4     2019-20 Budget and Forward Estimates

Key Issues

·       The Net Operating Balance is in surplus over the 2019-20 Budget and Forward Estimates period, with an estimated surplus of $57.4 million in 2019‑20.

·       The Fiscal Balance is estimated to be a deficit of $248.4 million for 2019‑20, with a projected improvement over the Forward Estimates period to achieve a small surplus of $3 million in 2022‑23.

·       Net Debt (including the impact of Leases under AASB 16) is estimated to be $284.5 million as at 30 June 2020 and $1 114.1 million as at 30 June 2023. 

·       This chapter includes the Policy and Parameter Statement which provides a reconciliation of the major movements in the Net Operating Balance and the Fiscal Balance between the Budget and Forward Estimates presented in the 2018‑19 Budget Papers and those presented in these Budget Papers. Detailed information on 2019‑20 Budget initiatives, including the continued implementation of the Government’s 2018 election commitments can be found in Government Services Budget Paper No 2.

 


 

Overview

This chapter includes the General Government Sector Financial Statements for the 2019‑20 Budget and Forward Estimates period and an Estimated Outcome for 2018‑19. It also incorporates the Policy and Parameter Statement which reflects changes between the Budget and Forward Estimates reported in the 2018‑19 Budget Papers and the 2019‑20 Budget Papers. Further information on the Estimated Outcome is included in appendix 2, of this Budget Paper.

In addition, this chapter includes the Public Account Budget and Forward Estimates together with Specific Purpose Account Estimated Receipts and Expenditure for 2019‑20. These Reports are prepared to meet the new requirements under the Financial Management Act 2016.

The financial statements in this chapter have been prepared in accordance with the Uniform Presentation Framework. The statements present information for the 2018‑19 Budget and for the 2019‑20 Budget and Forward Estimates. Taxation information, required under the UPF, is provided in chapter 5 of this Budget Paper.

In accordance with the UPF, the final end of year results for the General Government Sector will be available in the Treasurer’s Annual Financial Report 2018‑19, which will be publicly released by no later than 31 October 2019.


 

Government Financial Estimates

Tables 4.1 to 4.3 detail the Income Statement, Balance Sheet and Cash Flow Statement for the General Government Sector.

Table 4.1:         General Government Income Statement

 

2018-19 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Budget 

Outcome 

Budget 

Estimate 

Estimate 

Estimate 

 

$m 

$m 

$m 

$m 

$m 

$m 

 

 

 

 

 

 

 

Revenue from transactions1

 

 

 

 

 

 

Grants

3 893.9 

4 018.9 

3 973.3 

4 075.4 

4 220.2 

4 435.5 

Taxation

1 215.2 

1 195.2 

1 215.5 

1 251.6 

1 283.7 

1 315.6 

Sales of goods and services

417.6 

424.6 

416.0 

421.3 

427.4 

428.9 

Fines and regulatory fees

98.6 

98.6 

103.1 

104.3 

105.1 

106.2 

Interest income

17.8 

24.7 

16.8 

16.6 

18.0 

23.1 

Dividend, tax and rate equivalent income

409.7 

451.1 

524.1 

375.4 

365.8 

337.1 

Other revenue

164.6 

167.9 

157.9 

153.0 

149.8 

153.3 

 

6 217.3 

6 381.0 

6 406.7 

6 397.6 

6 570.0 

6 799.7 

 

 

 

 

 

 

 

Less Expenses from transactions

 

 

 

 

 

 

Employee expenses2

2 531.5 

2 665.8 

2 675.1 

2 712.9 

2 762.6 

2 845.5 

Superannuation3

294.1 

328.7 

305.1 

303.3 

302.2 

302.1 

Depreciation

264.1 

273.0 

329.4 

352.0 

384.2 

394.1 

Supplies and consumables4

1 232.7 

1 269.4 

1 293.8 

1 277.4 

1 359.2 

1 393.0 

Nominal superannuation interest expense

270.9 

243.3 

271.3 

274.4 

277.0 

279.6 

Borrowing costs

9.5 

9.4 

14.1 

23.7 

29.7 

35.4 

Grant and subsidy expenses5

1 393.1 

1 511.9 

1 461.2 

1 424.6 

1 387.0 

1 405.8 

Other expenses6

59.5 

38.2 

(0.7)

(55.8)

(106.2)

(106.3)

 

6 055.4 

6 339.7 

6 349.3 

6 312.5 

6 395.5 

6 549.2 

 

 

 

 

 

 

 

Equals NET OPERATING BALANCE

161.9 

41.3 

57.4 

85.1 

174.5 

250.6 

 

 

 

 

 

 

 

Plus Other economic flows - included in Operating Result

 

 

 

 

 

 

Gain/(loss) on sale of non-financial assets

12.2 

18.1 

16.7 

16.7 

17.3 

17.2 

Revaluation of equity investment in PNFC and PFC sectors7

(93.7)

121.9 

(227.6)

(38.2)

(75.2)

(40.7)

Movements in superannuation liability3

.... 

1 415.6 

.... 

.... 

.... 

.... 

Other gains/(losses)

(4.2)

42.8 

(2.0)

(7.7)

(9.5)

(6.2)

 

(85.7)

1 598.4 

(212.9)

(29.1)

(67.3)

(29.7)

 

 

 

 

 

 

 

Equals Operating Result

76.2 

1 639.7 

(155.6)

56.0 

107.2 

220.9 

 

Table 4.1:          General Government Income Statement (continued)

 

2018-19 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Budget 

Outcome 

Budget 

Estimate 

Estimate 

Estimate 

 

$m 

$m 

$m 

$m 

$m 

$m 

 

 

 

 

 

 

 

Plus Other economic flows - other movements in Equity

 

 

 

 

 

 

Revaluations of non-financial assets

268.4 

274.3 

282.7 

300.9 

302.8 

304.7 

Other non-owner movements in Equity8

3.8 

.... 

(210.8)

.... 

.... 

.... 

 

272.2 

274.3 

71.9 

300.9 

302.8 

304.7 

 

 

 

 

 

 

 

Equals Comprehensive Result

348.4 

1 914.0 

(83.6)

356.8 

410.0 

525.6 

 

 

 

 

 

 

 

KEY FISCAL AGGREGATES

 

 

 

 

 

 

 

 

 

 

 

 

 

NET OPERATING BALANCE

161.9 

41.3 

57.4 

85.1 

174.5 

250.6 

 

 

 

 

 

 

 

Less Net acquisition of non-financial assets

 

 

 

 

 

 

Purchases of non-financial assets9

741.0 

707.5 

700.1 

718.6 

613.9 

677.0 

Less Sales of non-financial assets

30.4 

36.3 

65.0 

55.9 

35.5 

35.4 

Less Depreciation

264.1 

273.0 

329.4 

352.0 

384.2 

394.1 

 

446.5 

398.2 

305.7 

310.8 

194.2 

247.6 

 

 

 

 

 

 

 

Equals FISCAL BALANCE

(284.6)

(356.9)

(248.4)

(225.7)

(19.8)

3.0 

 

 

 

 

 

 

 

Notes:

1.    Detailed information on revenue estimates is provided in chapter 5 of this Budget Paper. As a result of the new Australian Accounting Standard AASB 15 Revenue from Contracts with Customers, from 2019‑20, National Partnership Payments revenue will be recognised over time as performance obligations are met, rather than on a cash basis. Refer to appendix 1.2 of chapter 1 of this Budget Paper for more detail on the impact of AASB 15.

2.    The increase in Employee expenses primarily reflects the delivery of the Government’s 2019 Budget initiatives together with the continuation of 2018 election commitments. Further information in relation to agency initiatives is contained in agency chapters in Government Services Budget Paper No 2.

3.    The change in Superannuation reflects an actuarial assessment of the defined benefit schemes and agency expenditure estimates for accumulation scheme members. Further information on the Superannuation liability is provided in chapter 7 of this Budget Paper.

4.    The change in Supplies and consumables from 2019‑20 onwards includes an increase in State funding for government schools under the National School Reform Agreement, Government initiatives from the 2018 election and revised estimates of National Health Reform Agreement funding arising from projected activity to be delivered by the THS when the current NHRA expires.

5.    The decrease in Grant and subsidy expenses in 2019‑20 primarily reflects the inclusion of significant additional costs in 2018-19 associated with bushfires. The decrease in 2020-21 and 2021-22 primarily reflects the profile of expenditure for the Northern Cities Major Development Initiative and the revised timing of financial assistance grants to local government councils. The increase in 2022-23 primarily relates to increased funding for NDIS and Disability Services.

6.    The decrease in Other expenses from 2019‑20 onwards reflects the implementation of Budget savings measures. Additional information on Budget savings measures is provided in chapter 1 of this Budget Paper.

7.    Revaluation of equity investment in PNFC and PFC sectors reflects changes in the net assets of the Public Non‑Financial Corporations and Public Financial Corporation sectors. Refer to appendix 1 of this Budget Paper for more information on the PNFC and PFC sectors.

8.    The variation in Other non-owner movements in equity for 2019-20 reflects the implementation of AASB 15 Revenue from contracts with customers.

9.    Additional information on agency 2019-20 Budget Infrastructure Investment is provided in chapter 6 of this Budget Paper.

