4†††† Finance‑General

Agency Outline

The Finance‑General Division is administered by the Department of Treasury and Finance.

The major activities transacted through Finance‑General include the management of the Governmentís financial assets and liabilities, meeting the Governmentís pension and other superannuation commitments, administration of the Tasmanian Risk Management Fund, management of the Governmentís light vehicle fleet and property portfolio and payments to government businesses.

Certain provisions have been made in the Public Account to meet future liabilities of the Government, including a provision within the Tasmanian Risk Management Fund (Specific Purpose Account) for workersí compensation and other insurable risks in respect of inner‑Budget agencies. Information on the Governmentís superannuation liabilities and administration of the Tasmanian Risk Management Fund is provided in chapter 7 of The Budget Budget Paper No 1.

Finance‑General also includes funding to assist with the replacement of the Spirits of Tasmania (I and II) within the TT‑Line Vessel Replacement Fund.

Output Information

Outputs of Finance‑General are provided under the following Output Groups:

       Output Group 1 ‑ Debt Servicing and Management;

       Output Group 2 ‑ Employee Related Costs;

       Output Group 3 ‑ Government Businesses;

       Output Group 4 ‑ Miscellaneous;

       Output Group 89 ‑ Public Building Maintenance Program; and

       Output Group 90 ‑ COVID‑19 Response and Recovery.

Table 4.1 provides an Output Group Expense Summary for Finance‑General.


 

Table 4.1:†††††††† Output Group Expense Summary

 

2021‑22 

2022‑23 

2023‑24 

2024‑25 

2025‑26 

 

 

 

Forward 

Forward 

Forward 

 

Budget 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

 

 

 

 

 

 

Treasurer

 

 

 

 

 

 

 

 

 

 

 

Output Group 1 ‑ Debt Servicing and Management

 

 

 

 

 

1.1 Debt Servicing1

37 894 

75 382 

126 104 

163 443 

195 271 

1.2 Interest on Sundry Deposits2

269 

1 079 

2 668 

3 262 

3 451 

 

38 163 

76 461 

128 772 

166 705 

198 722 

Output Group 2 ‑ Employee Related Costs

 

 

 

 

 

2.1 Superannuation and Pensions

258 165 

289 391 

281 072 

272 086 

262 926 

 

258 165 

289 391 

281 072 

272 086 

262 926 

Output Group 3 ‑ Government Businesses

 

 

 

 

 

3.1 Sustainable Timber Tasmania

2 000 

2 000 

2 000 

2 000 

2 000 

3.2 State Fire Commission

12 596 

12 596 

12 596 

12 596 

12 596 

3.4 Government Businesses3

7 598 

22 267 

15 051 

14 934 

10 377 

 

22 194 

36 863 

29 647 

29 530 

24 973 

Output Group 4 ‑ Miscellaneous

 

 

 

 

 

4.1 Information and Communication Technology

140 

.... 

.... 

.... 

.... 

4.2 Treasurer's Reserve4

150 000 

150 000 

50 000 

50 000 

50 000 

4.3 Miscellaneous5

1 499 

947 

40 940 

60 997 

81 005 

4.4 Payment to Australian Tax Office: GST Administration6

14 411 

14 308 

10 147 

10 096 

10 103 

4.5 Tasmanian Risk Management Fund7

97 351 

110 206 

115 545 

123 152 

131 189 

4.6 Fleet Management Services

16 566 

16 603 

16 865 

17 333 

17 873 

4.7 Property Management Services8

63 652 

68 458 

66 861 

63 123 

59 684 

4.8 Infrastructure Investment Project Planning

2 000 

2 000 

2 000 

2 000 

2 000 

4.9 Ex‑Gratia Assistance9

4 700 

300 

300 

300 

300 

 

350 319 

362 822 

302 658 

327 001 

352 154 

Output Group 89 ‑ Public Building Maintenance Program

 

 

 

 

 

89.1 Public Building Maintenance Program10

20 819 

3 083 

.... 

.... 

.... 

 

20 819 

3 083 

.... 

.... 

.... 

Output Group 90 ‑ COVID‑19 Response and Recovery

 

 

 

 

 

90.2 Local Government $200 million Interest Free Loans11

1 381 

1 623 

1 170 

286 

.... 

90.8 Tasmanian HomeBuilder Grant12

23 440 

5 720 

.... 

.... 

.... 

 

24 821 

7 343 

1 170 

286 

.... 

 

 

 

 

 

 

Grants and Subsidies13

474 720 

706 331 

779 790 

702 389 

568 437 

 

 

 

 

 

 

TOTAL

1 189 201 

1 482 294 

1 523 109 

1 497 997 

1 407 212 

 

 

 

 

 

 

Notes:

1.    The increase in Debt Servicing primarily reflects the increase in borrowings to support the estimated General Government Sector cash deficit together with the impact of forecast higher interest rates.

2.    The increase in Interest on Sundry Deposits is primarily due to variations in cash balances and forecast higher interest rates.

