:
Recovery of Underlying Assets
[AASB 1 & 7]
December 2010 01 January 2012 Nil - None of these amendments will have any effect on
the financial report as none of the topics are relevant to
the operations of the Council.
AASB 2010 - 9 Amendments
to Australian Accounting
Standards - Severe
Hyperinflation and Removal of
Fixed Dates for First-time
Adopters
[AASB 1]
December 2010 01 July 2011 Nil - None of these amendments will have any effect on
the financial report as none of the topics are relevant to
the operations of the Council.
AASB 2009– 14 Amendments
to Australian Interpretations –
Prepayments of a Minimum
Funding Requirement
[AASB Interpretation 14]
December 2009 01 January 2011
AASB 2010 - 10 Further
Amendments to Australian
Accounting Standards -
Removal of Fixed Dates for
First-time Adopters [AASB
2009 - 11 & 2010 - 7]
December 2010 01 January 2013
Notes:
(*) Applicable to reporting periods commencing on or after the given date.
Murchison Region Vermin Council
For the Period 1 July 2014 to 31 January 2015
Ordinary Meeting of Council Minutes - 10 March 2015 28 of 66
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(x) Adoption of New and Revised Accounting Standards
AASB 2009 - 5
AASB 2009 - 8
AASB 2009 - 10
AASB 2009 - 13
AASB 2010 - 1
AASB 2010 - 3
Interpretation 19
Murchison Region Vermin Council
During the current year, the Council adopted all of the new and revised Australian Accounting Standards and Interpretations which became
mandatory and which were applicable to its operations.
The standards adopted had a minimal effect on the accounting and reporting practices of the Council as they were either largely editorial in
nature, were revisions to help ensure consistency with presentation, recognition and measurement criteria of IFRSs or related to topics not
relevant to operations.
For the Period 1 July 2014 to 31 January 2015
These new and revised standards were:
Ordinary Meeting of Council Minutes - 10 March 2015 29 of 66
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Murchison Regional Vermin Council
PO BOX 62
MOUNT MAGNET WA6638
Profit & Loss StatementJuly 2014 through January 2015
Income
General Purpose Funds $29,705.00
Grant Funding $478,847.00
Precepts $63,855.00
Rental Fences $6,192.36
Total Income $578,599.36
Cost of Sales
Gross Profit $578,599.36
Expenses
Bank Fees $108.60
Administration $6,106.05
Insurance $750.00
Legal Accounting Audit $6,851.05
Fence Maintenance $12,429.38
Meeting Fees $3,600.00
Meeting Expenses $681.81
Presidents Allowance $312.50
Telephone $245.46
Sundry Expenses $229.86
Total Expenses $31,314.71
Operating Profit $547,284.65
Other Income
Interest Income $16,839.98
Total Other Income $16,839.98
Other Expenses
Net Surplus / (Deficit) $564,124.63
Page 15
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Murchison Regional Vermin Council
PO BOX 62
MOUNT MAGNET WA6638
Balance SheetAs of January 2015
Assets
Current Assets
Cheque Account $12,888.57
Cash Deposit Account $716,436.43
Receivables $8,773.36
Provision for Doubtful Debts ($5,377.15)
Inventory $10,060.45
Total Current Assets $742,781.66
Property & Equipment
Plant and Equipment
Plant and Equipment at Cost $9,119.00
Plant and Equipment Accum Dep ($9,119.00)
Total Plant and Equipment $0.00
Fence Infrastructure
Infrastructure Assets at Cost $3,127,393.00
Infrastructure Asset Accum Dep ($3,127,393.06)
Total Fence Infrastructure ($0.06)
Fence Works
Fence Works at Cost $2,025,540.72
Fence Works Acumm Dep ($49,298.62)
Total Property & Equipment $1,976,242.04
Total Assets $2,719,023.70
Liabilities
Current Liabilities
Trade Creditors $0.00
Tax Liabilities
GST Collected $251,106.47
GST Paid ($286,452.96)
Total Tax Liabilities ($35,346.49)
Total Current Liabilities ($35,346.49)
Total Liabilities ($35,346.49)
Net Assets $2,754,370.19
Equity
Retained Earnings $2,190,245.56
Current Year Surplus/Deficit $564,124.63
Total Equity $2,754,370.19
Page 16
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Murchison Regional Vermin Council
PO BOX 62
MOUNT MAGNET WA6638
Balance Sheet [Last Year Analysis]January 2015
This Year Last Year $ Difference % Difference
Assets
Current Assets
Cheque Account $12,888.57 $1,494.65 $11,393.92 762.30%
Cash Deposit Account $716,436.43 $65,397.37 $651,039.06 995.50%
Receivables $8,773.36 $9,236.66 ($463.30) -5.00%
Provision for Doubtful Debts -$5,377.15 -$5,377.15 $0.00 0.00%
Inventory $10,060.45 $620,220.15 ($610,159.70) -98.40%
Total Current Assets $742,781.66 $690,971.68 $51,809.98 7.50%
Property & Equipment
Plant and Equipment
Plant and Equipment at Cost $9,119.00 $9,119.00 $0.00 0.00%
Plant and Equipment Accum Dep -$9,119.00 -$9,119.00 $0.00 0.00%
Total Plant and Equipment $0.00 $0.00 $0.00 NA
Fence Infrastructure
Infrastructure Assets at Cost $3,127,393.00 $3,127,393.00 $0.00 0.00%
Infrastructure Asset Accum Dep -$3,127,393.06 -$3,127,393.06 $0.00 0.00%
Total Fence Infrastructure -$0.06 -$0.06 $0.00 0.00%
Fence Works
Fence Works at Cost $2,025,540.72 $1,040,221.44 $985,319.28 94.70%
Fence Works Acumm Dep -$49,298.62 -$16,291.00 ($33,007.62) -202.60%
Total Property & Equipment $1,976,242.04 $1,023,930.38 $952,311.66 93.00%
Total Assets $2,719,023.70 $1,714,902.06 $1,004,121.64 58.60%
Liabilities
Current Liabilities
Trade Creditors $0.00 $7,424.50 ($7,424.50) -100.00%
Tax Liabilities
GST Collected $251,106.47 $190,362.55 $60,743.92 31.90%
GST Paid -$286,452.96 -$191,577.11 ($94,875.85) -49.50%
Total Tax Liabilities -$35,346.49 -$1,214.56 ($34,131.93) -2810.20%
Total Current Liabilities -$35,346.49 $6,209.94 ($41,556.43) -669.20%
Total Liabilities -$35,346.49 $6,209.94 ($41,556.43) -669.20%
Net Assets $2,754,370.19 $1,708,692.12 $1,045,678.07 61.20%
Equity
Retained Earnings $2,190,245.56 $1,644,272.64 $545,972.92 33.20%
Current Year Surplus/Deficit $564,124.63 $64,419.48 $499,705.15 775.70%
Total Equity $2,754,370.19 $1,708,692.12 $1,045,678.07 61.20%
Page 17
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Murchison Regional Vermin Council
PO BOX 62
MOUNT MAGNET WA6638
GST [Detail - Cash]01/07/2014 To 31/01/2015
Date ID# Name Rate Sale Value Purchase Value Tax Collected Tax Paid
CAP Capital Acquisitions
31/07/2014 EFT Tenderlink 10.00% $165.00 $15.00
31/07/2014 EFT Tenderlink 10.00% $165.00 $15.00
31/07/2014 EFT Murchison Aviation 10.00% $1,650.00 $150.00
31/07/2014 EFT Murchison Aviation 10.00% $1,253.05 $113.91
31/07/2014 EFT Murchison Aviation 10.00% $8,220.85 $747.35
31/07/2014 EFT Anderson Munro & Wyllie 10.00% $275.00 $25.00
08/01/2014 EFT Shire of Mount Magnet 10.00% $172.17 $15.65
23/10/2014 EFT Murchison Aviation 10.00% $1,880.45 $170.95
23/10/2014 EFT Shire of Mount Magnet 10.00% $253.27 $23.02
23/10/2014 EFT Shire of Mount Magnet 10.00% $165.00 $15.00
23/10/2014 EFT Shire of Mount Magnet 10.00% $276.61 $25.15
31/10/2014 EFT Southern Wire 10.00% $9,159.15 $832.65
31/10/2014 EFT Southern Wire 10.00% $56,811.70 $5,164.70
31/10/2014 EFT Southern Wire 10.00% $157,895.10 $14,354.10
31/10/2014 EFT Shire of Mount Magnet 10.00% $310.95 $28.27
21/11/2014 EFT Robbro WA Pty Ltd 10.00% $67,760.00 $6,160.00