Table 4.2:          General Government Balance Sheet as at 30 June

 

2019 

2019 

2020 

2021 

2022 

2023 

 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Budget 

Outcome 

Budget 

Estimate 

Estimate 

Estimate 

 

$m 

$m 

$m 

$m 

$m 

$m 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

Financial assets

 

 

 

 

 

 

Cash and deposits1

938.7 

1 098.5 

926.6 

894.7 

910.8 

922.6 

Investments2

139.8 

107.9 

158.8 

191.7 

206.1 

51.4 

Equity investments in PNFC and PFC sectors3

5 398.3 

5 587.7 

5 451.5 

5 503.1 

5 602.8 

5 850.7 

Other equity investments

47.9 

46.0 

71.5 

127.0 

182.5 

248.0 

Receivables

316.9 

310.0 

307.8 

303.8 

298.4 

294.3 

Other financial assets

802.9 

804.3 

822.9 

843.5 

851.7 

861.8 

 

7 644.5 

7 954.4 

7 739.1 

7 863.8 

8 052.4 

8 228.7 

 

 

 

 

 

 

 

Non-financial assets

 

 

 

 

 

 

Land and buildings4

6 635.1 

6 672.4 

6 953.3 

7 195.7 

7 398.3 

7 518.0 

Infrastructure5

5 259.9 

5 783.8 

6 115.9 

6 494.8 

6 820.3 

7 283.1 

Plant and equipment

255.9 

259.2 

270.9 

291.8 

295.2 

298.9 

Heritage and cultural assets

486.0 

474.3 

486.5 

498.7 

511.1 

523.4 

Investment property

4.0 

3.9 

4.1 

4.4 

4.7 

5.1 

Intangibles

54.5 

52.9 

51.4 

48.9 

44.3 

40.5 

Assets held for sale

9.4 

11.3 

6.6 

5.6 

5.6 

5.6 

Lease - right-of-use assets6

.... 

.... 

333.4 

321.6 

301.5 

279.4 

Other non-financial assets

43.6 

41.3 

41.6 

38.0 

37.8 

37.5 

 

12 748.4 

13 299.1 

14 263.7 

14 899.6 

15 418.8 

15 991.4 

 

 

 

 

 

 

 

Total Assets

20 392.9 

21 253.6 

22 002.7 

22 763.4 

23 471.3 

24 220.1 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

Borrowings7

748.9 

671.2 

1 035.0 

1 407.4 

1 637.2 

1 813.7 

Lease liabilities6

.... 

.... 

334.9 

322.1 

299.8 

274.3 

Superannuation8

6 868.1 

6 939.1 

7 007.8 

7 071.7 

7 121.9 

7 160.6 

Employee entitlements

648.3 

683.8 

665.2 

679.4 

697.5 

719.8 

Payables

135.8 

162.0 

164.7 

166.9 

168.5 

170.3 

Other liabilities9

398.4 

383.1 

464.4 

428.3 

448.7 

458.2 

Total Liabilities

8 799.6 

8 839.2 

9 671.9 

10 075.8 

10 373.7 

10 597.0 

 

 

 

 

 

 

 

Net Assets

11 593.3 

12 414.4 

12 330.8 

12 687.6 

13 097.6 

13 623.1 


 

Table 4.2:          General Government Balance Sheet as at 30 June (continued)

 

2019 

2019 

2020 

2021 

2022 

2023 

 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Budget 

Outcome 

Budget 

Estimate 

Estimate 

Estimate 

 

$m 

$m 

$m 

$m 

$m 

$m 

 

 

 

 

 

 

 

Equity

 

 

 

 

 

 

Accumulated funds

6 098.7 

6 197.0 

5 830.6 

5 886.6 

5 993.7 

6 214.6 

Asset revaluation reserve

5 494.6 

6 217.5 

6 500.2 

6 801.0 

7 103.9 

7 408.5 

Total Equity

11 593.3 

12 414.4 

12 330.8 

12 687.6 

13 097.6 

13 623.1 

 

 

 

 

 

 

 

KEY FISCAL AGGREGATES

 

 

 

 

 

 

 

 

 

 

 

 

 

NET WORTH10

11 593.3 

12 414.4 

12 330.8 

12 687.6 

13 097.6 

13 623.1 

 

 

 

 

 

 

 

NET FINANCIAL WORTH11

(1 155.1)

(884.7)

(1 932.9)

(2 212.0)

(2 321.3)

(2 368.2)

 

 

 

 

 

 

 

NET FINANCIAL LIABILITIES12

6 553.4 

6 472.5 

7 384.4 

7 715.0 

7 924.0 

8 218.9 

 

 

 

 

 

 

 

NET DEBT13

(329.6)

(535.2)

284.5 

643.1 

820.0 

1 114.1 

 

 

 

 

 

 

 

GFS NET DEBT14

(329.6)

(535.2)

(50.4)

321.0 

520.2 

839.8 

 

 

 

 

 

 

 

Notes:

1.    The decrease in Cash and deposits in 2020 primarily reflects the timing of cash flows for programs funded by the Australian Government.

2.    The increase in Investments primarily reflects the current estimate of loan advances provided by the Department of State Growth, together with funds invested with the Tasmanian Public Finance Corporation for the TT‑Line Vessel Replacement Fund.

3.    The Government’s equity investment is estimated to be $5 451.5 million as at 30 June 2020, an increase of $53.2 million from the 2018-19 Budget estimate of $5 398.3 million as at 30 June 2019. This primarily reflects an increase in the net assets of the PNFC Sector of $217.9 million. This increase is primarily the result of an increase in net assets held by electricity entities of $100.7 million and resource management entities (which includes Sustainable Timber Tasmania and Tasmanian Irrigation Pty Ltd) of $68.8 million. The increase is partly offset by a decrease in net assets of the PFC Sector of $164.8 million. This decrease is primarily due to the Mersey Community Hospital Dividend of $83.7 million and special dividends of $89.5 million to be paid by the PFC Sector in 2019-20.

4.    The increase in Land and buildings reflects the implementation of the Government’s significant infrastructure investment program including increased capital funding for the Royal Hobart Hospital Stage 2 Redevelopment.

5.    The increase in Infrastructure reflects the implementation of the Government’s infrastructure program. Further information on agency 2019-20 Budget Infrastructure Investment is provided in chapter 6 of this Budget Paper.

6.    As a result of the new Australian Accounting Standard AASB 16 Leases, all leases are recognised on the Balance Sheet as a liability and right-of-use asset. Refer to appendix 1.2 of chapter 1 of this Budget Paper for more detail on the impact of AASB 16.

7.    Borrowings of $1 035 million as at 30 June 2020 includes an estimated end of year borrowing of $834.9 million to be undertaken on 30 June 2020. The end of year borrowing has no impact on the Government’s Net Debt as the same amount will be borrowed and invested on 30 June 2020 with the Tasmanian Public Finance Corporation, grossing‑up the amount of cash held and borrowings.

8.    Increase in Superannuation as at 30 June 2020 reflects the latest actuarial assessment of the liability related to the defined benefit schemes. Further information on the Superannuation liability is provided in chapter 7 of this Budget Paper.

9.    As a result of the new Australian Accounting Standard AASB 15 Revenue from Contracts with Customers, from 2019‑20, Other liabilities includes the recognition of a Revenue in advance liability which represents the total contract revenue remaining for NPPs over the life of the relevant agreements. Refer to appendix 1.2 of chapter 1 of this Budget Paper for more detail on AASB 15.

10.  Net Worth represents Total Assets less Total Liabilities.

11.  Net Financial Worth represents Financial assets less Total Liabilities.


 

12.  Net Financial Liabilities represents Total Liabilities less Financial assets, excluding Equity investment in PNFC and PFC sectors.

13.  Net Debt represents Borrowings plus Lease liabilities, less the sum of Cash and deposits and Investments. This measure incorporates the impact of recognising Lease liabilities on the Balance Sheet as a result of the changes under AASB 16 which is effective from 2019-20.

14.  GFS Net Debt represents Borrowings less the sum of Cash and deposits and Investments. This is equivalent to Net Debt based on the Australian Bureau of Statistics Government Finance Statistics reporting framework, and excludes the impact of Lease liabilities (this reflects how Net Debt has been calculated prior to the introduction of AASB 16 in 2019‑20).

Table 4.3:          General Government Cash Flow Statement

 

2018-19 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Budget 

Outcome 

Budget 

Estimate 

Estimate 

Estimate 

 

$m 

$m 

$m 

$m 

$m 

$m 

 

 

 

 

 

 

 

Cash flows from operating activities

 

 

 

 

 

 

Cash received from operating

activities

 

 

 

 

 

 

Grants received

3 893.9 

4 019.0 

3 838.7 

4 036.1 

4 219.6 

4 423.7 

Taxation

1 213.6 

1 192.6 

1 213.1 

1 249.7 

1 281.2 

1 313.1 

Sales of goods and services

417.0 

424.1 

414.7 

420.9 

425.3 

426.8 

Fines and regulatory fees

98.6 

98.7 

103.0 

104.3 

105.1 

106.2 

Interest received

17.8 

23.6 

17.2 

15.7 

18.4 

22.4 

Dividend, tax and rate equivalents

412.0 

495.5 

511.5 

356.5 

357.1 

329.7 

Other receipts

355.2 

358.5 

331.5 

321.8 

319.1 

322.8 

 

6 407.9 

6 611.9 

6 429.8 

6 505.0 

6 725.8 

6 944.7 

 

 

 

 

 

 

 

Cash payments for operating activities

 

 

 

 

 

 

Employee entitlements

(2 521.3)

(2 655.5)

(2 688.5)

(2 696.6)

(2 741.1)

(2 819.9)

Superannuation

(481.8)

(492.7)

(509.7)

(513.0)

(527.5)

(541.7)

Supplies and consumables

(1 244.5)

(1 279.3)

(1 296.8)

