BUDGET
2015 - 16
Portfolio Budget Statements 2015-16 Budget Related Paper No. 1.4B
Defence Portfolio (Department of Veterans' Affairs)
Budget Initiatives and Explanations Of Appropriations Specified by Outcomes and Programmes by Entity © Commonwealth of Australia 2015
ISBN 978-0-9925839-4-1
This publication is available for your use under a Creative Commons BY Attribution 3.0 Australia licence, with the exception of the Commonwealth Coat of Arms, the Department of Veterans’ Affairs logo, photographs, images, signatures and where otherwise stated. The full licence terms are available from http://creativecommons.org/licenses/by/3.0/au/legalcode
Use of the Department of Veterans’ Affairs material under a Creative Commons BY Attribution 3.0 Australia licence requires you to attribute the work (but not in any way that suggests that the Department of Veterans’ Affairs endorses you or your use of the work).
Department of Veterans’ Affairs material used ‘as supplied’
Provided you have not modified or transformed the Department of Veterans’ Affairs material in any way including, for example, by changing the Department of Veterans’ Affairs text; calculating percentage changes; graphing or charting data; or delivering new statistics from published Department of Veterans’ Affairs statistics – then Department of Veterans’ Affairs prefers the following attribution:
Source: The Australian Government Department of Veterans’ Affairs
Derivative material If you have modified or transformed Department of Veterans’ Affairs material, or derived new material from those of the Department of Veterans’ Affairs in any way, then Department of Veterans’ Affairs prefers the following attribution:
Based on The Australian Government Department of Veterans’ Affairs data
Use of the Coat of Arms The terms under which the Coat of Arms can be used are set out on the It’s an Honour website (see www.itsanhonour.gov.au)
Other uses Inquiries regarding this licence and any other use of this document are welcome at:
Graeme Rochow, Chief Finance Officer, Department of Veterans’ Affairs (02) 6289 6620.
Printed by CanPrint Communications Pty Ltd DVA
Abbreviations and conventions The following notation may be used:
NEC/nec not elsewhere classified - nil .. not zero, but rounded to zero na not applicable (unless otherwise specified) nfp not for publication $m $ million $b $ billion
Figures in tables and in the text may be rounded. Figures in text are generally rounded to one decimal place, whereas figures in tables are generally rounded to the nearest thousand. Discrepancies in tables between totals and sums of components are due to rounding.
Enquiries Should you have any enquiries regarding this publication please contact Graeme Rochow, Chief Finance Officer, Department of Veterans' Affairs on (02) 6289 6620.
A copy of this document can be located on the Australian Government Budget website at: www.budget.gov.au.
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USER GUIDE TO THE PORTFOLIO BUDGET STATEMENTS
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USER GUIDE
The purpose of the 2015-16 Portfolio Budget Statements (PB Statements) is to inform Senators and Members of Parliament of the proposed allocation of resources to government outcomes by entities within the portfolio. Entities receive resources from the annual appropriations acts, special appropriations (including standing appropriations and special accounts), and revenue from other sources.
A key role of the PB Statements is to facilitate the understanding of proposed annual appropriations in Appropriation Bills (No. 1 and No. 2) 2015-16 (or Appropriation (Parliamentary Departments) Bill (No. 1) 2015-16 for the parliamentary departments). In this sense the PB Statements are Budget related papers and are declared by the Appropriation Acts to be ‘relevant documents’ to the interpretation of the Acts according to section 15AB of the Acts Interpretation Act 1901.
The PB Statements provide information, explanation and justification to enable Parliament to understand the purpose of each outcome proposed in the Bills.
As required under section 12 of the Charter of Budget Honesty Act 1998, non-general government sector entities are not consolidated into the Commonwealth general government sector fiscal estimates and accordingly, these entities are not reported in the PB Statements.
vi User Guide
CONTENTS
Portfolio overview...... 1 Department of Veterans' Affairs Portfolio Overview...... 3
Entity resources and planned performance...... 9 Department of Veterans' Affairs...... 11 Australian War Memorial...... 95
Glossary...... 128
vii User Guide DVA
ix User Guide
PORTFOLIO OVERVIEW
8 User Guide
9 User Guide
DEPARTMENT OF VETERANS' AFFAIRS PORTFOLIO OVERVIEW
Minister and portfolio responsibilities
The Department of Veterans' Affairs and several other legal entities that are administered by the Minister for Veterans’ Affairs are formally part of the Defence Portfolio. The schedule to the annual Appropriation Acts refers to the Veterans’ Affairs Portfolio and lists both the Department of Veterans' Affairs and the Australian War Memorial as receiving monies appropriated from the Consolidated Revenue Fund. The other entities in the Veterans’ Affairs Portfolio receive their funding under agreements with the Department of Veterans' Affairs, as their administrative staff are employees of the Department. These entities include:
the Repatriation Commission
the Military Rehabilitation and Compensation Commission
the Veterans’ Review Board
the Veterans’ Children Education Boards
the Office of Australian War Graves
the Repatriation Medical Authority
the Specialist Medical Review Council
The Veterans’ Affairs Portfolio is responsible for carrying out government policy and implementing programs to fulfil Australia’s obligations to veterans and war widow/ers, serving and former members of the Australian Defence Force, certain Australian Federal Police officers with overseas service and Australian participants in British nuclear tests in Australia, and their dependants.
The entities within the Veterans’ Affairs Portfolio are described in more detail below. Figure 1 on page 7 shows the portfolio structure and outcomes.
10 Portfolio Overview
The Department of Veterans' Affairs
The Australian Government serves the needs of the veteran and defence force communities through a number of bodies that make up the Veterans’ Affairs portfolio.
The Department of Veterans’ Affairs (DVA) mission is to support those who serve or have served in the defence of our nation and commemorate their service and sacrifice. DVA is therefore the primary service delivery entity responsible for developing and implementing programs that assist the veteran and defence force communities. It provides administrative support to the Repatriation Commission and the Military Rehabilitation and Compensation Commission and is responsible for advising the Commissions on policies and programs for beneficiaries and administering these policies and programs. DVA also administers legislation such as the Defence Service Homes Act 1918 and the War Graves Act 1980, and conducts commemorative programs to acknowledge the service and sacrifice of Australian servicemen and women.
The Department delivers information and services online through MyAccount – and the DVA website, on the phone, and through a network of DVA offices, supplemented by agency arrangements in rural and remote locations.
The Repatriation Commission
The Repatriation Commission is responsible under the Veterans’ Entitlements Act 1986 (VEA) for granting pensions, allowances and other benefits, providing treatment and other services and generally administering the VEA.
The functions and powers of the Repatriation Commission are set out in sections 180 and 181 of the VEA.
Military Rehabilitation and Compensation Commission
The Military Rehabilitation and Compensation Commission (MRCC) is responsible for the administration of benefits and arrangements under the Military Rehabilitation and Compensation Act 2004 (MRCA). The Commission also determines and manages claims relating to defence service under the Safety, Rehabilitation and Compensation Act 1988 (SRCA).
The functions of the MRCC are set out in section 362 of the MRCA and Schedule 2 of the Military Rehabilitation and Compensation (Consequential and Transitional Provisions) Act 2004 in relation to the SRCA.
11 Portfolio Overview Glossary Under the direction of these Commissions, DVA provides wide-ranging programs and services that can be broadly grouped into three main areas: care, compensation and commemoration.
The Veterans’ Review Board
The Veterans’ Review Board (VRB) is an independent tribunal that reviews certain decisions of the Repatriation Commission and decisions made under the Military Rehabilitation and Compensation Act 2004 (MRCA). The Board was established by the Repatriation Legislation Amendment Act 1984 and began operating on 1 January 1985. The Veterans’ Entitlements Act 1986 preserves the continuing role of the VRB, as does the MRCA.
The Veterans’ Children Education Boards
The Veterans’ Children Education Board in each state is responsible to the Repatriation Commission and the Military Rehabilitation and Compensation Commission for the administration of the Veterans’ Children Education Scheme and Military Rehabilitation and Compensation Act Education and Training Scheme in each state and territory.
Office of Australian War Graves
The Office of Australian War Graves (OAWG) commemorates Australian service personnel who have died in or as a result of war. The OAWG maintains individual graves and memorials, war cemeteries and Gardens of Remembrance. The OAWG maintains existing national memorials overseas and constructs new memorials as determined by government processes.
The Repatriation Medical Authority
The Repatriation Medical Authority (RMA) is an independent statutory authority established under section 196A of the Veterans’ Entitlements Act 1986 (VEA). Its role is to determine statements of principles in relation to medical or scientific evidence connecting injuries, diseases or death with the circumstances of a particular veteran’s service. Its membership comprises five eminent medical-scientific experts.
The Specialist Medical Review Council
The Specialist Medical Review Council (SMRC) is an independent statutory body established under section 196V of the VEA. It has power, under section 196W of the VEA, to review determinations by the RMA. It does not review individual cases, but rather, examines the evidence upon which the decisions of the RMA are based. Members of SMRC
12 Portfolio Overview are eminent medical practitioners and medical scientists whose names are put forward by their professional colleges.
The Australian War Memorial
The Australian War Memorial (AWM) was established as a body corporate under the Australian War Memorial Act 1980. It operates within the Veterans’ Affairs Portfolio as a discrete entity.
The AWM is responsible for maintaining and developing the national memorial to Australians who have died in wars or warlike operations. It also develops, maintains and exhibits a national collection of historical material, and conducts and fosters research into Australian military history.
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Figure 1: Department of Veterans' Affairs portfolio structure and outcomes
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PORTFOLIO RESOURCES Table 1 shows the total new resources provided to the portfolio in the 2015-16 budget year, by entity.
Table 1: Portfolio resources 2015-16 Appropriation Receipts Total Bill No. 1 Bill No. 2 Special ($m) ($m) ($m) ($m) ($m) Department of Veterans' Affairs Administered appropriations 87.3 - 11,377.0 - 11,464.3 Departmental appropriations 297.3 1.2 - 55.5 354.0 Total: 384.6 1.2 11,377.0 55.5 11,818.3
Australian War Memorial Departmental appropriations 44.1 7.5 - 9.8 61.3 Total: 44.1 7.5 - 9.8 61.3
Portfolio total 428.7 8.7 11,377.0 65.3 11,879.6
15 Portfolio Overview
ENTITY RESOURCES AND PLANNED PERFORMANCE
Department of Veterans' Affairs...... 11
Australian War Memorial...... 95
16 Portfolio Overview DVA
17 Portfolio Overview
Department of Veterans’ Affairs
Entity resources and planned performance
18 Portfolio Overview IanDVA
19 Portfolio Overview
DEPARTMENT OF VETERANS' AFFAIRS
Section 1: Entity overview and resources ...... 15 1.1 Strategic direction statement...... 15 1.2 Entity resource statement...... 18 1.3 Budget measures...... 22
Section 2: Outcomes and planned performance...... 28 2.1 Outcomes and performance information...... 28
Section 3: Explanatory tables and budgeted financial statements...... 71 3.1 Explanatory tables...... 71 3.2 Budgeted financial statements...... 72
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21 Portfolio Overview
DEPARTMENT OF VETERANS' AFFAIRS
Section 1: Entity overview and resources
1.1 STRATEGIC DIRECTION STATEMENT
For more than 95 years, the Department of Veterans’ Affairs (DVA) has supported the men and women who serve or have served in defence of our nation and commemorated their service and sacrifice.
DVA provides a range of programmes and financial entitlements to support the health and wellbeing of Australia’s veterans, current serving men and women, war widows and widowers, dependants and eligible members of the Australian Federal Police.
The Department’s vision is to be a responsive and flexible organisation, efficiently delivering high quality, connected services to all generations of veterans and the wider veteran community.
The Department recognises that its client base is unique and crosses the age spectrum, from those in their later years of life such as widows of First World War veterans, to infants of contemporary service men and women.
In 2015–16, the under-70 cohort is projected to become the majority of DVA’s clients, with the proportion growing over the ensuing five years. By 2020, one-third of DVA’s clients will be aged under 60, and 20 per cent will be aged under 50.
The challenge facing DVA is to continue to be responsive to the needs of all veterans, while repositioning its services and programmes to take into account changes in client demographics.
In this Budget, DVA will deliver a range of initiatives that respond to this challenge, including: making improvements to the Veterans’ Vocational Rehabilitation Scheme to encourage workforce participation and provide better outcomes for veterans through a whole-of- person approach to their rehabilitation increasing the number of case coordinators to improve the level of support and early intervention assistance provided to the increasing number of veterans with complex needs
22 DVA Budget Statements extending the trial for in-home telehealth for veterans to demonstrate the potential for the home-based monitoring of DVA patients and the capacity for GPs to incorporate the technology into the routine management of their patients. continuing the pause of indexation for DVA dental and allied health services from 1 July 2016 to 1 July 2018, to align with arrangements for Medicare and DVA medical services announced at the 2014-15 Mid-Year Economic and Fiscal Outlook. a review of the dental and allied health arrangements, in consultation with provider groups, to ensure continued quality, effectiveness and appropriateness of the services, and where appropriate rebalance arrangements to ensure services continue to meet the needs of the veteran community. a program of national and international commemorative events to acknowledge a centenary of service and sacrifice of the men and women who served Australia and its allies in wars, conflicts and peace operations.