28/11/2014 EFT Shire of Mount Magnet 10.00% $1,819.76 $165.43
19/12/2014 459 Landmark Operations Limited 10.00% $3,894.00 $354.00
19/12/2014 459 Landmark Operations Limited 10.00% $70,092.00 $6,372.00
19/12/2014 EFT Murchison Aviation 10.00% $6,299.15 $572.65
19/12/2014 EFT Robbro WA Pty Ltd 10.00% $13,586.67 $1,235.15
01/08/2015 EFT Landmark Operations Limited 10.00% $8,162.00 $742.00
Total: $0.00 $410,266.88 $0.00 $37,296.98
FRE GST Free
07/01/2014 EFT R Le Maitre 0.00% $290.00 $0.00
Total: $0.00 $290.00 $0.00 $0.00
GST General
31/07/2014 CR000188 Payment; Narndee Station 10.00% $698.44 $63.49
31/07/2014 EFT Hampel Contracting Services 10.00% $6,050.00 $550.00
31/07/2014 EFT Swagman Roadhouse 10.00% $250.00 $22.73
31/07/2014 EFT Shire of Mount Magnet 10.00% $6,600.00 $600.00
08/01/2014 CR000189 Payment; Shire of Mount Magnet 10.00% $13,637.80 $1,239.80
08/01/2014 EFT Shire of Mount Magnet 10.00% $90.00 $8.18
08/05/2014 CR000190 Payment; Murchison Downs Station10.00% $423.30 $38.48
15/08/2014 CR000191 Payment; Neds Creek Station 10.00% $360.58 $32.78
19/08/2014 CR000192 Payment; Meekatharra Rangelands Biosecurity Assn10.00% $12,000.50 $1,090.95
19/08/2014 CR000193 Payment; Paroo Station 10.00% $1,151.42 $104.67
21/08/2014 CR000196 Payment; Meekatharra Rangelands Biosecurity Assn10.00% $675.00 $61.36
26/08/2014 CR000197 Payment; Gidgee Pastoral Station 10.00% $115.07 $10.46
26/08/2014 CR000198 Payment; Hill View Station 10.00% $663.69 $60.34
28/08/2014 CR000199 Payment; Shire of Cue 10.00% $12,423.40 $1,129.40
28/08/2014 EFT CL & MA Bernhardt 10.00% $1,122.00 $102.00
29/08/2014 CR000200 Payment; Dept of CALM 10.00% $225.71 $20.52
09/01/2014 CR000201 Payment; Yulella Fabrications Aboriginal Corporation10.00% $375.61 $34.15
09/01/2014 CR000202 Payment; Shire of Meekatharra 10.00% $19,911.10 $1,810.10
09/02/2014 CR000203 Payment; Shire of Sandstone 10.00% $4,560.60 $414.60
09/04/2014 CR000204 Payment; Meeline Station 10.00% $78.88 $7.17
09/12/2014 EFT Shire of Mount Magnet 10.00% $90.00 $8.18
09/12/2014 EFT Murchison Aviation 10.00% $4,400.00 $400.00
09/12/2014 EFT Swagman Roadhouse 10.00% $250.00 $22.73
09/12/2014 EFT RSM Bird Cameron 10.00% $2,032.25 $184.75
15/09/2014 CR000205 Payment; Barrambie Station 10.00% $177.03 $16.09
19/09/2014 CR000206 Payment; Shire of Yalgoo 10.00% $19,707.60 $1,791.60
23/10/2014 EFT Murchison Aviation 10.00% $2,100.32 $190.94
23/10/2014 EFT Shire of Mount Magnet 10.00% $116.66 $10.61
23/10/2014 EFT Anderson Munro & Wyllie 10.00% $2,035.00 $185.00
23/10/2014 EFT Anderson Munro & Wyllie 10.00% $1,851.89 $168.35
13/11/2014 CR000207 Payment; Youno Downs Station 10.00% $460.27 $41.84
Page 18
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Murchison Regional Vermin Council
PO BOX 62
MOUNT MAGNET WA6638
GST [Detail - Cash]01/07/2014 To 31/01/2015
Date ID# Name Rate Sale Value Purchase Value Tax Collected Tax Paid
17/11/2014 CR000208 Payment; Rangeland Red 10.00% $469.51 $42.68
21/11/2014 EFT Shire of Mount Magnet 10.00% $136.19 $12.38
21/11/2014 EFT Shire of Mount Magnet 10.00% $116.66 $10.61
28/11/2014 EFT LGIS 10.00% $825.00 $75.00
28/11/2014 EFT Shire of Mount Magnet 10.00% $90.00 $8.18
28/11/2014 EFT Swagman Roadhouse 10.00% $250.00 $22.73
28/11/2014 EFT RSM Bird Cameron 10.00% $2,032.25 $184.75
01/08/2015 EFT McLeods Barristers & Solicitors 10.00% $3,434.76 $312.25
Total: $88,115.51 $33,872.98 $8,010.48 $3,079.37
INP Input Taxed
07/01/2014 GJ0107 Credit Interest - Cash Deposit - At Call0.00% ($73.81) $0.00
07/01/2014 GJ0107BF CBA - Account Fee 0.00% $7.20 $0.00
07/01/2014 GJ0107IN Credit Interest 0.00% ($0.02) $0.00
31/07/2014 GJ3107 Credit Interest - Cash Deposit 0.00% ($1,641.12) $0.00
08/01/2014 GJ0108 Credit Interest - Cash Deposit - At Call0.00% ($98.43) $0.00
08/01/2014 GJ0108BF CBA - Account Fee 0.00% $5.60 $0.00
08/01/2014 GJ0108IN Credit Interest 0.00% ($0.01) $0.00
25/08/2014 GJ2508BF CBA - Audit Certificate Fee 0.00% $60.00 $0.00
09/01/2014 GJ0109BF CBA - Account Fee 0.00% $11.80 $0.00
09/01/2014 GJ0109CD Credit Interest - Cash Deposit 0.00% ($155.61) $0.00
09/01/2014 GJ0109IN Credit Interest 0.00% ($0.20) $0.00
09/02/2014 GJ0209CD Credit Interest - Cash Deposit 0.00% ($1,504.01) $0.00
30/09/2014 GJ3009 Credit Interest - Cash Deposit 0.00% ($3,869.10) $0.00
10/01/2014 GJ000091 CBA - Account Fee 0.00% $6.40 $0.00
10/01/2014 GJ000092 Credit Interest 0.00% ($0.46) $0.00
10/01/2014 GJ000095 Credit Interest - Cash Deposit 0.00% ($166.34) $0.00
31/10/2014 GJ3110CD Credit Interest - Cash Deposit 0.00% ($2,722.57) $0.00
31/10/2014 GJ3110CD Credit Interest - Cash Deposit 0.00% ($870.43) $0.00
11/01/2014 GJ0111BF CBA - Account Fee 0.00% $5.20 $0.00
11/01/2014 GJ0111IN Credit Interest 0.00% ($0.10) $0.00
11/01/2014 GJ011CD Credit Interest - Cash Deposit 0.00% ($638.32) $0.00
12/01/2014 GJ0112BF CBA - Account Fee 0.00% $7.40 $0.00
12/01/2014 GJ0112CD Credit Interest - Cash Deposit 0.00% ($636.43) $0.00
12/01/2014 GJ0112IN Credit Interest 0.00% ($0.22) $0.00
31/12/2014 GJ3112CD Credit Interest - Cash Deposit 0.00% ($2,766.07) $0.00
01/01/2015 GJ0101BF CBA - Account Fee 0.00% $5.00 $0.00
01/01/2015 GJ0101CD Credit Interest - Cash Deposit 0.00% ($359.67) $0.00
01/01/2015 GJ0101IN Credit Interest 0.00% ($0.89) $0.00
30/01/2015 GJ3001CD Credit Interest - Cash Deposit 0.00% ($1,336.17) $0.00
Total: $0.00 ($16,731.38) $0.00 $0.00
N-T Not Reportable
07/01/2014 EFT R Grinham 0.00% $290.00 $0.00
07/01/2014 GJ0107 Credit Interest - Cash Deposit - At Call0.00% $73.81 $0.00
07/01/2014 GJ0107BF CBA - Account Fee 0.00% ($7.20) $0.00
07/01/2014 GJ0107IN Credit Interest 0.00% $0.02 $0.00
31/07/2014 GJ3107 Credit Interest - Cash Deposit 0.00% $1,641.12 $0.00
08/01/2014 GJ0108 Credit Interest - Cash Deposit - At Call0.00% $98.43 $0.00
08/01/2014 GJ0108BF CBA - Account Fee 0.00% ($5.60) $0.00
08/01/2014 GJ0108IN Credit Interest 0.00% $0.01 $0.00
25/08/2014 GJ2508BF CBA - Audit Certificate Fee 0.00% ($60.00) $0.00
09/01/2014 GJ0109BF CBA - Account Fee 0.00% ($11.80) $0.00
09/01/2014 GJ0109CD Credit Interest - Cash Deposit 0.00% $155.61 $0.00
09/01/2014 GJ0109IN Credit Interest 0.00% $0.20 $0.00
09/02/2014 GJ0209CD Credit Interest - Cash Deposit 0.00% $1,504.01 $0.00
09/12/2014 EFT Murchison Aviation 0.00% $2,189.68 $0.00
30/09/2014 GJ3009 Credit Interest - Cash Deposit 0.00% $3,869.10 $0.00
10/01/2014 GJ000091 CBA - Account Fee 0.00% ($6.40) $0.00
10/01/2014 GJ000092 Credit Interest 0.00% $0.46 $0.00
10/01/2014 GJ000095 Credit Interest - Cash Deposit 0.00% $166.34 $0.00
31/10/2014 GJ3110CD Credit Interest - Cash Deposit 0.00% $2,722.57 $0.00
Page 19
Ordinary Meeting of Council Minutes - 10 March 2015 34 of 66
26/02/2015 MYOB / Excel 10:43 AM
Murchison Regional Vermin Council
PO BOX 62
MOUNT MAGNET WA6638
GST [Detail - Cash]01/07/2014 To 31/01/2015
Date ID# Name Rate Sale Value Purchase Value Tax Collected Tax Paid
31/10/2014 GJ3110CD Credit Interest - Cash Deposit 0.00% $870.43 $0.00
11/01/2014 GJ0111BF CBA - Account Fee 0.00% ($5.20) $0.00
11/01/2014 GJ0111IN Credit Interest 0.00% $0.10 $0.00
