Financial Statements

STATEMENT OF FINANCIAL PERFORMANCE
for the year ended 30 June 2002

 

Notes

2002

 

2001

   

$’000

 

$’000

         

Operating revenues from ordinary activities

       

Revenues from Government

3A

210,313

 

215,573

Sales of goods and services

3B

10,514

 

8,953

Interest

3C

352

 

5,987

Contributions

3D

3,607

 

3,764

Other

 

142

 

45,690

Total revenues from ordinary activities

 

224,928

 

279,967

         

Operating expenses from ordinary activities

       

Employees

4A

29,180

 

27,085

Suppliers

4B

22,156

 

22,002

Grants

4C

187

 

175

Depreciation and amortisation

4D

9,463

 

6,147

Write-down of assets

4E

73

 

195

Net loss from sales of assets

4F

2

 

20

Total expenses from ordinary activities

 

61,061

 

55,624

         

Net operating surplus from

ordinary activities

 

163,867

 

224,343

         

Net surplus attributable to the

Commonwealth

 

163,867

 

224,343

Net credit (debit) to asset revaluation reserve

 

2,092

 

142,990

Total revenues, expenses and valuation adjustments recognised directly in equity

 

2,092

 

142,990

Total changes in equity other than those resulting from transactions with owners as owners.

 

165,959

 

367,333

The above statement should be read in conjunction with the accompanying notes.


NATIONAL LIBRARY OF AUSTRALIA
STATEMENT OF FINANCIAL POSITION
as at 30 June 2002

 

Notes

2002

 

2001

 

$’000

 

$’000

ASSETS

     

Financial assets

     

Cash

5A

9,106

 

9,370

Receivables

5B

2,577

 

2,520

Total financial assets

11,683

 

11,890

 
     

Non-financial assets

     

Land and buildings

6A, D, H

133,220

 

133,223

Infrastructure, plant and equipment

6B, D

10,901

 

7,305

National Collection

6C

1,520,036

 

1,519,672

Inventories

6E

719

 

781

Intangibles

6F, D

3,154

 

3,435

Other

6G

1,870

 

1,594

Total non-financial assets

1,669,900

 

1,666,010

 
     

Total assets

1,681,583

 

1,677,900

 
     

LIABILITIES

     

Provisions

     

Capital Use Charge

25

 

26

Employees

7A

9,897

 

8,867

Total provisions

9,922

 

8,893

 
     

Payables

     

Suppliers

8A

1,699

 

3,417

Grants

8B

17

 

14

Other

8C

225

 

275

Total payables

1,941

 

3,706

 
     

Total liabilities

11,863

 

12,599

 
     

EQUITY

     

Parent entity interest

     

Capital

9

3,090

 

2,060

Reserves

9

253,301

 

251,209

Accumulated surpluses

9

1,413,329

 

1,412,032

Total parent equity interest

1,669,720

 

1,665,301

Total equity

1,669,720

 

1,665,301

 
     
 
     

Current liabilities

5,761

 

7,118

Non-current liabilities

6,102

 

5,481

Current assets

13,959

 

13,933

Non-current assets

1,667,624

 

1,666,967

The above statement should be read in conjunction with the accompanying notes.


NATIONAL LIBRARY OF AUSTRALIA
STATEMENT OF CASH FLOWS
for the year ended 30 June 2002

 

Notes

2002

 

2001

OPERATING ACTIVITIES

 

$’000

 

$’000

Cash received

       

Sales of goods and services

       

Government

 

1,414

 

1,215

Non-government

 

9,471

 

8,167

Appropriations

3A

210,265

 

215,573

Interest

 

348

 

5,987

GST recovered from ATO

 

1,562

 

836

Other

 

492

 

368

Total cash received

 

223,552

 

232,146

Cash used

       

Employees

 

(28,734)

 

(26,504)

Suppliers

 

(23,332)

 

(20,193)

Grants

 

(190)

 

(171)

Total cash used

 

(52,250)

 

(46,868)

         

Net cash from operating activities

11

171,296

 

185,278

         

INVESTING ACTIVITIES

       

Cash received

       

Proceeds from sales of property, plant and equipment

 

4

 

6

Total cash received

 

4

 

6

Cash used

       

Purchase of property, plant and equipment

 

(10,023)

 

(7,447)

Total cash used

 

(10,023)

 

(7,447)

         

Net cash from investing activities

 

(10,019)

 

(7,441)

         

FINANCING ACTIVITIES

       

Cash received

       

Appropriations – contributed equity

 

1,030

 

1,030

Total cash received

 

1,030

 

1,030

Cash used

       

Capital use charge paid

 

(162,571)

 

(177,325)

Repayment of debt

 

-

 

-

Total cash used

 

(162,571)

 

(176,325)

         

Net cash from financing activities

 

(161,541)

 

(176,295)

Net increase/(decrease) in cash held

 

(264)

 

1,542

Cash at the beginning of the reporting period

 

9,370

 

7,828

Cash at the end of the reporting period

5A

9,106

 

9,370

The above statement should be read in conjunction with the accompanying notes.


NATIONAL LIBRARY OF AUSTRALIA
SCHEDULE OF COMMITMENTS
as at 30 June 2002

 
Notes

2002

 

2001

BY TYPE

 

$’000

 

$’000

         

CAPITAL COMMITMENTS

       

Buildings

 

-

 

302

Plant and equipment

 

-

 

66

Collections1

 

863

 

45

Total capital commitments

 

863

 

413

         

OTHER COMMITMENTS

       

Operating leases2

 

7,666

 

8,378

Other commitments3

 

5,998

 

7,216

Total other commitments

 

13,664

 

15,594

         

Total commitments payable

 

14,527

 

16,007

         

COMMITMENTS RECEIVABLE

 

1,143

 

931

Net Commitments

 

13,384

 

15,076

         

BY MATURITY

       
         

All net commitments

       

One year or less

 

4,627

 

4,946

From one to two years

 

2,935

 

3,302

From two to five years

 

2,783

 

3,476

Over five years

 

3,039

 

3,352

Net Commitments

 

13,384

 

15,076

         

Operating Lease Commitments

       

One year or less

 

1,170

 

1,235

From one to five years

 

2,871

 

3,150

Over five years

 

3,039

 

3,352

Net operating lease commitments

 

7,080

 

7,737

NB: Commitments are GST inclusive where relevant.