3.    The increase in Government Businesses in 2022‑23 primarily reflects funding provided to Tasmanian Irrigation Pty Ltd for Tranche 3 Scheme Business Case development, legacy asset studies and project development and delivery costs, and funding provided to Metro Tasmania Pty Ltd to implement a common ticketing system.

4.    The Treasurerís Reserve has been maintained at $150 million in 2022‑23 to meet unexpected costs which could not be reasonably foreseen at the time of developing the 2022‑23 Budget, particularly in relation to the COVID‑19 pandemic. Over the Forward Estimates, the Treasurerís Reserve is $50 million per annum.

5.    The increase in Miscellaneous from 2023‑24 primarily reflects funding to be allocated to agencies for the continuation of time limited programs over the Forward Estimates.

6.    The decrease in Payment to Australian Taxation Office: GST Administration from 2023‑24 primarily reflects a reduction in GST compliance expenditure.

7.    The increase in Tasmanian Risk Management Fund in 2022-23 primarily reflects changes in potential claim estimates provided by the Stateís Actuary.

8.    The increase in Property Management Services in 2022‑23 primarily reflects the recognition of additional lease contracts under AASB 16 Leases for major office accommodation. The decrease from 2023‑24 primarily reflects movements in the discount rate used on lease contracts, depreciation of right‑of‑use assets and expiring lease contracts.

9.    The decrease in Ex‑Gratia Assistance reflects lower expected payments to be made under section 55 of the Financial Management Act 2016.

10.  The decrease in the Public Building Maintenance Fund reflects the completion of maintenance work funded under this program as part of the Governmentís COVID‑19 Response and Recovery measures.

11.  The variations in Local Government $200 million Interest Free Loans reflect revised cash flows based on approved council loan schedules and the conclusion of the Program in 2024‑25.

12.  The decrease in Tasmanian HomeBuilder Grant in 2022‑23 reflects the expected finalisation of payments under the Program.

13.  For further information on the variation in Grants and Subsidies see Table 4.5 Administered Expenses.


14.   

Output Group 1:††† Debt Servicing and Management

1.1 Debt Servicing

This Output provides for the interest cost incurred in managing the State Governmentís debt portfolio.

1.2 Interest on Sundry Deposits

This Output provides for the payment of interest on balances held in certain Specific Purpose Accounts and Agency Trust Accounts.

Output Group 2:††† Employee Related Costs

2.1 Superannuation and Pensions

This Output meets the Governmentís share of superannuation and pension costs in respect of defined benefit schemes.

The superannuation and pension expense estimates include service costs in respect of unfunded superannuation benefits and nominal interest costs on defined benefit liabilities. The estimated value of the expense is based on the most recent actuarial assessment of the superannuation liability.

Further information in relation to the General Government superannuation liability can be found in chapter 7 of The Budget Budget Paper No 1.

Output Group 3:††† Government Businesses

3.1 Sustainable Timber Tasmania

This Output provides funding to Sustainable Timber Tasmania to maintain its firefighting capacity and assist with fighting wild fires.

3.2 State Fire Commission

This Output makes provision to support the State Fire Commission in funding excess firefighting costs, to support the Bushfire Mitigation Program and to meet the State Governmentís annual funding contribution to the State Fire Commission in accordance with section 101 of the Fire Service Act 1979. Further information in relation to the Commission can be found in chapter 27 of this Budget Paper.

3.4 Government Businesses

Contribution to the Tasmanian Racing Industry (Point of Consumption Tax)

The introduction of a Point of Consumption tax on wagering was announced in the 2019‑20 Budget and a commitment was provided to share the net benefits between Government and the racing industry. It was agreed that 80 per cent of the additional revenue generated from the POC tax would be provided to Tasracing Pty Ltd to support the thoroughbred, harness and greyhound codes of racing in Tasmania through investment in stakes, infrastructure and animal welfare. The POC tax commenced on 1 January 2020.

Intelligent Transport Systems Project

This commitment, which commenced in 2021‑22, provides $2 million, over four years, to support Metro Tasmania Pty Ltd to implement its Intelligent Transport Systems project.

Common Ticketing System

This commitment provides $29.5 million, over four years, to support Metro Tasmania Pty Ltd to implement a modern, integrated and intelligent common ticketing solution that will apply to all general access public transport operators.

Tasmanian Irrigation Pty Ltd

Funding of $24.2 million is provided to Tasmanian Irrigation Pty Ltd over the Budget and Forward Estimates to support the preparation and development of the Tranche 3 irrigation scheme business cases, legacy assets studies and project development and delivery costs.

Output Group 4:††† Miscellaneous

4.1 Information and Communication Technology

This Output provides funding for program management expenditure associated with the Digital Transformation Priority Expenditure Program. Funding for the Tasmanian Government Radio Network has been transferred to the Department of Police, Fire and Emergency Management from 2021‑22.

4.2 Treasurerís Reserve

This Output provides funding to meet expenditure that could not reasonably be foreseen at the time of developing the 2022‑23 Budget and which is essential for timely and efficient financial management.