11/01/2014 GJ011CD Credit Interest - Cash Deposit 0.00% $638.32 $0.00
12/01/2014 GJ0112BF CBA - Account Fee 0.00% ($7.40) $0.00
12/01/2014 GJ0112CD Credit Interest - Cash Deposit 0.00% $636.43 $0.00
12/01/2014 GJ0112IN Credit Interest 0.00% $0.22 $0.00
19/12/2014 458 M King 0.00% $300.00 $0.00
19/12/2014 EFT C Hodshon 0.00% $450.00 $0.00
19/12/2014 EFT R Le Maitre 0.00% $450.00 $0.00
19/12/2014 EFT J Homewood 0.00% $1,150.00 $0.00
19/12/2014 EFT R Grinham 0.00% $300.00 $0.00
19/12/2014 EFT H Nichols 0.00% $150.00 $0.00
19/12/2014 EFT N Grinham 0.00% $362.50 $0.00
19/12/2014 EFT A Bloore 0.00% $300.00 $0.00
31/12/2014 GJ3112CD Credit Interest - Cash Deposit 0.00% $2,766.07 $0.00
01/01/2015 GJ0101BF CBA - Account Fee 0.00% ($5.00) $0.00
01/01/2015 GJ0101CD Credit Interest - Cash Deposit 0.00% $359.67 $0.00
01/01/2015 GJ0101IN Credit Interest 0.00% $0.89 $0.00
01/08/2015 EFT J O'Brien 0.00% $450.00 $0.00
30/01/2015 GJ3001CD Credit Interest - Cash Deposit 0.00% $1,336.17 $0.00
Total: $0.00 $23,123.56 $0.00 $0.00
Grand Total: $8,010.48 $40,376.35
Page 20
Ordinary Meeting of Council Minutes - 10 March 2015 35 of 66
26/02/2015 MYOB / Excel 10:43 AM
Murchison Regional Vermin Council
PO BOX 62
MOUNT MAGNET WA6638
Bank Register01/07/2014 To 31/01/2015
ID# Src Date Memo/Payee Deposit Withdrawal Balance
1-1110 Cheque Account
GJ0107BF GJ 01/07/2014 CBA - Account Fee $5.00 $2,045.90
GJ0107BF GJ 01/07/2014 CBA - Account Fee $2.20 $2,043.70
GJ0107IN GJ 01/07/2014 Credit Interest $0.02 $2,043.72
EFT CD 01/07/2014 R Grinham $290.00 $1,753.72
EFT CD 01/07/2014 R Le Maitre $290.00 $1,463.72
GJ1007CD GJ 10/07/2014 CLGF 2012/2013 Regional
Groups - Construction of Part of
the Murchison Vermin Cell
$526,731.70 $528,195.42
GJ1107CD GJ 11/07/2014 Transfer - Cash Deposit $526,731.70 $1,463.72
GJ3107CD GJ 31/07/2014 Drawdown Cash Deposit $26,000.00 $27,463.72
GJ3107CD GJ 31/07/2014 Drawdown Cash Deposit $1,563.90 $29,027.62
EFT CD 31/07/2014 Shire of Mount Magnet $6,600.00 $22,427.62
EFT CD 31/07/2014 Anderson Munro & Wyllie $275.00 $22,152.62
EFT CD 31/07/2014 Murchison Aviation $11,123.90 $11,028.72
EFT CD 31/07/2014 Swagman Roadhouse $250.00 $10,778.72
EFT CD 31/07/2014 Tenderlink $165.00 $10,613.72
EFT CD 31/07/2014 Tenderlink $165.00 $10,448.72
EFT CD 31/07/2014 Hampel Contracting Services $6,050.00 $4,398.72
CR000188 CR 31/07/2014 Payment; Narndee Station $698.44 $5,097.16
GJ0108BF GJ 01/08/2014 CBA - Account Fee $5.00 $5,092.16
GJ0108BF GJ 01/08/2014 CBA - Account Fee $0.60 $5,091.56
GJ0108IN GJ 01/08/2014 Credit Interest $0.01 $5,091.57
EFT CD 01/08/2014 Shire of Mount Magnet $262.17 $4,829.40
CR000189 CR 01/08/2014 Payment; Shire of Mount Magnet $13,637.80 $18,467.20
CR000190 CR 05/08/2014 Payment; Murchison Downs
Station
$423.30 $18,890.50
CR000191 CR 15/08/2014 Payment; Neds Creek Station $360.58 $19,251.08
CR000192 CR 19/08/2014 Payment; Meekatharra
Rangelands Biosecurity Assn
$12,000.50 $31,251.58
CR000193 CR 19/08/2014 Payment; Paroo Station $1,151.42 $32,403.00
CR000194 CR 20/08/2014 Payment; Meekatharra
Rangelands Biosecurity Assn
$20,000.00 $52,403.00
CR000196 CR 21/08/2014 Payment; Meekatharra
Rangelands Biosecurity Assn
$675.00 $53,078.00
GJ2508BF GJ 25/08/2014 CBA - Audit Certificate Fee $60.00 $53,018.00
GJ2908AT GJ 25/08/2014 ATO - BAS - Apr14-Jun14 $56,083.00 ($3,065.00)
CR000197 CR 26/08/2014 Payment; Gidgee Pastoral Station $115.07 ($2,949.93)
CR000198 CR 26/08/2014 Payment; Hill View Station $663.69 ($2,286.24)
EFT CD 28/08/2014 CL & MA Bernhardt $1,122.00 ($3,408.24)
CR000199 CR 28/08/2014 Payment; Shire of Cue $12,423.40 $9,015.16
CR000200 CR 29/08/2014 Payment; Dept of CALM $225.71 $9,240.87
GJ0109BF GJ 01/09/2014 CBA - Account Fee $5.00 $9,235.87
GJ0109BF GJ 01/09/2014 CBA - Account Fee $6.80 $9,229.07
GJ0109IN GJ 01/09/2014 Credit Interest $0.20 $9,229.27
CR000201 CR 01/09/2014 Payment; Yulella Fabrications
Aboriginal Corporation
$375.61 $9,604.88
CR000202 CR 01/09/2014 Payment; Shire of Meekatharra $19,911.10 $29,515.98
CR000203 CR 02/09/2014 Payment; Shire of Sandstone $4,560.60 $34,076.58
CR000204 CR 04/09/2014 Payment; Meeline Station $78.88 $34,155.46
EFT CD 12/09/2014 RSM Bird Cameron $2,032.25 $32,123.21
EFT CD 12/09/2014 Swagman Roadhouse $250.00 $31,873.21
EFT CD 12/09/2014 Murchison Aviation $4,400.00 $27,473.21
EFT CD 12/09/2014 Murchison Aviation $2,189.68 $25,283.53
EFT CD 12/09/2014 Shire of Mount Magnet $90.00 $25,193.53
Page 21
Ordinary Meeting of Council Minutes - 10 March 2015 36 of 66
26/02/2015 MYOB / Excel 10:43 AM
Murchison Regional Vermin Council
PO BOX 62
MOUNT MAGNET WA6638
Bank Register01/07/2014 To 31/01/2015
ID# Src Date Memo/Payee Deposit Withdrawal Balance
CR000205 CR 15/09/2014 Payment; Barrambie Station $177.03 $25,370.56
CR000206 CR 19/09/2014 Payment; Shire of Yalgoo $19,707.60 $45,078.16
GJ3009CD GJ 30/09/2014 Transfer - At Call $30,000.00 $15,078.16
GJ000091 GJ 01/10/2014 CBA - Account Fee $5.00 $15,073.16
GJ000091 GJ 01/10/2014 CBA - Account Fee $1.40 $15,071.76
GJ000092 GJ 01/10/2014 Credit Interest $0.46 $15,072.22
EFT CD 23/10/2014 Anderson Munro & Wyllie $3,886.89 $11,185.33
EFT CD 23/10/2014 Shire of Mount Magnet $276.61 $10,908.72
EFT CD 23/10/2014 Shire of Mount Magnet $165.00 $10,743.72
EFT CD 23/10/2014 Shire of Mount Magnet $253.27 $10,490.45
EFT CD 23/10/2014 Shire of Mount Magnet $116.66 $10,373.79
EFT CD 23/10/2014 Murchison Aviation $1,880.45 $8,493.34
EFT CD 23/10/2014 Murchison Aviation $2,100.32 $6,393.02
GJ000093 GJ 31/10/2014 Drawdown - Cash Deposit $280,000.00 $286,393.02
GJ000094 GJ 31/10/2014 ATO - BAS 01/07/2014 to
30/09/2014
$52,830.00 $233,563.02
EFT CD 31/10/2014 Shire of Mount Magnet $310.95 $233,252.07
EFT CD 31/10/2014 Southern Wire $223,865.95 $9,386.12
GJ0111BF GJ 01/11/2014 CBA - Account Fee $0.20 $9,385.92
GJ0111BF GJ 01/11/2014 CBA - Account Fee $5.00 $9,380.92
GJ0111IN GJ 01/11/2014 Credit Interest $0.10 $9,381.02
CR000207 CR 13/11/2014 Payment; Youno Downs Station $460.27 $9,841.29
CR000208 CR 17/11/2014 Payment; Rangeland Red $469.51 $10,310.80
GJ2011CD GJ 20/11/2014 Drawdown Cash Deposit $85,000.00 $95,310.80
EFT CD 21/11/2014 Shire of Mount Magnet $116.66 $95,194.14
EFT CD 21/11/2014 Shire of Mount Magnet $136.19 $95,057.95
EFT CD 21/11/2014 Robbro WA Pty Ltd $67,760.00 $27,297.95
GJ2811CD GJ 28/11/2014 Drawdown Cash Deposit $100,000.00 $127,297.95
EFT CD 28/11/2014 RSM Bird Cameron $2,032.25 $125,265.70
EFT CD 28/11/2014 Swagman Roadhouse $250.00 $125,015.70
EFT CD 28/11/2014 Shire of Mount Magnet $1,909.76 $123,105.94
EFT CD 28/11/2014 LGIS $825.00 $122,280.94
GJ0112BF GJ 01/12/2014 CBA - Account Fee $5.00 $122,275.94
GJ0112BF GJ 01/12/2014 CBA - Account Fee $2.40 $122,273.54
GJ0112IN GJ 01/12/2014 Credit Interest $0.22 $122,273.76
458 CD 19/12/2014 M King $300.00 $121,973.76
459 CD 19/12/2014 Landmark Operations Limited $73,986.00 $47,987.76
EFT CD 19/12/2014 A Bloore $300.00 $47,687.76
EFT CD 19/12/2014 N Grinham $362.50 $47,325.26
EFT CD 19/12/2014 H Nichols $150.00 $47,175.26
EFT CD 19/12/2014 R Grinham $300.00 $46,875.26
EFT CD 19/12/2014 J Homewood $1,150.00 $45,725.26