1. Collections commitments represent contracts for the purchases of collection items.

2. Operating leases included are effectively non-cancellable and comprise:

3. Other commitments primarily consist of the provision of computer services, security, legal services, postage and freight, cleaning and building maintenance.


NATIONAL LIBRARY OF AUSTRALIA
SCHEDULE OF CONTINGENCIES
as at 30 June 2002

 
Notes

2002

 

2001

   

$’000

 

$’000

CONTINGENT LOSSES

       

Claims for damages

 

-

 

-

         
         

Total contingent losses

 

-

 

-

         

Net contingencies

 

-

 

-

SCHEDULE OF UNQUANTIFIABLE CONTINGENCIES

There were no unquantifiable contingencies as at 30 June 2002.

The above schedule should be read in conjunction with the accompanying notes.


NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

Note 1: Summary of Significant Accounting Policies

1.1 Basis of Accounting

The financial statements are required by clause 1(b) of Schedule 1 to the Commonwealth Authorities and Companies Act 1997 and are a general purpose financial report.

The statements have been prepared in accordance with:

The statements have been prepared having regard to:

The Statements of Financial Performance and Financial Position have been prepared on an accrual basis, except for trust accounts where cash accounting is employed, and are in accordance with historical cost convention, except for certain assets, which as noted, are at valuation.  Except where stated, no allowance is made for the effect of changing prices on the results or the financial position.

Assets and liabilities are recognised when and only when it is probable that future economic benefits will flow and the amounts of the assets or liabilities can be reliably measured.  Assets and liabilities arising under agreements equally proportionately unperformed are, however not recognised unless required by an Accounting Standard.  Liabilities and assets that are unrecognised are reported in the Schedule of Commitments and the Schedule of Contingencies.

Revenues and expenses are recognised in the Statement of Financial Performance when and only when the flow or consumption or loss of economic benefits has occurred and can be reliably measured.

1.2 Changes in Accounting Policy

The accounting policies used in the preparation of these financial statements are consistent with those used in 2000-01.

1.3 Reporting by Outcomes

A comparison of Budget and Actual Figures by Outcome specified in the Appropriation Acts relevant to the Library is presented in Note 20.  Any material intra-government costs included in the figure ‘net cost to Budget outcomes’ are eliminated in calculating the actual budget outcome for the Government overall.

1.4 Revenue

The revenues described in this Note are revenues relating to the core operating activities of the Library.  Details of revenue are given in Note 3.

Revenue from the sale of goods is recognised upon the delivery of goods to customers.

Interest revenue is recognised on a proportional basis taking into account the interest rates applicable to the financial assets.

Revenue from disposal of non-current assets is recognised when control of the asset has passed to the buyer.

Revenue from the rendering of a service is recognised by reference to the stage of completion of contracts.  The stage of completion is determined according to the proportion that costs incurred to date bear to the estimated total costs of the transaction.

Revenues from Government – Output Appropriations

The full amount of the appropriation for Library outputs is recognised as revenue.

Resources Received Free of Charge

Services received free of charge are recognised as revenue when and only when a fair value can be reliably determined and the services would have been purchased if they had not been donated.  Use of those resources is recognised as an expense.

Contributions of assets at no cost of acquisition or for nominal consideration are recognised at their fair value when the asset qualifies for recognition.

1.5 Transactions by the Government as Owner

Amounts appropriated by Parliament as equity injections have been fully drawn down in both 2000-01 and 2001-02 and recognised as ‘contributed equity’ in accordance with the Finance Minister’s Orders.

1.6 Employee entitlements

Leave

The liability for employee entitlements includes provisions for annual leave and long service leave.  No provision has been made for sick leave as all sick leave is non-vesting and the average sick leave taken in the future by employees of the Library is estimated to be less than the annual entitlement for sick leave.

The liability for annual leave reflects the value of total annual leave entitlements of all employees as at 30 June 2002 and is recognised at its nominal amount.

The non-current portion of the liability for long service leave is recognised and measured at the present value of the estimated future cash flows to be made in respect of all employees at 30 June 2002.  In determining the present value of the liability, attrition rates and pay increases through promotion and inflation have been taken into account.

Separation and redundancy

Provision is also made for separation and redundancy payments in circumstances where the Library has formally identified positions as excess to requirements and a reliable estimate of the amount payable can be determined.

Superannuation

Employees contribute to the Commonwealth Superannuation Scheme and the Public Sector Superannuation Scheme.  Employer contributions amounting to $3,102,203 (2000-01: $2,849,780) for the Library in relation to employee superannuation had been expensed in these financial statements.

No liability is shown for superannuation benefits recognised as at 30 June as the employer contributions fully extinguish the accruing liability, which is assumed by the Commonwealth.

Employer Superannuation Productivity Benefit contributions totalled $606,664 (2000-01: $540,408).

1.7 Leases

A distinction is made between finance leases, which effectively transfer from the lessor to the lessee substantially all the risks and benefits incidental to ownership of leased non-current assets, and operating leases, under which the lessor effectively retains substantially all such risks and benefits.

Where a non-current asset is acquired by means of a finance lease, the asset is capitalised at the present value of minimum lease payments at the inception of the lease and a liability for the lease payments recognised at the same amount.  Leased assets are amortised over the period of the lease.  Lease payments are allocated between the principal component and the interest expense.

Operating lease payments are expensed on a basis which is representative of the pattern of benefits derived from the leased assets.  The net present value of future net outlays in respect of surplus space under non-cancellable lease agreements is expensed in the period in which the space becomes surplus.

Lease incentives taking the form of ‘free’ leasehold improvements and rent holidays are recognised as liabilities.  These liabilities are reduced by allocating lease payments between rental expense and reduction of the liability.

1.8 Borrowing Costs

All borrowing costs are expensed as incurred except to the extent that they are directly attributable to qualifying assets, in which case they are capitalised.  The amount capitalised in a reporting period does not exceed the amounts of costs incurred in that period.