4.3 Miscellaneous

This Output provides funding for miscellaneous payments including expenditure related to Government Business Structural Reviews. Funding of up to $180 million is also allocated over three years in the Forward Estimates to be provided to agencies for the continuation of time limited programs.

4.4 Payment to Australian Tax Office: GST Administration

Under the Intergovernmental Agreement on Federal Financial Relations, the states and territories compensate the Australian Taxation Office for the agreed costs incurred in administering the goods and services tax. The states and territories share the GST administration costs on a per capita basis. This Output reflects Tasmaniaís contribution to collection and compliance costs.

4.5 Tasmanian Risk Management Fund

This Output represents anticipated claim and administration costs for the Tasmanian Risk Management Fund. Claim expenditure estimates for the Fund reflect the most recent actuarial advice.

4.6 Fleet Management Services

All direct transactions associated with whole‑of‑government light vehicle fleet management activities are recorded in the Government Car Fleet Account within the Public Account.

Revenue in the Government Car Fleet Account is derived from the sale of vehicles, the proceeds of vehicle write‑offs, miscellaneous revenue items and receipts from the Governmentís Fleet Manager for vehicle usage charges, registration payments and return of insurance excesses for agencies.

Estimated expenses for this Output include motor vehicle registration expenses, estimated depreciation on motor vehicles and the refund of insurance excesses to agencies.

4.7 Property Management Services

Property Management Services includes building depreciation and rental and other occupancy costs relating to major office accommodation.

The Department of Treasury and Finance works with agencies to ensure that all leases are reviewed leading up to expiry to achieve the best use of office space and optimise whole‑of‑government outcomes in relation to more efficient and effective management of the Governmentís leased office accommodation. Strategic divestments of the Stateís property portfolio proposed by the Government are managed, by Treasury, on a case‑by‑case basis.

4.8 Infrastructure Investment Project Planning

The Infrastructure Investment Project Planning Output provides annual funding to support the early planning stages of major infrastructure projects including as part of the Structured Infrastructure Investment Review Process.

4.9 Ex‑Gratia Assistance

Under section 55 of the Financial Management Act, if the Treasurer is satisfied that it is appropriate to do so because of special circumstances, the Treasurer may authorise an amount to be paid to a person even though the payment would not otherwise be authorised by law or be required to meet a legal liability.


 

Capital Investment Program

Table 4.2 provides financial information for Finance‑Generalís Capital Investment Program. More information on the Capital Investment Program is provided in chapter 6 of The Budget Budget Paper No 1.

Table 4.2:†††††††† Capital Investment Program

 

Estimated 

2022‑23 

2023‑24 

2024‑25 

2025‑26 

 

Total 

 

Forward 

Forward 

Forward 

 

Cost 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

Existing Projects

 

 

 

 

 

 

 

 

 

 

 

Treasurer

 

 

 

 

 

Digital Transformation Priority Expenditure Program

Ongoing 

17 493 

19 813 

25 000 

29 000 

 

 

 

 

 

 

Total CIP Allocations

 

17 493 

19 813 

25 000 

29 000 

 

 

 

 

 

 


 

Detailed Budget Statements

Table 4.3:†††††††† Statement of Comprehensive Income ‑ Administered

 

2021‑22 

2022‑23 

2023‑24 

2024‑25 

2025‑26 

 

 

 

Forward 

Forward 

Forward 

 

Budget 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

 

 

 

 

 

 

Administered revenue and other income

 

 

 

 

 

Appropriation revenue ‑ operating1

943 758 

956 815 

981 894 

905 559 

940 345 

Appropriation revenue ‑ capital1

20 033 

12 868 

19 813 

25 000 

29 000 

Other revenue from government1

30 409 

13 912 

.... 

.... 

.... 

Grants2

4 071 125 

4 513 450 

4 792 361 

4 830 160 

4 798 745 

Taxation2

1 317 863 

1 472 630 

1 568 302 

1 638 923 

1 710 158 

Sales of goods and services

162 385 

185 593 

180 713 

189 216 

198 794 

Interest3

5 031 

24 371 

31 701 

31 191 

32 813 

Dividend, tax and rate equivalent income4

383 826 

336 242 

294 876 

311 169 

330 974 

Other revenue

118 416 

119 540 

118 582 

118 582 

118 582 

Total administered revenue

7 052 846 

7 635 421 

7 988 242 

8 049 800 

8 159 411 

Net gain/(loss) on non‑financial assets

4 623 

8 839 

7 085 

6 365 

3 893 

Other gains/(losses) from other economic flows5

(6 863)

26 675 

(10 490)

(13 400)

(10 525)

Total administered income

7 050 606 

7 670 935 

7 984 837 

8 042 765 

8 152 779 

 

 

 

 

 

 

Administered expenses

 

 

 

 

 