To address the timeliness of processing claims from the veteran community, the Department has developed a four-part action plan. The strategies in this plan are: reducing work on hand improving client communication and engagement improving case management practices reviewing and improving business processes.
DVA will continue to focus on mental health support for the veteran community as a priority. The Government provides almost $179 million a year in funding for veteran mental health, including for online mental health information and support, GP services, psychologist and social work services, specialist psychiatric services, pharmaceuticals, trauma recovery programmes for posttraumatic stress disorder, and in-patient and out- patient hospital treatment. Funding for this mental health treatment is demand driven, and is not capped.
DVA provides support for the Prime Ministerial Advisory Council on Veterans’ Mental Health, which advises the Prime Minister, the Minister for Veterans’ Affairs, and the Government on high level strategic and complex matters relating to the mental health of veterans and their families. DVA will also continue to support the implementation of the Veteran Mental Health Strategy 2013-2023 and the 2013 budget package Mental health services - expansion, worth $26.4 million over four years.
The Department is responsible for managing the coordination and implementation of the Government’s multi-faceted Anzac Centenary Programme through 2015–16 and beyond. The Centenary has two related themes. The first marks 100 years since Australia’s involvement in the First World War. The second provides the opportunity to honour, better understand and reflect upon the service and sacrifice of our servicemen and women, past and present, in all wars, conflicts, peacekeeping and other deployments in which Australians have been involved. This includes recognising the contribution of those on the home front.
23 DVA Budget Statements In addition, DVA will continue to enhance the options available to veterans and their dependants to communicate with the Department through improved channels and online services that provide clients with more choice and convenience.
Importantly, DVA will continue to engage with the ex-service and veteran community, to ensure services remain client focused, responsive and connected.
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1.2 ENTITY RESOURCE STATEMENT
Table 1.1 shows the total resources from all sources. The table summarises how resources will be applied by outcome and by administered and departmental classification.
Table 1.1: Department of Veterans' Affairs resource statement – Budget estimates for 2015-16 as at Budget May 2015 Actual Estimate Proposed at Total available of prior + 2015-16 = 2015-16 appropriation year amounts Budget estimate 2014-15 available in $'000 $'000 $'000 2015-16 $'000 Ordinary annual services (a) Departmental appropriation Prior year appropriation (b) - 5,568 - 5,568 Departmental appropriation (c) 296,775 - 297,342 297,342 s74 Retained revenue receipts (d) 9,911 - 9,616 9,616 Total 306,686 5,568 306,958 312,526
Administered expenses Outcome 1 (e) 41,569 - 42,082 42,082 Outcome 2 (e) 7,343 - 7,080 7,080 Outcome 3 (e) 57,820 - 38,122 38,122 Payments to corporate entities (f) 44,008 - 44,059 44,059 Total 150,740 - 131,343 131,343 Total ordinary annual services A 457,426 5,568 438,301 443,869 Other services Departmental non-operating Equity injections (g) 2,617 - 1,189 1,189 Total 2,617 - 1,189 1,189 Administered non-operating Administered assets and liabilities 6,061 - - - Payments to corporate entities - non-operating (f) 12,444 - 7,472 7,472 Total 18,505 - 7,472 7,472 Total other services B 21,122 - 8,661 8,661 Total available annual appropriations [A+B] 478,548 5,568 446,962 452,530 Continued on next page
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Table 1.1: Department of Veterans' Affairs Resource statement – Budget estimates for 2015-16 as at Budget May 2015 (continued) Actual Estimate Proposed at Total available of prior + 2015-16 = 2015-16 appropriation year amounts Budget estimate 2014-15 available in $'000 $'000 $'000 2015-16 $'000 Special appropriations limited by criteria/entitlement Outcome 1 Papua New Guinea (Members of the Forces Benefits) Act 1957 70 - 70 70 Veterans' Entitlements Act 1986 (VEA) 6,007,544 - 5,738,445 5,738,445 Defence Service Homes Act 1918 1,451 - 1,219 1,219 Safety, Rehabilitation and Compensation Act 1988 138,105 - 132,180 132,180 Military Rehabilitation and Compensation Act 2004 257,736 - 267,293 267,293 Total Outcome 1 6,404,906 - 6,139,207 6,139,207 Outcome 2 Veterans' Entitlements Act 1986 (VEA) 5,184,266 - 5,155,621 5,155,621 Safety, Rehabilitation and Compensation Act 1988 39,799 - 39,548 39,548 Military Rehabilitation and Compensation Act 2004 37,704 - 42,201 42,201 Australian Participants in British Nuclear Tests (Treatment) Act 2006 421 - 420 420 Total Outcome 2 5,262,190 - 5,237,790 5,237,790 Total special appropriations C 11,667,096 - 11,376,997 11,376,997 Total appropriations excluding special accounts 12,145,644 5,568 11,823,959 11,829,527 Continued on next page
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Table 1.1: Department of Veterans' Affairs Resource statement – Budget estimates for 2015-16 as at Budget May 2015 (continued)
Actual Estimate Proposed at Total available of prior + 2015-16 = 2015-16 appropriation year amounts $'000 estimate 2014-15 available in $'000 $'000 2015-16 $'000 Special accounts Opening balance (h) 2,051 1,215 - 1,215 Appropriation receipts (i) 320 - 120 120 Non-appropriation receipts to special accounts 49,211 - 44,801 44,801 Total special accounts D 51,582 1,215 44,921 46,136 Total resourcing 12,197,226 6,783 11,868,880 11,875,663 [A+B+C+D] Less appropriations drawn from annual or special appropriations above and credited to special accounts and/or payments to corporate entities through annual appropriations 56,772 - 51,651 51,651 Total net resourcing for DVA 12,140,454 6,783 11,817,229 11,824,012 (a) Appropriation Bill (No. 1) 2015-16. (b) Estimated adjusted balance carried from previous year for annual appropriations. (c) Includes an amount of $13.3 million in 2015-16 for the Departmental Capital Budget (refer to table 3.2.5 for further details). For accounting purposes this amount has been designated as 'contributed by owners'. (d) Estimated Retained revenue receipts under section 74 of the PGPA Act. (e) ‘Includes reductions to 2014-15 annual estimates subsequent to 2014-15 PBS. (f) Corporate entities’ are corporate Commonwealth entities and Commonwealth companies as defined under the PGPA Act 2013. (g) Appropriation Bill (No. 2) 2015-16. (h) Estimated opening balance for special accounts (less ‘Special Public Money’ held in accounts like Other Trust Monies accounts (OTM), Services for other Government and Non-entity Bodies accounts (SOG), or Services for Other Entities and Trust Moneys Special accounts (SOETM)). For further information on special accounts, see Table 3.1.2. (i) Appropriation receipts from annual appropriations for 2015-16 included above.
Reader note: All figures are GST exclusive. Continued on next page
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Table 1.1: Department of Veterans' Affairs Resource statement – Budget estimates for 2015-16 as at Budget May 2015 (continued)
Third party payments from and on behalf of other entities 2014-15 2015-16 $'000 $'000 Receipts received from the Department of Defence for the provision of services (disclosed above within Departmental s31) 6,762 6,767 Payments made to corporate entities within the Portfolio Australian War Memorial - Bill 1 44,008 44,073 Australian War Memorial - Bill 2 12,444 7,472 Payments made on behalf of Department of Social Services Social Security (Administration) Act 1999 53,651 51,598 Payments made on behalf of Department of Social Services A New Tax System (Family Assistance) (Administration) Act 1999 1,161 1,095 Payments made on behalf of Department of Social Services for the provision of services 177 194 Payments made by the Department of Human Services (DHS) on behalf of DVA Veterans' Entitlements Act 1986, 3,777,558 3,870,534 Military Rehabilitation and Compensation Act 2004, and 30,706 41,064 Safety, Rehabilitation and Compensation Act 1988 14,003 18,701 Australian Participants in British Nuclear Tests (Treatment) Act 2006 421 420 Payments made to DHS for processing payment of health care provider treatment accounts and the provision of IT services. 29,437 33,825
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1.3 BUDGET MEASURES
Budget measures relating to the Department of Veterans' Affairs are detailed in Budget Paper No. 2 and are summarised below.
Table 1.2: Department of Veterans' Affairs 2015-16 Budget measures Part 1: Measures announced since the 2014-15 Mid-Year Economic Fiscal Outlook (MYEFO) Programme 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 Expense measures Outcome 1
Social Security Assets Test - rebalance asset test thresholds and taper rate1 & 2 1.1 Administered expenses - - (13,020) (24,164) (22,321) Departmental expenses - - 1,239 423 564 Total - - (11,781) (23,741) (21,757)
The Veterans' Vocational Rehabilitation Scheme - enhancement 1.1, 1.2 Administered expenses - 44 163 166 171 Departmental expenses - 106 - - - Total - 150 163 166 171
Not proceeding with the measure to Reset the Income Test Deeming Rate Thresholds1 1.1 Administered expenses - - - 2,235 2,111 Departmental expenses - - - (80) - Total - - - 2,155 2,111
Not proceeding with elements of the measure to maintain eligibility thresholds for Australian Government payments for three years 1 1.1 Administered expenses - - - 3,017 5,395 Departmental expenses - - - (173) - Total - - - 2,844 5,395
Ongoing Restoration of Funding for Building Excellence in Support and Training Programme 1.4 Administered expenses - - - - 1,016 Departmental expenses - - - - - Total - - - - 1,016 Continued on next page Prepared on a Government Finance Statistics (fiscal) basis
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Table 1.2: Department of Veterans' Affairs 2015-16 Budget measures (continued) Programme 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000
Increased Number of Case Co-ordinators 1.6 Administered expenses - - - - - Departmental expenses - 2,433 2,385 2,404 2,424 Total - 2,433 2,385 2,404 2,424
Military Rehabilitation and Compensation Act 2004 - single appeal path 1.6 Administered expenses - - (1,564) (1,916) (2,265) Departmental expenses - 846 1,144 627 837 Total - 846 (420) (1,289) (1,428)
Safety, Rehabilitation and Compensation Act 1988 reforms - calculating permanent impairment and the maximum payable 1.6 Administered expenses - 3,772 3,944 4,117 4,300 Departmental expenses - 321 1 1 1 Total - 4,093 3,945 4,118 4,301
Safety, Rehabilitation and Compensation Act 1988 reforms - multiple injuries arising out of the one event 1.6 Administered expenses - (4,910) (5,125) (5,347) (5,579) Departmental expenses - 396 1 1 1 Total - (4,514) (5,124) (5,346) (5,578) Total Outcome 1 Administered - (1,094) (15,602) (21,892) (17,172) Departmental - 4,102 4,770 3,203 3,827 Total - 3,008 (10,832) (18,689) (13,345)
Outcome 2
Extension of Trial for In-Home Telehealth for Veterans 2.1 Administered expenses - 1,678 802 - - Departmental expenses - 633 620 - - Total - 2,311 1,422 - -
My Health Record - a new direction for electronic health records in Australia3 & 4 2.1 Administered expenses - - - - - Departmental expenses - (67) (100) - - Total - (67) (100) - -
Dental and Allied Health Provider Fees - continuation of the indexation pause5 2.1 Administered expenses - (898) (18,632) (27,390) (22,704) Departmental expenses - - - - - Total - (898) (18,632) (27,390) (22,704) Continued on next page Prepared on a Government Finance Statistics (fiscal) basis
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Table 1.2: Department of Veterans' Affairs 2015-16 Budget measures (continued) Programme 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000
Medicare Benefits Schedule - new and amended listings3 2.1 Administered expenses - 285 377 327 292 Departmental expenses - - - - - Total - 285 377 327 292
Disposal of Greenslopes Property Queensland 2.2 Administered expenses - - - - - Departmental expenses - nfp - - - Total - nfp - - -
Junior Medical Officer Programme - interagency transfer from the Department of Veterans' Affairs3 2.2 Administered expenses - (10,000) (10,000) (10,000) (10,000) Departmental expenses - - - - - Total - (10,000) (10,000) (10,000) (10,000)
Pharmaceutical Benefits Scheme - new and amended listings3 2.3 Administered expenses 18 7,507 8,173 8,093 7,919 Departmental expenses - - - - - Total 18 7,507 8,173 8,093 7,919
Pharmaceutical Benefits Scheme - price changes3 2.3 Administered expenses (456) (1,770) (1,610) (1,698) (1,803) Departmental expenses - - - - - Total (456) (1,770) (1,610) (1,698) (1,803)
Pharmaceutical Benefits Scheme - increase in the safety net thresholds on 1 January 20193 2.3 Administered expenses - - - - (91) Departmental expenses - - - - - Total - - - - (91)
Repatriation Pharmaceutical Benefits Scheme - new listings and price amendments 2.3 Administered expenses 6 68 59 56 54 Departmental expenses - - - - - Total 6 68 59 56 54
Medicare Benefits Schedule – changes to GP rebates - reversal3 & 6 2.3 Administered expenses - - - - - Departmental expenses - - - - - Total - - - - - Continued on next page
Prepared on a Government Finance Statistics (fiscal) basis
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Table 1.2: Department of Veterans' Affairs 2015-16 Budget measures (continued)