The Library has no qualifying assets for which funds were borrowed specifically.

1.9 Grants

The Library recognises grant liabilities as follows.

Most grant agreements require the grantee to undertake specific tasks or utilise the funding in a specific way.  In these cases, liabilities are recognised only to the extent that the grantee has complied with the grant agreement, and where grant moneys are paid in advance, a prepayment is recognised.

In cases where grant agreements are made without conditions to be monitored, liabilities are recognised on signing of the agreement.

1.10 Cash

Cash includes notes and coin held and any deposits held at call with a bank or financial institution.

1.11 Financial instruments

Accounting policies for financial instruments are stated at Note 18.

1.12 Acquisition of Assets

Assets are recorded at cost on acquisition except as stated below.  The cost of acquisition includes the fair value of assets transferred in exchange and liabilities undertaken.

Assets acquired at no cost or for nominal consideration are initially recognised as assets and revenues at their fair value at the date of acquisition, except where they are required as part of a transfer of functions from another Government entity, in which case they are recognised as contributed equity at the carrying amount on the books of the transferor.

1.13 Property (Land, Buildings and Infrastructure), Plant and Equipment

Asset Recognition Threshold

Purchases of property, plant and equipment are recognised initially at cost in the Statement of Financial Position, except for purchases costing less than $1,500, which are expensed in the year of acquisition (other than where they form part of a group of similar items which are significant in total).  The threshold for the recognition of software assets is $2,000.  The purchase of library material regardless of the amount, other than serials, are capitalised as part of the National Collection.

Revaluations

Land, buildings, infrastructure, plant and equipment are revalued progressively in accordance with the 'deprival' method of valuation in successive 3-year cycles, so that no asset has a valuation greater than three years old.

Library collections were revalued as at 30 June 2001; Land and building were revalued as at 30 June 2000; and plant and equipment were revalued as at 30 June 2002.

Assets in each class acquired after the commencement of the progressive revaluation cycle are not captured and are reported at cost for the duration of the progressive revaluation then in progress.

In accordance with deprival methodology land is measured at its current market buying value because disposal is restricted by legislation, zoning or Government policy.  Property, plant and equipment, other than land, is recognised at its depreciated replacement cost.  Where assets are held which would not be replaced or are surplus to requirements, measurement is at net realisable value.  At 30 June 2002, the Library had no assets in this situation.

All valuations are independent.

Recoverable Amount Test

Schedule 1 of the Orders requires the application of the recoverable amount test to the Library’s non-current assets in accordance with AAS 10 Recoverable Amount of Non-Current Assets.  The carrying amounts of these non-current assets have been reviewed to determine whether they are in excess of their recoverable amounts.  In assessing recoverable amounts, the relevant cash flows have been discounted to their present value.

Depreciation and Amortisation

Depreciable property, plant and equipment is written-off to their estimated residual values over their estimated useful lives to the Library, using in all cases the straight-line method of depreciation.  Leasehold improvements are amortised on a straight-line basis over the lesser of the estimated useful life of the improvements or the unexpired period of the lease.

Depreciation/amortisation rates (useful lives) and methods are reviewed at each balance date and necessary adjustments are recognised in the current, or current and future reporting periods, as appropriate.  Residual values are re-estimated for a change in prices only when assets are revalued.

Depreciation and amortisation rates applying to each class of depreciable assets are based on the following useful lives:

 

2002

 

2001

Building and building improvements

10 to 250 years

 

10 to 250 years

Plant and equipment

1 to 20 years

 

5 to 20 years

National collection – printed materials

50 years

 

50 years

The aggregate amount of depreciation allocated for each class of asset during the reporting period is disclosed in Note 4D.

1.14 Inventories

Inventories held for resale are valued at the lower of cost and net realisable value.

Inventories not held for resale are valued at cost, unless they are no longer required, in which case they are valued at net realisable value.

Costs incurred in bringing each item of inventory to its present location and condition are assigned as follows:

1.15 Intangibles

The carrying amount of each non-current intangible asset is reviewed to determine whether it is in excess of the asset’s recoverable amount.  If an excess exists at the reporting date, the asset is written down to its recoverable amount immediately.  In assessing recoverable amounts, the relevant cash flows, including the expected cash inflows from future appropriations by the Parliament, have been discounted to their present value.

No write-down to recoverable amount has been made in 2001-2002.

Intangible assets are amortised on a straight-line basis over their anticipated useful lives.  Useful lives are:

 

2002

 

2001

Computer software

2 to 10 years

 

2 to 10 years

1.16 Taxation

The Library is exempt from all forms of taxation except fringe benefits tax and the goods and service tax.

1.17 Capital Use Charge

A Capital Use Charge of 11% (2001: 12%) is imposed by the Commonwealth on the net assets of the Library.  The charge is adjusted to take account of asset gifts and revaluation increments during the financial year.

1.18 Foreign Currency

Transactions denominated in a foreign currency are converted at the rate of exchange at the date of the transaction.  Foreign currency receivables and payables are translated at exchange rates as at the balance date. Associated currency gains or losses are not material.

1.19 Insurance

The Library has insured for risks through the Government’s insurable risk managed fund, called `Comcover’.  Workers compensation is insured through Comcare Australia.

1.20 Comparative Figures

Comparative figures have been adjusted to conform to changes in presentation in these financial statements where required.

1.21 Rounding

Amounts are rounded to the nearest $1,000 except in relation to:


Note 2: Economic Dependency

The Library was established by section 5 of the National Library Australia Act 1960 and is controlled by the Commonwealth of Australia.

The Library is dependent on appropriations from the Parliament of the Commonwealth for its continued existence and ability to carry out its normal activities.


Note 3: Operating Revenues

Revenues from independent sources arise from both core and non-core activities of the Library.