Employee benefits6

257 965 

289 191 

280 872 

271 886 

262 726 

Depreciation and amortisation

51 189 

55 837 

54 924 

52 069 

49 972 

Supplies and consumables7

289 906 

296 326 

197 833 

205 782 

213 812 

Grants and subsidies8

547 493 

753 738 

850 700 

792 294 

673 494 

Borrowing costs9

42 648 

87 202 

138 780 

175 966 

207 208 

Transfers to the Public Account

6 869 855 

7 302 067 

7 160 418 

7 104 217 

7 032 414 

Total administered expenses

8 059 056 

8 784 361 

8 683 527 

8 602 214 

8 439 626 

 

 

 

 

 

 

Administered net result

(1 008 450)

(1 113 426)

(698 690)

(559 449)

(286 847)

 

 

 

 

 

 

Administered other comprehensive income

 

 

 

 

 

Net gain/(loss) on revaluation of equity investment10

(181 210)

(51 139)

(63 826)

(44 980)

(98 028)

Other movements taken directly to equity

(1)

(1)

(1)

(1)

(1)

Total administered other comprehensive income

(181 211)

(51 140)

(63 827)

(44 981)

(98 029)

 

 

 

 

 

 

Administered comprehensive result

(1 189 661)

(1 164 566)

(762 517)

(604 430)

(384 876)

 

 

 

 

 

 

Notes:

1.    Explanations for significant variances and further information can be found in Table 4.4 Revenue from Appropriation by Output.

2.    Explanations for significant variances and further information can be found in chapter 5 of The Budget Budget Paper No 1.

3.    The increase in Interest from 2022‑23 reflects the impact of higher forecast earning rates.

4.    Further information on Dividend, tax and rate equivalent income can be found in chapter 5 of The Budget Budget Paper No 1.

5.    Other gains/(losses) from other economic flows reflects the estimated change in deferred tax assets and liabilities held by government businesses.

6.    The variation in Employee benefits from 2022‑23 primarily reflects the latest actuarial assessments of superannuation expenditure.

7.    The decrease in Supplies and consumables from 2023‑24 reflects a reduction in the Treasurerís Reserve.

8.    Explanations for the variation in Grants and subsidies can be found in Table 4.5 Administered Expenses.

9.    The increase in Borrowing costs primarily reflects increases in borrowings to support the estimated General Government Sector cash deficit together with the impact of forecast higher interest rates.

10.  Net gain/(loss) on revaluation of equity investment reflects the estimated change in the value of net assets of government businesses, excluding any equity contributions, between 1 July and 30 June each year.


 

Table 4.4:†††††††† Revenue from Appropriation by Output

 

2021‑22 

2022‑23 

2023‑24 

2024‑25 

2025‑26 

 

 

 

Forward 

Forward 

Forward 

 

Budget 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

 

 

 

 

 

 

Treasurer

 

 

 

 

 

 

 

 

 

 

 

Output Group 1 ‑ Debt Servicing and Management

 

 

 

 

 

1.1 Debt Servicing1

36 207 

75 428 

126 125 

163 447 

196 352 

1.2 Interest on Sundry Deposits2

1 394 

5 299 

11 801 

14 063 

14 874 

 

37 601 

80 727 

137 926 

177 510 

211 226 

Output Group 2 ‑ Employee Related Costs

 

 

 

 

 

2.1 Superannuation and Pensions

350 

350 

350 

350 

350 

 

350 

350 

350 

350 

350 

Output Group 3 ‑ Government Businesses

 

 

 

 

 

3.1 Sustainable Timber Tasmania

2 000 

2 000 

2 000 

2 000 

2 000 

3.2 State Fire Commission

12 596 

12 596 

12 596 

12 596 

12 596 

3.4 Government Businesses3

189 752 

225 806 

182 103 

52 503 

25 714 

 

204 348 

240 402 

196 699 

67 099 

40 310 

Output Group 4 ‑ Miscellaneous

 

 

 

 

 

4.1 Information and Communication Technology

140 

.... 

.... 

.... 

.... 

4.2 Treasurer's Reserve4

150 000 

150 000 

50 000 

50 000 

50 000 

4.3 Miscellaneous5

1 424 

947 

40 940 

60 997 

81 005 

4.4 Payment to Australian Tax Office: GST Administration6

14 411 

14 308 

10 147 

10 096 

10 103 

4.7 Property Management Services

13 911 

12 600 

12 716 

12 837 

7 943 

4.8 Infrastructure Investment Project Planning

2 000 

2 000 

2 000 

2 000 

2 000 

4.9 Ex‑Gratia Assistance7

4 700 

300 

300 

300 

300 

 

186 586 

180 155 

116 103 

136 230 

151 351 

Output Group 89 ‑ Public Building Maintenance Program

 

 

 

 

 

89.1 Public Building Maintenance Program8

12 952 

356 

.... 

.... 

.... 

 

12 952 

356 

.... 

.... 

.... 

Output Group 90 ‑ COVID‑19 Response and Recovery

 

 

 

 

 

90.2 Local Government $200 million Interest Free Loans9

1 381 

1 623 

1 170 

286 

.... 

