2015-11-16 GC Agenda - Item 3, Attach 1 - Annual Report 2014-15

                                                                                                                                       QAO
                                                                                                                                certified statements



NOOSA   SHIRE COUNCIL


Notes to the Financial Statements
For the year ended 30 June 2015

            Significant accounting policies

  1.1       Basis of preparation
            These general purpose financial statements are for the period 1 July 2014 to 30 June 2015 and
            have been prepared in compliance with the requirements of the Local Government Act 2009 and
            the Local Government Regulation 2012. Consequently,      these financial statements have been
            prepared in accordance with all Australian Accounting Standards, Australian Accounting
            Interpretations and other authoritative pronouncements issued by the Australian Accounting
            Standards Board.

             Comparatives        reflect a 6 month reporting     period from the 1 January to 30 June 2014,

             These financial statements    have been prepared              under the historical    cost convention     except    for
             the revaluation of certain non-current assets.

             Council      is constituted    under   the Queensland Local Government Act 2009 and is domiciled                     in
             Australia.

             Council      uses the Australian       dollar as its functional   currency   and its presentation     currency     and
             amounts       have been rounded        to the nearest $1.

  1.2        Statement      of compliance
             These     general     purpose  financial    statements   comply    with all accounting  standards     and
             interpretations    issued by the Australian Accounting Standards Board (AASB) that are relevant to
             Council's operations and effective for the current reporting period. Because the Council is a not-
             for-profit entity and the Australian Accounting Standards include requirements         for not-far-profit
             entities which are inconsistent      with International   Financial Reporting Standards (IFRS), to the
             extent these inconsistencies      are applied, these financial statements do not comply with IFRS.
             The main impacts are the offsetting of revaluation and impairment gains and losses within a class
             of assets, and the timing of the recognition of non-reciprocal      grant revenue.




             Council      had an interest     in one (1) associate    during the year being Unitywater        and is included     in
             note 1.11

  1.3        Date of authorisation
             The financial statements    are authorised for issue on the date it was submitted to the Auditor-
             General for final signature .. This is the date the management certificate is signed.



  1.4        Adoption    of new and revised Accounting    Standards
             In the current year, Council adopted all of the new and revised Standards and Interpretations
             issued by the Australian Accounting Standards Board (AASB) that are relevant to its operations
             and effective for the current reporting period. The adoption of the new suite of consolidation
             standards resulted in some material changes to Council's accounting policies. These standards
             comprised AASB 10 Consolidated Financial Statements, AASB 11 Joint Arrangements, AASB 12
             Disclosure of Interests in Other Entities, AASB 127 (revised 2011) Separate Financial
             Statements and AASB 128 (revised 2011) Investments in Associates and Joint Ventures.



  1.5        Critical accounting   judgements    and key sources of estimation    uncertainty
             In the application of Council's accounting policies, management   is required to make judgements,
             estimates and assumptions      about carrying values of assets and liabilities that are not readily
             apparent from other sources. The estimates and associated assumptions are based on historical
             experience and other factors that are considered to be relevant. Actual results may differ from
             these estimates.    The estimates and ongoing assumptions     are reviewed on an ongoing basis.
             Revisions to accounting estimates are recognised in the period in which the estimate is revised
             and in future periods         as relevant.



             Judgements,        estimates     and assumptions     that have a potential   significant   effect are outlined   in the
             followinQ financial      statement     notes:




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