 

2002

$’000

2001

$’000

Note 3A – Revenues from Government

Appropriations – operating expenses

47,720

 

38,397

Appropriations – Capital Use Charge

162,545

 

177,176

Resources received free of charge

48

 

-

 

210,313

 

215,573

Under the Commonwealth accrual accounting framework, agencies are funded for the Capital Use Charge.  This charge is levied on an agency’s net departmental assets (i.e. assets controlled by the entity).  It is designed to mirror the private sector concept of a return on investment.  Consequently, in 2001-2002 the Library received additional funding of $162,545,000 (2000-2001: $177,176,000) in order to fund the Capital Use Charge paid to the Commonwealth.

Note 3B - Sales of Goods and Services

Goods

1,533

 

857

Services

8,981

 

8,096

 

10,514

 

8,953

Goods and services were sold to:

Government

1,342

 

1,147

Non – Government

9,172

 

7,806

 

10,514

 

8,953

Costs of sales of goods

949

 

628

Note 3C - Interest

Deposits

352

 

5,987

Note 3D - Contributions

Resources received free of charge from sources other than government

3,320

 

3,494

Grants and other non-reciprocal payments by other entities

287

 

270

 

3,607

 

3,764



Note 4: Operating Expenses

Note 4A - Employee Expenses

 

2002

$’000

2001

$’000

Remuneration (for services provided)

28,751

 

26,508

Separation and redundancy

109

 

222

Total remuneration

28,860

 

26,730

Other employee expenses

320

 

355

 

29,180

 

27,085

The Library contributes to the Commonwealth Superannuation (CSS) and the Public Sector (PSS) Superannuation schemes, which provide retirement, death and disability benefits to employees.  Contributions to the schemes are at rates calculated to cover existing and emerging obligations.  Current contribution rates are 20.5% of salary (CSS) and 10.6% of salary (PSS).  An additional 3% is contributed for employer productivity benefits.

Note 4B - Suppliers Expenses

Supply of goods and services

20,657

 

20,461

Operating lease rentals

1,499

 

1,541

Total

22,156

 

22,002

Note 4C - Grant Expenses

The Library makes grants to support Australian community organisations to preserve significant documentary heritage collections.  The Harold White Fellowships are grants provided to established scholars and writers to work on materials held in the National Collection.

Non-profit institutions

150

 

120

Individuals - Harold White Fellowships

37

 

55

 

187

 

175

Note 4D - Depreciation and Amortisation

Depreciation of National Collection

4,993

 

1,698

Depreciation of property, plant and equipment

3,547

 

3,228

Amortisation of leasehold improvements

4

 

31

Amortisation of intangible assets

919

 

1,190

 

9,463

 

6,147

The aggregate amounts of depreciation or amortisation expensed during the reporting period, for each class of depreciable assets are as follows:

        Building

2,412

 

2,376

        Leasehold improvements

4

 

31

        National Collection

4,993

 

1,698

        Other infrastructure, plant and equipment

1,135

 

852

        Intangibles

919

 

1,190

 

9,463

 

6,147

 

2002

$’000

2001

$’000

Note 4E - Write-Down of Assets

Bad and doubtful debts expense

     

Receivables for goods and services

12

 

29

Inventories

42

 

152

Plant and Equipment – write-off on disposal

19

 

14

 

73

 

195

Note 4F – Net Loss from Sales of Assets

Infrastructure, plant and equipment:

     

Proceeds from sale

11

 

9

Net book value at sale

13

 

29

Net Loss

2

 

20

Add: plant and equipment written off on disposal (Note 4E)

19

 

14

Net loss on disposal of property, plant and equipment

21

 

34


Note 5: Financial assets

5A. - Cash

Cash at bank and on hand

2,557

 

7,008

Deposits at call

6,464

 

2,282

Term deposit

85

 

80

 

9,106

 

9,370

Balance of cash as at 30 June shown in the

     

Statement of Cash Flows

9,106

 

9,370

5B. - Receivables

Goods and services

2,266

 

1,990

Less: Provision for doubtful debts

(33)

 

(30)

 

2,233

 

1,960

Other debtors

6

 

9

GST Receivable

338

 

551

 

2,577

 

2,520

Receivables (gross) are aged as follows:

Not overdue

2,383

 

2,465

Overdue by

     

- less than 30 days

124

 

36

- 30 to 60 days

26

 

45

- 60 to 90 days

2

 

2

- more than 90 days

3

 

2

 

155

 

85

 

2,610

 

2,550


Note 6: Non financial assets

6A. - Land and Building

Land – at June 2000 valuation

6,500

 

6,500

 

6,500

 

6,500

 

2002

$’000

2001

$’000

Building - at June 2000 valuation

171,000

 

171,000

Accumulated depreciation

(48,724)

 

(46,362)

 

122,276

 

124,638

Building improvements - at cost

3,879

 

694

Accumulated depreciation

(64)

 

(15)

 

3,815

 

679

Building improvements – work in progress

614

 

1,386

Leasehold improvements - at cost

88

 

88

Accumulated amortisation

(73)

 

(68)

 

15

 

20

Total building

126,720

 

126,723

Total land and building

133,220

 

133,223

6B - Plant and Equipment

Plant and equipment - at June 1999 valuation

-

 

6,405

Plant and equipment - at June 2002 valuation

20,058

 

-

Accumulated depreciation

(9,157)

 

(1,379)

 

10,901

 

5,026

Plant and equipment - at cost

-

 

2,489

Accumulated depreciation

-

 

(210)

 

-

 

2,279

Total plant and equipment

10,901

 

7,305

The Library’s plant and equipment was valued as at 30 June 2002 in accordance with the policy stated at Note 1.  The Australian Valuation Office completed the valuation and the officer responsible for the valuation project was Mr T. Noble AAPI, Grad Cert P & E, BBus (prop).  The plant and equipment was valued at $10,901,000 and a revaluation increment of $2,092,000 was made to the asset revaluation reserve.