90.8 Tasmanian HomeBuilder Grant10

23 440 

5 720 

.... 

.... 

.... 

 

24 821 

7 343 

1 170 

286 

.... 


 

Table 4.4:†††††††† Revenue from Appropriation by Output (continued)

 

2021‑22 

2022‑23 

2023‑24 

2024‑25 

2025‑26 

 

 

 

Forward 

Forward 

Forward 

 

Budget 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

 

 

 

 

 

 

Grants and Subsidies

164 557 

123 245 

201 188 

175 991 

177 447 

 

 

 

 

 

 

Capital Investment Program

20 033 

12 868 

19 813 

25 000 

29 000 

 

 

 

 

 

 

Finance‑General

 

 

 

 

 

Total Operating Services

631 215 

632 578 

653 436 

557 466 

580 684 

Total Capital Services

20 033 

12 868 

19 813 

25 000 

29 000 

 

651 248 

645 446 

673 249 

582 466 

609 684 

 

 

 

 

 

 

Reserved by Law

 

 

 

 

 

Payments to Municipalities under the Local Government (Rates and Charges Remissions) Act 1991

18 651 

19 199 

19 648 

19 990 

20 338 

Payments under the Public Sector Superannuation Reform (Parliamentary Superannuation) Regulations 2016

1 019 

1 000 

988 

972 

954 

Superannuation Benefits Payable under the Governor of Tasmania Act 1982

113 

111 

111 

111 

110 

Superannuation Benefits Payable under the Judges' Contributory Pensions Act 1968

1 912 

1 903 

1 906 

1 903 

1 893 

Superannuation Benefits Payable under the Public Sector Superannuation Reform Act 2016

290 575 

301 753 

305 533 

324 846 

336 096 

Superannuation Benefits Payable under the Solicitor‑General Act 1983

273 

271 

272 

271 

270 

 

312 543 

324 237 

328 458 

348 093 

359 661 

 

 

 

 

 

 

Appropriation Rollover

30 409 

13 912 

.... 

.... 

.... 

 

 

 

 

 

 

Total Revenue from Appropriation

994 200 

983 595 

1 001 707 

930 559 

969 345 

 

 

 

 

 

 

Administered Revenue from Appropriation

994 200 

983 595 

1 001 707 

930 559 

969 345 

 

994 200 

983 595 

1 001 707 

930 559 

969 345 

 

 

 

 

 

 

Notes:

1.    The increase in Debt Servicing primarily reflects increases in borrowings to support the estimated General Government Sector cash deficit together with the impact of forecast higher interest rates.

2.    The increase in Interest on Sundry Deposits is primarily due to variations in cash balances and forecast higher interest rates.

3.    The variation in Government Businesses primarily reflects changes in equity contributions provided through the General Government Sector. Further details on equity contributions can be found in chapter 6 of The Budget Budget Paper No 1.

4.    The Treasurerís Reserve has been maintained at $150 million in 2022‑23 to meet unexpected costs which could not be reasonably foreseen at the time of developing the 2022‑23 Budget, particularly in relation to the COVID‑19 pandemic. Over the Forward Estimates, the Treasurerís Reserve decreases to $50 million per annum.

5.    The decrease in Miscellaneous in 2022‑23 primarily reflects the timing of grant expenditure. The increase from 2023‑24 primarily reflects funding to be allocated to agencies for the continuation of time limited programs over the Forward Estimates.

6.    The decrease in Payment to the Australian Taxation Office: GST Administration from 2023‑24 primarily reflects a reduction in GST compliance expenditure.

7.    The decrease in Ex‑Gratia Assistance reflects lower expected payments to be made under section 55 of the Financial Management Act.

8.    The decrease in the Public Building Maintenance Fund reflects the completion of maintenance work funded under this Program as part of the Governmentís COVID‑19 Response and Recovery measures.

9.    The variations in Local Government $200 million Interest Free Loans reflect revised cash flows based on approved council loan schedules and the conclusion of the Program in 2024‑25.

10.  The decrease in Tasmanian HomeBuilder Grant in 2022‑23 reflects the expected finalisation of payments under the Program.


 

Table 4.5:†††††††† Administered Expenses

 

2021‑22 

2022‑23 

2023‑24 

2024‑25 

2025‑26 

 

 

 

Forward 

Forward 

Forward 

 

Budget 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

 

 

 

 

 

 

Grants and Subsidies

 

 

 

 

 

Energy Retailer Concession1

56 306 

44 852 

45 904 

46 978 

48 079 

First Home Builder Assistance2

26 280 

25 530 

13 590 

3 990 

3 990 

Local Government: Grants3

55 004 

36 518 

124 503 

108 867 

111 819 

Management of Australian Government Funding4

289 111 

562 999 

558 926 

506 380 

370 624 

Natural Disaster Relief Scheme5

3 091 

562 

532 

532 

532 

Other Grants and Subsidies6

9 407 

34 

34 

34 

34 

Payments under Local Government (Rates and Charges Remissions) Act 1991

18 651 

19 199 

19 648 

19 990 

20 338 

Payroll Tax Assistance7

7 320 

6 875 

6 674 

5 418 

2 462 

TT‑Line Pensioner Concession Subsidy

342 

342 

342 

342 

342 

Water and Sewerage Concessions and Subsidies

9 208 

9 420 

9 637 

9 858 

10 217 

 