Programme 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 Aged Care - Increasing short term restorative care places1 2.4 Administered expenses - (423) (1,916) (4,821) (9,696) Departmental expenses - 301 - - - Total - (122) (1,916) (4,821) (9,696)
Aged Care - alignment of aged care means testing arrangements1 2.4 Administered expenses - (161) (629) (1,188) (1,635) Departmental expenses - 157 9 12 15 Total - (4) (620) (1,176) (1,620)
Aged Care - Home Care Programme - increasing consumer choice1 2.4 Administered expenses - - - - - Departmental expenses - 723 - - - Total - 723 - - -
Social Security Assets Test - rebalance asset test thresholds and taper rate1 2.4 Administered expenses - - 1,706 3,784 4,068 Departmental expenses - - - - - Total - - 1,706 3,784 4,068
Increased Number of Case Co-ordinators 2.5 Administered expenses - - - - - Departmental expenses - 96 95 95 96 Total - 96 95 95 96
Expansion of the Rehabilitation Appliances Program to Enhance the Delivery of Falls Prevention Items7 Administered expenses - - - - - Departmental expenses - - - - - Total - - - - -
Total Outcome 2 Administered (432) (3,714) (21,670) (32,837) (33,596) Departmental - 1,843 624 107 111 Total (432) (1,871) (21,046) (32,730) (33,485) Outcome 3
Sir John Monash Centre - Villers-Bretonneux, France8 3.1 Administered expenses - - - - - Departmental expenses - 1,387 2,134 4,698 2,593 Total - 1,387 2,134 4,698 2,593 Continued on next page Prepared on a Government Finance Statistics (fiscal) basis
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Table 1.2: Department of Veterans' Affairs 2015-16 Budget measures (continued)
Programme 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000
Anzac Centenary Program 2014-18 - additional funding 3.1, 3.2 Administered expenses - 5,928 6,549 8,179 2,896 Departmental expenses - 3,158 3,200 3,270 2,309 Total - 9,086 9,749 11,449 5,205 Total Outcome 3 Administered - 5,928 6,549 8,179 2,896 Departmental - 4,545 5,334 7,968 4,902 Total - 10,473 11,883 16,147 7,798
Total Expense Measures Administered (432) 1,120 (30,723) (46,550) (47,872) Departmental - 10,780 10,736 11,286 8,848 Total (432) 11,900 (19,987) (35,264) (39,024)
Capital Measures
Safety, Rehabilitation and Compensation Act 1988 reforms - multiple injuries arising out of the one event 1.6 Departmental Capital - 84 - - - Total - 84 - - -
Safety, Rehabilitation and Compensation Act 1988 reforms - calculating permanent impairment and the maximum payable 1.6 Departmental Capital - 94 - - - Total - 94 - - -
Military Rehabilitation and Compensation Act 2004 - single appeal path 1.6 Departmental Capital - 100 - - - Total - 100 - - -
Social Security Assets Test - rebalance asset test thresholds and taper rate1 1.1 Departmental Capital - - 197 - - Total - - 197 - -
Aged Care - alignment of aged care means testing arrangements1 2.4 Departmental Capital - 151 - - - Total - 151 - - - Continued on next page Prepared on a Government Finance Statistics (fiscal) basis
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Table 1.2: Department of Veterans' Affairs 2015-16 Budget measures (continued) Programme 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000
Sir John Monash Centre - Villers-Bretonneux, France8 3.1 Administered Capital - - - - - Departmental Capital - - - 80 - Total - - - 80 -
Total capital measures
Departmental - 429 197 80 - Total - 429 197 80 - Prepared on a Government Finance Statistics (fiscal) basis 1. The lead entity for this measure is the Department Social Services (DSS). The full measure description and package details appear in BP 2 under the DSS portfolio. 2. In addition the Government will not proceed with the 2014-15 measure Index Pension and Pension Equivalent Payments by the Consumer Price Index. 3. The lead entity for this measure is the Department of Health (DoH). The full measure description and package details appear in BP 2 under the DoH portfolio. 4. This measure will provide $485.1 million across government over four years to continue the operation of the eHealth system, make key system and governance improvements and implement trials, including of opt-out arrangements. Funding for this measure has already been provided for by the Government in the 2014-15 Budget. 5. The Department will undertake a review of the dental and allied health arrangements to ensure that these continue to meet the current and future needs of the veteran community. 6. This measure includes the impact of the Government’s decision to not proceed with redefining Level A and Level B GP consultation items which was announced in the 2014-15 Mid-Year Economic and Fiscal Outlook (MYEFO) measure A strong and sustainable Medicare. This reversal was previously published in the Health Portfolio Additional Estimates Statements 2014-15. For the impact of this measure refer to BP2. 7. This measure was previously published in DVA’s Portfolio Additional Estimates Statements 2014-15 and it is published here to include the 2018-19 impact. 8. Sir John Monash Centre – Villers-Bretonneux, France - the project will be managed by DVA and funding of $88.6m for capital costs will be met by the Department of Defence.
34 DVA Budget Statements
Section 2: Outcomes and planned performance
2.1 OUTCOMES AND PERFORMANCE INFORMATION
Government outcomes are the intended results, impacts or consequences of actions by the Government on the Australian community. Commonwealth programmes are the primary vehicle by which government entities achieve the intended results of their outcome statements. Entities are required to identify the programmes which contribute to Government outcomes over the Budget and forward years.
Each outcome is described below together with its related programmes, specifying the performance indicators and targets used to assess and monitor the performance of Department of Veterans' Affairs in achieving government outcomes.
OUTCOME 1
Outcome 1: Maintain and enhance the financial wellbeing and self-sufficiency of eligible persons and their dependants through access to income support, compensation, and other support services, including advice and information about entitlements.
Outcome 1 Strategy Increase awareness and understanding of compensation, rehabilitation and income support schemes among veterans, war widow/ers, serving members, former defence force members, and their families and advocates.
Assist eligible persons and their dependants to receive their correct entitlements through effective advice and efficient claims determinations and review.
Integrate rehabilitation as a key consideration in compensation policy and decision making.
Engage younger veterans and Australian Defence Force members in policy development and review.
Ensure that the changing needs of eligible veterans, especially those with complex needs or severe disabilities, are addressed.
35 DVA Budget Statements In conjunction with the Department of Defence, continue to implement the recommendations accepted by Government in its response to the Review of Military Compensation Arrangements.
In addition, the Department will implement a number of cross-portfolio measures (refer Table 1.2).
Outcome 1 Expense statement Table 2.1 provides an overview of the total expenses for Outcome 1, by programme. Table 2.1: Budgeted expenses for Outcome 1 Outcome 1: Maintain and enhance the financial wellbeing and self 2014-15 2015-16 sufficiency of eligible persons and their dependants through access to Estimated Estimated income support, compensation, and other support services, including advice actual expenses and information about entitlements. expenses $'000 $'000 Programme 1.1: Veterans' Income Support and Allowances Administered expenses Ordinary annual services (Appropriation Bill No. 1) - - Other services (Appropriation Bill No. 2) - - Special appropriations 2,655,934 2,529,699 Special accounts - - Annual departmental expenses Departmental appropriation (a) 54,041 51,195 Expenses not requiring appropriation in the Budget year (b) 10,676 5,661 Total for programme 1.1 2,720,651 2,586,555
Programme 1.2: Veterans' Disability Support Administered expenses Ordinary annual services (Appropriation Bill No. 1) 13,038 13,917 Other services (Appropriation Bill No. 2) - - Special appropriations 1,565,674 1,547,702 Special accounts - - Annual departmental expenses Departmental appropriation (a) 43,413 42,151 Expenses not requiring appropriation in the Budget year (b) 7,327 3,980 Total for programme 1.2 1,629,452 1,607,750 Continued on next page
36 DVA Budget Statements
Table 2.1: Budgeted expenses for Outcome 1 (continued) 2014-15 2015-16 Estimated Estimated actual expenses expenses Outcome 1: $'000 $'000 Programme 1.3: Assistance to Defence Widow/ers and Dependants Administered expenses Ordinary annual services (Appropriation Bill No. 1) - - Other services (Appropriation Bill No. 2) - - Special appropriations 1,768,189 1,674,788 Special accounts - - Annual departmental expenses Departmental appropriation (a) 11,753 11,476 Expenses not requiring appropriation in the Budget year (b) 2,021 1,104 Total for programme 1.3 1,781,963 1,687,368
Programme 1.4: Assistance and Other Compensation for Veterans and Dependants Administered expenses Ordinary annual services (Appropriation Bill No. 1) 8,034 8,005 Other services (Appropriation Bill No. 2) - - Special appropriations 19,231 16,130 Annual departmental expenses Special accounts (c) 35,343 36,150 Departmental appropriation (a) 16,154 15,550 Expenses not requiring appropriation in the Budget year (b) 3,051 1,836 Total for programme 1.4 81,813 77,671
Programme 1.5: Veterans' Children Education Scheme Administered expenses Ordinary annual services (Appropriation Bill No. 1) 15,861 15,537 Other services (Appropriation Bill No. 2) - - Special appropriations - - Special accounts - - Annual departmental expenses Departmental appropriation (a) 3,330 3,191 Expenses not requiring appropriation in the Budget year (b) 979 638 Total for programme 1.5 20,170 19,366 Continued on next page
37 DVA Budget Statements
Table 2.1: Budgeted expenses for Outcome 1 (continued) 2014-15 2015-16 Estimated Estimated actual expenses expenses Outcome 1: $'000 $'000 Programme 1.6: Military Rehabilitation and Compensation Acts Payments - Income Support and Compensation Administered expenses Ordinary annual services (Appropriation Bill No. 1) 4,617 4,642 Other services (Appropriation Bill No. 2) - - Special appropriations 395,837 399,464 Special accounts 220 282 Annual departmental expenses Departmental appropriation (a) 34,404 37,745 Expenses not requiring appropriation in the Budget year (b) 6,204 3,582 Total for programme 1.6 441,282 445,715 Programme 1.7: Adjustment to the Military Rehabilitation and Compensation Acts Liability Provision - Income Support and Compensation Administered expenses Ordinary annual services (Appropriation Bill No. 1) - - Other services (Appropriation Bill No. 2) - - Expenses not requiring appropriation in the Budget year 60,200 111,600 Annual departmental expenses Departmental appropriation (a) - - Expenses not requiring appropriation in the Budget year (b) - - Total for programme 1.7 60,200 111,600
Outcome 1 Totals by appropriation type Administered expenses Ordinary annual services (Appropriation Bill No. 1) 41,550 42,101 Other services (Appropriation Bill No. 2) - - Special appropriations 6,404,865 6,167,783 Special accounts 220 282 Expenses not requiring appropriation in the Budget year 60,200 111,600 Annual departmental expenses Special accounts 35,343 36,150 Departmental appropriation (a) 163,095 161,308 Expenses not requiring appropriation in the Budget year (b) 30,258 16,801 Total expenses for Outcome 1 6,735,531 6,536,025 2014-15 2015-16 Average Staffing Level (number) 1,074 1,037
(a) Departmental Appropriation combines ‘Ordinary annual services (Appropriation Bill No. 1)’ and ‘Revenue from independent sources (s74)’. (b) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees and Australian Taxation Office data matching services. (c) DSHIS expenses (Section 3, Table 3.1.2 and Table 3.2.1c refers).
Note: Departmental appropriation splits and totals are indicative estimates and may change in the course of the budget year as government priorities change.
38 DVA Budget Statements Programme 1.1: Veterans' Income Support and Allowances
Programme 1.1 objective To deliver means tested income support pensions and other allowances to eligible veterans and dependants under the Veterans’ Entitlement Act 1986 and related legislation, including: Service Pension (Age) and Invalidity Service Pension, similar to Age and Disability Support Pensions by Department of Human Services
Partner Service Pension paid to eligible partners of veterans
Income Support Supplement paid to eligible war widow/ers
Other forms of income support paid to eligible veterans, members and former members of the Defence Force or Peacekeeping Force, include:
Social Security Age Pension paid to eligible disability pensioners and their partners, paid by DVA as an agent of Department of Social Services
Defence Force Income Support Allowances
Income support payments provide a regular source of income for eligible veterans, partners, widow/ers, and other eligible people with limited means. Linked to: This programme is linked to the Department of Social Services’ Programme 1.6 – Income Support for Seniors, Programme 1.7 – Allowances, Concessions and Services for Seniors, Cross- programme - Rent Assistance and the Department of Human Services’ Programme 1.1 – Services to the Community – Social Security and Welfare.