(1 276.3)

(1 343.8)

(1 376.8)

Borrowing costs

(9.5)

(9.5)

(14.3)

(23.9)

(30.0)

(35.4)

Grants and subsidies paid

(1 393.1)

(1 511.9)

(1 461.2)

(1 424.5)

(1 386.9)

(1 405.7)

Other payments

(252.1)

(230.7)

(172.7)

(114.4)

(64.4)

(64.5)

 

(5 902.3)

(6 179.7)

(6 143.2)

(6 048.8)

(6 093.6)

(6 244.0)

 

 

 

 

 

 

 

Net cash flows from operating activities

505.6 

432.2 

286.7 

456.2 

632.1 

700.7 

 

 

 

 

 

 

 

Cash flows from investing activities

 

 

 

 

 

 

Net cash flows from non-financial

assets

 

 

 

 

 

 

Purchases of non-financial assets

(731.8)

(699.1)

(688.4)

(706.5)

(601.9)

(665.0)

Sales of non-financial assets

30.4 

32.4 

61.2 

52.7 

31.7 

31.6 

 

(701.4)

(666.6)

(627.3)

(653.8)

(570.2)

(633.4)

 

 

 

 

 

 

 

Net cash flows from financial assets

(policy purposes)

 

 

 

 

 

 

Equity injections

(98.7)

(97.9)

(116.9)

(145.2)

(230.3)

(354.2)

Net advances paid

(27.6)

(3.0)

4.1 

6.6 

2.5 

2.5 

Equity disposals

1.1 

3.6 

3.6 

3.6 

3.6 

3.6 

 

(125.1)

(97.3)

(109.2)

(135.1)

(224.2)

(348.1)


 

Table 4.3:          General Government Cash Flow Statement (continued)

 

2018-19 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Budget 

Outcome 

Budget 

Estimate 

Estimate 

Estimate 

 

$m 

$m 

$m 

$m 

$m 

$m 

 

 

 

 

 

 

 

Net cash flows from financial assets

(liquidity management purposes)

 

 

 

 

 

 

Net (purchase)/sale of investments

(40.5)

(40.6)

(54.9)

(39.5)

(16.9)

152.2 

 

(40.5)

(40.6)

(54.9)

(39.5)

(16.9)

152.2 

 

 

 

 

 

 

 

Net cash flows from investing activities

(866.9)

(804.5)

(791.4)

(828.4)

(811.4)

(829.3)

 

 

 

 

 

 

 

Net cash flows from financing activities

 

 

 

 

 

 

Net borrowing

170.0 

178.0 

332.8 

340.3 

195.4 

140.3 

 

170.0 

178.0 

332.8 

340.3 

195.4 

140.3 

 

 

 

 

 

 

 

Net increase/(decrease) in cash held

(191.3)

(194.2)

(171.9)

(31.9)

16.1 

11.7 

 

 

 

 

 

 

 

Cash at the beginning of the year

1 130.0 

1 292.7 

1 098.5 

926.6 

894.7 

910.8 

Cash at the end of the year

938.7 

1 098.5 

926.6 

894.7 

910.8 

922.6 

 

 

 

 

 

 

 

KEY FISCAL AGGREGATES

 

 

 

 

 

 

 

 

 

 

 

 

 

Net cash flows from operating activities

505.6 

432.2 

286.7 

456.2 

632.1 

700.7 

Plus Net cash flows from non-financial assets

(701.4)

(666.6)

(627.3)

(653.8)

(570.2)

(633.4)

Equals CASH SURPLUS/(DEFICIT)

(195.7)

(234.4)

(340.6)

(197.6)

61.9 

67.3 

 

 

 

 

 

 

 


 

Policy and Parameter Statement

Introduction

The Policy and Parameter Statement is a reconciliation of the major changes in the Net Operating Balance and the Fiscal Balance between two points in time.

The changes in the PPS are classified as revenue, expense or net acquisition of non‑financial assets and then further categorised as a policy or parameter change. The classification of a variation as a policy or parameter change is a matter of judgement and it is recognised that there may be some instances where part of a Government initiative may have both policy and parameter components. In exercising judgement, Treasury aims to ensure that Government decisions are made transparent.

Policy Variation

For the purpose of the PPS, a policy variation reflects a specific decision by the Government that has an impact on the Budget and Forward Estimates and is related to a new policy or represents a change in the Government’s existing policy position since the previous Budget. A decision to change a Budget or Forward Estimate item, which is consistent with an existing policy, is not a policy decision.

Parameter Variation

A parameter variation reflects changes to the Budget and Forward Estimates due to the economic environment, the agency operating environment or the timing of a transaction.

Parameter variations will reflect the impact of changes in taxes, grants or other income that do not arise because of a Government decision and demand and cost variations in agency service delivery, including the provision of indexation. Variations resulting from the rollover of a new Forward Estimate year and changes in accounting policies, such as a change in an agency depreciation policy or the impact on estimates of a change in an Australian Accounting Standard are classified as parameter variations.

Table 4.4 provides a summary of the policy and parameter changes detailed in Table 4.5 that have impacted on the formulation of the 2019‑20 Budget since the 2018‑19 Budget.

Impact of AASB 15 on NPP Revenue

AASB 15 Revenue from Contracts with Customers is effective from 1 July 2019 and will impact the timing of revenue which has performance obligations, such as National Partnership Payments from the Australian Government. NPP revenue has been recognised when funding is received prior to 2019-20. From 2019‑20 onwards, the revenue will be recognised over time as the performance obligations are met.

Further information on AASB 15 is provided in appendix 1.2 of chapter 1 of this Budget Paper.


 

Table 4.4:         Summary Policy and Parameter Statement, 2018‑19 to 2022‑23

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Forward Estimates (Net Operating Balance) as per the 2018-19 Budget (A)

161.9 

113.7 

148.3 

196.4 

.... 

Forward Estimates (Fiscal Balance) as per the 2018‑19 Budget (B)

(284.6)

(252.4)

5.3 

52.9 

.... 

 

 

 

 

 

 

REVENUE

 

 

 

 

 

Policy Decisions2

0.5 

108.0 

35.0 

19.1 

.... 

Parameter Adjustments

163.2 

49.4 

9.4 

(5.7)

.... 

TOTAL REVENUE ADJUSTMENTS (C)

163.7 

157.4 

44.5 

13.5 

.... 

 

 

 

 

 

 

EXPENSES

 

 

 

 

 

Policy Decisions

216.1 

102.9 

1.8 

(74.9)

(60.9)

Parameter Adjustments

68.2 

110.9 

105.9 

110.4 

.... 

TOTAL EXPENSE ADJUSTMENTS (D)

284.3 

213.8 

107.7 

35.5 

.... 

 

 

 

 

 

 

NET OPERATING BALANCE (A+C-D)

41.3 

57.4 

85.1 

174.5 

250.6 

 

 

 

 

 

 

Less NET ACQUISITION OF NON-FINANCIAL ASSETS

 

 

 

 

 

Purchases of non-financial assets

 

 

 

 

 

Policy Decisions

1.5 

39.6 

69.6 

78.1 

(13.4)

Parameter Adjustments

(34.9)

(59.2)

116.6 

12.0 

.... 

 

(33.4)

(19.6)

186.2 

90.1 

.... 

 

 

 

 

 

 

Less Sale of non-financial assets

 

 

 

 

 

Policy Decisions3

.... 

25.0 

.... 

.... 

.... 

Parameter Adjustments

5.9 

9.2 

4.3 

3.5 

.... 

 

5.9 

34.2 

4.3 

3.5 

.... 

 

 

 

 

 

 

Less Depreciation - Total Parameter Adjustments

9.0 

6.7 

14.2 

36.0 

.... 

TOTAL NET ACQUISITION OF NON‑FINANCIAL ASSETS ADJUSTMENTS (E)

(48.3)

(60.4)

167.7 

50.7 

.... 

 

 

 

 

 

 

FISCAL BALANCE (B+C-D-E)

(356.9)

(248.4)

(225.7)

(19.8)

3.0 

 

 

 

 

 

 

Notes:

1.    Parameter adjustments for 2022‑23 are not reflected in the Table as the 2022‑23 Forward Estimate was not published in the 2018‑19 Budget. However, policy adjustments are reflected to show their full impact on the Budget and Forward Estimates.

2.    The Government will introduce a suite of housing related tax reform initiatives that will build on tax initiatives enacted in 2018. These are detailed in chapter 5 of this Budget Paper. The impact of these reforms on the level of taxation estimates are considered to be parameter variations for the purposes of the Policy and Parameter Statement.

3.    The Sale of non-financial assets policy decisions reflects the divestment of Elizabeth Street Pier.

Table 4.5:          Policy and Parameter Statement, 2018‑19 to 2022‑23

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Forward Estimates (Net Operating Balance) as per the 2018-19 Budget (A)

161.9 

113.7 

148.3 

196.4 

.... 

Forward Estimates (Fiscal Balance) as per the 2018‑19 Budget (B)

(284.6)

(252.4)

5.3 

52.9 

.... 

 

 

 

 

 

 

Revenue from transactions

 

 

 

 

 

Policy Decisions

 

 

 

 

 

Agency Revenue

 

 

 

 

 

Biosecurity Tasmania Borders

.... 

2.6 

2.6 

2.6 

2.6 

Sale of Elizabeth Street Pier - Reduction in

 

 

 

 

 

revenues

.... 

(1.4)

(2.5)

(2.5)

(2.6)

 

.... 

1.2 

0.2 

0.1 

.... 

