Note 59. Budgetary Reporting – Territorial – Explanations of Major Variances Between Actual Amounts and Original Budget Amounts

The following are brief explanations of major line item variances between budget estimates and actual outcomes.  Variances are considered to be major variances if both of the following criteria are met:

  1. The line item is a significant line item:  the line item actual amount accounts for more than 10% of the relevant associated category (Income, Expenses and Equity totals) or sub-element (e.g. Current Liabilities and Receipts from Operating Activities totals) of the financial statements; and
  2. The variances (original budget to actual) are greater than plus (+) or minus (-) 10% of the budget for the financial statement line item.

Statement of Income and Expenses on behalf of The Territory Line Items

Actual
2014-15
$'000

Original
Budget1
2014-15
$'000

Variance
$'000

Variance
%

Variance Explanation

Payments for Expenses on Behalf of the Territory

6,684

7,619

(935)

(12.3)

Payments for expenses on behalf of the Territory are lower than budget mainly due to delays in current year capital works and savings achieved in prior year capital upgrades.

Grants and Purchased Services

6,684

7,619

(935)

(12.3)

Grants and purchased services are lower than budget mainly due to delays in current year capital works and savings achieved in prior year capital upgrades.

1 Original Budget refers to the amounts presented to the Legislative Assembly in the original budgeted financial statements in respect of the reporting period (2014-15 Budget Statements).  These amounts have not been adjusted to reflect supplementary appropriation or appropriation instruments.

Statement of Assets and Liabilities on Behalf of The Territory Line Items

Actual
2014-15
$'000

Original
Budget1
2014-15

Variance
$'000

Variance
%

Variance Explanation

Cash and Cash Equivalents

242

295

(53)

(18.0)

Cash and cash equivalents are lower than budget mainly due to timing delay in receiving Goods and Services Tax  refund from Australian Taxation Office.

Receivables

112

5

107

2,140.0

Receivables are higher than budget mainly due to timing of Goods and Services Tax  refund from Australian Taxation Office.

Advance from the Territory Banking Account

350

300

50

16.7

Advance from the Territory Banking Account is higher than budget due to additional cash requirement to fund an increase in Goods and Services Tax cash outlay due to increased capital funding transferred to Calvary Hospital, which attracts GST.

Statement of Changes in Equity

 

 

 

 

These line items are covered in other financial statements

1 Original Budget refers to the amounts presented to the Legislative Assembly in the original budgeted financial statements in respect of the reporting period (2014-15 Budget Statements).  These amounts have not been adjusted to reflect supplementary appropriation or appropriation instruments.

Cash Flow Statement on Behalf of the Territory had no major variances.