6C - National Collection

National Collection - at June 2001 valuation

1,519,671

 

1,519,672

Accumulated depreciation

(4,962)

 

-

 

1,514,709

 

1,519,672

National Collection - at cost

5,358

 

-

Accumulated depreciation

(31)

 

-

 

5,327

 

-

Total National Collection

1,520,036

 

1,519,672


Note 6D - Analysis of property, plant and equipment and intangibles

Table A - Movement summary 2001-02 for all assets irrespective of valuation basis

Item

Land

$’000

Buildings

$’000

Total land and buildings

$’000

National Collection

$’000

Infrastructure, plant and equipment

$’000

Computer Software – Total intangibles

$’000

TOTAL

$’000

Gross Value as at 1 July 2001

6,500

173,168

179,668

1,519,671

8,895

6,353

1,714,587

Additions – Purchase of Assets

2,413

2,413

5,358

2,704

638

11,113

Revaluations: write-ups/(write-downs)

-

-

-

8,528

-

8,528

Write-offs

-

-

-

(30)

(49)

(79)

Disposals

-

-

-

(38)

-

(38)

Gross value as at 30 June 2002

6,500

175,581

182,081

1,525,029

20,059

6,942

1,734,111

Accumulated depreciation / amortisation as at 1 July 2001

n/a

46,445

46,445

-

1,589

2,918

50,952

Disposals

n/a

-

-

(25)

-

(25)

Depreciation / amortisation charge for the year

n/a

2,416

2,416

4,993

1,169

919

9,497

Revaluations: (write-ups)/write-downs

n/a

-

-

6,436

-

6,436

Write-offs

n/a

-

-

(11)

(49)

(60)

Accumulated depreciation/ amortisation as at 30 June 2002

n/a

48,861

48,861

4,993

9,158

3,788

66,800

Net book value at 30 June 2002

6,500

126,720

133,220

1,520,036

10,901

3,154

1,667,311

Net book value at 1 July 2001

6,500

126,723

133,223

1,519,672

7,305

3,435

1,663,635

Net revaluation increments in the above table comprises:


Table B - Summary of balances of assets at valuation as at 30 June 2002

Item

Land

$’000

Buildings

$’000

Total land and buildings

$’000

National Collections

$’000

Infrastructure, plant and equipment

$’000

Computer Software – Total intangibles

$’000

Total

$’000

As at 30 June 2002

Gross Value

6,500

171,000

177,500

1,519,671

20,058

-

1,717,229

Accumulated depreciation/amortisation

n/a

(48,724)

(48,724)

(4,962)

(9,157)

-

(62,843)

Net book value

6,500

122,276

128,776

1,514,709

10,901

-

1,654,386

As at 30 June 2001

Gross Value

6,500

171,000

177,500

1,519,671

6,405

-

1,703,577

Accumulated depreciation/amortisation

n/a

(46,362)

(46,362)

-

(1,379)

-

(47,741)

Net book value

6,500

124,638

131,138

1,519,671

5,026

-

1,655,836

Table C - Summary of assets under construction as at 30 June 2002

Item

Land

$’000

Buildings

$’000

Total land and buildings

$’000

National Collections

$’000

Infrastructure, plant and equipment

$’000

Computer Software – Total intangibles

$’000

Total

$’000

As at 30 June 2002

Gross Value

-

614

614

-

-

-

614

Accumulated depreciation/amortisation

-

-

-

-

-

-

-

Net book value

-

614

614

-

-

-

614

As at 30 June 2001

Gross Value

-

1,386

1,386

-

-

-

1,386

Accumulated depreciation/amortisation

-

-

-

-

-

-

-

Net book value

-

1,386

1,386

-

-

-

1,386


 
2002
 
2001
 
$’000
$’000
Note 6E - Inventories      

Inventories held for sale (at cost)

390

 

437

Inventories held for sale (at realisable value)

160

 

182

Work in progress (at cost)

106

 

110

Inventories held for sale

656

 

729

       

Inventories not held for sale (at cost)

63

 

52

Total

719

 

781

Inventories are categorised as follows:

Current

406

 

449

Non-current

313

 

332

 

719

 

781

Note 6F - Intangibles

Computer software – internally developed

75

 

-

Computer software – internally developed – in progress

338

 

-

Computer software – purchased

6,529

 

6,353

Accumulated amortisation

(3,788)

 

(2,918)

Total

3,154

 

3,435

Note 6G - Other Non-Financial Assets

Prepayments

1,870

 

1,594

Note 6H - Special Categories of Assets

The National Library building and land are categorised as restricted assets in accordance with the Finance Minister’s Orders made under the Commonwealth Authorities and Companies Act 1997.  Restricted assets include those assets, which cannot be redeployed or disposed because of legal or government policy constraints. Specifically, the Library does not have the power to dispose of either the Library building or land upon which it stands.  The value of the building and land is fully disclosed in Note 6A.


Note 7: Provisions

Note 7A – Employee Provisions

 

2002

$’000

2001

$’000

Salaries and wages

844

 

692

Leave

8,899

 

8,076

Superannuation

98

 

99

Separation and redundancies

56

 

-

Aggregate employee entitlement liability

9,897

 

8,867

Employee provisions are categorised as follows:

Current

3,795

 

3,386

Non-current

6,102

 

5,481

 

9,897

 

8,867


Note 8: Payables

Note 8A – Suppliers Payables

Trade creditors

1,645

 

3,275

Operating lease rentals

54

 

142

 

1,699

 

3,417

All supplier payables are current.

Note 8B – Grant Payables

Individuals – Harold White Fellows

17

 

14

 

17

 

14

All grants payables are current.

Note 8C - Other

Non trade creditors

188

 

260

Prepaid income

37

 

15

 

225

 

275

All other payables are current.


