Annual Report 2023-24

      Noosa Council




                                                                                                                                                                                              Financial Performance
      Notes to the Financial Statements
      for the year ended 30 June 2024

      Note 15. Property, Plant and Equipment (continued)
                                                                                                                                                   Index applied
                                                                 Last                                                                              (change in index     Other interim
                                              Valuation          comprehensive                      Key assumptions and estimates                  last applied to      revaluation
      Asset Class and Fair Value Hierarchy    approach           valuation date   Valuer engaged    (related data sources)                         asset class)         adjustment

      Other Infrastructure Assets (Level 3)   Current            30/06/2021       Australis Asset   No active market due to the specialised        ABS Producer         Nil
      2024: $54.1m                            replacement cost                    Advisory Group    nature of services these assets provide.       Price Index: 3020
      2023: $49.9m                                                                                  Unit rates are developed by estimating         Non-residential
                                                                                                    labour and materials required for asset        building
                                                                                                    replacement. Base rates were sourced           construction,
                                                                                                    using actual contract prices for recently      Queensland
                                                                                                    completed projects or supply quotes for        Most Recent
                                                                                                    similar assets based on age, size,             Index Applied:
                                                                                                    location and condition. Other inputs           5.3% equivalent to
                                                                                                    considered include obsolescence, asset         1 year (2023)
                                                                                                    condition and useful life.
                                                                                                    Where costs are not available, rates
                                                                                                    were obtained from the valuer's
                                                                                                    database or the Rawlinson's Australian
                                                                                                    Construction Handbook, 2021 Edition.
      Roads (Level 3)                         Current            30/06/2023       Stantec           Unit rates are developed using actual          ABS Producer         Condition
      2024: $457.0m                           replacement cost                                      contract prices for recently completed         Price Index: 3101    assessment of
      2023: $456.3m                                                                                 projects or supply quotes for similar          Road and bridge      roads and bridges
                                                                                                    assets based on age, size, location and        construction,        undertaken to
                                                                                                    condition.                                     Queensland           inform future
                                                                                                    A first principles approach has been           No indexation has    valuations.
                                                                                                    applied to developing unit rates by            been applied
                                                                                                    estimating plant, material and labour          since the most
                                                                                                    inputs required for design and                 recent
                                                                                                    construction.                                  comprehensive
                                                                                                    Where costs are not available rates were       valuation.
238                                                                                                 obtained from the valuer's database or                                                    239
                                                                                                    the Rawlinson's Australian Construction
                                                                                                    Handbook, 2017 Edition.
                                                                                                    Roads are categorised as sealed or
                                                                                                    unsealed and separated into segments
                                                                                                    with three location factors for urban, rural
                                                                                                    and commercial/industrial. All segments
                                                                                                    are then componentised into sub-classes
                                                                                                    that make up each segment. i.e. road
                                                                                                    surface, road pavement base, road
                                                                                                    pavement sub-base, formation, kerb,
                                                                                                    footpath, signage, etc. Other inputs
                                                                                                    considered include obsolescence, asset
                                                                                                    condition and useful life.

      continued on next page ...                                                                                                                                              Page 30 of 60




                                                                                                                                                                                              Noosa Council Annual Report 23/24