Annual Report 2014-15

NOOSA SHIRE COUNCIL

Notes to the financial statements
For the year ended 30 June 2015
                                                                                                            2014
                                                                                           2015          (6 months)
                                                                               Note          $               $

         To ensure the ongoing solvency of the Regional DBF, the scheme'’s
         trustee can vary the rate of contributions from relevant local
         government employers subject to advice from the scheme's actuary.
         As at the reporting date, no changes had been made to prescribed
         employer contributions which remain at 12% of employee assets and
         there are no known requirements to change the rate of contributions.

         Any amount by which the fund is over or under funded would only                                                     :
         affect future benefits and contributions to the Regional DBF, and is not
         an asset or liability of the Council. Accordingly there is no recognition
         in the financial statements of any over or under funding of the scheme.
         As at the reporting date, the assets of the scheme are sufficient to
         meet the vested benefits.

         The most recent actuarial assessment of the scheme was undertaken
         as at 1 July 2012. The actuary indicated that “the Regional DBF is
         currently in a satisfactory but modest financial position and remains
         vulnerable to adverse short and medium term experience."

         Following the previous actuarial assessment in 2009, councils were
         advised by the trustee of the scheme, following advice from the
         scheme’s actuary, that additional contributions may be imposed in the
         future at a level necessary to protect the entitlements of Regional DBF
         members. In the 2012 actuarial report the actuary has recommended
         no change to the employer contribution levets at this time.
         Under the Local Government Act 2009 the trustee of the scheme has
         the power to levy additional contributions on councils which have
         employees in the Regional DBF when the actuary advises such
         additional contributions are payable - normally when the assets of the
         DBF are insufficient to meet members' benefits.

         There are currently 71 councils contributing to the Regional DBF plan
         and any changes in contribution rates would apply equally to all 77
         councils. Noosa Shire Council made less than 4% of the total
         contributions to the plan in the 2014-15 financial year.
         The next actuarial investigation will be conducted as at 1 July 2015.
     The amount of superannuation contributions paid by Noosa Shire Council
     to the scheme in this period for the benefit of employees was:                        2,707,406        1,305,459

 24 Trust funds
         Trust funds held for outside parties:
             Monies collected or held on behalf of other entities yet
             to be paid out to or on behalf of those entities                              2,465,751        2,640,702

                                                                                           2,465,751        2,640,702
         The Noosa Shire Council performs only a custodial role in respect of
         these monies, and because the monies cannot be used for Council
         purposes, they are not brought to account in these financial
         statements.

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