Department of Sustainability, Environment, Water, Population and Communities

Settlement was made according to the terms and conditions of each grant within 30 days of performance or eligibility.

Administered – Cash Flow Reconciliation

	2013		2012
	$'000		$'000
Reconciliation of cash and cash equivalents as per Administered Schedule of Assets and Liabilities to Administered Cash Flow Statement
Cash and cash equivalents as per:
Schedule of administered cash flows	-		-
Schedule of administered assets and liabilities	-		-
Difference	-		-
Reconciliation of net cost of services to net cash from operating activities:
Net cost of services	(806,433)		(810,005)
Adjustments for non-cash items
Restructuring	-		28,827
Adjustment for errors	-		45
Other income not providing cash	(46,608)		(51,218)
Depreciation / amortisation	425		12
Net write down of non-financial assets	343,294		70,586
Other expenses not requiring cash	(119,189)		(57,353)
Changes in assets / liabilities
(Increase) / decrease in net receivables	10,454		(9,093)
(Increase) / decrease in tax receivables	(22,806)		-
(Increase) / decrease in inventories	(663)		208
Increase / (decrease) in supplier payables	(1,549)		3,540
Increase / (decrease) in subsidies payable	-		(3,883)
Increase / (decrease) in grants payable	(10,276)		(12,519)
Net cash from (used by) operating activities	(653,351)		(840,853)

Administered – Contingent Assets and Liabilities

Quantifiable Administered Contingencies

There are no quantifiable contingencies in either the current or the immediately preceding reporting periods, therefore there is no schedule for such items.

Unquantifiable Administered Contingencies

At 30 June 2013, the Department carried a contingent asset in respect of input tax credits receivable from the Australian Taxation Office (ATO). The ATO is currently calculating the extent of the credits and it is not possible to estimate the value of the receivable at this stage (2012: Nil).

At 30 June 2013, the Department carried a contingent asset in respect of funding, provided under the NSW State Priority Projects program, to the NSW Government to purchase land and water entitlements in the Nimmie-Caira area. It was not possible to estimate the value of the assets that may be received in relation to this program at this stage (2012: Nil).

The Department of Sustainability, Environment, Water, Population and Communities has detected some contamination at the former site of the National Halon Bank in Braybrook, Victoria, which was leased to the Commonwealth. Investigations are continuing into the cause, source and timing of the contamination. Once these investigations have been completed, the extent of any potential soil and groundwater remediation costs for the parties involved, including the Commonwealth, will be clearer.

Significant Remote Administered Contingencies

Under the 2013 Intergovernmental Agreement on Implementing Water Reform in the Murray Darling Basin, signatory Basin States have agreed that the capped financial support provided through the associated National Partnership for state implementation payments replaces the 'No Net Additional Costs' provision under the 2008 Intergovernmental Agreement on Murray-Darling Basin Reform. As at 15 July 2013, Victoria, South Australia and the ACT had signed the 2013 Intergovernmental Agreement, whilst NSW and Queensland were considering the matter further and are thus still covered under the provisions of the old 2008 Intergovernmental Agreement. The 2008 Intergovernmental Agreement specified that the Basin States will not bear additional net costs as a consequence of the reforms agreed between the parties and implementation of the Water Act 2007. This undertaking ceases on 30 June 2015.

Administered – Investments

The principal activities of each of the Department's administered investments were as follows (Refer to Note 20D):

Director of National Parks Assists the Minister and the Department in the conservation and appreciation of Australia's biological diversity and associated cultural heritage, through leadership and cooperation in the management of the Commonwealth's protected areas. Sydney Harbour Federation Trust Is responsible for planning, managing, conserving, enhancing and making publicly accessible certain lands on or near the foreshores of Sydney Harbour.

Administered – Financial Instruments

	2013		2012
	$'000		$'000
Note 26A. Categories of Financial Instruments
Financial Assets
Loans and receivables:
Cash and cash equivalents	-		-
Advances and loans	5,998		8,116
Goods and services and other receivables	1,041		1,170
Total loans and receivables	7,039		9,286
Carrying amount of financial assets	7,039		9,286
Financial Liabilities
At amortised cost:
Trade creditors and accruals	7,166		8,715
Grants payable	23,058		33,334
Total financial liabilities at amortised cost	30,224		42,049
Carrying amount of financial liabilities	30,224		42,049

Note 26B. Net Income and Expense from Financial Assets
Loans and receivables
Interest revenue	693		894
Impairment	(926)		(402)
Net gain/(loss) from loans and receivables	(233)		492
Net gain/(loss) from financial assets	(233)		492

Note 26C. Net Income and Expense from Financial Liabilities
There have been no net gains/(losses) recorded for financial liabilities in 2013 financial year (2012: Nil).

Note 26D. Fair Value of Financial Instruments
The fair value of all financial assets and liabilities approximate their carrying amounts.