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

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                                                                                                                                           QAO
                                                                                                                               certified   statements




      NOOSA    SHIRE COUNCIL

      Notes to the financial statements
      For the year ended 30 June 2015
                                                                                                                                   2014
                                                                                                                   2015         (6 monthsl

                                                                                                         Note       $                  $
      22 Contingent liabilities
              Details and estimates    of maximum         amounts of contingent    liabilities   are as follows:

                Local Government Workcare
                Noosa Shire Council is a member of the Queensland local government
                workers compensation      satf-insurance scheme, Local Government
                Workcare. Under this scheme the Council has provided a bank guarantee
                to cover bad debts 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 the above circumstances     arise.
                The Council's    maximum       exposure    to the bank guarantee     is:                             290,070           290,070


                Local Government Mutual
                Noosa Shire Council is a member of the local government mutual liability self-insurance
                 pool, LGM Queensland.       In the event of the 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 in respect to
                 any year that a deficit arises.
                As at 30 June 2015 the financial statements reported an accumulated surplus and
                it is not anticipated any liability will arise,

       23 Superannuation
                The Council contributes to the Local Government Superannuation
                Scheme (Old) (the scheme). The scheme is a Multi-employer    Plan as
                defined in the Australian Accounting Standard AASB119 Employee
                Benefits.

                1 he Queensland Local Government Superannuation        Board, the
                trustee of the scheme, advised that the local government
                superannuation    scheme was a complying superannuation. scheme for
                the purpose of the Commonwealth     Superannuation   Industry
                (Supervision)  legislation.

                The scheme       has three elements       referred to as:

                The City Defined Benefits Fund (COB F) which covers former
                members of the City Super Defined Benefits Fund


                 The Regional Defined Benefits Fund (Regional DBF) which covers
                defined benefit fund members working for regional local governments;
                and

                The Accumulation      Benefits    Fund (ABF)

                The ABF is a defined contribution scheme as defined in AASB 119.
                Council has no liability to or interest in the ABF other than the payment
                of the statutory contributions as required by the Local Government Act
                2009.

                Council does not have any employees who are members of the CDSF
                and, therefore, is not exposed to the obligations, assets or costs
                associated   with this fund.

                The Regional DBF is a defined benefit plan as defined in AASB119.
                The Council is not able to account for the Regional DBF as a defined
                benefit plan in accordance with AASB119 because the scheme is
                unable to account to the Council for its proportionate share of the
                defined benefit obligation, plan assets and costs. The funding policy
                adopted in respect of the Regional DBF is directed at ensuring that the
                benefits accruing to members and beneficiaries are fully funcled as
                they fall due.




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