Programme 1.1 expenses As the veteran population continues to age, programme expenses are expected to fall in real terms over the forward years.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Special appropriations: Veterans' Entitlements Act 1986 (VEA) Income support pensions 2,632,032 2,525,704 2,439,866 2,326,044 2,266,333 Other allowances 23,902 3,995 4,027 4,036 3,689 Programme support 54,041 51,195 51,983 50,901 50,192 Expenses not requiring appropriation in the Budget year (a) 10,676 5,661 4,893 4,397 4,338 Total program expenses 2,720,651 2,586,555 2,500,769 2,385,378 2,324,552
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses,, audit fees and Australian Taxation Office data matching services.
39 DVA Budget Statements Programme 1.1: Veterans' Income Support and Allowances (continued)
Programme 1.1 deliverables Process claims and reviews in order to deliver means tested income support pensions, allowances and other services to veterans and their dependants.
This programme has been revised to include claims for qualifying service and the resultant card claims: Commonwealth Seniors Health Card (CSHC); Repatriation Health Card – For all Conditions (Gold Card) and Repatriation Pharmaceutical Benefits Card (Orange Card). While claims or qualifying service may not lead to immediate payment of pension or allowances, entitlement for possible future benefits is established. CSHC holders and those Gold Card holders who are age qualified are entitled to Seniors Supplement (if not already receiving Pension Supplement), whereas the remainder of Gold Card holders and all Orange Card holders receive Veterans Supplement.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
New claims processed 9,990 9,240 8,190 7,310 6,470 Pensioner initiated reviews processed 86,330 79,230 77,970 69,010 69,670 Quantity: Number of income support beneficiaries 204,200 190,400 177,900 166,700 156,700
Programme 1.1 key performance indicators The following KPIs measure the impact of the programme:
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual target estimate estimate estimate
Timeliness: Mean time to process new claims (days) 32 32 32 32 32 Timeliness : Mean time to process pensioner initiated reviews (days) 14 14 14 14 14 Price: cost per income support beneficiary 265 269 292 305 320 Quality: Critical error rate for income support processing <5% <5% <5% <5% <5%
40 DVA Budget Statements Programme 1.2: Veterans' Disability Support
Programme 1.2 objective To deliver disability pensions, allowances and special purpose assistance to eligible veterans and members of the Defence Force or Peacekeeping Force under the Veterans’ Entitlements Act 1986 and related legislation. The programme provides compensation to eligible veterans (including Australian merchant mariners) and members of the Defence Force or Peacekeeping Force for the tangible effects of war or defence service. Eligible persons receive disability pensions and ancillary benefits. Linked to: Department of Human Services’ Programme 1.1 – Services to the Community – Social Security and Welfare.
Programme 1.2 expenses Numbers of disability pensioners are expected to reduce by approximately 5% per year over the forward years.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Annual administer ed expenses: Appropriati on Bill 1 Medical examinatio ns, fares and expenses 12,247 13,130 14,089 14,486 14,444 Repaymen ts of maintenan ce deductions 71 71 71 71 71 Vehicle Assistance Scheme 720 716 716 733 733 Special appropriati ons: Veterans' Entitlemen ts Act 1986 (VEA) Disability pensions 1,563,315 1,545,556 1,541,833 1,543,633 1,556,725 Loss of earnings 523 551 577 591 591 Recreation transport allowance 1,836 1,595 1,391 1,425 1,425 Programm e support 43,413 42,151 41,474 41,408 40,620 Expenses 7,327 3,980 3,400 3,024 3,039 not 41 DVA Budget Statements requiring appropriati on in the Budget year (a)
Total programm e expenses 1,629,452 1,607,750 1,603,551 1,605,371 1,617,648
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees and Australian Taxation Office data matching services.
42 DVA Budget Statements Programme 1.2: Veterans' Disability Support (continued)
Programme 1.2 deliverables Deliver disability pensions to veterans under the Veterans’ Entitlements Act 1986 and related legislation: Process new disability pension claims Process applications for assessments of disability pension rates Process Loss of Earnings and Recreation Allowance Process and pay repayments of medical transport and maintenance deductions Deliver Vehicle Assistance Scheme.
2014-15 2015-16 2016-17 2017-18 2018-19 Revised Budget Forward Forward Forward Deliverables budget estimate estimate estimate
Quantity: Number of disability pensioners 96,600 92,600 89,000 85,800 83,100
Programme 1.2 key performance indicators The following KPIs measure the impact of the Programme:
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual target estimate estimate estimate
Timeliness Target: Mean number of days to process a primary claim 75 75 75 75 75 Timeliness Target: Mean number of days to prepare s.31 review 40 40 40 40 40 Price: Average cost per disability pensioner 449 455 466 483 489 Quality: Critical errors <5% <5% <5% <5% <5%
43 DVA Budget Statements Programme 1.3: Assistance to Defence Widow/ers and Dependants
Programme 1.3 objective Deliver war widow/ers and Defence pensions, allowances and special purpose assistance to the dependants of veterans under the Veterans’ Entitlements Act 1986 and related legislation including the payment of war widow/ers claims for compensation. Linked to: Department of Human Services’ Programme 1.1 – Services to the Community – Social Security and Welfare.
Programme 1.3 expenses Numbers of War and Defence widow/ers are expected to show an increasing rate of decline over the forward years. Expenses are expected to reduce as the War and Defence widow/ers population reduces in size.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Special appropriati ons: Veterans' Entitlement s Act 1986 (VEA) War & Defence Widow/ers pension 1,768,189 1,674,788 1,577,165 1,460,725 1,327,748 Programm e support 11,753 11,476 11,402 11,381 11,189 Expenses not requiring appropriati on in the Budget year (a) 2,021 1,104 942 836 840
Total programm e expenses 1,781,963 1,687,368 1,589,509 1,472,942 1,339,777
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees and Australian Taxation Office data matching services.
44 DVA Budget Statements Programme 1.3: Assistance to Defence Widow/ers and Dependants (continued)
Programme 1.3 deliverables Process claims and pay pensions, allowances and other support to war and Defence widow/ers under the Veterans’ Entitlements Act 1986 and related legislation.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
Quantity: Number of war and Defence widows/ers pensioners 75,800 70,000 64,200 58,600 53,300
45 DVA Budget Statements
Programme 1.3 key performance indicators The following KPIs measure the impact of the Programme:
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual target estimate estimate estimate
Timeliness: Mean number of days to process a primary claim 75 75 75 75 75 Timeliness : Mean number of days to prepare s.31 review 40 40 40 40 40 Price: cost per war widow/ers pensioner $/beneficiary 155 164 178 194 210 Quality: Critical errors <5% <5% <5% <5% <5%
46 DVA Budget Statements Programme 1.4: Assistance and Other Compensation for Veterans and Dependants
Programme 1.4 objective To deliver other allowances and assistance to eligible veterans and dependants under the Veterans’ Entitlements Act 1986 and related legislation including home support loans, funeral benefits, prisoner of war ex gratia payments and payments on behalf of Commonwealth and allied countries. The Department also provides assistance to the Ex-Service Organisations (ESO) community through Building Excellence in Support and Training (BEST) grants and funding the Training and Information Program (TIP). Linked to: Department of Human Services’ Programme 1.1 – Services to the Community – Social Security and Welfare.
Programme 1.4 expenses This programme is projected to move broadly in line with the forecast of the total veteran population. Benchmark interest rates for Defence home loans will vary depending on movement in interest rates. Forward year Defence home loans projections are based on: 5.67% is the anticipated benchmark interest rate portfolio balances reduce by an average 1.72% per month home support loans continuing to be granted at the rate of 6 per month balances of home support loans are at a stable level.
47 DVA Budget Statements Programme 1.4: Assistance and Other Compensation for Veterans and Dependants (continued)
Programme 1.4 expenses 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Annual administered expenses: Appropriation Bill 1 Legal Expenses 1,597 1,585 1,612 1,640 1,635 Defective Administration 250 250 249 248 247 Payments to ESOs (BEST & TIP) 5,002 4,993 5,078 5,075 5,079 Veterans' Access to Community Information 1,107 1,100 1,117 1,138 1,136 Act of Grace 78 77 79 81 81 Special appropriations: Veterans' Entitlements Act 1986 (VEA) Funeral benefits 10,622 9,018 7,414 6,100 4,788 POW (J) 25 25 25 25 25 POW (E) 6,198 4,994 4,024 3,242 2,612 Compensation payments for BCAL veterans 865 804 761 720 681 Papua New Guinea (Members of the Forces Benefits) Act 1957 PNG pensions 70 70 70 70 70 Safety, Rehabilitation and Compensation Act 1988 Defence Service Homes Act 1918 Interest subsidy 1,451 1,219 1,030 877 753 Special account expenses: DSHIS 35,343 36,150 36,750 37,350 37,950 Programme support 16,154 15,550 15,460 16,439 15,192 Expenses not requiring appropriation in the Budget year (a) 3,051 1,836 1,562 1,466 1,536
Total programme expenses 81,813 77,671 75,231 74,471 71,785
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees and Australian Taxation Office data matching services.
48 DVA Budget Statements Programme 1.4: Assistance and Other Compensation for Veterans and Dependants (continued)
Programme 1.4 deliverables Process funeral benefit claims Process claims for and maintain housing loans Provide grants funding to eligible ESOs for provision of services to support the veteran community Provide ESO representatives with essential skills for pension and compensation claims and welfare work
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
Funeral Benefits expenditure $'000 10,622 9,018 7,414 6,100 4,788
Programme 1.4 key performance indicators The following KPIs measure the impact of the Programme:
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual estimate estimate estimate Funeral Benefits Timeliness: Mean time to process funeral benefits claims (days) 10 10 10 10 10 Quality: Critical errors < 5% < 5% < 5% < 5% <5% Defence Home Loans Timeliness: Mean time to process subsidy 18 18 18 18 18 Quality: Critical errors < 5% < 5% < 5% < 5% <5%
49 DVA Budget Statements Programme 1.5: Veterans' Children Education Scheme
Programme 1.5 objective Provide financial assistance to eligible students under the Veterans’ Entitlements Act 1986 Veterans’ Children Education Scheme (VCES) and the Military Rehabilitation and Compensation Act 2004 Education and Training Scheme (MRCAETS) to assist with their education needs. Linked to: Department of Human Services’ Programme 1.1 – Services to the Community – Social Security and Welfare.
Programme 1.5 expenses Numbers of students in each category fluctuate throughout the course of the academic year.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Annual administered expenses: Appropriation Bill 1 Veterans' Children Education Scheme 15,861 15,537 15,637 16,094 16,094 Programme support 3,330 3,191 3,148 3,143 3,089 Expenses not requiring appropriation in the Budget year (a) 979 638 363 348 358
Total programme expenses 20,170 19,366 19,148 19,585 19,541
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees and Australian Taxation Office data matching services.
50 DVA Budget Statements Programme 1.5 deliverables Process new claims under VCES and MRCAETS. Deliver financial assistance and allowances to eligible students
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
Quantity: Number of primary students receiving assistance 628 587 549 513 480
Quantity: Number of secondary students receiving assistance 926 866 810 757 710 Quantity: Number of tertiary students receiving assistance 898 840 785 734 700
Programme 1.5 key performance indicators The following KPI measures the impact of the Programme:
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual estimate estimate estimate Quality: Critical errors < 5% < 5% < 5% < 5% < 5%
51 DVA Budget Statements Programme 1.6: Military Rehabilitation and Compensation Acts Payments - Income Support and Compensation
Programme 1.6 objective To provide compensation to current and former members of the Australian Defence Force and their dependants under the Safety, Rehabilitation and Compensation Act 1988 and the Military Rehabilitation and Compensation Act 2004 and related legislation.
Programme 1.6 expenses Future budget results are anticipated to reflect a shift from SRCA-related payments to MRCA- related payments. SRCA payments are in line with the pre July 2004 liabilities as they stabilise. 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Annual administer ed expenses: Appropriati on Bill 1 Other income support and compensat ion-related payments - SRCA 2,840 2,701 2,702 2,765 2,765 Other income support and compensat ion-related payments - MRCA 1,777 1,941 571 437 319 Special appropriati ons: Safety, Rehabilitat ion and Compensa tion Act 1988 Permanent impairment 45,354 40,053 36,884 37,750 35,162 Benefits for eligible dependant s 16,503 16,506 16,210 15,700 15,223 Incapacity payments 68,060 67,892 63,951 62,512 61,222 Medical examinatio ns 5,187 4,868 4,402 4,584 4,413 Death payments 2,660 2,516 2,384 2,452 2,450 Other 339 336 336 345 345
52 DVA Budget Statements income support and compensat ion-related payments Military Rehabilitat ion and Compensa tion Act 2004 Permanent impairment 142,106 137,782 129,184 127,408 125,790 Benefits for eligible dependant s 9,942 10,268 10,532 10,831 11,166 Income maintenan ce payments 94,072 106,963 115,339 125,951 137,809 Medical examinatio ns 11,577 12,243 12,684 13,124 13,562 Other income support and compensat ion-related payments 37 37 37 38 38 Special account expenses: Military death claim compensat ion 220 282 246 619 360 Programm e support 34,404 37,745 36,713 35,552 34,779 Expenses not requiring appropriati on in the Budget year (a) 6,204 3,582 3,121 2,929 3,025 Total programm e expenses 441,282 445,715 435,296 442,997 448,428
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees and Australian Taxation Office data matching services.