Note 9: Equity

Item

Accumulated Results

$’000

Asset Revaluation Reserve

$’000

Contributed Equity

$’000

TOTAL EQUITY

$’000

 

2002

2001

2002

2001

2002

2002

2002

2001

 

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

Balance as at 1 July

1,412,032

1,365,015

251,209

108,219

2,060

1,030

1,665,301

1,474,264

Operating Result

163,867

224,343

-

-

-

-

163,867

224,343

Net revaluations

increases/(Decreases)

-

-

2,092

142,990

-

-

2,092

142,990

Transfers to/(from)

Reserves

-

-

-

-

-

-

-

-

Equity Appropriation Capital

-

-

-

-

1,030

1,030

1,030

1,030

Capital Use Charge (CUC)

(162,570)

(177,326)

-

-

-

-

(162,570)

(177,326)

Contribution of equity: appropriation

-

-

-

-

 

-

-

-

Balance as at 30 June

1,413,329

1,412,032

253,301

251,209

3,090

2,060

1,669,720

1,665,301

Less: outside equity interests

-

-

-

-

-

-

-

-

Total equity attributable to the Commonwealth

1,413,329

1,412,032

253,301

251,209

3,090

2,060

1,669,720

1,665,301


Note 10:  Non-Cash Financing and Investing Activities

 

2002

$’000

2001

$’000

     
National Collection material received free of charge
1,090
46,944

The variation between year for National Collection material received free of charge reflects the recognition of National Collection material not previously recognised ($45,533,000) in the 2000-01 financial year.


Note 11: Cash Flow Reconciliation

Reconciliation of operating surplus to net cash provided by operating activities:

Operating surplus before extraordinary items

163,867

 

224,343

Depreciation and amortisation

9,463

 

6,147

Loss/(Gain) on disposal of fixed assets

21

 

34

Resources received free of charge: non-government

(3,320)

 

(49,027)

Notional expenditure

2,272

 

2,085

(Increase) / decrease in receivables

(60)

 

(847)

Increase / (decrease) in provision for doubtful debts

3

 

3

(Increase) / decrease in other assets

(214)

 

(219)

Increase / (decrease) in grant liabilities

3

 

14

Increase / (decrease) in other liabilities

(50)

 

34

Increase / (decrease) in capital use charge

(1)

 

1

Increase / (decrease) in liability to suppliers

(1,718)

 

2,188

Increase / (decrease) in accrued salaries and wages

207

 

73

Increase / (decrease) in employee provisions

823

 

449

Net cash from / (used by) by operating activities

171,296

 

185,278


Note 12: Remuneration of Council members

The number of Council members whose total remuneration was within the following bands are as follows:

$0 - $9,999

1

 

8

$10,000 - $19,999

6

 

6

 

7

 

14

 

$

 

$

Total remuneration received or due and receivable by the Council members of the Library

86,089

 

84,635

The above disclosure excludes the Director-General, who is an executive member of the Council and whose remuneration is disclosed in Note 14.  These payments are determined by the Remuneration Tribunal and paid in accordance with Sections 13 and 17A of the National Library Act 1960.


Note 13: Related Party Disclosures

National Library Council

Members of the Council during the year were:

J. Gobbo (Chairman)

A. D. Robson (Deputy Chair)

S. Bambrick

D. Bourke

M. Ferguson

N. McCann to 26 March 2002

W. Pelz

C. Rubenstein

J. Tierney

I. Watt to January 2002

H Williams from 27 March 2002

J. Fullerton (Director-General and Executive member of Council)

The aggregate remuneration of Council members is disclosed in Note 12.

Transactions with Council members or Council member related entities

No members of the Council have, since the end of the previous financial year received or become entitled to receive a benefit (other than a benefit included in the aggregate amount of remuneration received or due and receivable by Council members shown in the financial statements) by reason of a contract made by the National Library with the Council member or an entity in which she/he has a substantial financial interest.


Note 14: Remuneration of Officers

The number of officers included in these figures are shown below in the relevant income bands

 
2002
 
2001

$100,000 - $110,000

-

 

-

$110,001 - $120,000

-

 

1

$120,001 - $130,000

2

 

1

$130,001 - $140,000

1

 

2

$140,001 - $150,000

3

 

1

$150,001 - $160,000

1

 

2

$180,001 - $190,000

1

 

-

$190,001 - $200,000

-

 

1

$210,001 - $220,000

1

 

1

 

9

 

9

 

$

$

The aggregate amount of total remuneration of officers shown above.

1,508,133

 

1,372,427

The aggregate amount of separation and redundancy payments during the year to officers shown above.

-

 

-

The officer remuneration includes all officers concerned with or taking part in the management of the Library during 2001-02 provided that their remuneration equals to or exceeds $100,000 and includes the Director-General.


Note 15: Remuneration of Auditors

 

2002

$

2001

$

Remuneration to the Auditor-General for auditing the financial statements for the reporting period.
43,000
43,000

No other services were provided by the Auditor-General during the reporting period.


Note 16: Average Staffing Levels

The average staffing levels for the Library during the year were:

501

 

496


Note 17: Trust money

The Library operates a number of trust funds to account for donations and income from the application of donated funds.  These funds operate under formal trust arrangements and funds are only expended in accordance with the terms of trusts, accordingly these moneys are not recognised in the financial statements.  The following is a brief comment on each fund currently in operation:

 

$’000

$’000

(a)      The Morris West Trust Fund was funded by the author Morris West. The fund is used for the publication of material owned by the Library.

Balance 1 July

469

 

530

Deposits during the year

38

 

35

 

507

 

565

Interest received

29

 

27

 

536

 

592

Expenditure during the year

(74)

 

(123)

Balance at 30 June

462

 

469

(b)       The General Trust Fund comprises donations received for general purposes or where no purpose is specified by the donor.

Balance 1 July

476

 

453

Deposits during the year

232

 

108

 

708

 

561

Interest received

30

 

25

 

738

 

586

Expenditure during the year

(117)

 

(110)

Balance at 30 June

621

 

476

 

2002

$’000

 

2001

$’000

(c)     The Kenneth Baillieu Myer Trust is a bequest from the late Kenneth Baillieu Myer for the purposes of the Kenneth Myer Annual Oration as held by the Library and for such other purpose as may be considered appropriate by the Director-General.

Balance 1 July

91

 

97

Deposits during the year

1

 

1

 

92

 

98

Interest received

4

 

4

 

96

 

102

Expenditure during the year

(13)

 

(11)

Balance at 30 June

83

 

91

(d)   The E.A. & V.I Crome Trust is a bequest by the late E.A Crome for the maintenance of and addition to the E.A. & V.I Crome collection.