Dividends

 

 

 

 

 

Motor Accidents Insurance Board

1.3 

1.7 

(0.8)

(0.8)

.... 

Tasmanian Public Finance Corporation

(0.8)

12.6 

9.3 

7.2 

.... 

TT-Line Company Pty Ltd

.... 

43.0 

26.4 

12.6 

.... 

 

0.5 

57.3 

34.9 

19.1 

.... 

Special Dividends

 

 

 

 

 

Motor Accidents Insurance Board

.... 

50.0 

.... 

.... 

.... 

Tasmanian Public Finance Corporation

.... 

39.5 

.... 

.... 

.... 

TT-Line Company Pty Ltd

.... 

(40.0)

.... 

.... 

.... 

 

.... 

49.5 

.... 

.... 

.... 

 

 

 

 

 

 

Total Policy Decisions

0.5 

108.0 

35.0 

19.1 

.... 

 

 

 

 

 

 

Parameter Adjustments

 

 

 

 

 

Taxation

 

 

 

 

 

Casino Tax and Licence Fees

0.8 

0.3 

(0.1)

(0.5)

.... 

Duties2

(47.9)

(66.0)

(60.8)

(63.6)

.... 

Fire Service Levies

.... 

3.0 

3.0 

3.0 

.... 

Guarantee Fees

1.2 

1.5 

2.3 

4.3 

.... 

Land Tax3

2.3 

4.1 

4.6 

5.6 

.... 

Lottery Tax4

4.3 

4.6 

5.0 

5.5 

.... 

Motor Tax5

4.2 

4.5 

5.4 

7.3 

.... 

Motor Vehicle Fire Levy

.... 

.... 

0.5 

0.5 

.... 

Payroll Tax6

15.1 

15.7 

17.7 

20.5 

.... 

Total Taxation

(20.0)

(32.3)

(22.4)

(17.5)

.... 

 

 

 

 

 

 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

 

 

 

 

 

 

Dividend income

 

 

 

 

 

Aurora Energy Pty Ltd

(4.9)

10.5 

…. 

…. 

.... 

Hydro Tasmania

12.3 

32.3 

(8.9)

(12.1)

.... 

Tasmanian Networks Pty Ltd

7.2 

(9.5)

(19.3)

(11.3)

.... 

Tasmanian Ports Corporation Pty Ltd

(0.4)

0.5 

2.1 

3.6 

.... 

 

14.2 

33.8 

(26.2)

(19.8)

.... 

Income tax equivalents

 

 

 

 

 

Aurora Energy Pty Ltd

4.9 

…. 

…. 

…. 

.... 

Hydro Tasmania

13.9 

(4.1)

(3.3)

(3.6)

.... 

Motor Accidents Insurance Board

(3.7)

0.8 

1.1 

1.4 

.... 

Tasmanian Networks Pty Ltd

(0.1)

(6.3)

(2.0)

(1.6)

.... 

Tasmanian Ports Corporation Pty Ltd

(0.3)

1.1 

1.7 

1.8 

.... 

Tasmanian Public Finance Corporation

0.8 

0.4 

(0.8)

(0.4)

.... 

TT-Line Company Pty Ltd

11.0 

.... 

.... 

.... 

.... 

 

26.6 

(8.1)

(3.3)

(2.5)

.... 

 

 

 

 

 

 

Total Dividend, tax and rate equivalent income

40.8 

25.7 

(29.4)

(22.3)

.... 

 

 

 

 

 

 

Interest income

7.0 

3.6 

4.5 

5.5 

.... 

 

 

 

 

 

 

Australian Government Grants7

 

 

 

 

 

General Purpose Payments

 

 

 

 

 

GST Revenue8

(42.6)

(81.8)

(91.2)

(64.7)

.... 

 

(42.6)

(81.8)

(91.2)

(64.7)

.... 

National Partnership Payments

 

 

 

 

 

Community Services (including Disability)

.... 

2.7 

2.5 

2.5 

.... 

Education

5.0 

17.0 

13.8 

2.4 

.... 

Environment

78.7 

36.5 

76.1 

59.1 

.... 

Health

10.3 

71.3 

19.3 

15.9 

.... 

Infrastructure

(5.4)

(23.3)

28.6 

28.8 

.... 

Natural Disaster Relief and Recovery

Arrangements/Disaster Recovery Funding

Arrangements

14.1 

40.3 

28.0 

0.4 

.... 

Other Services

40.7 

(32.2)

(2.4)

(5.6)

.... 

Skills and Workforce Development

10.4 

16.5 

13.1 

11.7 

.... 

 

153.8 

128.8

179.0 

115.2 

.... 


 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Specific Purpose Payments

 

 

 

 

 

National Disability Services

0.5 

.... 

.... 

.... 

.... 

National Housing and Homelessness

1.4 

1.7 

1.4 

(0.3)

.... 

National Health Reform

(3.8)

1.2 

(30.3)

(29.9)

.... 

National Skills and Workforce Development

0.2 

0.3 

0.5 

0.5 

.... 

Quality Schools, Quality Outcomes

8.6 

5.5 

10.4 

18.1 

.... 

 

6.9 

8.7 

(18.0)

(11.7)

.... 

 

 

 

 

 

 

Other Australian Government Grants

6.9 

5.6 

(3.8)

(5.8)

.... 

 

 

 

 

 

 

Total Australian Government Grants

125.0 

61.3 

66.0 

33.0 

.... 

 

 

 

 

 

 

Agency Revenue

 

 

 

 

 

Communities Tasmania

(0.3)

(1.0)

(1.2)

(1.4)

.... 

Education

(3.7)

(4.5)

(5.4)

(6.3)

.... 

Finance-General

2.9 

3.3 

2.5 

2.5 

.... 

Health

10.5 

(5.1)

(5.9)

(6.1)

.... 

Justice

.... 

(0.3)

(0.2)

0.7 

.... 

Marine and Safety Tasmania

0.3 

0.1 

.... 

.... 

.... 

Police, Fire and Emergency Management

0.6 

(0.5)

1.7 

1.8 

.... 

Premier and Cabinet

(1.1)

(0.7)

(1.3)

(0.4)

.... 

Primary Industries, Parks, Water and Environment

1.2 

2.7 

2.2 

2.4 

.... 

Royal Tasmanian Botanical Gardens

.... 

(0.1)

(0.4)

(0.5)

.... 

State Growth

.... 

(1.6)

(0.1)

3.8 

.... 

Tasmanian Audit Office

.... 

(0.1)

.... 

0.2 

.... 

TasTAFE

.... 

(1.0)

(1.0)

(1.0)

.... 

Tourism Tasmania

.... 

0.1 

.... 

.... 

.... 

Treasury and Finance

(0.1)

(0.1)

(0.3)

(0.2)

.... 

Total Agency Revenue

10.3 

(9.0)

(9.3)

(4.4)

.... 

 

 

 

 

 

 

Total Parameter Adjustments

163.2 

49.4 

9.4 

(5.7)

.... 

 

 

 

 

 

 

TOTAL REVENUE FROM TRANSACTIONS ADJUSTMENTS (C)

163.7 

157.4 

44.5 

13.5 

.... 

 

 

 

 

 

 


 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Expenses from transactions

 

 

 

 

 

Policy Decisions

 

 

 

 

 

Agency Expenditure

 

 

 

 

 

Brand Tasmania

 

 

 

 

 

Brand Tasmania Establishment

.... 

1.0 

1.0 

1.0 

1.0 

 

.... 

1.0 

1.0 

1.0 

1.0 

Communities Tasmania

 

 

 

 

 

Additional Funding for NDIS and Disability Services

.... 

.... 

10.0 

7.0 

10.6 

Commissioner for Children and Young People

.... 

0.1 

0.1 

0.1 

0.1 

Cricket Tasmania

.... 

0.4 

0.2 

0.2 

0.2 

Devonport Golf Club

1.5 

.... 

.... 

.... 

.... 

Dogs Home of Tasmania

0.2 

.... 

.... 

.... 

.... 

Elder Abuse Prevention

.... 

0.9 

.... 

.... 

.... 

Elphin Sports Centre

.... 

0.4 

.... 

.... 

.... 

Football Tasmania Board

.... 

0.1 

0.1 

0.1 

.... 

Hockey Tasmania

.... 

0.1 

0.1 

0.1 

0.1 

Multicultural Affairs

.... 

0.6 

.... 

.... 

.... 

Neighbourhood Houses9

.... 

.... 

.... 

.... 

.... 

NFSRA Urgent Maintenance

.... 

0.2 

.... 

.... 

.... 

Out of Home Care

20.0 

16.9 

.... 

.... 

.... 

Pembroke Park

.... 

.... 

0.6 

1.9 

.... 

Reclink Australia

.... 

0.1 

0.1 

.... 

.... 

Rowing Precinct for the Tamar10

.... 

.... 

.... 

.... 

.... 

Royal Launceston Show Grant11

.... 

.... 

.... 

.... 

.... 

Safe Homes, Safe Families

.... 

1.0 

1.7 

1.9 

.... 

Scottsdale - Northbourne Extension

.... 

1.0 

0.3 

.... 

.... 

Sexual Violence Action Plan

.... 

0.5 

0.7 

0.7 

.... 

Sporting Competitions Access Fund

.... 

0.1 

0.1 

0.1 

0.1 

Strong Families Safe Kids - Child Safety Service

Redesign

.... 

2.3 

.... 

.... 

.... 

Supporting the Reset - Aboriginal Affairs

.... 

0.2 

0.1 

0.1 

0.1 

Tasmanian Autism Diagnostic Services

.... 

1.0 

.... 

