Annual Report 2023-24

      Noosa Council                                                                                                                         Noosa Council




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

      Note 23. Asset Revaluation Surplus                                                                                                    Note 25. Contingent Liabilities (continued)
      §Note/Subtotal§
      §Subnote§




      The asset revaluation surplus comprises adjustments relating to changes in value of property, plant and equipment that do             Local Government Workcare
      not result from the use of those assets. Net incremental changes in the carrying value of classes of non-current assets since         The Council is a member of the Queensland local government worker's compensation self-insurance scheme, Local
      initial recognition are accumulated in the asset revaluation surplus. Increases and decreases on revaluation are offset within        Government Workcare. Under this scheme the Council has provided an indemnity towards a bank guarantee to cover bad debts
      a class of assets.                                                                                                                    which may remain should the self insurance licence be cancelled and there was insufficient funds available to cover outstanding
                                                                                                                                            liabilities. Only the Queensland Government’s workers compensation authority may call on any part of the guarantee should
      Where a class of assets is decreased on revaluation, that decrease is offset first against the amount remaining in the asset          the above circumstances arise. The Council's maximum exposure to the bank guarantee is $1,922,183 (2023: $1,635,963).
      revaluation surplus in respect of that class. Any excess is treated as an expense. When an asset is disposed of, the amount
      in respect of that asset is retained in the asset revaluation surplus and not transferred to retained surplus.

                                                                                                                                            Note 26. Superannuation
                                                                                                                                            §Note§




      Note 24. Capital Commitments
      §Note§




                                                                                                                                            §Subnote§




      §Subnote§
                                                                                                                                            Council contributes to the LGIAsuper Regional Defined Benefits Fund (the scheme), at the rate of 12% for each permanent
      $ '000                                                                                                 2024                2023       employee who is a defined benefit member. This rate is set in accordance with the LGIAsuper trust deed and may be varied on
                                                                                                                                            the advice of an actuary. The Regional Defined Benefits Fund is a complying superannuation scheme for the purpose of the
      Capital Commitments (exclusive of GST)                                                                                                Commonwealth Superannuation Industry (Supervision) legislation and is also governed by the Local Government Act 2009.

      Commitment for the construction of the following assets contracted for at the reporting date but not recognised as                    The scheme is a pooled defined benefit plan and it is not in accordance with the deed to obligations, plan assets and costs
      liabilities (exclusive of GST):                                                                                                       at the Council level.

      Property, Plant and Equipment                                                                                                         Any amount by which the scheme is over or under funded may affect future benefits and result in a change to the contribution
                                                                                                                                            rate, but has not been recognised as an asset or liability of the Council.
      Roads, Bridges and Stormwater                                                                         47,745               3,549
      Buildings                                                                                              1,151                 514      Technically Council can be liable to the scheme for a portion of another local governments’ obligations should that local
      Other                                                                                                  4,127               4,064      government be unable to meet them. However the risk of this occurring is extremely low and in accordance with the LGIAsuper
                                                                                                                                            trust deed changes to Council's obligations will only be made on the advice of an actuary.
      Total Commitments                                                                                    53,023               8,127
250                                                                                                                                                                                                                                                                               251
                                                                                                                                            The last completed actuarial assessment of the scheme was undertaken as at 1 July 2021. The actuary indicated that “At the
      These expenditures are payable as follows:                                                                                            valuation date of 1 July 2021, the net assets of the scheme exceeded the vested benefits and the scheme was in a satisfactory
      Within the next year                                                                                  53,023               8,127      financial position as at the valuation date." The measure of vested benefits represents the value of benefit entitlements should
      Later than one year and not later than 5 years                                                             –                   –      all participating employees voluntarily exit the scheme. The Council is not aware of anything that has happened since that time
      Later than 5 years                                                                                                                    that indicates the assets of the scheme are not sufficient to meet the vested benefits, as at the reporting date.
                                                                                                                 –                   –
      Total Payable                                                                                        53,023               8,127       No changes have been made to prescribed employer contributions which remain at 12% of employee salary or wages and
                                                                                                                                            there are no known requirements to change the rate of contributions.

                                                                                                                                            The next triennial actuarial review is not due until 1 July 2024.
      Note 25. Contingent Liabilities
      §Note§




      §Subnote§
                                                                                                                                            The most significant risks that may result in LGIAsuper increasing the contribution rate, on the advice of the actuary, are:

      Details and estimates of maximum amounts of contingent liabilities are as follows:                                                    Investment risk - The risk that the scheme's investment returns will be lower than assumed and additional contributions are
                                                                                                                                            needed to fund the shortfall.
      Local Government Mutual
      The Council is a member of the local government mutual liability self-insurance pool, LGM Queensland. In the event of the             Salary growth risk - The risk that wages or salaries will rise more rapidly than assumed, increasing vested benefits to be funded.
      pool being wound up or it is unable to meet its debts as they fall due, the trust deed and rules provide that any accumulated
      deficit will be met by the individual pool members in the same proportion as their contribution is to the total pool contributions    $ '000                                                                             Notes               2024                2023
      in respect to any year that a deficit arises.
                                                                                                                                            Superannuation Contributions made to the Regional Defined Benefits Fund                                   92                 116
      As at 30 June 2024 the financial statements reported an accumulated surplus and it is not anticipated any liability will arise.       Other Superannuation Contributions for Employees                                                       4,529               3,975
                                                                                                                                            Total Superannuation Contributions paid by Council for




                                                                                                                                                                                                                                                                                  Noosa Council Annual Report 23/24
                                                                                                                                            employees                                                                            6                4,621               4,091




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