Annual Report 2019-20

Noosa Shire Council

Notes to the Financial Statements
for the year ended 30 June 2020

Note 1. Summary of Significant Accounting Policies (continued)

    Provisions - Note 21                                Council has not recognised the value of volunteer
    Contingent Liabilities - Note 25                    services in these financial statements as the value
    Financial instruments and financial assets –        donated cannot be reliably measured at this time.
    Note 30                                             Further, if these volunteer services had not been
    Revenue - Note 3                                    donated they would not have been procured.

During the 2019/20 financial year, Council
commenced a project to stocktake and align asset        (1.g)   Taxation
data between financial, asset management and
spatial systems for buildings and stormwater asset      Council is exempt from income tax, however Council
classes. This work aligned to the comprehensive         is subject to Fringe Benefits Tax, Goods and Services
revaluation of buildings and stormwater also            Tax (‘GST’) and payroll tax on certain activities. The
undertaken during the 2019/20 financial year.           net amount of GST recoverable from the ATO or
                                                        payable to the ATO is shown as an asset or liability
The stocktake identified various assets to be           respectively.
derecognised, initially recognised and valuations
amended due to the following:                           (1.h)   COVID -19

    Derecognised buildings in prior periods which       The COVID-19 pandemic has impacted on Council’s
    resulted in not accounting for asset disposals.     operations and this is expected to continue into 2020-
    ($0.139m decrease)                                  21. In line with the State Government directives
                                                        implemented as a result of the pandemic the following
    Initial recognition of buildings that should have   Council facilities were closed; Holiday Parks,
    been included in previous years financial           Libraries, Leisure Centre, Aquatic Centre, The J and
    statements. ($3.159m increase)                      the Digital Hub. These closures directly impacted the
                                                        revenue streams from these operations.
    Improved attribute information for stormwater
    assets resulted in a change in valuation            Council also provided a business support package
    estimates. ($7.915m increase)                       which included rent abatement periods for some its
                                                        commercial tenants and the waiving of various fees
The net impact of these adjustments is not              and permits to impacted businesses.
considered material.
                                                        Council also amended it supplier payments terms
(1.e)   Rounding and Comparatives                       from 30 days to seven days to assist local business
                                                        with cashflow.
The financial statements are in Australian dollars
and have been rounded to the nearest $1,000.            Impacts of COVID-19 on asset revaluations
                                                        undertaken during the current year were assessed,
Comparative information is generally restated for       however it was determined that there was not a
reclassifications, errors and changes in accounting     significant impact and Council's assets as presented
policies unless permitted otherwise by transition       in the financial statement are at fair value.
rules in a new Accounting Standard.
                                                        The overall financial impact on Council attributed to
                                                        the COVID-19 pandemic in the 2019/20 financial year
(1.f)   Volunteer Services                              was not material.

Council currently utilises volunteer resources at
Noosa Community Support Centre, Noosaville &
Cooroy Libraries, Noosa Botanic Gardens, Noosa
Bushland Care and Noosa Gallery.




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