.... 

.... 

Ticket to Play Sports Voucher Program

.... 

1.0 

.... 

.... 

.... 

Ulverstone Cultural Precinct

.... 

2.5 

.... 

.... 

.... 

Women's Strategy

.... 

0.1 

0.1 

0.1 

0.1 

 

21.7 

29.4 

14.1 

12.2 

11.3 


 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Education

 

 

 

 

 

Forcett to Dodges Ferry Pipeline

.... 

0.2 

.... 

.... 

.... 

 

.... 

0.2 

.... 

.... 

.... 

Finance-General

 

 

 

 

 

Budget Savings

.... 

(50.0)

(100.0)

(150.0)

(150.0)

City Deal Tamar River Catchment Projects

.... 

.... 

.... 

.... 

1.0 

Extension of the Energy Rebate Scheme

.... 

1.0 

.... 

.... 

.... 

Flinders Island Airport12

.... 

.... 

.... 

.... 

.... 

First Home Owner Grant Extension

.... 

3.8 

6.2 

.... 

.... 

Health Demand

.... 

30.0 

10.0 

.... 

.... 

Sale of Elizabeth Street Pier - Reduction in

Expenditure

.... 

(1.4)

(2.5)

(2.5)

(2.6)

Southern and Central Tasmania Fires

64.0 

10.0 

.... 

.... 

.... 

TasRacing Debt

.... 

(1.4)

(1.3)

(1.3)

(1.3)

 

64.0 

(7.9)

(87.5)

(153.8)

(152.9)

Health

 

 

 

 

 

Additional Funding for NGO Prescribed Health

Organisations

0.2 

0.2 

0.2 

.... 

.... 

Cancer Council of Tasmania - Cancer Prevention Social Marketing Program

0.1 

.... 

.... 

.... 

.... 

Emergency Department Support Package

1.5 

.... 

.... 

.... 

.... 

Health Demand (THS and Ambulance)

105.0 

50.0 

50.0 

50.0 

50.0 

Meningococcal W Immunisation Program

4.0 

.... 

.... 

.... 

.... 

Mental Health Hospital in the Home

0.7 

0.9 

0.8 

.... 

.... 

Salvation Army Street Teams

0.1 

0.1 

.... 

.... 

.... 

Women's Health Package

2.0 

2.0 

.... 

.... 

.... 

 

113.3 

53.1 

51.0 

50.0 

50.0 

Justice

 

 

 

 

 

Additional Supreme Court Judge

.... 

.... 

.... 

1.1 

1.1 

Additional Tasmania Prison Service Funding

5.5 

4.3 

4.5 

4.0 

4.0 

Chatter Matters Just Time Program

0.1 

.... 

.... 

.... 

.... 

Legal Aid Commission increased resourcing

.... 

0.4 

0.5 

0.5 

0.5 

Legal Assistance Services - NPA shortfall

.... 

1.3 

.... 

.... 

.... 

New Magistrate for Southern Tasmania

.... 

0.2 

0.9 

0.9 

0.9 

Planning Reform

0.5 

0.5 

0.5 

0.5 

0.5 

Replacement Magistrate - North West

.... 

0.5 

0.5 

0.5 

0.5 

 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Justice (continued)

 

 

 

 

 

Supreme Court Acting Judges

.... 

0.7 

0.7 

.... 

.... 

 

6.1 

7.8 

7.6 

7.6 

7.6 

Legislature-General

 

 

 

 

 

Additional Resource for the Parliamentary Library

.... 

0.2 

0.2 

0.2 

0.2 

Parliament Garden Lighting Project13

.... 

.... 

.... 

.... 

.... 

Parliament Lighting Upgrade

0.3 

.... 

.... 

.... 

.... 

Security Services funding

.... 

0.2 

0.2 

0.2 

0.2 

 

0.3 

0.4 

0.4 

0.4 

0.4 

Office of the Director of Public Prosecutions

 

 

 

 

 

Funding to Support increased Judicial Resources

.... 

0.5 

0.7 

0.7 

0.7 

 

.... 

0.5 

0.7 

0.7 

0.7 

Office of the Governor

 

 

 

 

 

Additional Funding for Governor's Program

0.2 

.... 

.... 

.... 

.... 

Security Services Funding

.... 

0.1 

0.1 

0.1 

0.1 

 

0.2 

0.1 

0.1 

0.1 

0.1 

Office of the Ombudsman

 

 

 

 

 

Right to Information Workload Support

.... 

0.2 

0.2 

0.2 

0.2 

 

.... 

0.2 

0.2 

0.2 

0.2 

Police, Fire and Emergency Management

 

 

 

 

 

Police Equipment

.... 

0.1 

0.1 

0.1 

0.1 

Police Salaries - Additional Funding

.... 

1.4 

2.1 

1.6 

15.0 

Regional Emergency Management Planning and

Development

.... 

0.3 

0.4 

0.4 

0.4 

 

.... 

1.9 

2.5 

2.1 

15.5 

Premier and Cabinet

 

 

 

 

 

2019 Bushfires - Community Recovery Fund

.... 

1.6 

.... 

.... 

.... 

Beaconsfield Mine Shaft Remediation

0.2 

.... 

.... 

.... 

.... 

Bushfire Recovery Taskforce Arrangements

0.6 

.... 

.... 

.... 

.... 

Community Participation and Appeals Fund

.... 

0.2 

0.2 

0.2 

0.2 

Cradle Coast Authority

0.3 

.... 

.... 

.... 

.... 

Flood Mapping Project

1.5 

0.7 

0.9 

.... 

.... 

Legal Costs Brown & Hoyt Court Case

0.4 

.... 

.... 

.... 

.... 

Local Government Burials Act Review

0.3 

.... 

.... 

.... 

.... 

Local Government Legislation Review

0.4 

0.5 

.... 

.... 

.... 

Meningococcal Advertising Support

0.1 

.... 

.... 

.... 

.... 


 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Premier and Cabinet (continued)

 

 

 

 

 

Resourcing the Function of Security and Emergency

Management

.... 

0.5 

0.5 

0.5 

0.5 

Royal Hobart Show Grant14

.... 

.... 

.... 

.... 

.... 

Short Stay Accommodation15

.... 

.... 

.... 

.... 

.... 

Southern Tasmania Extreme Weather Event - Community Recovery Fund

.... 

1.2 

.... 

.... 

.... 

Strategic Growth initiative

.... 

1.5 

1.5 

1.5 

1.5 

TasALERT Emergency Information Service

0.2 

0.2 

0.2 

0.2 

0.2 

Tasmanian Government Exhibit at Agricultural

Events

0.1 

0.3 

0.3 

0.3 

0.3 

 

4.0 

6.6 

3.6 

2.8 

2.8 

Primary Industries, Parks, Water and

Environment

 

 

 

 

 

Analytical Services Tasmania

.... 

1.0 

.... 

.... 

.... 

Biosecurity Tasmania Borders

.... 

1.8 

1.8 

1.8 

1.8 

Blue Economy Co-operative Research Centre

.... 

0.2 

0.2 

0.2 

0.2 

Brightside Animal Sanctuary - Greyhound Adoption

Program16

.... 

.... 

.... 

.... 

.... 

 

.... 

3.0 

2.0 

2.0 

2.0 

State Growth

 

 

 

 

 

AFL Licence Business Case

.... 

0.2 

.... 

.... 

.... 

Business Events Attraction Fund

.... 

0.3 

0.3 

0.3 

0.3 

Business Growth Strategy

.... 

0.3 

0.3 

0.3 

0.3 

Coastal Pathway Project

.... 

1.7 

3.1 

.... 

.... 

Community Infrastructure Fund

1.0 

.... 

.... 

.... 

.... 

Defence Strategy

.... 

0.5 

0.8 

0.8 

0.8 

Dutch Mill - Edith Creek Support Package

0.2 

.... 

.... 

.... 

.... 

Enhanced P1 Driving Assessment Service Delivery

.... 

0.2 

0.2 

0.1 

0.1 

Festivale

0.2 

0.2 

0.2 

.... 

.... 

Hobart City Deal and Greater Hobart Act

.... 

0.4 

0.4 

0.4 

0.4 

Latrobe Flood Mitigation Project

1.0 

.... 

.... 

.... 

.... 

Laughs of Launnie Comedy Festival

0.1 

.... 

.... 

.... 

.... 

Mona Foma

1.8 

1.8 

1.8 

.... 

.... 


 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

State Growth (continued)

 

 

 

 

 

No Interest Loans Scheme for Energy Efficient

Products

.... 

0.3 

0.3 

0.3 

0.3 

Northern Tasmania Arts Program

0.1 

0.1 

0.1 

.... 

.... 

Norske Skog Paper Mills Support Package

1.5 

1.1 

.... 

.... 

.... 

Office of the Coordinator-General operating costs

.... 

0.3 

.... 

.... 

.... 

Reduction in CSO - Sustainable Timber Tasmania

.... 

(2.0)

(4.0)

(4.0)

(4.0)

Science and Technology Sector Strategy

.... 

0.1 

0.1 

0.1 

0.1 

Small Business Recovery Grants

0.2 

.... 

.... 

.... 

.... 

Skilled Workforce to meet Industry Demand

.... 

1.0 

2.0 

.... 

.... 

Tasmanian Government Free Wi-Fi Service

.... 

0.2 

0.2 

0.2 

0.2 

Tasmanian Theatre Fund

.... 

0.2 

.... 

.... 

.... 

Tasmanian Trade Strategy

.... 

1.1 

1.1 

1.1 

1.1 

TasRail Below Rail Infrastructure Funding

.... 