53 DVA Budget Statements Programme 1.6: Military Rehabilitation and Compensation Acts Payments - Income Support and Compensation (continued)
Programme 1.6 deliverables Provide incapacity payments, non-economic loss lump sums/pensions for injuries resulting in permanent disability and payments to dependants of deceased employees under the MRCA and SRCA. Administer individual merit reviews for MRCA and SRCA decisions.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
Quantity: Number of incapacity payees under the SRCA 2,230 2,170 2,110 2,050 1,990 Quantity: Number of claims resulting in lump sum payments made under SRCA 1,090 1,156 1,023 991 961 Quantity: Number of incapacity payees under the MRCA 3,350 3,850 4,450 5,100 5,850 Quantity: Number of claims resulting in lump sum payments made under MRCA 1,440 1,779 2,197 2,714 3,351
54 DVA Budget Statements
Programme 1.6 key performance indicators The following KPIs measure the impact of the Programme:
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual estimate estimate estimate Quality: Critical errors under SRCA < 5% < 5% < 5% < 5% < 5% Timeliness Target: Mean number of days to determine a liability under the SRCA 120 120 120 120 120 Quality: Critical errors under MRCA < 5% < 5% < 5% < 5% < 5% Timeliness Target: Mean number of days to determine a liability under the MRCA 120 120 120 120 120
55 DVA Budget Statements Programme 1.7: Adjustment to the Military Rehabilitation and Compensation Acts Liability Provision - Income Support and Compensation
Programme 1.7 objective To provide an updated actual assessment of the movement in the liability for income support and compensation under the rehabilitation and compensation Acts.
Programme 1.7 expenses The movement in the liability provision for the SRCA and MRCA is adjusted based on an annual actuarial assessment from the Australian Government Actuary.
The figures below represent the estimated net movement based on the actuarial report.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Administer ed expenses: Appropriati on Bill 1 Expenses not requiring appropriati on in the Budget year 60,200 111,600 133,200 144,700 144,700 Total programm e expenses 60,200 111,600 133,200 144,700 144,700
56 DVA Budget Statements
OUTCOME 2
Outcome 2: Maintain and enhance the physical wellbeing and quality of life of eligible persons and their dependants through health and other care services that promote early intervention, prevention and treatment, including advice and information about health service entitlements.
Outcome 2 Strategy Ensure continued access to high-quality health care and rehabilitation services, in partnership with public and private providers.
Continue implementing the 2013 Mental Health Services – expansion budget package to improve access to mental health services, strengthen mental health support for veterans.
Promote rehabilitation as a priority for veterans and former members.
Maintain and develop services to support a level of independence.
Continue research to support the health and wellbeing of members and their families.
In addition, the Department will implement a number of cross-portfolio measures (refer Table 1.2).
57 DVA Budget Statements
Outcome 2 Expense Statement Table 2.2 provides an overview of the total expenses for Outcome 2, by programme. Table 2.2: Budgeted Expenses for Outcome 2
Outcome 2: Maintain and enhance the physical wellbeing and quality of 2014-15 2015-16 life of eligible persons and their dependants through health and other care Estimated Estimated services that promote early intervention, prevention and treatment, including actual expenses advice and information about health service entitlements. expenses $'000 $'000 Programme 2.1: General Medical Consultations and Services Administered expenses Ordinary annual services (Appropriation Bill No. 1) - - Other services (Appropriation Bill No. 2) - - Special appropriations 888,425 873,120 Special accounts - - Annual departmental expenses Departmental appropriation (a) 19,499 19,236 Expenses not requiring appropriation in the Budget year (b) 903 614 Total for Programme 2.1 908,827 892,970
Programme 2.2: Veterans' Hospital Services Administered expenses Ordinary annual services (Appropriation Bill No. 1) - - Other services (Appropriation Bill No. 2) - - Special appropriations 1,635,366 1,622,995 Special accounts - - Annual departmental expenses Departmental appropriation (a) 11,453 11,913 Expenses not requiring appropriation in the Budget year (b) 1,675 1,219 Total for Programme 2.2 1,648,494 1,636,127
Programme 2.3: Veterans' Pharmaceuticals Benefits Administered expenses Ordinary annual services (Appropriation Bill No. 1) - - Other services (Appropriation Bill No. 2) - - Special appropriations 388,116 368,707 Special accounts - - Annual departmental expenses Departmental appropriation (a) 1,383 1,050 Expenses not requiring appropriation in the Budget year (b) 759 613 Total for Programme 2.3 390,258 370,370 Continued on next page
58 DVA Budget Statements
Table 2.2: Budgeted expenses for Outcome 2 (continued)
2014-15 2015-16 Estimated Estimated actual expenses expenses Outcome 2: $'000 $'000 Programme 2.4: Veterans' Community Care and Support Administered expenses Ordinary annual services (Appropriation Bill No. 1) 2,478 2,240 Other services (Appropriation Bill No. 2) - - Special appropriations 1,564,213 1,646,016 Special accounts - - Annual departmental expenses Departmental appropriation (a) 27,368 28,345 Expenses not requiring appropriation in the Budget year (b) 4,387 3,233 Total for Programme 2.4 1,598,446 1,679,834
Programme 2.5: Veterans' Counselling and Other Health Services Administered expenses Ordinary annual services (Appropriation Bill No. 1) 4,865 4,840 Other services (Appropriation Bill No. 2) - - Special appropriations 649,092 655,090 Special accounts - - Annual departmental expenses Departmental appropriation (a) 28,081 27,966 Expenses not requiring appropriation in the Budget year (b) 4,385 2,681 Total for Programme 2.5 686,423 690,577
Programme 2.6: Military Rehabilitation and Compensation Acts - Health and Other Care Services Administered expenses Ordinary annual services (Appropriation Bill No. 1) - - Other services (Appropriation Bill No. 2) - - Special appropriations 77,493 81,749 Special accounts - - Annual departmental expenses Departmental appropriation (a) 17,405 17,208 Expenses not requiring appropriation in the Budget year (b) 2,893 1,381 Total for Programme 2.6 97,791 100,338 Continued on next page
59 DVA Budget Statements
Table 2.2: Budgeted expenses for Outcome 2 (continued)
2014-15 2015-16 Estimated Estimated actual expenses expenses Outcome 2: $'000 $'000 Programme 2.7: Adjustment to the Military Rehabilitation and Compensation Acts Liability Provision - Health and Other Care Services Administered expenses Ordinary annual services (Appropriation Bill No. 1) - - Other services (Appropriation Bill No. 2) - - Expenses not requiring appropriation in the Budget year 77,500 94,100 Annual departmental expenses Total for Programme 2.7 77,500 94,100
Outcome 2 Totals by appropriation type Administered expenses Ordinary annual services (Appropriation Bill No. 1) 7,343 7,080 Other services (Appropriation Bill No. 2) - - Special appropriations 5,202,705 5,247,677 Special accounts - - Expenses not requiring appropriation in the Budget year 77,500 94,100 Annual departmental expenses Departmental appropriation (a) 105,189 105,718 Expenses not requiring appropriation in the Budget year (b) 15,002 9,741 Total expenses for Outcome 2 5,407,739 5,464,316 2014-15 2015-16 Average Staffing Level (number) 645 616
(a) Departmental Appropriation combines ‘Ordinary annual services (Appropriation Bill No. 1)’ and ‘Revenue from independent sources (s74)’. (b) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees and Australian Taxation Office data matching services.
Note: Departmental appropriation splits and totals are indicative estimates and may change in the course of the budget year as government priorities change.
60 DVA Budget Statements
Contributions to Outcome 2
Programme 2.1: General Medical Consultations and Services
Programme 2.1 objective Provide access to general and specialist medical and dental services to entitled DVA beneficiaries. Linked to: This programme is linked to the Department of Human Services’ Programme 1.1 – Services to the Community - Social Security and Welfare, Programme 1.2 – Services to the Community – Health and the Department of Health’s Programme 8.1 – Workforce and Rural Distribution.
Programme 2.1 expenses Overall expenditure for general and specialist medical consultations and dental consultations is expected to decline. This is largely attributed to the continuing decrease in the treatment population. The majority of payments to medical providers are made through arrangements with the Department of Human Services (DHS) on behalf of DVA. Expenditure and utilisation of services are demand driven depending on the health care needs of entitled beneficiaries.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Special appropriations: Veterans' Entitlements Act 1986 (VEA) LMO consultations 162,777 164,839 164,384 162,416 166,166 Specialist consultations 148,640 143,856 134,677 122,072 122,620 Medical services 470,859 459,977 447,169 439,642 431,930 Dental 106,149 104,448 98,348 94,116 95,566 Programme support 19,499 19,236 18,839 17,936 18,161 Expenses not requiring appropriation in the Budget year (a) 903 614 477 433 478 Total programme expenses 908,827 892,970 863,894 836,615 834,921
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees, and Australian Taxation Office data matching services.
61 DVA Budget Statements Programme 2.1: General Medical Consultations and Services (continued)
Programme 2.1 deliverables Ensure entitled beneficiaries have access to general and specialist medical and dental services by maintaining servicing arrangements with these practitioner groups. Ensure a geographically diverse range of providers participate in the arrangements for provision of general and specialist medical and dental services to entitled beneficiaries. Ensure a comprehensive range of general and specialist medical and dental services are available to entitled beneficiaries in order to meet their health care needs. Facilitate effective payment of medical practitioners under the Department of Veterans’ Affairs arrangements.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
Treatment Population 207,300 196,700 186,800 177,500 169,000
Programme 2.1 key performance indicators Ensure arrangements are in place for the access to and delivery of general and specialist medical services for all DVA beneficiaries. Maintain a schedule of general and specialist medical services to meet the health care needs of entitled beneficiaries and maintain consistency with trends in the delivery of health care services.
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual target estimate estimate estimate
Price: Unit cost per cardholder 94 98 101 101 107
62 DVA Budget Statements Programme 2.2: Veterans' Hospital Services
Programme 2.2 objective Provide access to hospital services for entitled beneficiaries through arrangements with hospitals in both the private and public sectors. Linked to: This programme is linked to the Department of Human Services’ Programme 1.2 – Services to the Community – Health.
Programme 2.2 expenses Costs for hospital services are remaining fairly stable as the ageing population accesses more services, and as fees for hospital services increase in line with changes in contract rates for the provision of hospital services. The increasing costs incurred in this programme are offset by the decreasing treatment population. Expenditure and utilisation of services are demand driven depending on the health care needs of entitled beneficiaries.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Special appropriations: Veterans' Entitlements Act 1986 (VEA) Public hospitals 745,596 743,466 755,756 770,709 785,600 Private hospitals 885,585 875,506 873,979 870,335 864,726 Psych 1 1 1 1 1 Nursing homes (POW) 4,184 4,022 3,893 3,782 3,675 Programme support 11,453 11,913 11,204 11,388 11,540 Expenses not requiring appropriation in the Budget year (a) 1,675 1,219 1,039 996 949 Total programme expenses 1,648,494 1,636,127 1,645,872 1,657,211 1,666,491
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees, and Australian Taxation Office data matching services.
63 DVA Budget Statements Programme 2.2: Veterans' Hospital Services (continued)
Programme 2.2 deliverables Ensure access to hospital services for entitled beneficiaries through arrangements in both the private and public sectors. Ensure a comprehensive range of hospital services are made available to entitled beneficiaries in order to meet health care needs. Facilitate effective payment of hospital providers under the Department of Veterans’ Affairs arrangements.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
Treatment Population 207,300 196,700 186,800 177,500 169,000
Programme 2.2 key performance indicators Ensure that arrangements are in place for the access to and delivery of private and public hospital services under the VEA and related legislation.
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual target estimate estimate estimate Price: Unit cost per cardholder 55 61 60 64 68
64 DVA Budget Statements Programme 2.3: Veterans' Pharmaceuticals Benefits
Programme 2.3 objective The Repatriation Pharmaceutical Benefits Scheme (RPBS) will provide entitled beneficiaries access to a comprehensive array of pharmaceuticals and wound dressings for the treatment of their health care needs. Linked to: This programme is linked to the Department of Human Services’ Programme1.2 – Services to the Community – Health and the Department of Health’s Programme 2.2 – Pharmaceuticals and Pharmaceutical Services.