474 720 

706 331 

779 790 

702 389 

568 437 

 

 

 

 

 

 

Transfers to the Public Account

6 869 855 

7 302 067 

7 160 418 

7 104 217 

7 032 414 

 

 

 

 

 

 

Other Administered Expenses

714 481 

775 963 

743 319 

795 608 

838 775 

 

 

 

 

 

 

Total Administered Expenses

8 059 056 

8 784 361 

8 683 527 

8 602 214 

8 439 626 

 

 

 

 

 

 

Notes:

1.    The decrease in Energy Retailer Concession in 2022‑23 primarily reflects the $12 million contribution to the Winter Energy Supplement in 2021‑22.

2.    The decrease in First Home Builder Assistance in 2023‑24 reflects the Governmentís decision to extend the $30 000 First Home Owner Grant for a further 12 months to 30 June 2023.

3.    The decrease in Local Government: Grants in 2022‑23 reflects an advanced payment which was received in 2021‑22 in relation to the 2022‑23 entitlement.

4.    The variation in Management of Australian Government Funding reflects the timing of grant payments associated with National Partnership agreements.

5.    The decrease in Natural Disaster Relief Scheme in 2022‑23 reflects the finalisation of costs associated with the May 2018 extreme weather event, the 2018‑19 bushfire event and the 2020 and 2021 storm events.

6.    The decrease in Other Grants and Subsidies in 2022‑23 reflects the transfer of administration of the Headworks Holiday funding to the Department of State Growth.

7.    The variation in Payroll Tax Assistance primarily relates to the Governmentís decision to extend the Payroll Tax Rebate for eligible apprentices, trainees and youth employees by a further 24 months to 30 June 2024, and expenditure gradually declining from 2022‑23 reflecting that the rebate is time‑limited for eligible employees.


 

Energy Retailer Concession

In accordance with the Electricity Supply Industry Act 1995, the Government entered into a Community Service Obligation Agreement with authorised electricity retailers to provide a range of concessions to eligible low income households and pensioners and those requiring specified life support equipment to assist them in meeting the costs of electricity. The decrease in the Electricity Retailer Concession in 2022‑23 reflects the one‑off Winter Energy Supplement in 2021‑22 and a decrease in the number of concession customers as the economic impact of the COVID‑19 pandemic dissipates. The increase over the Forward Estimates period reflects the historical average concession growth rate.

First Home Builder Assistance

The Government has extended the $30 000 First Home Owner Grant for a further 12 months to 30 June 2023, which is expected to support ongoing demand for newly constructed homes by first home buyers. The $30 000 FHOG now applies to all eligible contracts entered into from 1 April 2021 until 30 June 2023 (inclusive).

Local Government Grants

Local Government Grants includes funding under the Australian Local Government (Financial Assistance) Act 1995, whereby the Australian Government provides funds to the states for distribution as general purpose grants to local government. This funding includes general purpose funding and identified local road funding.

Natural Disaster Relief Scheme

A Tasmanian Natural Disaster Relief Scheme, administered by the Department of Premier and Cabinet, is funded within Finance‑General. This Scheme provides for payments to local government authorities for the eligible costs of restoring or replacing essential public assets, which have been damaged as a direct result of a disaster, to a pre‑disaster standard. Disasters for which relief is available are determined at the national level and include any one of, or a combination of, the following natural hazards: bushfire; earthquake; flood; storm; cyclone; storm surge; landslide; tsunami; meteorite strike or tornado.

Other Grants and Subsidies

Funding of $34 000 has been included for Other Grants and Subsidies in the 2022‑23 Budget and Forward Estimates, for minor expenses relating to the Rosetta and Berriedale landslip accounts.

Payments under Local Government (Rates and Charges Remissions) Act 1991

In accordance with the provisions of the Local Government (Rates and Charges Remissions) Act, the pensioner rates remission scheme provides a concession of 30 per cent off council rates and charges, up to a defined maximum annual amount for eligible pensioners. The maximum concession is indexed annually to ensure that rate relief increases in line with inflation.


 

Payroll Tax Assistance

Payroll Tax Rebate (Trainees, Apprentices and Youth)

The Payroll Tax Rebate Scheme provides payroll tax relief to businesses operating in Tasmania that employ apprentices, trainees and youth employees. The Scheme was extended to 30 June 2024 and applies to all new apprentices and trainees employed before that date. The payroll tax rebate is provided for a two year period from the date that apprentices and trainees are employed and one year from the date that youth employees are employed.