EFT CD 19/12/2014 R Le Maitre $450.00 $45,275.26
EFT CD 19/12/2014 C Hodshon $450.00 $44,825.26
EFT CD 19/12/2014 Robbro WA Pty Ltd $13,586.67 $31,238.59
EFT CD 19/12/2014 Murchison Aviation $6,299.15 $24,939.44
GJ0101BF GJ 01/01/2015 CBA - Account Fee $5.00 $24,934.44
GJ0101IN GJ 01/01/2015 Credit Interest $0.89 $24,935.33
EFT CD 08/01/2015 McLeods Barristers & Solicitors $3,434.76 $21,500.57
EFT CD 08/01/2015 Landmark Operations Limited $8,162.00 $13,338.57
EFT CD 08/01/2015 J O'Brien $450.00 $12,888.57
$1,127,413.01 $1,116,575.34
Page 22
Ordinary Meeting of Council Minutes - 10 March 2015 37 of 66
12.6 Budget Review to 31 December 2014
File: MRVC
Officer: Warren Olsen - CEO
Amended By: Nil
Disclosure of Interest: Nil
Meeting Date: 10 March 2015
Application
To adopt the review of Council’s 2014/2015 Annual Budget as at 31 December 2014.
Background
The 2014/2015 Statutory Budget has been reviewed on the basis of actual expenditure and
income as at 31 December 2014. Council’s Financial Advisor RSM Bird Cameron have
reviewed the 2014/2015 Annual Budget in the context of the attachment and advises that
on review no variances are required.
Comment As required under Regulation 33A (4) the Annual Budget Review once adopted by Council
will be forwarded to the Department of Local Government.
Consultation
Mr Travis Bate - RSM Bird Cameron
Statutory Environment
Local Government Financial Management Regulations 1996 – Regulation 33A
Policy Implications
Nil
Financial Implications
Nil
Strategic Implications
Nil
Voting Requirements
Absolute Majority
COUNCIL RESOLUTION
Moved: Cr Alan Bloore Seconded: Cr Harvey Nichols
That Council adopts the Budget Review as at 31 December 2014 with no variances
required.
Ordinary Meeting of Council Minutes - 10 March 2015 38 of 66
Murchison Region Vermin Council
REVIEW OF BUDGET REPORT
For the Period 1 July 2014 to 31 January 2015
Local Government Act 1995
Local Government (Financial Management) Regulations 1996
This report should be read in conjunction with the notes to the accounts
Ordinary Meeting of Council Minutes - 10 March 2015 39 of 66
Table of Contents
Income Statement by Nature and Type
Income Statement by Statutory Reporting Program
Note 1 Significant Accounting Policies
Ordinary Meeting of Council Minutes - 10 March 2015 40 of 66
Adopted
Annual Budget
$ (a)
YTD
Actual $
(b)
Variance
Permanent
(c)
Variance
Timing
(Carryover)
(d)
Year End $
(a)+(c )+(d)
Comment
REVENUES FROM ORDINARY ACTIVITIES
Subsidy-Meekatharra Rangelands 29,705 29,705 29,705
Fees and Charges 70,047 70,047 70,047
Interest Earnings 15,000 16,840 15,000
114,752 116,592 - - 114,752
EXPENSES FROM ORDINARY ACTIVITIES
Materials and Contracts (89,752) (31,315) - - (89,752)
Depreciation (49,693) - - - (49,693)Depreciation has not been posted do not expect
depreciation to vary from budget by end of the year
Other Expenditure - - - - -
(139,445) (31,315) - - (139,445)
REVENUES FROM NON ORDINARY ACTIVITIES
Non Operating Grants 478,847 478,847 478,847
478,847 478,847 - - 478,847
NET RESULT 454,154 564,125 - - 454,154
Murchison Region Vermin Council
INCOME STATEMENT
By Nature and Type
For the Period 1 July 2014 to 31 January 2015
Budget v Actual Budget v Actual
Page 1Ordinary Meeting of Council Minutes - 10 March 2015 41 of 66
Adopted
Annual Budget
$ (a)
YTD
Actual $
(b)
Variance
Permanent
(c)
Variance
Timing
(Carryover)
(d)
Year End $
(a)+(c )+(d)
Comment
REVENUES FROM ORDINARY ACTIVITIES
Economic Services 114,752 116,592 114,752
114,752 116,592 - - 114,752
EXPENSES FROM ORDINARY ACTIVITIES
EXCLUDING BORROWING COSTS EXPENSE
Governance (56,462) (24,464) (56,462)
Economic Services (82,983) (6,851) (82,983)
(139,445) (31,315) - - (139,445)
REVENUES FROM ORDINARY ACTIVITIES
Non Operating Grants 478,847 478,847 478,847
478,847 478,847 - - 478,847
NET RESULT 454,154 564,125 - - 454,154
This statement is to be read in conjunction with the accompanying notes.
Budget v Actual Budget v Actual
Murchison Region Vermin Council
INCOME STATEMENT
By Program
For the Period 1 July 2014 to 31 January 2015
Page 2Ordinary Meeting of Council Minutes - 10 March 2015 42 of 66
1. SIGNIFICANT ACCOUNTING POLICIES
The significant accounting policies which have been adopted in the preparation of this financial
report are:
(a) Basis of Preparation
The report has also been prepared on the accrual basis and is based on historical costs, modified, where
applicable, by the measurement at fair value of the selected non-current assets, financial assets
and liabilities.
Critical Accounting Estimates
(b) The Local Government Reporting Entity
All Funds through which the Council controls resources to carry on its functions have been
included in the financial statements forming part of this financial report.
In the process of reporting on the local government as a single unit, all transactions and balances
between those funds (for example, loans and transfers between Funds) have been eliminated.
(c) Goods and Services Tax
In accordance with recommended practice, revenues, expenses and assets capitalised are stated net
of any GST recoverable. Receivables and payables in the statement of financial position are stated
inclusive of applicable GST.
(d) Cash and Cash Equivalents
(e) Trade and Other Receivables
Cash and cash equivalents include cash on hand, cash at bank, deposits held at
call with banks, other short term highly liquid investments with original maturities
of three months or less that are readily convertible to known amounts of cash and
which are subject to an insignificant risk of changes in value and bank overdrafts.
Murchison Region Vermin Council
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
The financial report is a general purpose financial statement which has been prepared in
accordance with Australian Accounting Standards (as they apply to local governments and not-for-
profit entities), Australian Accounting Interpretations, other authoritative pronouncements of the
Australian Accounting Standards Board, the local Government Act 1995 and accompanying
regulations.
The preparation of a financial report in conformity with Australian Accounting Standards requires
management to make judgements, estimates and assumptions that effect the application of
policies and reported amounts of assets and liabilities, income and expenses.
The estimates and associated assumptions are based on historical experience and various other
factors that are believed to be reasonable under the circumstances; the results of which form the
basis of making the judgements about carrying values of assets and liabilities that are not readily
apparent from other sources. Actual results may differ from these estimates.
Bank overdrafts are shown as short term borrowings in current liabilities on the
statement of financial position.
Collectability of trade and other receivables is reviewed on an ongoing basis.
Debts that are known to be uncollectible are written off when identified. An
allowance for doubtful debts is raised when there is objective evidence that they
will not be collectible.