Balance 1 July

172

 

164

Deposits during the year

-

 

-

 

172

 

164

Interest received

10

 

8

 

182

 

172

Expenditure during the year

-

 

-

Balance at 30 June

182

 

172

(e)   The Acquisition Trust Fund comprises donations received specifically for the acquisition of library material.

Balance 1 July

46

 

53

Deposits during the year

1

 

-

 

47

 

53

Interest received

3

 

2

 

50

 

55

Expenditure during the year

(9)

 

(9)

Balance at 30 June

41

 

46

(f)        The H.S. Williams Trust is a bequest from the late Harold S. Williams for the maintenance of and addition to the H.S. Williams collection.

Balance 1 July

24

 

23

Deposits during the year

-

 

-

 

24

 

23

Interest received

1

 

1

 

25

 

24

Expenditure during the year

-

 

-

Balance at 30 June

25

 

24

(g)      The Dame Mary Gilmore Trust Account is a specific bequest from the late Dame Mary Gilmore.

Balance 1 July

9

 

9

Deposits during the year

-

 

-

 

9

 

9

Interest received

1

 

-

 

10

 

9

Expenditure during the year

-

 

-

Balance at 30 June

10

 

9

 


Note 18: Financial Instruments

Note 18A. - Terms, Conditions and Accounting Policies

Financial Instrument

Notes

Accounting Policies and Methods

(including recognition criteria and measurement basis)

Nature of underlying instrument

(including significant terms and conditions affecting the amount, timing and certainty of cash flows)

Financial assets

Financial assets are recognised when control over future economic benefits are established and the amount of the benefit can be reliably measured.

Deposits at call

5A

Deposits are recognised at their nominal amounts.  Interest is credited to revenue as it accrues.

Temporary surplus funds, mainly from revenue and monthly drawdowns of appropriations, are placed on deposit at call with the Library’s bankers.  Interest is earned on the daily balance at the prevailing daily rate for money on call and is paid at month end.

Receivables for goods and services

5B

These receivables are recognised at the nominal amounts due less any provision for bad and doubtful debts.  Provisions are made when collection of debt is judged to be less rather than more likely.

Credit terms are net 30 days (2001: 30 days).

Other debtors

5B

As for receivables for goods and services.

As for receivables for goods and services.

Term Deposit

5A

Term deposits are recognised at cost.  Interest is credited as it accrues.

Term deposits are with the Library’s bank and interest in paid annually. The effective rate of interest is 4.15%.

Financial Liabilities

Financial liabilities are recognised when a present obligation to another party is entered into and the amount of the liability can be reliably measured.

Trade creditors

8A

Creditors and accruals are recognised at their nominal amounts, being the amounts at which liabilities will be settled.  Liabilities are recognised to the extent that the goods or services have been received (and irrespective of having been invoiced).

Settlement is usually made net of 30 days.

Grant Liabilities

8C

Grant liabilities are recognised at their nominal amounts, being the amounts at which the liabilities will be settled.  Most grant agreements require the grantee to undertake specific tasks or utilise the funding in a specific way.  In these cases, liabilities are recognised only to the extent that the grantee has complied with the grant agreement, and where grant moneys are paid in advance, a prepayment is recognised.  In cases where grant agreements are made without conditions to be monitored, liabilities are recognised on signing of the agreement.

Settlement is made in accordance with the grant agreement.


Note 18B - Interest Rate Risk

Financial

Instrument

Notes

Floating Interest Rate

Fixed Interest Rate

Non-

Interest Bearing

Total

Weighted

Average

1 year or less

1 to 2 years

2 to 5 years

>  5 years

Effective Interest Rate

01-02

00-01

01-02

00-01

01-02

00-01

01-02

00-01

01-02

00-01

01-02

00-01

01-02

00-01

01-02

00-01

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

%

%

Financial Assets (Recognised)

Cash at Bank

5A

2,554

6,394

-

-

-

-

-

-

-

-

-

-

2,554

6,394

3.61

4.88

Cash on Hand

5A

-

-

-

-

-

-

-

-

-

-

3

6

3

6

n/a

Deposits at call

5A

6,464

2,282

-

-

-

-

-

-

-

-

-

-

6,464

2,282

4.28

5.63

Receivables for Goods and Services

5B

-

-

-

-

-

-

-

-

-

-

2,233

1,960

2,233

1,960

n/a

n/a

Other debtors

5B

-

-

-

-

-

-

-

-

-

-

6

9

6

9

n/a

n/a

Term Deposit

5A

-

-

85

-

-

80

-

-

-

-

-

-

85

80

4.15

6.40

Total Financial Assets

(Recognised)

9,018

8,676

85

-

-

80

-

-

-

-

2,242

1,966

11,345

10,731

n/a

n/a

Total assets

1,681,583

1,677,900

Financial Liabilities (Recognised)

Trade creditors

8A

-

-

-

-

-

-

-

-

-

-

1,645

3,275

1,645

3,275

n/a

n/a

Grants Payable

8C

17

14

17

14

Total Financial Liabilities (Recognised)

-

-

-

-

-

-

-

-

-

-

1,662

3,289

1,662

3,289

n/a

n/a

Total Liabilities

11,863

12,599

Note 18C - Net Fair Value of Financial Assets and Liabilities

2001-02

2000-01

Total

carrying amount

Aggregate net fair value

Total

carrying amount

Aggregate net fair value

Note

$’000

$’000

$’000

$’000

Financial Assets

Cash at Bank

5A

2,555

2,555

6,394

6,394

Cash on Hand

5A

3

3

6

6

Deposits at call

5A

6,463

6,463

2,282

2,282

Receivables for Goods and Services

5B

2,233

2,233

1,960

1,960

Other debtors

5B

6

6

9

9

Term deposit

5A

85

85

80

80

Total Financial Assets

11,345

11,345

10,731

10,731

Financial Liabilities (Recognised)

Trade creditors

8A

1,645

1,645

3,275

3,275

Grants Payable

8C

17

17

14

14

Total Financial Liabilities (Recognised)

1,662

1,662

3,289

3,289

Financial assets

The net fair values of cash, deposits on call and non-interest-bearing monetary financial assets approximate their carrying amounts.  None of the classes of financial assets are readily traded on organised markets in standardised form.