Qantas Airways Limited

The Government is continuing its financial assistance package to Qantas, including payroll tax reimbursement of up to $1 million per annum for 10 years from 2014‑15, ending with a final reimbursement of up to $250 000 in 2024‑25. Funding is limited to the sum of $1 million in any one financial year or the amount of payroll tax paid in that year, whichever is the lesser sum. This payroll tax relief is part of a broader agreement with Qantas to secure existing Qantas Contact Centre positions and, through the consolidation of Australia wide operations, provides for employment at the Hobart Contact Centre.

TT‑Line Pensioner Concession Subsidy

The Government provides a subsidy to TT‑Line Company Pty Ltd for the additional cost of providing concession arrangements to pensioners following an extension by the Australian Government, from 1 April 1993, of eligibility for the Pensioner Concession Card.

Water and Sewerage Concessions and Subsidies

Under the Water and Sewerage Industry (Community Service Obligation) Act 2009, concessions are made available to eligible low income households and pensioners to assist them in meeting the cost of services provided by Tasmanian Water and Sewerage Corporation Pty Ltd. Payments are made to TasWater which passes the benefit onto eligible concession card holders as lower service charges.

Table 4.6:†††††††† Statement of Financial Position as at 30 June ‑ Administered

 

2022 

2023 

2024 

2025 

2026 

 

 

 

Forward 

Forward 

Forward 

 

Budget 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

Assets

 

 

 

 

 

Financial assets

 

 

 

 

 

Cash and deposits1

1 066 972 

687 550 

714 979 

635 738 

697 549 

Investments2

43 528 

601 880 

601 410 

600 940 

600 470 

Receivables

96 201 

150 052 

150 052 

150 052 

150 052 

Equity investments3

5 028 582 

5 595 222 

5 760 098 

5 832 487 

5 806 596 

Other financial assets4

425 342 

565 445 

580 657 

602 636 

609 707 

 

6 660 625 

7 600 149 

7 807 196 

7 821 853 

7 864 374 

 

 

 

 

 

 

Non‑financial assets

 

 

 

 

 

Assets held for sale

572 

1 071 

1 071 

1 071 

1 071 

Property, plant and equipment

137 128 

163 067 

168 967 

173 617 

173 813 

Infrastructure5

51 580 

63 878 

83 691 

108 691 

137 691 

Other assets6

221 169 

274 653 

242 988 

214 669 

162 737 

 

410 449 

502 669 

496 717 

498 048 

475 312 

 

 

 

 

 

 

Total assets

7 071 074 

8 102 818 

8 303 913 

8 319 901 

8 339 686 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

Payables

30 386 

49 561 

49 302 

49 083 

47 829 

Interest bearing liabilities7

3 457 735 

4 832 949 

5 795 055 

6 544 265 

6 987 823 

Superannuation8

9 893 800 

8 399 153 

8 371 065 

8 314 698 

8 237 951 

Other liabilities9

505 975 

591 616 

621 469 

549 263 

588 367 

Total liabilities

13 887 896 

13 873 279 

14 836 891 

15 457 309 

15 861 970 

 

 

 

 

 

 

Net assets (liabilities)

(6 816 822)

(5 770 461)

(6 532 978)

(7 137 408)

(7 522 284)

 

 

 

 

 

 

Equity

 

 

 

 

 

Reserves

10 592 

22 187 

22 187 

22 187 

22 187 

Other reserves

(1 098 509)

(804 212)

(868 038)

(913 018)

(1 011 046)

Accumulated funds

(5 728 905)

(4 988 436)

(5 687 127)

(6 246 577)

(6 533 425)

Total equity

(6 816 822)

(5 770 461)

(6 532 978)

(7 137 408)

(7 522 284)

 

 

 

 

 

 

Notes:

1.    The decrease in Cash and deposits over the Budget and Forward Estimates reflects a reclassification of $600 million to Investments for funds invested with the Tasmanian Public Finance Corporation. This decrease is partially offset by higher Specific Purpose Account cash balances.

2.    The increase in Investments reflects the reclassification of $600 million from Cash and deposits for funds invested with the Tasmanian Public Finance Corporation.

3.    The increase in Equity investments primarily reflects the estimated change in the value of net assets of government businesses between 1 July and 30 June each year.

4.    The increase in Other financial assets in 2023 represents the estimated movement of deferred tax assets and liabilities held by government businesses.

5.    The increase in Infrastructure reflects expenditure associated with the Digital Transformation Priority Expenditure Program.

6.    The variation in Other assets primarily reflects the net value of leased assets net of annual depreciation.

7.    The increase in Interest bearing liabilities primarily reflects the increase in borrowings to support the General Government Sector cash deficit.

8.    The decrease in Superannuation primarily reflects the latest actuarial advice provided by the Stateís Actuary. The main reason for the movement is due to a change in the discount rate from 1.5 per cent to 2.5 per cent. Further information is included in chapter 7 of The Budget Budget Paper No 1.

9.    The variation in Other liabilities primarily reflects revised contract liability balances (AASB 15 Revenue from Contracts with Customers) based on the timing of cash flows within the Australian Government Funding Management Account.