Page 1Ordinary Meeting of Council Minutes - 10 March 2015 43 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(f) Inventories
General
Land Held for Resale
Land purchased for development and/or resale is valued at the lower of cost and net realisable
value. Cost includes the cost of acquisition, development, borrowing costs and holding costs
until Finance costs and holding charges incurred after development is completed are expensed.
Revenue arising from the sale of property is recognised in the statement of comprehensive income
as at the time of signing an unconditional contract of sale.
Land held for resale is classified as current except where it is held as non-current based on Council's intention
to release for sale.
(g) Fixed Assets
Initial Recognition
Revaluation
Certain asset classes may be revalued on a regular basis such that the carrying values are not materially
different from fair value. For infrastructure and other asset classes where no active market exists, fair
value is determined to be the current replacement cost of an asset less, where applicable, accumulated
depreciation calculated on the basis of such cost to reflect the already consumed or expired future
economic benefits of the asset.
Those assets carried at a revalued amount, being their fair value at the date of revaluation less any
subsequent accumulated depreciation and accumulated impairment losses, are to be revalued with
sufficient regularity to ensure the carrying amount does not differ materially from that determined using
fair value at reporting date.
Murchison Region Vermin Council
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
Inventories are measured at the lower of cost and net realisable value.
Net realisable value is the estimated selling price in the ordinary course of
business less the estimated costs of completion and the estimated costs
necessary to make the sale.
Each class of fixed assets is carried at cost or fair value as indicated less, where
applicable, any accumulated depreciation or impairment losses.
All assets are initially recognised at cost. Cost is determined as the fair value of
the assets given as consideration plus costs incidental to the acquisition. For
assets acquired at no cost or for nominal consideration, cost is determined as fair
value at the date of acquisition. The cost of non-current assets constructed by
the Council includes the cost of all materials used in construction, direct labour
on the project and an appropriate proportion of variable and fixed overhead.
Increases in the carrying amount arising on revaluation of assets are credited to
a revaluation surplus in equity. Decreases that offset previous increases in the
same asset are charged against fair value reserves directly in equity; all other
decreases are charged to the statement of comprehensive income.
Any accumulated depreciation at the date of revaluation is eliminated against the
gross carrying amount of the asset and the net amount is restated to the revalued
amount of the asset.
Page 2Ordinary Meeting of Council Minutes - 10 March 2015 44 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(g) Fixed Assets (Continued)
Depreciation of Non-Current Assets (Continued)
Depreciation is recognised on a straight-line basis, using rates which are reviewed each reporting
period. Major depreciation periods are:
Fencing 50 years
Plant and Equipment 10 years
Capitalisation Threshold
(h) Financial Instruments
Initial Recognition and Measurement
Classification and Subsequent Measurement
techniques are adopted.
Murchison Region Vermin Council
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
An asset's carrying amount is written down immediately to its recoverable amount
if the asset's carrying amount is greater than its estimated recoverable amount.
Gains and losses on disposals are determined by comparing proceeds with the
carrying amount. These gains and losses are included in the statement of
comprehensive income. When revalued assets are sold, amounts included in the
revaluation surplus relating to that asset are transferred to retained earnings.
Expenditure on items of equipment under $2,000 is not capitalised. Rather, it is
recorded on an asset inventory listing.
Financial assets and financial liabilities are recognised when the Council
becomes a party to the contractual provisions to the instrument. For financial
assets, this is equivalent to the date that the Council commits itself to either the
purchase or sale of the asset (i.e. trade date accounting is adopted).
Financial instruments are initially measured at fair value plus transaction costs,
except where the instrument is classified 'at fair value through profit or loss', in
which case transaction costs are expensed to profit or loss immediately.
Financial instruments are subsequently measured at fair value, amortised cost
using the effective interest rate method or at cost.
Fair value represents the amount for which an asset could be exchanged or a
liability settled, between knowledgeable, willing parties. Where available, quoted
prices in an active market are used to determine fair value. In other
Page 3Ordinary Meeting of Council Minutes - 10 March 2015 45 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(h) Financial Instruments (Continued)
Classification and Subsequent Measurement (Continued)
(i) Financial assets at fair value through profit and loss
(ii) Loans and receivables
(iii) Held-to-maturity investments
For the Period 1 July 2014 to 31 January 2015
Murchison Region Vermin Council
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
If the Council were to sell other than an insignificant amount of held-to-maturity financial assets,
the whole category would be tainted and reclassified as available-for-sale.
Amortised cost is calculated as:
(a) the amount in which the financial asset or financial liability is measured at initial recognition;
(b) less principal repayments;
(c) plus or minus the cumulative amortisation of the difference, if any, between the amount initially
recognised and the maturity amount calculated using the effective interest rate method; and
(d) less any reduction for impairment.
The effective interest rate method is used to allocate interest income or interest expense over the
relevant period and is equivalent to the rate that exactly discounts estimated future cash payments
or receipts (including fees, transaction costs and other premiums or discounts) through the
expected life (or when this cannot be reliably predicted, the contractual term) of the financial
instrument to the net carrying amount of the financial asset or financial liability. Revisions to
expected future net cash flows will necessitate an adjustment to the carrying value with a
consequential recognition of an income or expense in profit or loss.
Financial assets at fair value through profit or loss are financial assets held for trading. A financial
asset is classified in this category if acquired principally for the purpose of selling in the short term.
Derivatives are classified as held for trading unless they are designated as hedges. Assets in this
category are classified as current assets.
Loans and receivables are non-derivative financial assets with fixed or determinable payments that
are not quoted in an active market and are subsequently measured at amortised cost.
Loans and receivables are included in current assets, except for those which are not expected to
mature within 12 months after the end of the reporting period (classified as non-current assets).
Held-to-maturity investments are non-derivative financial assets with fixed maturities and fixed or
determinable payments and fixed maturities that the Council’s management has the positive
intention and ability to hold to maturity.
Held-to-maturity financial assets are included in non-current assets, except for those which are
expected to mature within 12 months after the end of the reporting period (classified as current
assets).
Page 4Ordinary Meeting of Council Minutes - 10 March 2015 46 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(h) Financial Instruments (Continued)
Classification and Subsequent Measurement (Continued)
(iv) Available-for-sale financial assets
(v) Financial liabilities
Impairment
(i) Estimation of Fair Value
The nominal value less estimated credit adjustments of trade receivables and payables are
assumed to approximate their fair values. The fair value of financial liabilities for disclosure
purposes is estimated by discounting the future contractual cash flows at the current market
interest rate that is available to the Council for similar financial instruments.
Murchison Region Vermin Council
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
Available-for-sale financial assets, are non-derivative financial assets that are either not suitable to
be classified into other categories of financial assets due to their nature, or they are designated as
such by management. They comprise investments in the equity of other entities where there is
neither a fixed maturity nor fixed or determinable.
Available-for-sale financial assets are included in non-current assets, except for those which are
expected to mature within 12 months after the end of the reporting period (classified as current
assets).
Non-derivative financial liabilities (excluding financial guarantees) are subsequently measured at
amortised cost.
At the end of each reporting period, the Council assesses whether there is objective evidence that
a financial instrument has been impaired. In the case of available-for-sale financial instruments, a
prolonged decline in the value of the instrument is considered to determine whether impairment
has arisen. Impairment losses are recognised in the statement of comprehensive income.
The fair value of financial assets and financial liabilities must be estimated for recognition and
measurement or for disclosure purposes.
The fair value of financial instruments traded in active markets is based on quoted market prices at
the reporting date.
The fair value of financial instruments that are not traded in an active market is determined using
valuation techniques. The Council uses a variety of methods and makes assumptions that are
based on market conditions existing at each reporting date. These include the use of recent arm’s
length transactions, reference to other instruments that are substantially the same, discounted
cash flow analysis, and option pricing models making maximum use of market inputs and relying
as little as possible on entity-specific inputs.
Quoted market prices or dealer quotes for similar instruments are used for long-term debt
instruments held. Other techniques, such as estimated discounted cash flows, are used to
determine fair value for the remaining financial instruments.
Page 5Ordinary Meeting of Council Minutes - 10 March 2015 47 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(j) Impairment
In accordance with Australian Accounting Standards the Council's assets, other than inventories,
are assessed at each reporting date to determine whether there is any indication they may be impaired.
Where such an indication exists, an estimate of the recoverable amount of the asset is madein accordance with AASB 136 'Impairment of Assets' and appropriate adjustments made.
An impairment loss is recognised whenever the carrying amount of an asset or its cash-generating unit
exceeds its recoverable amount. Impairment losses are recognised in the statement of comprehensive
income.
For non-cash generating assets such as roads, drains, public buildings and the like, value in use is
represented by the depreciated replacement cost of the asset.
(k) Trade and Other Payables
Trade and other payables represent liabilities for goods and services provided to the Council
prior to the end of the financial year that are unpaid and arise when the Council becomes
obliged to make future payments in respect of the purchase of these goods and services.
The amounts are unsecured and are usually paid within 30 days of recognition.
(l) Employee Benefits
The provisions for employee benefits relates to amounts expected to be paid for long service
leave, annual leave, wages and salaries and are calculated as follows:
(i) Wages, Salaries, Annual Leave and Long Service Leave (Short-term Benefits)
The provision for employees’ benefits to wages, salaries, annual leave and long service leave
expected to be settled within 12 months represents the amount the Council has a present
obligation to pay resulting from employees services provided to reporting date. The provision has
been calculated at nominal amounts based on remuneration rates the Council expects to pay
and includes related on-costs.
