Annual Report 2022-23

      Note 18. Leases (continued)                                                                                                      Note 18. Leases (continued)
                                                                                                 IT and Office                                                                                                                                              Total per
      $ '000                                                                          Land         Equipment                   Total                                                                                                                    Statement of
                                                                                                                                                                                                                                                            Financial
      Right of Use Assets (ROU)                                                                                                        $ '000                                   < 1 year        1 – 5 years           > 5 years              Total           Position

                                                                                                                                       2022
                                                                                                                                       Land                                           22                  39                  –                 61                  59
      2023                                                                                                                             IT & Office Equipment                           4                   1                  –                  5                   5
      Opening balance at 1 July                                                           59                  5                   64                                                  26                 40                   –                 66                 64
      Depreciation charge                                                               (22)                (4)                 (26)

                                                                                                                                       Future cash outflows not reflected in the measurement of lease liabilities
                  Balance at 30 June                                                     38                   1                   39
                                                                                                                                       The slipway lease liability has been calculated based on the current 3 years average rental value at 6%, no adjustment has
                  2022
                                                                                                                                       been included for movement in the rental value over the remainder of the lease term. No allowance has been included for
                  Opening balance at 1 July                                               81                 8                    89   restoration costs that may be incurred at the end of the lease. The lease also contains various restrictions and conditions
                  Depreciation charge                                                   (21)                (4)                 (25)   about what the site can be used for.
                  Balance at 30 June                                                     60                   4                   64
                                                                                                                                       IT and Office equipment lease payments are generally fixed for the term of the arrangement and are not subject to any residual
                                                                                                                                       values at the end of the lease.
      §Subnote§




                  $ '000                                                                                  2023                 2022    Amounts included in the Statement of Comprehensive Income related to leases

                  Lease Liabilities                                                                                                    The following amounts have been recognised in the statement of comprehensive income for leases where Council is the




                                                                                                                                                                                                                                                                           Noosa Council Annual Report 2022 - 2023
                                                                                                                                       lessee.
                  Classified as:
                  Current Lease Liability                                                                   23                    26   $ '000                                                                                                 2023               2022
                  Non-Current Lease Liability                                                               18                    40
                                                                                                                                       Expenses
                  Total Lease Liabilities                                                                   41                   66
                                                                                                                                       Depreciation of Right-of-
                                                                                                                                                             of Use Assets
                                                                                                                                                             of-                                                                                25                  25
                                                                                                                                       Interest Expense on Lease Liabilities                                                                     1                   2
                                                                                                                                       Expenses relating to low-value assets                                                                   283                 292
      The following table shows the maturity analysis of the Lease Liability based on contracted cashflows and therefore the
      amounts will not be the same as the recognised Lease Liability in the Statement of Financial Position.                           Net Expense relating to Leases                                                                         309                 319
                                                                                                                        Total per
                                                                                                                    Statement of       Total Cash inflows/(outflows) for Leases                                                             (310)               (320)
                                                                                                                        Financial
           $ '000                               < 1 year     1 – 5 years          > 5 years              Total           Position
                                                                                                                                       Leases at significantly below market value – concessionary / peppercorn leases
           2023                                                                                                                        Council has a number of leases at significantly below market for land which are used for access easements and parklands.
           Land                                      22               17                   –                39                    –
           IT & Office Equipment                      1                –                   –                 1                    –    The leases are generally between 10 and 20 years and require payments between $1 and $143 per annum. The use of the
                                                     23               17                  –                 40                    –    right-to-use asset is restricted by the lessors to specified community services which Council must provide, these services are
                                                                                                                                       detailed in the leases.

                                                                                                                                       Council does not believe that any of the leases in place are individually material.


                                                                                                                                       Council as a Lessor
                                                                                                                                       When Council is a lessor, the lease is classified as either an operating or finance lease at inception date, based on whether
                                                                                                                                       substantially all of the risks and rewards incidental to ownership of the asset have been transferred to the lessee. If the risks
                                                                                                                                       and rewards have been transferred then the lease is classified as a finance lease, otherwise it is an operating lease.

                                                                                                                                       If the lease contains lease and non-lease components then the non-lease components are accounted for in accordance with
                                                                                                                                       AASB 15 Revenue from Contracts with Customers .

                                                                                                                                       The lease income is recognised on a straight-line basis over the lease term.




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