 

Table 4.7:†††††††† Statement of Cash Flows ‑ Administered

 

2021‑22 

2022‑23 

2023‑24 

2024‑25 

2025‑26 

 

 

 

Forward 

Forward 

Forward 

 

Budget 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

 

 

 

 

 

 

Cash flows from operating activities

 

 

 

 

 

Cash inflows

 

 

 

 

 

Appropriation receipts ‑ operating

943 758 

956 815 

981 894 

905 559 

940 345 

Appropriation receipts ‑ capital

20 033 

12 868 

19 813 

25 000 

29 000 

Appropriation receipts ‑ other

30 409 

13 912 

.... 

.... 

.... 

Grants

4 115 304 

4 530 817 

4 815 302 

4 751 042 

4 830 937 

Taxation

1 317 939 

1 471 071 

1 565 407 

1 636 020 

1 709 307 

Sales of goods and services

162 385 

185 593 

180 713 

189 216 

198 794 

GST receipts

13 500 

13 500 

13 500 

13 500 

13 500 

Interest received

5 068 

23 954 

31 271 

30 562 

31 850 

Dividends received1

451 686 

353 304 

279 159 

285 982 

321 852 

Other cash receipts

118 416 

119 540 

118 582 

118 582 

118 582 

Total cash inflows

7 178 498 

7 681 374 

8 005 641 

7 955 463 

8 194 167 

 

 

 

 

 

 

Cash outflows

 

 

 

 

 

Superannuation

(294 042)

(305 188)

(308 960)

(328 253)

(339 473)

Borrowing costs

(38 345)

(87 242)

(138 786)

(175 933)

(208 210)

GST payments

(13 500)

(13 500)

(13 500)

(13 500)

(13 500)

Grants and subsidies

(547 493)

(753 738)

(850 700)

(792 294)

(673 494)

Transfers to the Public Account

(6 869 855)

(7 302 067)

(7 160 418)

(7 104 217)

(7 032 414)

Supplies and consumables

(289 906)

(296 326)

(197 833)

(205 782)

(213 812)

Total cash outflows

(8 053 141)

(8 758 061)

(8 670 197)

(8 619 979)

(8 480 903)

 

 

 

 

 

 

Net cash from (used by) operating activities

(874 643)

(1 076 687)

(664 556)

(664 516)

(286 736)

 

 

 

 

 

 

Cash flows from investing activities

 

 

 

 

 

Payments for acquisition of non‑financial assets2

(62 641)

(58 174)

(59 497)

(63 902)

(63 988)

Proceeds from the disposal of non‑financial assets

18 864 

23 080 

21 326 

20 606 

18 134 

Equity injections and cash flows from restructuring3

(275 132)

(336 361)

(228 702)

(117 369)

(72 137)

Net advances paid

470 

470 

470 

470 

470 

Net receipts/(payments) for investments4

21 245 

41 044 

.... 

.... 

.... 

Net cash from (used by) investing activities

(297 194)

(329 941)

(266 403)

(160 195)

(117 521)


 

Table 4.7:†††††††† Statement of Cash Flows ‑ Administered (continued)

 

2021‑22 

2022‑23 

2023‑24 

2024‑25 

2025‑26 

 

 

 

Forward 

Forward 

Forward 

 

Budget 

Budget 

Estimate 

Estimate 

Estimate 

 

$'000 

$'000 

$'000 

$'000 

$'000 

 

 

 

 

 

 

Cash flows from financing activities

 

 

 

 

 

Net borrowings

868 467 

1 429 487 

958 388 

745 470 

466 068 

Net cash from (used by) financing activities

868 467 

1 429 487 

958 388 

745 470 

466 068 

 

 

 

 

 

 

Net increase (decrease) in cash and cash equivalents held

(303 370)

22 859 

27 429 

(79 241)

61 811 

 

 

 

 

 

 

Cash and deposits at the beginning of the reporting period

1 370 342 

664 691 

687 550 

714 979 

635 738 

Cash and deposits at the end of the reporting period

1 066 972 

687 550 

714 979 

635 738 

697 549 

 

 

 

 

 

 

Notes:

1.    Dividends received include dividends, rate equivalent income and income tax equivalent income. The Dividend, tax and rate equivalent income within Table 4.3 Statement of Comprehensive Income ‑ Administered includes accrued revenue relating to income tax equivalents which is not recognised within the Statement of Cash Flows ‑ Administered.

2.    The decrease in Payments for acquisition of non-financial assets in 2022-23 primarily reflects the timing of cash flows associated with the Digital Transformation Priority Expenditure Program and the Governmentís fleet management services.

3.    The increase in Equity injections and cash flows from restructuring in 2022‑23 primarily reflects equity contributions provided through the General Government Sector. Further details on equity transfers can be found in chapter 6 of The Budget Budget Paper No 1.

4.    The movement in Net receipts/(payments) for investments reflects the drawdown of the TT‑Line Vessel Replacement Fund.