(ii) Long Service Leave (Long-term Benefits)
(m) Borrowing Costs
Borrowing costs are recognised as an expense when incurred except where they are directly
attributable to the acquisition, construction or production of a qualifying asset. Where this is
the case, they are capitalised as part of the cost of the particular asset.
Murchison Region Vermin Council
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
The liability for long service leave is recognised in the provision for employee benefits and measured as the present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the projected unit credit method. Consideration is given to expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using market yields at the reporting date on national government bonds with terms to maturity and currency that match as closely as possible, the estimated future cash outflows. Where the Council does not have the unconditional right to defer settlement beyond 12 months, the liability is recognised as a current
Page 6Ordinary Meeting of Council Minutes - 10 March 2015 48 of 66
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(n) Provisions
Provisions are recognised when:
a) the Council has a present legal or constructive obligation as a result of past events;
b) for which it is probable that an outflow of economic benefits will result to settle the
obligation; and
c) that outflow can be reliably measured.
Provisions are not recognised for future operating losses.
(o) Joint Venture
The Council does not have any interest in a joint venture.
(p) Rates, Grants, Donations and Other Contributions
Rates, grants, donations and other contributions are recognised as revenues when the local
government obtains control over the assets comprising the contributions. Control over assets
acquired from rates is obtained at the commencement of the rating period or, where earlier, upon
receipt of the rates.
Where contributions recognised as revenues during the reporting period were obtained on the
condition that they be expended in a particular manner or used over a particular period, and those
conditions were undischarged as at the reporting date, the nature of and amounts pertaining to
those undischarged conditions are disclosed in Note 2(c). That note also discloses the amount
of contributions recognised as revenues in a previous reporting period which were obtained in
respect of the local government's operation for the current reporting period.
(q) Superannuation
(r) Current and Non-Current Classification
(s) Rounding Off Figures
All figures shown in this annual financial report, other than a rate in the dollar, are rounded to the
nearest dollar.
(t) Comparative Figures
Where required, comparative figures have been adjusted to conform with changes in presentation
for the current financial year.
(u) Budget Comparative Figures
Unless otherwise stated, the budget comparative figures shown in this annual financial report relate to
the original budget estimate for the relevant item of disclosure.
Provisions are measured using the best estimate of the amounts required to settle the obligation at
the end of the reporting period.
The Council contributes to a number of superannuation funds on behalf of employees.
In the determination of whether an asset or liability is current or non-current, consideration is given
to the time when each asset or liability is expected to be settled. The asset or liability is classified
as current if it is expected to be settled within the next 12 months, being the Council’s operational
cycle. In the case of liabilities where the Council does not have the unconditional right to defer
settlement beyond 12 months, such as vested long service leave, the liability is classified as
current even if not expected to be settled within the next 12 months. Inventories held for trading
are classified as current even if not expected to be realised in the next 12 months except for land
held for resale where it is held as non-current based on Council’s intentions to release for sale.
Murchison Region Vermin Council
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
For the Period 1 July 2014 to 31 January 2015
Page 7Ordinary Meeting of Council Minutes - 10 March 2015 49 of 66
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(w) New Accounting Standards and Interpretations for Application in Future Periods
Title and Topic Issued Applicable (*) Impact
(i) AASB 9 – Financial
InstrumentsDecember 2009 01 January 2013 Nil – The objective of this Standard is to improve and
simplify the approach for classification and
measurement of financial assets compared with the
requirements of AASB 139. Given the nature of the
financial assets of the Council, it is not anticipated the
standard will have any material effect.
(ii) AASB 124 – Related Party
DisclosuresDecember 2009 01 January 2011 Nil – It is not anticipated the Council will have any
related parties as defined by the Standard.
(iii) AASB 1053 - Application of
Tiers of Australian Accounting
Standards
June 2010 01 July 2013Nil - Due to its nature and statutory requirements the
Council will be deemed a Tier 1 entity and will continue
to prepare general purpose financial statements.
(iv) AASB 2009 -12 Amendments
to Australian Accounting
Standards
[AASB 5, 8, 108, 110, 112,
119, 133, 137, 139, 1023 &
1031 and Interpretations 2, 4,
16, 1039 & 1052]
December 2009 01 January 2011 Nil – The revisions embodied in this standard relate to
standards which do not apply to local government (i.e.
AASB8) or are largely editorial in nature and will have
minimal effect (if any) on the accounting practices of the
Council.
Murchison Region Vermin Council
For the Period 1 July 2014 to 31 January 2015
Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet effective have not been adopted by the Council for the annual reporting period ending 30 June 2011.
Council’s assessment of these new standards and interpretations is set out below:
Page 8
Ordinary Meeting of Council Minutes - 10 March 2015 50 of 66
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(w) New Accounting Standards and Interpretations for Application in Future Periods (Continued)
Title and Topic Issued Applicable (*) Impact
(v) AASB 2009– 11 Amendments
to Australian Accounting
Standards arising from AASB 9
December 2009 01 January 2013 Nil – The revisions embodied in this standard give effect
to the consequential changes arising from the issuance
of AASB 9 which is not anticipated to have any material
effect on the Council (refer (i) above).[AASB 1, 3, 4, 5, 7, 101, 102,
108, 112, 118, 121, 127, 128,
131, 132, 136, 139, 1023 &
1038 and Interpretations 10 &
12)
(vi) AASB 2010 - 2 Amendments to
Australian Accounting
Standards arising from
Reduced Disclosure
Requirements
[AASB 1, 2, 3, 5, 7, 8, 101,
102, 107, 108, 110, 111, 112,
116, 117, 119, 121, 123, 124,
127, 128, 131, 133, 134, 136,
137, 138, 140, 141, 1050, &
1052 and Interpretations 2, 4,
5, 15, 17, 127, 129 & 1052]
June 2010 01 July 2013 Nil - None of these amendments will have any effect on
the financial report as the standard does not apply in the
case of general purpose financial statements.
(vii) AASB 2010 - 4 Further
Amendments to Australian
Accounting Standards arising
from the Annual Improvements
Project [AASB 1, 7, 101, 134,
and Interpretation 13]
June 2010 01 January 2011 Nil - The revisions are part of the AASB's annual
improvement project to help ensure consistency with
presentation, recognition and measurement criteria of
IFRSs. It is not anticipated these will have any effect on
the Council.
Murchison Region Vermin Council
For the Period 1 July 2014 to 31 January 2015
Page 9
Ordinary Meeting of Council Minutes - 10 March 2015 51 of 66
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(w) New Accounting Standards and Interpretations for Application in Future Periods (Continued)
Title and Topic Issued Applicable (*) Impact
(viii) AASB 2010 - 5 Amendments to
Australian Accounting
Standards
[AASB 1, 3, 4, 5, 101, 107,
112, 118, 119, 121, 132, 133,
134, 137, 139, 140, 1023 &
1038 and Interpretations 112,
115, 127, 132 & 1042]
October 2010 01 January 2011 Nil - The revisions embodied in this standard are largely
editorial in nature or relate to standards not applicable to
the Council and will have minimal effect (if any) on the
accounting practices of the Council.
(ix) AASB 2010 - 6 Amendments to
Australian Accounting
Standards - Disclosures on
Transfers of Financial Assets
[AASB 1 & 7]
November 2010 01 July 2011 Nil - The revisions embodied in this standard amend
disclosures required on transfers of financial assets.
The Council is not expected to have any qualifying
transfers.
(x) AASB 2010 – 7 Amendments
to Australian Accounting
Standards arising from AASB 9
(December 2010)
December 2010 01 January 2013 Nil – The revisions embodied in this standard give effect
to the consequential changes arising from the issuance
of AASB 9 which is not anticipated to have any material
effect on the Council (refer (i) above).
[AASB 1, 3, 4, 5, 7, 101, 102,
108, 112, 118, 121, 127, 128,
131, 132, 136, 139, 1023 &
1038 and Interpretations 10 &
12)
(xi) AASB 2010 - 8 Amendments to
Australian Accounting
Standards - Deferred Tax:
Recovery of Underlying Assets
[AASB 1 & 7]
December 2010 01 January 2012 Nil - None of these amendments will have any effect on
the financial report as none of the topics are relevant to
the operations of the Council.
Murchison Region Vermin Council
For the Period 1 July 2014 to 31 January 2015
Page 10
Ordinary Meeting of Council Minutes - 10 March 2015 52 of 66
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(w) New Accounting Standards and Interpretations for Application in Future Periods (Continued)
Title and Topic Issued Applicable (*) Impact
(xi) (Continued)
AASB 2010 - 9 Amendments to
Australian Accounting
Standards - Severe
Hyperinflation and Removal of
Fixed Dates for First-time
Adopters
[AASB 1]
December 2010 01 July 2011 Nil - None of these amendments will have any effect on
the financial report as none of the topics are relevant to
the operations of the Council.
AASB 2009– 14 Amendments
to Australian Interpretations –
Prepayments of a Minimum
Funding Requirement
[AASB Interpretation 14]
December 2009 01 January 2011
AASB 2010 - 10 Further
Amendments to Australian
Accounting Standards -
Removal of Fixed Dates for
First-time Adopters [AASB
2009 - 11 & 2010 - 7]
December 2010 01 January 2013
Notes:
(*) Applicable to reporting periods commencing on or after the given date.