Programme 2.3 expenses Expenditure in pharmaceuticals is expected to remain fairly stable as reductions in the size of the treatment population and the prices of some medicines due to price disclosure are offset by expected increases due to the ageing of the population, the increasing prevalence of chronic diseases and the listing on the PBS of new, high cost medicines. Payments to pharmacy providers are made through arrangements with the Department of Human Services (DHS) on behalf of DVA. Expenditure and utilisation of services are demand driven depending on the health care needs of entitled beneficiaries.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Special appropriati ons: Veterans' Entitlemen ts Act 1986 (VEA) Pharmace utical services 388,116 368,707 376,111 388,746 402,244 Programm e support 1,383 1,050 1,032 1,049 1,061 Expenses not requiring appropriati on in the Budget year (a) 759 613 269 262 269 Total programm e expenses 390,258 370,370 377,412 390,057 403,574
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees, and Australian Taxation Office data matching services.
Programme 2.3 deliverables Ensure entitled beneficiaries have access to a comprehensive range of pharmaceuticals and
65 DVA Budget Statements wound dressings that meet their health care needs. Facilitate arrangements with pharmaceutical sponsors for the listing of the range of items appropriate to the entitled beneficiary population. Facilitate effective payment of approved pharmacies for supplying items under the RPBS.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
Treatment Population 207,300 196,700 186,800 177,500 169,000
66 DVA Budget Statements
Programme 2.3: Veterans' Pharmaceuticals Benefits (continued)
Programme 2.3 key performance indicators Ensure arrangements are in place for the access to and delivery of pharmacy services under the VEA and related legislation. Maintain a comprehensive Repatriation Pharmaceutical Benefits Schedule that meets the health care needs of entitled beneficiaries and maintains consistency with trends in the delivery of health care services.
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual estimate estimate estimate
Price: Unit cost per cardholder 7 5 6 6 6
67 DVA Budget Statements Programme 2.4: Veterans' Community Care and Support
Programme 2.4 objective The programme’s primary objective is to effectively manage community support and residential care programmes, including development and review of policy and operational guidelines and procedures, and assessment of programme effectiveness. Veteran community care and support programmes include the Veterans’ Home Care programme and the Community Nursing programme.
The programme also provides the Australian Government subsidy for entitled veterans and war widow/ers living in residential care facilities. The objectives of the Veterans’ Home Care and Community Nursing programmes are to support veterans to remain independent in their homes, and improve their quality of life and health. The veteran community is ageing and increasingly requires higher levels of service. The provision of these services helps to delay entry into residential aged care and maximises independence.
The Australian Government provides subsidies and supplements for veterans who are no longer able to live independently and who enter residential aged care. Linked to: This programme is linked to the Department of Human Services’ Programme 1.1 – Services to the Community – Social Security and Welfare, Programme 1.2 – Services to the Community – Health and the Department of Social Services’ Programme 3.4 – Residential and Flexible Care.
Programme 2.4 expenses Expenditure for Residential Care and Community Nursing is expected to increase across the forward years. A reduction in clients will be offset by increased demand due to veterans’ age and frailty. An increase in the need for respite care is predicted, primarily given that carers themselves are ageing and will need increased support.
68 DVA Budget Statements Programme 2.4: Veterans' Community Care and Support (continued) Programme 2.4 expenses 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Annual administered expenses: Appropriation Bill 1 Grants-In-Aid 145 145 145 145 145 Community Care Grants 630 624 635 643 642 Joint Venture Grants 1,110 1,103 1,121 1,135 1,132 JV Day Clubs 381 368 373 398 397 JV Home Maintenance* 212 - - - - Special Appropriations: Veterans' Entitlements Act 1986 (VEA) 1,303,59 1,385,78 1,476,17 1,581,80 Residential care 5 6 5 2 1,684,577 Community nursing 137,132 137,478 138,023 138,988 140,206 Veterans' Home Care 100,725 99,990 101,758 105,975 110,166 In-home respite 21,565 21,364 21,631 22,444 23,229 Carer and volunteer support 1,196 1,398 1,407 1,410 1,413 Programme support 27,368 28,345 24,843 25,243 25,563 Expenses not requiring appropriation 4,387 3,233 2,820 2,684 2,709 in the Budget year (a) Total programme expenses 1,598,446 1,679,834 1,768,931 1,880,867 1,990,179
* The veterans Home Maintenance Line ceased on 5 February 2015.
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees, and Australian Taxation Office data matching services.
Programme 2.4 deliverables Veterans’ Home Care (VHC) The VHC programme supports veterans and war widow/ers in their own homes to improve their quality of life, independence and health, in particular, maintaining independent functioning within the home environment. The veteran community is ageing and increasingly requiring higher levels of services from the VHC programme to remain in their own homes. The provision of these services helps to delay entry to residential aged care and maximises independence for veterans and war widow/ers. The Department contracts with 174 organisations across Australia to assess veterans and war widow/ers for VHC services and to deliver those services. It is estimated that around 55,000 veterans and war widow/ers will receive VHC services in 2015-16, with the average annual cost of services (including in-home respite care) being approximately $1,700 per client. To ensure services are of high quality, a contract and quality management framework, together with post- payment monitoring, is in place for both Community Nursing and VHC. Community Nursing The Community Nursing programme assists veterans and war widow/ers to avoid early admission to hospital and/or residential care by providing access to high quality community nursing services. The activities of this programme include the provision of clinical nursing and personal care services by DVA contracted community nursing providers. The Department contracts with around 190 organisations across Australia to provide community nursing services to approximately 26,000 eligible veterans and war widow/ers. Residential care In 2015-16, $1.38 billion will be provided by the Department as the Australian Government residential care subsidy for approximately 23,000 entitled veterans and war widow/ers in permanent and respite residential aged care.
69 DVA Budget Statements Programme 2.4: Veterans' Community Care and Support (continued)
Programme 2.4 key performance indicators Community Nursing and Veterans’ Home Care Provision of clinical nursing and home care services to eligible veterans and war widow/ers according to their assessed need.
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward Indicators actual estimate estimate estimate
Price: Unit cost per cardholder 132 144 133 142 151
Programme 2.5: Veterans' Counselling and Other Health Services
Programme 2.5 objective To provide a wide range of mental and allied health care services, including counselling and referral services for veterans, war widow/ers, serving members, former defence force members and their families. Linked to: This programme is linked to the Department of Human Services’ Programme 1.1 – Services to the Community – Social Security and Welfare and Programme 1.2 – Services to the Community – Health.
Programme 2.5 expenses Expenditure under allied health care and transport is expected to increase as an ageing veteran population access a greater variety of health care services. Expenditure and utilisation of services are demand driven, depending on the health care needs of entitled beneficiaries. Payments to allied health providers for services provided to entitled beneficiaries are made through arrangements with Department of Human Services on behalf of DVA. The increase in travel for treatment costs is attributable to increased ageing of the treatment population, resulting in increased treatment utilisation. Variation in expenses over the forward years for aids and appliances is expected due to: new contractual arrangements for the supply of aids and appliances, and an ageing treatment population driving increasing quantum and complexity of aids and appliances.
70 DVA Budget Statements Programme 2.5: Veterans' Counselling and Other Health Services (continued) Programm e 2.5 expenses 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Annual administer ed expenses: Appropriati on Bill 1 Counsellin g support & children's assistance 1,509 1,504 1,233 859 857 Legal expenses 55 55 56 57 57 Veterans' employme nt & training 797 792 816 839 864 Health & medical research 2,504 2,489 2,529 2,571 2,614 Special appropriati ons: Veterans' Entitlement s Act 1986 (VEA) Travel for treatment 183,921 184,167 185,798 191,170 196,328 Subsistenc e 6,465 6,531 6,614 6,695 6,787 Veterans and veterans' families counselling services 31,969 32,637 33,952 35,171 36,730 Non- institutional care - services 178,606 189,001 180,554 177,285 183,027 Non- institutional care - products 64,076 62,942 61,822 60,584 59,226 Rehabilitati on appliances* 174,019 169,832 171,684 173,979 177,660 Health treatment for BCAL veterans 9,615 9,560 9,720 9,419 9,354 Australian Participant s in British Nuclear Tests (Treatment ) Act 2006 Nuclear 421 420 416 424 423 71 DVA Budget Statements test health care payments Programm e support 28,081 27,966 27,562 27,381 27,722 Expenses not requiring appropriati on in the Budget year (a) 4,385 2,681 2,230 2,103 2,233 Total programm e expenses 686,423 690,577 684,986 688,537 703,882
* A range of falls prevention appliances previously provided under the HomeFront are available effective 6 February 2015 under Rehabilitation Appliances.
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees, and Australian Taxation Office data matching services.
72 DVA Budget Statements Programme 2.5: Veterans' Counselling and Other Health Services (continued)
Programme 2.5 deliverables Ensure arrangements are in place to assist veterans to reach treatment locations through a variety of systems and transport modes. This includes reimbursing travel costs privately incurred (including financial assistance towards the costs for meals and accommodation), arranging taxi/hire car and air travel, and purchasing ambulance services from public and private sector providers. Ensure arrangements are in place to provide an extensive range of rehabilitation aids which assist independent living and which are provided through a comprehensive system of prescribers and contracted suppliers. Maintain arrangements with allied health providers in both the public and private sectors for the delivery of a comprehensive range of allied health services to entitled beneficiaries in order to meet their health care needs. Ensure effective payment arrangements are in place for allied health providers. Provide access to counselling services through the VVCS including use of outreach counsellors and through relevant providers in the public and private health sectors: intake and referral services counselling services after-hours counselling, and group programme intervention.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate
Health Treatment Card Holder Population 207,300 196,700 186,800 177,500 169,000
Travel for Treatment:
Number of processed claims for reimbursement 141,500 131,600 122,500 114,000 106,000
Number of DVA arranged person trips 1,025,000 1,140,000 1,260,000 1,400,000 1,500,000
Veteran Counselling: Number of unique clients receiving intake referral services 14,200 14,400 14,500 14,600 14,700
Number of unique clients in receipt of counselling 15,000 15,500 16,000 16,500 17,000
Number of counselling sessions delivered 91,500 92,500 93,500 94,000 94,500
Number of calls received by the After Hours Counselling service 6,700 7,100 7,400 7,500 7,500
Number of unique clients receiving group programme intervention 2,000 1,950 1,950 1,900 1,900
73 DVA Budget Statements Programme 2.5: Veterans' Counselling and Other Health Services (continued)
Programme 2.5 key performance indicators The following KPIs measure the impact of the Programme: Veterans’ claims for travel costs are reimbursed within 28 days. Veterans have access to ambulance services at the Repatriation Commission’s expense in all states and territories. Level of veteran satisfaction is determined from six attitudinal questions contained in the satisfaction surveys completed by clients. Percentage of unique clients presenting for service who receive attention within two weeks of intake.
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual estimate estimate estimate
Price: Unit cost per cardholder 135 142 148 154 164
Travel for Treatment: Target percentage of claims for reimbursement processed within the Service Charter timeframe (28 days) 100% 100% 100% 100% 100%
Degree of complaints about arranged travel relative to the quantity of bookings 0.05% 0.05% 0.05% 0.05% 0.05%
Rehabilitation Appliances: Cost: Attributed across treatment population 718 778 843 843 843
Number of broad categories of aids and appliances available to the veteran community listed in the RAP Schedule 251 251 251 251 251
Percentage of aids and appliances listed may be prescribed by General Practitioners, Registered Nurses and Occupational Therapists 95% 95% 100% 100% 100%
Veteran Counselling: Percentage of unique clients presenting for service who receive attention by a Outreach contracted Counsellor within two weeks of intake. 65% 65% 65% 65% 65%
Centre based Counselling. Percentage of unique clients presenting for service who receive attention by a Centre based Counsellor within two weeks of intake. 80% 80% 80% 80% 80%
Level of veteran satisfaction. High High High High High
74 DVA Budget Statements Programme 2.6: Military Rehabilitation and Compensation Acts - Health and Other Care Services
Programme 2.6 objective To arrange for the provision of rehabilitation, medical and other related services under the Safety, Rehabilitation and Compensation Act 1988 (SRCA) and the Military Rehabilitation and Compensation Act 2004 (MRCA) and related legislation. This includes payment for medical treatment, rehabilitation services, attendant care and household services. Linked to: This programme is linked to the Department of Human Services’ Programme 1.2 – Services to the Community – Health.
Programme 2.6 expenses Future budget results are anticipated to reflect a shift from SRCA–related payments to MRCA– related payments, in line with the extent of claims made against each Act.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Special appropriations: Safety, Rehabilitation and Compensation Act 1988 Medical services 20,264 20,178 20,114 20,535 20,475 Rehabilitation services 6,369 6,258 6,154 6,264 6,246 Other services 13,156 13,112 13,077 13,233 13,194 Military Rehabilitation and Compensation Act 2004 Medical services 25,515 29,056 32,612 36,273 40,340 Rehabilitation services 10,158 10,741 11,129 11,514 11,902 Other services 2,031 2,404 2,843 2,894 2,886 Programme support 17,405 17,208 16,817 17,087 17,304 Expenses not requiring appropriation in the Budget year (a) 2,893 1,381 1,124 1,024 1,093 Total programme expenses 97,791 100,338 103,870 108,824 113,440
(a) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees, and Australian Taxation Office data matching services.