Financial liabilities

The net fair values for trade creditors and grant liabilities, which are short term in nature, are approximated by their carrying amounts.  None of the classes of financial liabilities are readily traded on organised markets in standardised form.

Note 18D - Credit Risk Exposures

The Library’s maximum exposures to credit risk at reporting date in relation to each class of recognised financial assets is the carrying amount of those assets as indicated in the Statements of Assets and Liabilities.  The Library has no significant exposures to any concentrations of credit risk.  The Library does not hold collateral or other security and therefore the figures for credit risk represent the maximum credit risk exposure.


Note 19: Appropriations

The Library received the following appropriations during the year out of the Consolidated Revenue Funds

Annual Appropriation Act No 1, 3 – basic appropriations

210,265

215,573

Annual Appropriation Acts No. 2 – equity injection

1,030

1,030

Total

211,295

216,603


Note 20.  Reporting of Outcomes

Note 20A – Outcomes of the Library

The Library is structured to meet one outcome:

Outcome 1: Australians have access, through the National Library of Australia, to a comprehensive collection of Australian library material and to international documentary resources.

The Library’s outputs reflect the functions of the Library as defined in the National Library Act 1960 including the maintenance and development of the national collection (Output 1); the provision of information services (Output 2); public program activities, such as exhibitions (Output 3); and, the provision of the Kinetica system and other services to support and facilitate resource sharing within the Library (Output 4).

Note 20B – Total Cost/Contributions of Outcomes

Outcome 1

Actual

Budget

$000

$000

Net taxation, fees and fines revenues

-

-

Other administered revenues

-

-

Net subsidies, benefits and grant expenses

-

-

Other administered expenses

-

-

Net cost of departmental outputs

46,446

47,361

Cost of outcome before extraordinary items

46,446

47,361

Extraordinary items

-

-

Net cost to budget outcome

46,446

47,361


Note 20C – Major Departmental Revenues and Expenses by Output

Output 1

Output 2

Output 3

Output 4

Total

2002

2001

2002

2001

2002

2001

2002

2001

2002

2001

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

Operating revenues

Revenues from Government

18,225

18,741

179,635

188,074

7,586

5,783

4,867

2,975

210,313

215,573

Sale of goods and services

667

551

1,760

1,038

1,532

938

6,555

6,426

10,514

8,953

Interest

132

2,373

123

1,772

37

684

60

1,158

352

5,987

Contributions

3,284

3,544

79

29

235

172

9

19

3,607

3,764

Other

65

44

38

45,550

19

85

20

11

142

45,690

Total operating revenues

22,373

25,253

181,635

236,463

9,409

7,662

11,511

10,589

224,928

279,967

Operating expenses

Employees

12,059

11,622

10,438

9,452

3,679

3,094

3,004

2,917

29,180

27,085

Suppliers

7,709

8,212

4,968

5,235

3,603

2,274

5,876

6,281

22,156

22,002

Grants

-

-

37

55

150

120

187

175

Depreciation and amortisation

937

981

6,923

3,488

380

342

1,223

1,336

9,463

6,147

Write-down of assets

-

10

17

22

42

157

14

6

73

195

Loss on disposal of assets

(3)

-

5

18

-

2

-

-

2

20

Total operating expenses

20,702

20,825

22,388

18,270

7,854

5,989

10,117

10,540

61,061

55,624


Note 20D – Major Classes of Assets and Liabilities by Output

Output 1

Output 2

Output 3

Output 4

Non-Specific

Total

2002

2001

2002

2001

2002

2001

2002

2001

2002

2001

2002

2001

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

Output specific Library assets

Receivables

180

98

27

34

-

1

1,410

1,219

-

-

1,617

1,352

National Collections

-

-

1,520,036

1,519,672

1,520,036

1,519,672

Infrastructure, plant and equipment

915

514

5,876

4,450

500

195

23

26

-

-

7,314

5,175

Inventories

-

-

42

41

575

645

-

-

-

-

617

686

Intangible

1

2

4

6

-

-

2,148

2,912

-

-

2,153

2,920

Other

1,497

1,327

-

-

-

-

-

-

-

-

1,497

1,327

Total specific Library assets

2,593

1,941

1,525,985

1,524,203

1,075

841

3,581

4,157

-

-

1,533,234

1,531,142

Other Library assets

Cash

-

-

-

-

-

-

-

-

9,106

9,370

9,106

9,370

Receivables

-

-

-

-

-

-

-

-

960

1,168

960

1,168

Land and Buildings

-

-

-

-

-

-

-

-

133,220

133,223

133,220

133,223

Infrastructure, plant and equipment

-

-

-

-

-

-

-

-

3,587

2,120

3,587

2,120

Inventories

-

-

-

-

-

-

-

-

102

95

102

95

Intangibles

-

-

-

-

-

-

-

-

1,001

515

1,001

515

Other

-

-

-

-

-

-

-

-

373

267

373

267

Total specific Library assets

-

-

-

-

-

-

-

-

148,349

146,758

148,349

146,758


Note 20D – Major Classes of Assets and Liabilities by Output

Output 1

Output 2

Output 3

Output 4

Non-Specific

Total

2002

2001

2002

2001

2002

2001

2002

2001

2002

2001

2002

2001

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

$’000

Output specific Library liabilities

Capital Use

-

-

25

26

-

-

-

-

-

-

25

26

Employees

231

240

198

192

87

71

108

42

-

-

624

545

Suppliers

211

156

36

369

23

64

433

198

-

-

703

787

Grants

-

-

17

14

-

-

-

-

-

-

17

14

Other

-

-

21

25

21

-

16

15

-

-

58

40

Total specific Library liabilities

442

396

297

626

131

135

557

255

-

-

1,427

1,412

Other Library liabilities

Employees

-

-

-

-

-

-

-

-

9,273

8,322

9,273

8,322

Suppliers

-

-

-

-

-

-

-

-

996

2,630

996

2,630

Other

-

-

-

-

-

-

-

-

167

235

167

235

Total other Library liabilities

-

-

-

-

-

-

-

-

10,436

11,187

10,436

11,187