2016-08-09 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA   9 AUGUST 2016




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SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                                                    9 AUGUST 2016

           COUNCIL POLICY - Related Party Disclosures

            7.1  KMP Responsibilities
            KMP will disclose all related parties in accordance with this policy and AAS124.

            7.2  Manager Financial Services
           The Manager Financial Services will identify transactions within Council’s finance system for all
            advised KMP and related parties; and provide summary reports quarterly.
           Annually, the Manager Financial Services will review all related party transactions to determine
            materiality and significance for the purpose of drafting the required disclosures in Council’s annual
           financial statements.

           The Manager of Financial Services will also provide guidance to Council’s KMP in terms of this Policy
            and required disclosures.

            7.3. Manager Human Resources
           The Manager Human Resources will provide KMP compensation details for inclusion in Council’s
            annual financial statements.

            8   DEFINITIONS

            Entity can include a body corporate, a partnership or a trust, incorporated association, or
            unincorporated group or body.
            Key Management Personnel (KMP) (see also section 3 of this policy) is defined in the Local
            Government Regulation 2012 to include Councillors, the Chief Executive Officer and Senior
            Executive Employees. Further defined in AASB 124 — Related Party Disclosures as “those persons
            having authority and responsibility for planning, directing and controlling the activities of the entity,
           directly or indirectly, including any director (whether executive or otherwise) of that entity”. For the
            purpose of this policy, key management personnel will be aligned with the definition within the Local
            Government Regulation 2012.
            KMP Compensation includes all forms of consideration paid, payable or provided by Noosa Council
            in exchange for services provided, and includes:
               1.  Short-term employee benefits, such as wages, salaries and social security contributions,
                   paid annual leave and paid sick leave, profit sharing and bonuses (if payable within twelve
                   months of the end of the period) and non-monetary benefits (such as medical care,
                   housing, cars and free and subsidised goods or services) for current employees;
               2.  Post-employment benefits such as pensions, other retirement benefits, post-employment
                   life insurance and post-employment medical care;
               3.  Other long-term employee benefits, including long-service leave or sabbatical leave, jubilee
                   or other long-service benefits, long-term disability benefits and, if they are not payable
                   wholly within twelve months after the end of the period, profit sharing, bonuses and
                   deferred compensation;
               4. Termination benefits; and
               5.  Share-based payment.
            Material (materiality) means the assessment of whether the transaction, either individually or in
            aggregate with other transactions, by omitting it or misstating it could influence decisions that users

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