75 DVA Budget Statements Programme 2.6: Military Rehabilitation and Compensation Acts - Health and Other Care Services (continued)
Programme 2.6 deliverables
Under the SRCA & MRCA, the Department will administer a range of benefits for Defence-related claims, including payment for rehabilitation services, medical treatment, attendant care and household services.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate Quantity: Number of SRCA rehabilitation assessments 1,040 1,060 1,080 1,100 1,120 Quantity: Number of SRCA medical and treatment accounts paid 65,000 60,000 55,000 50,000 45,000 Quantity: Number of MRCA rehabilitation assessments 1,557 2,180 3,050 4,250 5,800 Quantity: Number of MRCA medical and treatment accounts paid 22,500 24,000 25,500 27,000 28,500
Programme 2.6 key performance measure The following KPIs measure the impact of the Programme:
2014-15 2015-16 2016-17 2017-18 2018-19 Key performance Estimated Budget Forward Forward Forward indicators actual estimate estimate estimate
Quality: Error rates SRCA rehabilitation assessments < 5% < 5% < 5% < 5% < 5%
Quality: Error rates SRCA accounts < 5% < 5% < 5% < 5% < 5%
Quality: Error rates MRCA rehabilitation assessments < 5% < 5% < 5% < 5% < 5%
Quality: Error rate of MRCA accounts paid incorrectly < 5% < 5% < 5% < 5% < 5%
76 DVA Budget Statements Programme 2.7: Adjustment to the Military Rehabilitation and Compensation Acts Liability Provision - Health and Other Care Services
Programme 2.7 objective To provide an updated actuarial assessment of the movement in the liability for health and other care services under the rehabilitation and compensation Acts.
Programme 2.7 expenses The movement in the liability provision for SRCA and MRCA is adjusted based on annual actuarial assessment from the Australian Government Actuary.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Administered expenses Expenses not requiring appropriation in the Budget year 77,500 94,100 99,000 104,000 104,000 Total programme expenses 77,500 94,100 99,000 104,000 104,000
77 DVA Budget Statements
OUTCOME 3
Outcome 3: Acknowledgement and commemoration of those who served Australia and its allies in wars, conflicts and peace operations through promoting recognition of service and sacrifice, preservation of Australia’s wartime heritage, and official commemorations.
Outcome 3 strategy Promote community involvement in commemorations programmes, in conjunction with other government entities and ex-service and community organisations.
Support community awareness and preservation of Australia’s wartime and service heritage and veterans’ experiences.
Commemorate eligible war dead and deceased veterans by maintaining individual graves, war cemeteries and Gardens of Remembrance.
Maintain existing national memorials overseas and construct new memorials as determined by government processes.
Manage Anzac Day services at Gallipoli, Turkey and Villers-Bretonneux, France, and support Anzac Day services at a number of other overseas locations, including Malaysia, Papua New Guinea and Thailand.
78 DVA Budget Statements
Outcome 3 Expense statement Table 2.3 provides an overview of the total expenses for Outcome 3 by programme. Table 2.3: Budgeted expenses and resources for Outcome 3 Outcome 3: Acknowledgement and commemoration of those who served 2014-15 2015-16 Australia and its allies in wars, conflicts and peace operations through Estimated Estimated promoting recognition of service and sacrifice, preservation of Australia’s actual expenses wartime heritage, and official commemorations. expenses $'000 $'000 Programme 3.1: War Graves and Commemorations Administered expenses Ordinary annual services (Appropriation Bill No. 1 & 3) 51,997 32,265 Other services (Appropriation Bill No. 2 & 4) - - Special appropriations - - Special accounts 24,127 22,527 Annual departmental expenses Departmental appropriation (a) 23,218 24,018 Expenses not requiring appropriation in the Budget year (b) 3,065 1,407 Total for Programme 3.1 102,407 80,217
Programme 3.2: Gallipoli-related Activities Administered expenses Ordinary annual services (Appropriation Bill No. 1 & 3) 5,823 5,857 Other services (Appropriation Bill No. 2 & 4) - - Special appropriations - - Special accounts - - Annual departmental expenses Departmental appropriation (a) 1,715 2,597 Expenses not requiring appropriation in the Budget year (b) 107 54 Total for Programme 3.2 7,645 8,508
Outcome 3 Totals by appropriation type Administered expenses Ordinary annual services (Appropriation Bill No. 1 & 3) 57,820 38,122 Other services (Appropriation Bill No. 2 & 4) - - Special appropriations - - Special accounts 24,127 22,527 Annual departmental expenses Departmental appropriation (a) 24,933 26,615 Expenses not requiring appropriation in the Budget year (b) 3,172 1,461 Total expenses for Outcome 3 110,052 88,725 2014-15 2015-16 Average Staffing Level (number) 151 168
(a) Departmental Appropriation combines ‘Ordinary annual services (Appropriation Bills No. 1)’ and ‘Revenue from independent sources (s74)’. (b) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees and Australian Taxation Office data matching services.
Note: Departmental appropriation splits and totals are indicative estimates and may change in the course of the budget year as government priorities change.
79 DVA Budget Statements
Contributions to Outcome 3
Programme 3.1: War Graves and Commemorations
Programme 3.1 objective Acknowledge and commemorate the service and sacrifice of the men and women who served Australia and its allies in wars, conflicts and peace operations.
Programme 3.1 expenses Public interest in commemorative activities and war graves matters continues to rise because of significant wartime anniversaries, the ageing veteran population and ongoing Australian Defence Force deployment overseas. There is continuing interest in funding under the commemorations programme, Saluting Their Service, and an increased demand for community awareness, education and online resources. The Office of Australian War Graves (OAWG) constructs and maintains national memorials overseas. Projects in progress include the Australian Remembrance Trail in France and Belgium and the Australian contribution to the Vietnam Veterans’ Education Centre in the United States. The Australian Memorial in New Zealand was completed in March 2015 and dedicated on 20 April 2015. OAWG has been providing official commemoration since 1922. As the average age of these commemorations grows, significant future works have been identified to maintain them at approved standards. The Department conducts an annual Anzac Day dawn service at Villers-Bretonneux in France and supports Anzac Day services at a number of other overseas locations, including Malaysia, Papua New Guinea and Thailand. In addition, the 70th anniversary of Victory in the Pacific will be commemorated in Papua New Guinea in 2015. The Department has been tasked as the lead agency for preparing and managing the Australian Government’s arrangements for the Anzac Centenary 2014-18. 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Annual administered expenses: Appropriation Bill 1 (a) War graves care & maintenance 20,117 15,676 16,413 17,012 17,435 OAWG refurbishment, reconstruction & relocation 1,008 1,002 1,027 1,052 1,052 Legal expenses 5 5 5 5 5 Veterans' commemorative activities 30,867 15,582 14,117 15,205 10,459 Special account expenses: Australians at War - - - - - Services for Other Entity and Trust Moneys 102 102 102 122 102 Anzac Centenary Public Fund 24,025 22,425 19,600 8,500 8,500 Programme support 23,218 24,018 24,184 27,285 24,468 Expenses not requiring appropriation in the Budget year (b) 3,065 1,407 1,095 957 1,048 Total programme expenses 102,407 80,217 76,543 70,138 63,069 (a) Refer to the Movement of Funds Table 3.1.1 (b) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees, and Australian Taxation Office data matching services.
80 DVA Budget Statements Programme 3.1: War Graves and Commemorations (continued)
Programme 3.1 deliverables Develop and implement commemorative initiatives and provide support and funding under the commemorations programme, Saluting Their Service. Promote community involvement in commemorations programmes, in conjunction with other government entities and ex-service and community organisations. Support community awareness and preservation of Australia’s wartime and service heritage and veterans’ experiences. Lead and manage the Anzac Centenary 2014-18. Commemorate eligible war dead and deceased veterans by maintaining war graves and war cemeteries in Australia, Papua New Guinea, Solomon Islands and Norfolk Island, South Africa, Korea, Japan, Malaysia and Singapore. Process claims for, and provide new, official post-war commemorations. Provide Australian commemorative information on cemeteries and memorials. Maintain existing Australian Government memorials overseas and construct new memorials as determined by government processes. Manage the “Graves of Our Bravest” programme for recipients of the Victoria Cross, George Cross and Cross of Valour.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables actual estimate estimate estimate Maintain Commemorations: War Cemeteries 75 75 75 75 75 Gardens of Remembrance 10 10 10 10 10 Memorials to the Missing 5 5 5 5 5 War Graves in Australia and PNG 21,080 21,080 21,080 21,080 21,080 Overseas Graves (non world wars) 1,043 1,043 1,043 1,043 1,043 Post War Commemorations 313,808 317,239 320,415 323,336 325,747 Provide new Post War Commemorations 3,515 3,431 3,176 2,921 2,411 Manage national memorials overseas 36 36 36 36 36 Implement War Graves related projects 4 3 2 2 2
Community awareness and education resources 506,811 436,100 401,100 401,100 401,100 Grants applications processed 1,983 513 513 513 513 Domestic commemorative events 2 4 3 4 2
International commemorative events (excludes Gallipoli, includes Villers- Bretonneux) 3 2 5 3 2
81 DVA Budget Statements Programme 3.1: War Graves and Commemorations (continued)
Programme 3.1 key performance targets
Deliverables (as shown in previous table) Key performance indicators
Maintain facilities and individual The Maintenance of war cemeteries, memorials and graves commemorations in Australia, PNG, South is undertaken in accordance with Commonwealth War Africa, Korea, Japan, Malaysia & Singapore: Graves Commission (CWGC) published standards. Performance is measured through CWGC inspections and War Cemeteries veteran and community feedback. Gardens of Remembrance Memorials to the Missing War Graves in Australia & PNG Overseas graves (non world wars) Post War commemorations1
Provide new Post War Commemorations Commemorations are provided within published timeframes to meet Australian standards of production/ construction.
Manage national memorials overseas Memorial presentation meets veteran and community approval and local requirements. Access and equity standards are met and, where applicable, information provided is both accurate and presented in a variety of formats.
Implement War Graves related projects Project implementation meets the budget and timing agreed and announced by Government.
Community awareness & education resources High level of community and veteran satisfaction with quality and accessibility of resources.
Grants applications approved Grant applications are processed within timelines. High level of community and veteran satisfaction with grant outcomes.
Domestic commemorative events High level of community and veteran satisfaction with commemorative events.
1. Individual commemorations provided in cemeteries, crematoria and Gardens of Remembrance to eligible veterans whose death is determined to be related to their service in conflict or on peacekeeping.
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Programme 3.2: Gallipoli-related Activities
Programme 3.2 objective Coordinate and manage the delivery of annual commemorative and related activities at Gallipoli.
Programme 3.2 expenses The Department is the lead government entity responsible for the planning and conduct of annual Anzac Day commemorations at Gallipoli.
2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward $('000) actual estimate estimate estimate Annual administered expenses: Appropriation Bill 1 Gallipoli-related activities (a) 5,823 5,857 3,625 3,701 3,211 Programme support 1,715 2,597 1,652 1,639 1,495 Expenses not requiring appropriation in the Budget year (b) 107 54 40 35 40
Total programme expenses 7,645 8,508 5,317 5,375 4,746
(a) Refer to the Movement of Funds table 3.1.1. (b) Expenses not requiring appropriation in the Budget year are made up of depreciation expenses, amortisation expenses, audit fees, and Australian Taxation Office data matching services.
Programme 3.2 deliverables Planning for and conduct of annual Anzac Day and commemorative services and management of related reviews and research. 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward Deliverables $('000) actual estimate estimate estimate Conduct annual Anzac Day and commemorative services at Anzac Cove and Lone Pine, Gallipoli 5,823 5,857 3,625 3,701 3,211
Programme 3.2 key performance targets Deliver commemorative and associated activities at Gallipoli.
2014-15 2015-16 2016-17 2017-18 2018-19 Key Performance Estimated Budget Forward Forward Forward Indicators actual target estimate estimate estimate Quality: Level of community engagement and satisfaction High High High High High Quality: Media interest Positive Positive Positive Positive Positive
83 DVA Budget Statements Section 3: Explanatory tables and budgeted financial statements
Section 3 presents explanatory tables and budgeted financial statements which provide a comprehensive snapshot of entity finances for the 2015-16 budget year. It explains how budget plans are incorporated into the financial statements and provides further details of the reconciliation between appropriations and program expenses, movements in administered funds and special accounts. 3.1 EXPLANATORY TABLES
3.1.1 Movement of administered funds between years Administered funds can be provided for a specified period, for example under annual Appropriation Acts. Funds not used in the specified period with the agreement of the Finance Minister may be moved to a future year. Table 3.1.1 shows the approved movement of administered funds between years.