2.0 

3.5 

5.0 

5.8 

Taste of Tasmania Support

.... 

0.5 

.... 

.... 

.... 

Tourism and Hospitality Supply

.... 

1.1 

1.1 

1.1 

1.1 

Triple J One Night Stand17

.... 

.... 

.... 

.... 

.... 

V8 Supercars

0.4 

1.9 

1.6 

1.3 

1.3 

West Coast Wilderness Railway

.... 

4.0 

4.0 

4.0 

4.0 

 

6.4 

17.0 

16.7 

10.7 

11.6 

Treasury and Finance

 

 

 

 

 

Cessation of Bass Strait Islands Community Service

Obligation18

.... 

(10.5)

(10.7)

(10.9)

(11.2)

 

.... 

(10.5)

(10.7)

(10.9)

(11.2)

 

 

 

 

 

 

Total Policy Decisions

216.1 

102.9 

1.8 

(74.9)

(60.9)

 

 

 

 

 

 

Parameter Adjustments

 

 

 

 

 

Depreciation

9.0 

6.7 

14.2 

36.0 

.... 

Borrowing costs

.... 

5.0 

15.0 

21.4 

.... 

Nominal superannuation interest expense

(27.6)

(2.4)

(1.6)

(0.7)

.... 

 

 

 

 

 

 

Agency Expenditure

 

 

 

 

 

Brand Tasmania

.... 

0.4 

0.4 

0.5 

.... 

Communities Tasmania

8.5 

17.0 

3.5 

0.8 

.... 

Education

21.3 

24.6 

42.0 

46.1 

.... 

Finance-General

62.4 

23.3 

9.7 

(4.8)

.... 

Health

19.6 

16.6 

(22.7)

(24.7)

.... 

House of Assembly

0.4 

0.4 

0.5 

0.5 

.... 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Agency Expenditure (continued)

 

 

 

 

 

Inland Fisheries Service

.... 

0.2 

0.1 

0.1 

.... 

Integrity Commission

.... 

(0.2)

(0.2)

(0.2)

.... 

Justice

(20.9)

6.3 

(2.1)

(1.8)

.... 

Legislative Council

0.1 

.... 

.... 

.... 

.... 

Legislature-General

1.5 

0.1 

.... 

.... 

.... 

Marine and Safety Tasmania

0.4 

0.6 

0.1 

0.1 

.... 

Ministerial and Parliamentary Support

.... 

.... 

.... 

(0.2)

.... 

Office of the Director of Public Prosecutions

0.8 

0.7 

0.7 

0.7 

.... 

Office of the Governor

.... 

.... 

.... 

.... 

.... 

Office of the Ombudsman

.... 

(0.2)

(0.2)

(0.2)

.... 

Police, Fire and Emergency Management

4.8 

(0.9)

(1.2)

(2.4)

.... 

Premier and Cabinet

3.5 

(0.7)

(1.0)

(0.1)

.... 

Primary Industries, Parks, Water and Environment

4.8 

(0.2)

0.2 

(0.5)

.... 

Royal Tasmanian Botanical Gardens

.... 

0.3 

0.1 

(0.1)

.... 

State Fire Commission

0.1 

3.9 

3.8 

3.8 

.... 

State Growth

(21.4)

7.0 

41.9 

33.5 

.... 

Tasmanian Audit Office

.... 

(0.4)

(0.3)

(0.1)

.... 

TasTAFE

.... 

0.9 

2.3 

1.6 

.... 

Tourism Tasmania

(0.5)

0.9 

0.2 

0.3 

.... 

Treasury and Finance

0.4 

0.3 

(0.2)

.... 

.... 

Other19

1.1 

0.6 

0.7 

0.7 

.... 

Total Agency Expenditure

86.9 

101.7 

78.3 

53.6 

.... 

Total Parameter Adjustments

68.2 

110.9 

105.9 

110.4 

.... 

 

 

 

 

 

 

TOTAL EXPENSES FROM TRANSACTIONS ADJUSTMENTS (D)

284.3 

213.8 

107.7 

35.5 

.... 

 

 

 

 

 

 

NET OPERATING BALANCE (A+C-D)

41.3 

57.4 

85.1 

174.5 

250.6 


 

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Less NET ACQUISITION OF NON-FINANCIAL ASSETS

 

 

 

 

 

Purchases of non-financial assets from transactions

 

 

 

 

 

Policy Decisions20

 

 

 

 

 

Communities Tasmania

 

 

 

 

 

Tasmania’s Affordable Housing Action Plan 221

.... 

10.0 

10.0 

.... 

(20.0)

 

.... 

10.0 

10.0 

.... 

(20.0)

Health

 

 

 

 

 

10 New Mental Health Beds

(2.1)

.... 

.... 

.... 

.... 

Royal Hobart Hospital Stage 2 Redevelopment

.... 

1.6 

30.0 

31.4 

.... 

Royal Hobart Hospital Stage 2 Redevelopment

(RHH Ward Upgrades)

0.5 

.... 

.... 

17.3 

(17.8)

St Johns Park - 12 New Mental Health Beds

.... 

2.1 

8.9 

.... 

.... 

 

(1.4)

3.7 

38.9 

48.7 

(17.8)

Legislative Council

 

 

 

 

 

Legislative Council Chamber OH&S Issues and

Disability Access

0.6 

.... 

.... 

.... 

.... 

 

0.6 

.... 

.... 

.... 

.... 

Legislature-General

 

 

 

 

 

Houses of Parliament Audio Refurbishment

0.3 

.... 

.... 

.... 

.... 

 

0.3 

.... 

.... 

.... 

.... 

Police, Fire and Emergency Management

 

 

 

 

 

Police Infrastructure

.... 

1.0 

.... 

.... 

.... 

Upgrades to Police Housing

.... 

1.5 

1.5 

1.5 

1.5 

 

.... 

2.5 

1.5 

1.5 

1.5 

Primary Industries, Parks, Water and

Environment

 

 

 

 

 

Biosecurity Tasmania Borders

.... 

0.8 

0.8 

0.8 

0.8 

Community Recovery Fund - Parks Infrastructure

.... 

8.3 

.... 

.... 

.... 

 

.... 

9.1 

0.8 

0.8 

0.8 

State Growth

 

 

 

 

 

Enhanced P1 Driving Assessment Service Delivery

.... 

0.1 

.... 

.... 

.... 

Greater Hobart Traffic Vision - alternative traffic

routes through Hobart

1.0 

(1.0)

.... 

.... 

.... 

Roads Program Uplift

1.0 

10.2 

13.4 

17.1 

22.1 

Kingborough Congestion (Hobart City Deal)

…. 

5.0 

5.0 

10.0 

…. 

 

2.0 

14.3 

18.4 

27.1 

22.1 

 

 

 

 

 

 

Total Policy Decisions

1.5 

39.6 

69.6 

78.1 

(13.4)

Table 4.5:         Policy and Parameter Statement, 2018‑19 to 2022‑23 (continued)

 

2018-19 

2019-20 

2020-21 

2021-22 

2022-23 

 

Estimated 

 

Forward 

Forward 

Forward 

 

Outcome 

Budget 

Estimate 

Estimate 

Estimate1 

 

$m 

$m 

$m 

$m 

$m 

Parameter Adjustments

 

 

 

 

 

Communities Tasmania

(9.2)

6.6 

2.4 

5.3 

.... 

Education

(29.2)

3.9 

6.3 

14.3 

.... 

Finance-General

9.2 

4.5 

1.6 

0.7 

.... 

Health

44.1 

(44.1)

17.8 

3.6 

.... 

Justice

(3.2)

(21.3)

0.7 

(7.5)

.... 

Marine and Safety Tasmania

0.4 

.... 

.... 

.... 

.... 

Police, Fire and Emergency Management

(0.6)

2.7 

4.5 

1.5 

.... 

Primary Industries, Parks, Water and Environment

(19.5)

12.3 

21.8 

1.7 

.... 

Royal Tasmanian Botanical Gardens

.... 

(1.5)

1.9 

.... 

.... 

State Fire Commission

1.3 

1.3 

0.5 

1.7 

.... 

State Growth

(27.8)

35.0 

111.9 

50.1 

.... 

Treasury and Finance

(0.3)

1.6 

7.1 

0.6 

.... 

Provision for Future Infrastructure Investment22

.... 

(60.0)

(60.0)

(60.0)

.... 

Total Parameter Adjustments

(34.9)

(59.2)

116.6 

12.0 

.... 

 

 

 

 

 

 

Total Purchases of non-financial assets from transactions (E)

(33.4)

(19.6)

186.2 

90.1 

.... 

 

 

 

 

 

 

Less Total Sale of non-financial assets from transactions (F)

5.9 

34.2 

4.3 

3.5 

.... 

 

 

 

 

 

 

Depreciation - Total Parameter Adjustments (G)

9.0 

6.7 

14.2 

36.0 

.... 

 

 

 

 

 

 

TOTAL NET ACQUISITION OF NON-FINANCIAL ASSETS FROM TRANSACTIONS ADJUSTMENTS (H) (E - F - G)

(48.3)

(60.4)

167.7 

50.7 

.... 

 

 

 

 

 

 

FISCAL BALANCE (B + C - D - H)

(356.9)

(248.4)

(225.7)

(19.8)

3.0 

 

 

 

 

 

 

 

 

 

 

 

 

Notes:

1.    Parameter adjustments for 2022‑23 are not reflected in the Table as the 2022‑23 Forward Estimate was not published in the 2018-19 Budget. However, policy adjustments are reflected to show their full impact on the Budget and Forward Estimates.