For the Period 1 July 2014 to 31 January 2015
Murchison Region Vermin Council
Page 11
Ordinary Meeting of Council Minutes - 10 March 2015 53 of 66
NOTES TO AND FORMING PART OF THE FINANCIAL REPORT
1. SIGNIFICANT ACCOUNTING POLICIES (Continued)
(x) Adoption of New and Revised Accounting Standards
AASB 2009 - 5
AASB 2009 - 8
AASB 2009 - 10
AASB 2009 - 13
AASB 2010 - 1
AASB 2010 - 3
Interpretation 19
Murchison Region Vermin Council
During the current year, the Council adopted all of the new and revised Australian Accounting Standards and Interpretations which became
mandatory and which were applicable to its operations.
The standards adopted had a minimal effect on the accounting and reporting practices of the Council as they were either largely editorial in
nature, were revisions to help ensure consistency with presentation, recognition and measurement criteria of IFRSs or related to topics not
relevant to operations.
For the Period 1 July 2014 to 31 January 2015
These new and revised standards were:
Page 12
Ordinary Meeting of Council Minutes - 10 March 2015 54 of 66
12.7 Compliance Audit Return - Calendar Year 2014
File: MRVC Officer: Warren Olsen – CEO
Amended by: Nil
Disclosure of Interest: Nil
Meeting Date: 10 March 2015
Application
To adopt the Compliance Audit Return for 2014.
Background Completion of the Annual Compliance Audit Return is a requirement of the Local
Government Act 1995.
Current Position The 2014 Compliance Audit Return will be considered by the Audit Committee Meeting
preceding this Ordinary Meeting and the Compliance Audit Return will be tabled at the
Meeting together with the Committee's recommendation.
Consultation
Finance Manager
Statutory Environment
Regulations 14 and 15 of the Local Government Audit Regulations requires that a
Compliance Audit Return must be completed each year and lodged with the Department of
Local Government prior to the end of March of the following year.
Policy Implications
Nil.
Financial Implications
Nil.
Strategic Implications
Nil.
Voting Requirements
Simple Majority.
COUNCIL RESOLUTION
Moved: Cr Roger Le Maitre Seconded: Cr Alan Bloore
That Council adopts the Compliance Audit Return for the 2014 calendar year as
recommended by the Audit Committee.
CARRIED 8/0
Ordinary Meeting of Council Minutes - 10 March 2015 55 of 66
Murchison Regional Vermin Council - Compliance Audit Return Regional Local Government 2014
No Reference Question Response Comments Respondent
1 s3.59(2)(a)(b)(c) Functions & General Regulation 7,9
Has the local government prepared a business plan for each major trading undertaking in 2014.
N/A Warren Olsen
2 s3.59(2)(a)(b)(c) Functions & General Regulation 7,10
Has the local government prepared a business plan for each major land transaction that was not exempt in 2014.
N/A Warren Olsen
3 s3.59(2)(a)(b)(c) Functions & General Regulation 7,10
Has the local government prepared a business plan before entering into each land transaction that was preparatory to entry into a major land transaction in 2014.
N/A Warren Olsen
4 s3.59(4) Has the local government given Statewide public notice of each proposal to commence a major trading undertaking or enter into a major land transaction for 2014.
N/A Warren Olsen
5 s3.59(5) Did the Council, during 2014, resolve to proceed with each major land transaction or trading undertaking by absolute majority.
N/A Warren Olsen
Commercial Enterprises by Local Governments
Certified Copy of ReturnPlease submit a signed copy to the Director General of the Department of Local Government and Communities together with a copy of section of relevant minutes.
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No Reference Question Response Comments Respondent
1 s5.16, 5.17, 5.18 Were all delegations to committees resolved by absolute majority.
N/A There are no delegations to committees
Warren Olsen
2 s5.16, 5.17, 5.18 Were all delegations to committees in writing.
N/A There are no delegations to committees
Warren Olsen
3 s5.16, 5.17, 5.18 Were all delegations to committees within the limits specified in section 5.17.
N/A There are no delegations to committees
Warren Olsen
4 s5.16, 5.17, 5.18 Were all delegations to committees recorded in a register of delegations.
N/A There are no delegations to committees
Warren Olsen
5 s5.18 Has Council reviewed delegations to its committees in the 2013/2014 financial year.
N/A There are no delegations to committees
Warren Olsen
6 s5.42(1),5.43 Administration Regulation 18G
Did the powers and duties of the Council delegated to the CEO exclude those as listed in section 5.43 of the Act.
No A limit should be set for the maximum value of goods to be disposed of under delegated authority, for the purpose of paragraph 5.43 (d).
Warren Olsen
7 s5.42(1)(2) Admin Reg 18G
Were all delegations to the CEO resolved by an absolute majority.
Yes Apparently so, as the report on the Council agenda specifies that an Absolute Majority is required. Unfortunately the minutes do not record the voting.
Warren Olsen
8 s5.42(1)(2) Admin Reg 18G
Were all delegations to the CEO in writing.
Yes Warren Olsen
9 s5.44(2) Were all delegations by the CEO to any employee in writing.
N/A There is no evidence in the delegations register of any new sub-delegations being made in the review period.
Warren Olsen
10 s5.45(1)(b) Were all decisions by the Council to amend or revoke a delegation made by absolute majority.
N/A No changes were proposed during the review period.
Warren Olsen
11 s5.46(1) Has the CEO kept a register of all delegations made under the Act to him and to other employees.
Yes Warren Olsen
12 s5.46(2) Were all delegations made under Division 4 of Part 5 of the Act reviewed by the delegator at least once during the 2013/2014 financial year.
No Unable to find evidence of a review of sub-delegations during the review period.
Warren Olsen
13 s5.46(3) Admin Reg 19
Did all persons exercising a delegated power or duty under the Act keep, on all occasions, a written record as required.
Yes Warren Olsen
Delegation of Power / Duty
No Reference Question Response Comments Respondent
Disclosure of Interest
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No Reference Question Response Comments Respondent
1 s5.67 If a member disclosed an interest, did he/she ensure that they did not remain present to participate in any discussion or decision-making procedure relating to the matter in which the interest was disclosed (not including participation approvals granted under s5.68).
Yes Warren Olsen
2 s5.68(2) Were all decisions made under section 5.68(1), and the extent of participation allowed, recorded in the minutes of Council and Committee meetings.
Yes Warren Olsen
3 s5.73 Were disclosures under section 5.65 or 5.70 recorded in the minutes of the meeting at which the disclosure was made.
Yes Warren Olsen
4 s5.75(1) Admin Reg 22 Form 2
Was a primary return lodged by all newly elected members within three months of their start day.
No 1 Primary return was received after the statutory 3 month period. All others were received within the statutory period
Warren Olsen
5 s5.75(1) Admin Reg 22 Form 2
Was a primary return lodged by all newly designated employees within three months of their start day.
No Warren Olsen
6 s5.76(1) Admin Reg 23 Form 3
Was an annual return lodged by all continuing elected members by 31 August 2014.
Yes Warren Olsen
7 s5.76(1) Admin Reg 23 Form 3
Was an annual return lodged by all designated employees by 31 August 2014.
Yes Warren Olsen
8 s5.77 On receipt of a primary or annual return, did the CEO, (or the Mayor/ President in the case of the CEO’s return) on all occasions, give written acknowledgment of having received the return.
Yes Warren Olsen
9 s5.88(1)(2) Admin Reg 28
Did the CEO keep a register of financial interests which contained the returns lodged under section 5.75 and 5.76
Yes Warren Olsen
10 s5.88(1)(2) Admin Reg 28
Did the CEO keep a register of financial interests which contained a record of disclosures made under sections 5.65, 5.70 and 5.71, in the form prescribed in Administration Regulation 28.
Yes Warren Olsen
11 s5.88 (3) Has the CEO removed all returns from the register when a person ceased to be a person required to lodge a return under section 5.75 or 5.76.
Yes Warren Olsen
12 s5.88(4) Have all returns lodged under section 5.75 or 5.76 and removed from the register, been kept for a period of at least five years, after the person who lodged the return ceased to be a council member or designated employee.
Yes Warren Olsen
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No Reference Question Response Comments Respondent
13 s5.103 Admin Reg 34C & Rules of Conduct Reg 11
Where an elected member or an employee disclosed an interest in a matter discussed at a Council or committee meeting where there was a reasonable belief that the impartiality of the person having the interest would be adversely affected, was it recorded in the minutes.
Yes Warren Olsen
14 s5.70(2) Where an employee had an interest in any matter in respect of which the employee provided advice or a report directly to the Council or a Committee, did that person disclose the nature of that interest when giving the advice or report.
N/A Warren Olsen
15 s5.70(3) Where an employee disclosed an interest under s5.70(2), did that person also disclose the extent of that interest when required to do so by the Council or a Committee.
N/A Warren Olsen
16 s5.103(3) Admin Reg 34B
Has the CEO kept a register of all notifiable gifts received by Council members and employees.
Yes Warren Olsen
No Reference Question Response Comments Respondent
1 s3.58(3) Was any property that was not disposed of by public auction or tender, given local public notice prior to disposal (except where excluded by Section 3.58(5)).
N/A Warren Olsen
2 s3.58(4) Where the local government disposed of property under section 3.58(3), did it provide details, as prescribed by section 3.58(4), in the required local public notice for each disposal of property.