2.    The decrease in Duties in 2018‑19 primarily reflects a decrease in Conveyance Duty due to a reduction in residential property transactions.

3.    The increase in Land Tax primarily reflects a net increase in land values across the State.

4.    The increase in Lottery Tax reflects growth in large jackpot draws.

5.    The increase in Motor Tax reflects growth in the number of motor vehicle registrations.

6.    The increase in Payroll Tax reflects employment growth in 2018‑19 and over the Forward Estimates.

7.    Information on variations in Australian Government Grants as a result of changes in Australian Accounting Standards is provided on page 77.

8.    The reduction in GST Revenue is primarily the result of reduced estimates of the GST pool, reflecting downwards revisions to forecasts of national growth in consumption and dwelling investments.

9.    An amount of $45 000 has been included in 2019-20 and over the Forward Estimates for Neighbourhood Houses.

10.  An amount of $25 000 has been included in 2018-19 for the Rowing Precinct for the Tamar.

11.  An amount of $30 000 has been included in 2018-19 for the Royal Launceston Show.

12.  An amount of $22 000 has been included in 2019-20, $44 000 in 2020-21 and 2021-22 and $22 000 in 2022-23 for the Flinders Council to support interest costs in relation to a loan for the upgrade of the Flinders Island Airport.

13.  An amount of $5 000 has been included in 2020‑21 and following years for the Parliament Garden Lighting Project.

14.  An amount of $10 000 has been included in 2018-19 for the Royal Hobart Show.

15.  An amount of $42 000 has been included in 2018-19 for the Short Stay Accommodation initiative.

16.  An amount of $30 000 has been included in 2018-19 for the Brightside Animal Sanctuary - Greyhound Adoption Program.

17.  An amount of $35 000 has been included in 2018-19 for the Triple J One Night Stand.

18.  The cessation of funding for the Bass Strait Islands Community Service Obligation from 2019-20 is due to the transfer of financial responsibility for the obligation back to Hydro Tasmania from 1 July 2019.

19.  The variation in Other primarily reflects adjustments to eliminations and cost estimates associated with the State’s superannuation expense and liability.

20.  Further information on Purchases of non‑financial assets from transactions policy decisions is provided in chapter 6 of this Budget Paper.

21.  The increase in 2019‑20 and 2020‑21 reflects funding brought forward from 2022‑23 to assist with meeting additional demand.

22.  The variation in the Provision for Future Infrastructure Investment reflects its removal following the finalisation of the new Roads Infrastructure agreement with the Australian Government.


 

Major Revenue Variations

Policy Decisions

Dividend and Special Dividend Policy

The Motor Accidents Insurance Board will move to a new dividend arrangement. The new dividend policy introduces the use of a sliding scale to determine the dividend payout ratio, enabling additional dividends to be returned to Government when capital levels are higher, and to aid in restoring/maintaining the capital by paying dividends at a reduced payout ratio when capital levels are lower. The new dividend policy is not forecast to materially impact ordinary dividends over the Forward Estimates. In implementing the new policy the Motor Accidents Insurance Board has re‑based its capital position and is forecast to pay a special dividend in 2019‑20.

From 2019‑20, TT-Line Company Pty Ltd will pay ordinary dividends linked to profits, consistent with the standard dividend policy for government businesses, instead of a special dividend arrangement. The ordinary dividends will continue to be separately accounted for in the TT‑Line Vessel Replacement Fund and will be used to support the purchase of the new vessels.

The Tasmanian Public Finance Corporation recommends returns to Government with reference to its retained earnings and capital limit. From 2019‑20, the cash lump sum dividend and tax payment in each financial year will be the equivalent of its net profit before tax. As retained earnings exceed and are expected to remain in excess of the capital limit, the Tasmanian Public Finance Corporation has forecast a special divided to be paid in 2019‑20.

Parameter Adjustments

Dividend, tax and rate equivalent income

The increase in dividends from parameter changes primarily relate to increases from Hydro Tasmania and the Tasmanian Public Finance Corporation.

The strong dividends from Hydro Tasmania in 2019‑20 are primarily due to a revised trading strategy in 2018‑19 which increased hydro generation and led to higher revenues. The reduction in dividends over the Forward Estimates period largely reflects an expectation of less favourable trading conditions in the National Electricity Market.

The increased dividends have been partially offset by reductions in dividends for Tasmanian Networks Pty Ltd. Profits are forecast to decrease based on the Australian Energy Regulator's draft transmission and distribution revenue determination for the period 2019‑24.

TT-Line Company Pty Ltd had not originally forecast to pay a taxation equivalent expense in 2018‑19. However, higher passenger numbers have supported improved performance in recent years, resulting in previous tax losses being used earlier than originally forecast.

The decreased Income Tax Equivalents from 2019‑20 onwards are primarily a result of reduced profit forecasts by Hydro Tasmania and Tasmanian Networks Pty Ltd.

Further information relating to Dividend, tax and rate equivalent income is provided in chapter 5 of this Budget Paper.

GST Revenue

The movement in GST Revenue reflects changes to estimates and assumptions regarding the size of the GST pool, Tasmania’s population and its GST relativity.

The primary driver of lower estimates of GST revenue to Tasmania is a $10.9 billion reduction in the Australian Government’s forecasts of the GST pool over four years since the 2018‑19 Australian Government Budget, reflecting downwards revisions to forecasts of national growth in consumption and dwelling investments.

For the 2019‑20 Budget, Treasury has used its own financial model to forecast GST revenues, as was the case for the 2018‑19 Budget. The model incorporates the latest Commonwealth Grants Commission assessments and recommended relativities, Australian Government forecasts of the GST pool and state and territory populations and own‑source revenue estimates.

For more information on GST receipts, refer to chapter 5 of this Budget Paper.

National Partnership Payments

As noted in chapter 1 of this Budget Paper, NPP revenue for the Budget and Forward Estimates is reported in accordance with the new Australian Accounting Standard AASB 15 Revenue from Contracts with Customers. The 2018‑19 Budget and Estimated Outcome are as reported in the 2018‑19 Budget, in accordance with reporting requirements at that time and are not directly comparable with revenue for 2019‑20.

The increase in Education National Partnership Payments in 2018‑19 and over the Forward Estimates reflects an extension of the National School Chaplaincy Program and the Universal Access to Early Childhood Education agreements.

The increase in Environment National Partnership Payments in 2018‑19 reflects the receipt of Pest and Disease Preparedness and Response funding in 2018‑19. In addition, the Australian Government has committed new funding for Project Marinus. The increase in 2020‑21 and 2021‑22 primarily reflects new funding from the Australian Government for Tranche 3 of Irrigation funding under the Sustainable Rural Water Use and Infrastructure Program.

The increase in Health National Partnership Payments in 2018‑19 and over the Forward Estimates period reflects new funding for Community Health, Hospitals and Infrastructure projects and Elective Surgery.

Infrastructure National Partnership payments reflect a reallocation of Roads funding, including new funding for the Urban Congestion Fund and changed funding profiles for the Bridgewater Bridge and Roads of Strategic Importance. Further detail on Australian Government funding for infrastructure projects is provided in chapter 6 of this Budget Paper.

The increase in Skills and Workforce National Partnership Payments from 2018‑19 reflects new funding for the North-West Tasmania Job Ready Generation Package, Skilling Australians Fund and Skills for Tasmania agreements.

The increase in Other Services in 2018‑19 reflects the expected receipt of 50 per cent of the Financial Assistance for Local Government in respect of 2019‑20.

The increase in Natural Disaster Relief and Recovery Arrangement/Disaster Recovery Funding Arrangements in 2018‑19 reflects the reimbursement of costs associated with the June 2016 flood and increased funding in 2019‑20 and 2020‑21 for the May 2018 Southern Tasmania Extreme Weather Event and the recent bushfires.

Specific Purpose Payments

The National Health Reform funding decrease in 2018-19 reflects a revision in activity estimates together with the reconciliation of 2017‑18 payments.

The movement in Quality Schools, Quality Outcomes funding reflects increased Australian Government funding for both the Government and non-government education sectors. Quality Schools, Quality Outcomes allocations are provisional and subject to change and to the finalisation of enrolments and loadings in each school year.


 

Major Expense Variations

Policy Decisions

For detailed information on policy decisions, refer to agency chapters in Government Services Budget Paper No 2.

Parameter Adjustments

Agency Expenditure

Communities Tasmania

The increase in expenditure in 2018‑19 includes a reclassification of expenditure for the Affordable Housing Strategy from Purchases of non-financial assets to Grant and subsidy expenses together with funding carried forward from 2017‑18 for the National Disability Insurance Scheme. The increase in 2019‑20 includes unexpended funding carried forward from 2018‑19 for Hobart Aquatic Centre, Dorset Council (Scottsdale) Netball Courts and Pool Upgrade, and the Affordable Housing Strategy.

Education

The increase in expenditure for 2018‑19 and over the Forward Estimates period includes revised expenditure profiles of Australian Government funding for Quality Schools, Quality Outcomes and National Partnership Payments together with revised funding under the National School Reform Agreement.

Finance-General

The increase in expenditure in 2018‑19 reflects the advance payment of Grants to the State for Local Government together with an increase in Superannuation primarily reflecting the latest actuarial projection of the defined benefit obligation resulting from employee service in the current period. The increase from 2019-20 reflects Australian Government funding expenditure relating to Project Marinus and the Launceston City Deal - Tamar River Catchment.

Health

The increase in expenditure for the Department of Health in 2018‑19 reflects additional activity associated with own‑source revenue, including Australian Government funded initiatives. The decrease in expenditure in 2020‑21 and 2021-22 reflects revised estimates of National Health Agreement funding arising from projected activity performed by the THS when the current NHRA expires.

Justice

The decrease in expenditure for the Department of Justice in 2018‑19 primarily reflects the reallocation of $24 million for the National Redress Scheme for Institutional Child Sexual Abuse from 2018‑19 to later years to reflect revised cash flow projections.

State Growth

The variation for the Department of State Growth primarily reflects the re-profiling of expenditure relating to Northern Cities Major Development Initiative - Burnie and Launceston, based on the expected timing of project milestones, as well as the profile of expenditure associated with Australian Government funded initiatives.

Major Purchases of Non-Financial Assets Variations

Policy Decisions

For detailed information on 2019‑20 Budget Infrastructure Policy Decisions, refer to the agency chapters in Budget Paper 2.

Parameter Adjustments

Education

The variations for the Department of Education primarily reflect the reallocation of funding to later years based on revised cash flow estimates for projects consistent with expected construction milestones.

Health

The variations for the Department of Health include expenditure brought forward from 2019‑20 to 2018‑19 for the Royal Hobart Hospital Redevelopment, together the impact of minor cash flow revisions for a number of other projects moving funding from 2019-20 to 2020-21 and 2021-22.

Justice

The variations for the Department of Justice in 2019‑20 primarily reflect revised cash flow estimates consistent with expected construction milestones for the New Southern Remand Centre, An Upgraded Burnie Court Complex and the New Northern Prison projects.

Primary Industries, Parks, Water and the Environment

The variation for the Department of Primary Industries, Parks, Water and the Environment primarily reflects the reallocation of funding to later years for individual projects, including the Cradle Mountain Visitor Experience, Improved State‑wide Visitor Infrastructure and the Cradle Mountain Experience.

State Growth

The variations for State Growth include revised cash flow estimates together with increases for Australian Government Infrastructure projects.


 

Public Account Receipts and Expenditure Estimates

The 2019‑20 Budget is the first year of the implementation of the new Financial Management Act. The information in this Section is therefore being provided for the first time. Tables 4.6 and 4.7 provide information on the total estimated Receipts and Expenditure of the Public Account for the 2019‑20 Budget and Forward Estimates period. Estimated receipts are categorised based on the source and nature of each receipt. Estimated expenditure is categorised by the relevant Authority for Expenditure from the Public Account as provided under the FMA.

These Tables meet the requirements of section 19(1)(a) and 19(1)(b) of the FMA. General Government Sector financial statements required under section 19(1)(c) are published elsewhere in this chapter.

Prior year comparative estimates for 2018‑19 are not available as 2018‑19 Budget estimates are prepared in accordance with the existing Financial Management and Audit Act and the Public Account Act. Prior year comparatives for Public Account receipts and expenditure will be published from the 2020‑21 Budget Papers.

These Tables reflect the gross cash receipts and expenditure from the Public Account. As such, they do not include the important impact of the elimination of inter‑entity transactions within the Public Account or whole‑of‑government investment and cash management activities within the Public Account. These transactions are fully reflected in General Government Statements and the key financial measures, including the Net Operating Balance, Fiscal Balance and Net Debt. Consequently the receipts and expenditures detailed in the tables will not reconcile directly with those presented in General Government Cash Flow Statement.

Table 4.6:         Public Account Receipts

 

 

 

2019-20 

2020-21 

2021-22 

2022-23 

 

 

 

 

Forward 

Forward 

Forward 

 

 

 

Budget 

Estimate 

Estimate 

Estimate 

 

 

 

$m 

$m 

$m 

$m 

General Receipts

 

 

 

 

 

 

Australian Government Sources

 

 

3 079.9 

3 235.2 

3 398.4 

3 526.9 

State Sources

 

 

1 982.8 

1 824.1 

1 823.7 

1 843.4 

 

 

 

5 062.7 

5 059.3 

5 222.0 

5 370.3 

 

 

 

 

 

 

 

Specific Purpose Accounts

 

 

1 959.6 

1 967.1 

1 923.4 

2 102.3 

 

 

 

 

 

 

 

Statutory Authorities

 

 

235.7 

228.9 

232.0 

234.6 

 

 

 

 

 

 

 

Total Receipts

 

 

7 257.9 

7 255.3 

7 377.4 

7 707.1 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Table 4.7:         Public Account Expenditure

 

 

 

2019-20 

2020-21 

2021-22 

2022-23 

 

 

 

 

Forward 

Forward 

Forward 

 

 

 

Budget 

Estimate 

Estimate 

Estimate 

 

 

 

$m 

$m 

$m 

$m 

Annual Appropriation

 

 

 

 

 

 

Operating Services Expenditure

 

 

4 607.7 

4 577.6 

4 648.0 

4 780.1 

Capital Services Expenditure

 

 

480.2 

512.4 

441.7 

395.3 

 

 

 

5 088.0 

5 090.0 

5 089.7 

5 175.4 

 

 

 

 

 

 

 

Reserved by Law

 

 

353.7 

358.1 

372.2 

379.6 

 

 

 

 

 

 

 

Specific Purpose Accounts

 

 

2 075.0 

1 960.4 

1 892.6 

2 249.1 

 

 

 

 

 

 

 

Statutory Authorities

 

 

240.1 

231.0 

232.9 

231.7 

 

 

 

 

 

 

 

Other Provisions

 

 

0.1 

.... 

(0.2)

(0.5)

 

 

 

 

 

 

 

Total Expenditure

 

 

7 756.9 

7 639.5 

7 587.3 

8 035.4 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

Specific Purpose Accounts Estimated Receipts and Expenditure for 2019-20

Table 4.8 provides estimated receipts and expenditure and associated balances for each Specific Purpose Account for 2019‑20, by agency. This table meets the requirement of section 17(10) of the FMA.

As part of the introduction of the new Financial Management Act, a review of all accounts in the Special Deposits and Trust Fund was undertaken. As a result of this review, a decision was taken to transfer an account to a Specific Purpose Account or Agency Trust Account or, where the account was no longer required, cease its operation. Appendix 4.1 provides a summary of the action taken in relation to each SDTF account.

Except for Agency Trust Accounts (that are outside of the Public Account) estimated funds held in these accounts as at 30 June 2019 (i.e. account closing balances under the previous Public Account Act) have been transferred to accounts under the new FMA structure and these funds represent the opening balance for these accounts. For the new Specific Purpose Accounts, these are the opening balance amounts reflected in Table 4.8. This table provides information on the gross cash receipts and payments from Specific Purpose Accounts and it does not include the elimination of inter‑entity transactions which are reflected in General Government Statements. Revenue and expenditure amounts do not, therefore, equal amounts in General Government Statements.

No estimates for receipts or payments from Agency Trust Accounts are included in the Public Account Statements presented in this Budget Paper. This is consistent with the previous approach under the Public Account Act where information on true trust account balances and activities was not included in the Budget Papers. Further information relating to the structure of the Public Account is included in the Tasmania’s Financial Management Framework which is available at www.treasury.tas.gov.au.

Actual financial information, for 2018-19, on accounts in the SDTF will be included in the Treasurer’s Annual Financial Report 2018‑19. This information will be prepared in accordance with the Financial Management and Audit Act (i.e. on a basis consistent with previous years as all transactions were undertaken under the auspices of FMAA). Actual information in relation to 2019-20 will be presented in the Treasurer’s Annual Financial Report 2019-20 on the basis of the new FMA framework.


 

Table 4.8:         Specific Purpose Accounts Estimated Receipts and Expenditure for 2019-20

 

Estimated 

2019-20 Budget 

Estimated 

 

Balance 

Estimates 

Balance 

 

1 July 

 

30 June 

 

2019 

Receipts 

Expenditure 

2020 

 

$m 

$m 

$m 

$m 

Communities Tasmania

 

 

 

 

Agency Financial Management Account

53.8 

132.0 

150.9 

34.9 

Education

 

 

 

 

Agency Financial Management Account

32.6 

72.8 

69.7 

35.7 

Department of Education School Banking Account

58.2 

43.0 

45.5 

55.7 

 

90.8 

115.8 

115.2 

91.4 

Finance-General

 

 

 

 

Agency Financial Management Account

0.5 

33.4 

33.4 

0.5 

Australian Government Funding Management Account

210.8 

259.6 

394.2 

76.2 

Government Car Fleet Account

9.1 

33.3 

35.7 

6.7 

Payroll Provision Account

31.8 

7.4 

30.6 

8.5 

Rosetta Landslip Account

0.5 

0.1 

.... 

0.6 

Tasmanian Risk Management Fund

259.4 

83.1 

71.0 

271.5 

TT-Line Vessel Replacement Fund

40.8 

54.9 

.... 

95.8 

 

552.9 

471.7 

564.9 

459.7 

Health

 

 

 

 

Agency Financial Management Account

108.1 

808.9 

805.9 

111.1 

Private Patient Account

24.5 

28.4 

26.6 

26.3 

 

132.6 

837.3 

832.5 

137.4 

House of Assembly

 

 

 

 

Agency Financial Management Account

.... 

0.1 

0.1 

.... 

Integrity Commission

 

 

 

 

Agency Financial Management Account

.... 

.... 

.... 

.... 

 

 

Table 4.8:         Specific Purpose Accounts Estimated Receipts and Expenditure for 2019-20 (continued)

 

Estimated 

2019-20 Budget 

Estimated 

 

Balance 

Estimates 

Balance 

 

1 July