N/A Warren Olsen
Disposal of Property
No Reference Question Response Comments Respondent
1 s7.1A Has the local government established an audit committee and appointed members by absolute majority in accordance with section 7.1A of the Act.
No At its meeting held on 6 March 2012, the Council resolved by absolute majority "That the Murchison Regional Vermin Council Audit Committee be established with a membership of all Councillors".
I am unable to find a resolution made subsequent to the October 2013 elections re-establishing the Committee.
Warren Olsen
Finance
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No Reference Question Response Comments Respondent
2 s7.1B Where a local government determined to delegate to its audit committee any powers or duties under Part 7 of the Act, did it do so by absolute majority.
N/A No powers and duties have been delegated to the Audit Committee
Warren Olsen
3 s7.3 Was the person(s) appointed by the local government to be its auditor, a registered company auditor.
Yes Maureen Murat
4 s7.3 Was the person(s) appointed by the local government to be its auditor, an approved auditor.
Yes Maureen Murat
5 S7.3, s7.6(3) Was the person or persons appointed by the local government to be its auditor, appointed by an absolute majority decision of Council.
Yes Maureen Murat
6 s7.12A(3), (4) Where the local government determined that matters raised in the auditor’s report prepared under s7.9(1) of the Act required action to be taken by the local government, was that action undertaken.
N/A No matters determined that required action
Maureen Murat
7 s7.12A(3), (4) Where the local government determined that matters raised in the auditor’s report (prepared under s7.9(1) of the Act) required action to be taken by the local government, was a report prepared on any actions undertaken.
N/A Maureen Murat
8 s7.12A(3), (4) Where the local government determined that matters raised in the auditor’s report (prepared under s7.9(1) of the Act) required action to be taken by the local government, was a copy of the report forwarded to the Minister by the end of the financial year or 6 months after the last report prepared under s7.9 was received by the local government whichever was the latest in time.
N/A Maureen Murat
9 A Reg 7 Did the agreement between the local government and its auditor include the objectives of the audit.
Yes Maureen Murat
10 A Reg 7 Did the agreement between the local government and its auditor include the scope of the audit.
Yes Maureen Murat
11 A Reg 7 Did the agreement between the local government and its auditor include a plan for the audit.
Yes Maureen Murat
12 A Reg 7 Did the agreement between the local government and its auditor include details of the remuneration and expenses to be paid to the auditor.
Yes Maureen Murat
13 A Reg 7 Did the agreement between the local government and its auditor include the method to be used by the local government to communicate with, and supply information to, the auditor.
Yes Maureen Murat
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No Reference Question Response Comments Respondent
14 Audit Reg 10 Was the Auditor's report for the financial year ended 30 June 2014 received by the local government within 30 days of completion of the audit.
Yes Maureen Murat
15 s7.9(1) Was the Auditor's report for 2013/2014 received by the local government by 31 December 2014.
Yes Maureen Murat
No Reference Question Response Comments Respondent
1 Admin Reg 18C Did the local government approve the process to be used for the selection and appointment of the CEO before the position was advertised.
N/A The MRVC does not directly appoint a CEO or designated senior employees
Warren Olsen
2 s5.36(4), 5.37(3), Admin Reg 18A
Were all vacancies for the position of CEO and other designated senior employees advertised and did the advertising comply with s5.36(4), s5.37(3) and Admin Reg 18A.
N/A The MRVC does not directly appoint a CEO or designated senior employees
Warren Olsen
3 s5.37(2) Did the CEO inform council of each proposal to employ or dismiss a designated senior employee.
N/A The MRVC does not directly appoint a CEO or designated senior employees
Warren Olsen
4 Admin Reg 18F Was the remuneration and other benefits paid to a CEO on appointment the same remuneration and benefits advertised for the position of CEO under section 5.36(4).
N/A The MRVC does not directly appoint a CEO or designated senior employees
Warren Olsen
5 Admin Regs 18E Did the local government ensure checks were carried out to confirm that the information in an application for employment was true (applicable to CEO only).
N/A The MRVC does not directly appoint a CEO or designated senior employees
Warren Olsen
Local Government Employees
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No Reference Question Response Comments Respondent
1 s5.120 Where the CEO is not the complaints officer, has the local government designated a senior employee, as defined under s5.37, to be its complaints officer.
N/A Warren Olsen
2 s5.121(1) Has the complaints officer for the local government maintained a register of complaints which records all complaints that result in action under s5.110(6)(b) or (c).
No Unable to find a complaints register
Warren Olsen
3 s5.121(2)(a) Does the complaints register maintained by the complaints officer include provision for recording of the name of the council member about whom the complaint is made.
N/A Warren Olsen
4 s5.121(2)(b) Does the complaints register maintained by the complaints officer include provision for recording the name of the person who makes the complaint.
N/A Warren Olsen
5 s5.121(2)(c) Does the complaints register maintained by the complaints officer include provision for recording a description of the minor breach that the standards panel finds has occurred.
N/A Warren Olsen
6 s5.121(2)(d) Does the complaints register maintained by the complaints officer include the provision to record details of the action taken under s5.110(6)(b)(c).
N/A Warren Olsen
Official Conduct
No Reference Question Response Comments Respondent
1 s3.57 F&G Reg 11 Did the local government invite tenders on all occasions (before entering into contracts for the supply of goods or services) where the consideration under the contract was, or was expected to be, worth more than the consideration stated in Regulation 11(1) of the Local Government (Functions & General) Regulations (Subject to Functions and General Regulation 11(2)).
Yes Maureen Murat
2 F&G Reg 12 Did the local government comply with F&G Reg 12 when deciding to enter into multiple contracts rather than inviting tenders for a single contract.
N/A Warren Olsen
3 F&G Reg 14(1) Did the local government invite tenders via Statewide public notice.
Yes Maureen Murat
4 F&G Reg 14, 15 & 16
Did the local government's advertising and tender documentation comply with F&G Regs 14,15 & 16.
Yes Maureen Murat
Tenders for Providing Goods and Services
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No Reference Question Response Comments Respondent
5 F&G Reg 18(1) Did the local government reject the tenders that were not submitted at the place, and within the time specified in the invitation to tender.
N/A Warren Olsen
6 F&G Reg 18 (4) In relation to the tenders that were not rejected, did the local government assess which tender to accept and which tender was most advantageous to the local government to accept, by means of written evaluation criteria.
Yes Maureen Murat
7 F&G Reg 17 Did the information recorded in the local government's tender register comply with the requirements of F&G Reg 17.
Yes Maureen Murat
8 F&G Reg 19 Was each tenderer sent written notice advising particulars of the successful tender or advising that no tender was accepted.
Yes Maureen Murat
9 F&G Reg 21 & 22 Did the local governments's advertising and expression of interest documentation comply with the requirements of F&G Regs 21 and 22.
N/A No expressions of interest sought
Maureen Murat
10 F&G Reg 23(1) Did the local government reject the expressions of interest that were not submitted at the place and within the time specified in the notice.
N/A Maureen Murat
11 F&G Reg 23(4) After the local government considered expressions of interest, did the CEO list each person considered capable of satisfactorily supplying goods or services.
N/A Maureen Murat
12 F&G Reg 24 Was each person who submitted an expression of interest, given a notice in writing in accordance with Functions & General Regulation 24.
N/A Maureen Murat
13 F&G Reg 24E Where the local government gave regional price preference in relation to a tender process, did the local government comply with requirements of F&G Reg 24E in relation to the preparation of a regional price preference policy (only if a policy had not been previously adopted by Council).
N/A Warren Olsen
14 F&G Reg 11A Does the local government have a current purchasing policy in relation to contracts for other persons to supply goods or services where the consideration under the contract is, or is expected to be, $100,000 or less.
No Warren Olsen
15 F&G Reg 14(5) If the local government sought to vary the information supplied to tenderers, was every reasonable step taken to give each person who sought copies of the tender documents or each acceptable tenderer, notice of the variation.
N/A Warren Olsen
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I certify this Compliance Audit return has been adopted by Council at its meeting on
Signed Mayor / President, Murchison Regional Vermin Council
Signed CEO, Murchison Regional Vermin Council
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13. MOTIONS OF WHICH PREVIOUS NOTICE HAS BEEN GIVEN
Nil.
14. NOTICE OF MOTIONS FOR THE NEXT MEETING
Nil.
15. CONFIDENTIAL BUSINESS
Nil.
16. LATE AGENDA ITEMS
Nil.
17. ELECTED MEMBER MATTERS
Cr Alan Bloore
Requested that the CEO adopt a purchasing policy and any other policies missing
from the MRVC, also any registers.
CEO
Colin Bernhardt informed CEO of 100 metres of fencing down on the No. 2 Vermin
Fence at Youno Downs.
The Murchison Region Vermin Cell Business Case is to be re-written.
Cr Neil Grinham
Sought advice on identifying a governing body for the Vermin Cell.
President
Advised Council on the need to issue a full fence inspection due to the recent rain.
Advised Council that the Maintenance contractor is no longer in Mount Magnet and
suggested the CEO re-advertise the position.
18. NEXT MEETING
8 June 2015
19. CLOSURE OF MEETING
There being no further business, the President closed the meeting at 2:25pm.
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20. CERTIFICATION BY CHAIRMAN
Confirmed this day 29 June 2015
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