Table 3.1.1: Movement of administered funds between years(a) 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 Outcome 3: Programme 3.1 War Graves and Commemorations - Anzac Centenary Local Grants Programme (b) (1,645) 1,645 - - -
Programme 3.2 Gallipoli-related Activities - Lone Pine Commemorative event and Gallipoli Symphony (c) (787) 787 - - -
Australian War Memorial - Spirit of Anzac Centenary Experience (d) (3,800) 3,200 600
Total Movement of Administered Funds (6,232) 5,632 600 - - (a) Figures displayed as a negative (-) represent a decrease in funds; a positive reflects an increase in funds. (b) Movement of funds for $1.6 million in unspent Anzac Centenary Local Grants Programme administered funding from 2014-15 to 2015-16. (c) Movement of funds for $0.8 million in unspent administered funding to provide for changes in delivery date for Gallipoli Symphony, and contracted service provider charges required for the Lone Pine Commemorative event to be held in August 2015. (d) Movement of funds of $3.8 million in unspent administered funding to provide for extended timeframes in relation to the Australian War Memorial Spirit of Anzac Centenary Experience.
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3.1.2 Special accounts Special accounts provide a means to set aside and record amounts used for specified purposes. Special accounts can be created by a Finance Minister’s Determination under section 78 of the PGPA Act or under separate enabling legislation (section 80 of the PGPA Act refers). Table 3.1.2 shows the expected additions (receipts) and reductions (payments) for each account used by Department of Veterans' Affairs.
Table 3.1.2: Estimates of special account flows and balances Opening Closing balance Receipts Payments Adjustments balance 2015-16 2015-16 2015-16 2015-16 2015-16 2014-15 2014-15 2014-15 2014-15 2014-15 Outcome $'000 $'000 $'000 $'000 $'000 Military Death Claim 1 305 282 282 - 305 Compensation Special Account (A) 305 220 220 - 305 Defence Service Homes 1 1,215 44,921 44,900 - 1,236 Insurance Account (D) 2,051 49,531 50,367 - 1,215 Australians at War 3 249 6 - - 255 Special Account (A) 231 18 - - 249 Anzac Centenary Public Fund 3 4,033 24,000 22,425 - 5,608 Special Account (A) 4,058 24,000 24,025 - 4,033 Services for Other Entities and 3 209 75 102 - 182 Trust Moneys Special Account (A) 236 75 102 - 209 Total Special Accounts 2015-16 Budget estimate 6,011 69,284 67,709 - 7,586 Total Special Accounts 2014-15 estimate actual 6,881 73,844 74,714 - 6,011
(A) = Special Public Money, Administered (D) = Departmental
3.1.3 Australian Government Indigenous expenditure The 2015-16 Australian Government Indigenous Statement is not applicable because Department of Veterans' Affairs has no indigenous specific expenses.
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3.2 BUDGETED FINANCIAL STATEMENTS 3.2.1 Differences in entity resourcing and financial statements There are differences between entity resourcing and the financial statements. These differences are caused by the accounting treatment for the departmental capital budget (DCB) that was implemented under net cost of services through Operation Sunlight. Additionally the Department has received funding where expenses have been incurred within the 2014-15 financial year and the related appropriation will be received in the 2015- 16 financial year.
3.2.2 Analysis of budgeted financial statements The Strategic Financial Plan and the Capital Management Plan provide the framework for Department of Veterans' Affairs (DVA) planning and response to future budgets and financial sustainability.
The budgeted financial statements are shown at three levels and reflect the financial results of the three reporting entities that comprise DVA’s departmental accounts: DVA amalgamated, DVA excluding Defence Service Homes Insurance Scheme (DSHIS), and DSHIS.
Departmental (amalgamated) The budgeted DVA and DSHIS financial statements form the basis of the financial statements that will appear in the organisation’s 2014-15 Annual Report, and input into the whole-of-government accounts. The budgeted financial statements are prepared on an accrual basis in accordance with the Australian Equivalents to International Financial Reporting Standards (AEIFRS) and the Finance Ministers Orders (FMOs).
Departmental (DVA excluding DSHIS) Budgeted departmental income statement The Department (excluding DSHIS) is budgeting for a breakeven operating result before depreciation and amortisation expense in 2015-16 and the forward estimates. Total revenue for the 2015-16 financial year is $295.2 million which represents an increase of $0.6 million from the 2014-15 financial year. It comprises of $283.9 million of revenue from government, $10.6 million of own-source income and resources received free of charge of $0.8 million.
Budgeted departmental balance sheet The Department’s (excluding DSHIS) net asset (equity) position for the 2015-16 financial year is projected to be $15.9 million, and represents a decrease of $14.8 million from the 2014-15 position $30.7 million.
Budgeted total assets of $105.0 million in 2015-16 represent a decrease of $18.8 million from 2014-15 of $123.8 million. This mainly comprises of a decrease in appropriation receivables of $2.9 million, a decrease in cash and cash equivalents of $1.2 million and a decrease in non-financial assets of $14.7 million. 86 DVA Budget Statements Budgeted liabilities of $89.2 million in 2015-16 represent a decrease of $4.0 million from 2014-15 of $93.2 million and are primarily a result of a decrease in employee provisions of $3.2 million.
Departmental (DSHIS) Budgeted departmental income statement DSHIS is budgeting for an operating surplus of $3.5 million before depreciation and amortisation expense in 2015-16. Revenue for 2015-16 is expected to be $39.8 million and consists of $39.7 million of own-source income and $0.1 million of revenue from government, an increase of $1.2 million from 2014-15 of $38.6 million. This increase is primarily driven by the sale of goods and services (premium revenue) which is expected to increase from $33.6 million in 2014-15 to $35.0 million in the 2015-16 financial year.
Budgeted departmental balance sheet DSHIS’s net asset position for 2015-16 is projected to be $35.3 million, and increase over the forward years.
Budgeted liabilities for 2015-16 are expected to be $41.2 million and reduce over the forward years.
Administered statements Budgeted revenue and expenses The Department will administer $11.8 billion of administered funding in the 2015-16 financial year. Budgeted assets and liabilities Total administered assets are expected to remain stable at $1.4 billion. Total administered liabilities are expected to increase by $0.2 billion to $6.7 billion in 2015-16 from the 2014-15 estimated actual of $6.4 billion, represented by an increase in personal benefits of $0.1 billion and an increase in other provisions and payables of $0.1 billion.
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3.2.3 Budgeted financial statements tables Table 3.2.1a: Departmental comprehensive income statement (amalgamated) (Showing Net Cost of Services) (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 EXPENSE Employee benefits 192,219 190,548 186,124 184,253 180,879 Supplier expenses 108,459 110,866 108,062 111,552 109,771 Depreciation and amortisation 29,132 28,003 23,375 21,494 21,955 Insurance claims 28,505 29,000 29,500 30,000 30,500 Other expenses 19,300 - - - - Total expenses 377,615 358,417 347,061 347,299 343,105
LESS: OWN-SOURCE INCOME Own-source revenue Sale of goods and rendering of services 43,553 44,616 42,264 43,273 38,873 Other revenue 4,560 4,600 4,700 4,800 4,900 Total own-source revenue 48,113 49,216 46,964 48,073 43,773
Gains Resources received free of charge 825 825 825 825 825 Total gains 825 825 825 825 825 Total own-source income 48,938 50,041 47,789 48,898 44,598
Net cost of services 328,677 308,376 299,272 298,401 298,507
Revenue from Government 283,306 284,025 280,049 281,559 281,502 Surplus/(Deficit) attributable to the Australian Government (45,371) (24,351) (19,223) (16,842) (17,005) Prepared on Australian Accounting Standards basis Continued on next page
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Table 3.2.1a: Departmental comprehensive income statement (amalgamated) (Showing Net Cost of Services) (for the period ended 30 June) (continued) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000
Surplus (Deficit) attributable to the Australian Government before income tax (45,371) (24,351) (19,223) (16,842) (17,005)
Income tax expense 202 202 202 202 - Surplus (Deficit) attributable to the Australian Government after income tax (45,573) (24,553) (19,425) (17,044) (17,005)
OTHER COMPREHENSIVE INCOME Changes in assets revaluation reserve - - - - - Total other comprehensive income - - - - -
Total comprehensive income (loss) attributable to the Australian Government (45,573) (24,553) (19,425) (17,044) (17,005)
Note: Impact of Net Cash Appropriation Arrangements 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 Total Comprehensive Income (loss) excluding depreciation/amortisation expenses previously funded through revenue appropriations (16,441) 3,450 3,950 4,450 4,950 less depreciation/amortisation expenses previously funded through revenue appropriations (a) 29,132 28,003 23,375 21,494 21,955
Total Comprehensive Income (loss) - as per the Statement of Comprehensive Income (45,573) (24,553) (19,425) (17,044) (17,005) Prepared on Australian Accounting Standards basis
(a) From 2010-11, the Government introduced net cash appropriation arrangements where Bill 1 revenue appropriations for the depreciation/amortisation expenses of non-corporate PGPA Act entities (formerly FMA Act entities) were replaced with a separate capital budget (the Departmental Capital Budget, or DCB) provided through Bill 1 equity appropriations. For information regarding DCBs, please refer to Table 3.2.5 Departmental Capital Budget Statement.
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Table 3.2.2a: Budgeted departmental balance sheet (amalgamated) (as at 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 ASSETS Financial assets Cash and cash equivalents 2,703 1,499 1,353 1,321 1,396 Trade and other receivables 14,404 14,404 14,404 14,404 14,404 Appropriation receivables 2,865 - - - - Investments 57,359 60,359 63,159 65,759 68,059 Total financial assets 77,331 76,262 78,916 81,484 83,859
Non-financial assets Land and buildings 18,054 10,834 16,994 15,702 21,041 Infrastructure, plant and equipment 3,043 4,093 5,579 7,280 8,985 Intangibles - computer software 88,683 80,006 62,490 54,594 39,657 Other non-financial assets 9,032 9,131 9,131 9,131 9,131 Total non-financial assets 118,812 104,064 94,194 86,707 78,814 Total assets 196,143 180,326 173,110 168,191 162,673
LIABILITIES Payables Supplier 17,749 16,761 15,543 15,009 14,314 Other payables 26,012 28,689 31,194 32,196 34,095 Total Payables 43,761 45,450 46,737 47,205 48,409 Provisions Employee provisions 64,282 61,102 59,648 59,177 57,977 Other provisions 25,531 22,602 21,473 19,594 17,015 Total provisions 89,813 83,704 81,121 78,771 74,992 Total liabilities 133,574 129,154 127,858 125,976 123,401 Net assets 62,569 51,172 45,252 42,215 39,272 Equity* Contributed equity 204,047 218,553 232,058 246,065 260,127 Asset revaluation reserve 13,471 13,471 13,471 13,471 13,471 Retained surplus (154,949 (180,852 (200,277 (accumulated deficit) ) ) ) (217,321) (234,326) Total equity 62,569 51,172 45,252 42,215 39,272 Prepared on Australian Accounting Standards basis
*’Equity’ is the residual interest in assets after deduction of liabilities.
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Table 3.2.3a: Budgeted departmental statement of cash flows (amalgamated) (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 OPERATING ACTIVITIES Cash received Appropriations 298,167 305,956 289,108 289,785 285,245 Sale of goods and rendering of services 52,406 52,673 49,985 50,995 46,055 Net GST received 9,627 9,435 9,457 9,587 10,210 Other 7,301 2,801 2,801 2,801 2,801 Total cash received 367,501 370,865 351,351 353,168 344,311 Cash used Employees 193,406 193,433 187,328 184,524 181,929 Suppliers 118,702 128,768 116,853 120,501 119,034 Other 50,300 48,218 44,516 45,575 40,973 Total cash used 362,408 370,419 348,697 350,600 341,936 Net cash from or (used by) operating activities 5,093 446 2,654 2,568 2,375 INVESTING ACTIVITIES Cash received Proceeds from sales of property, plant and equipment - 1,350 - - - Total cash received - 1,350 - - - Cash used Purchase of property, plant, equipment, and Intangibles 18,665 14,506 13,505 14,007 14,062 Purchase of financial instruments - - - - - Investments 5,400 3,000 2,800 2,600 2,300 Total cash used 24,065 17,506 16,305 16,607 16,362 Net cash from/(used by) investing activities (24,065) (16,156) (16,305) (16,607) (16,362) FINANCING ACTIVITIES Cash received Contributed equity 17,490 14,506 13,505 14,007 14,062 Total cash received 17,490 14,506 13,505 14,007 14,062 Net cash from/(used by) financing activities 17,490 14,506 13,505 14,007 14,062 Net increase or (decrease) in cash held (1,482) (1,204) (146) (32) 75 Cash and cash equivalents at the beginning of the reporting period 4,185 2,703 1,499 1,353 1,321 Cash and cash equivalents at the end of the reporting period 2,703 1,499 1,353 1,321 1,396 Prepared on Australian Accounting Standards basis
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Table 3.2.1b: Departmental comprehensive income statement (DVA excluding DSHIS) (showing net cost of services) (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 EXPENSES Employee benefits 188,136 186,448 181,974 180,053 176,629 Supplier 106,279 108,591 105,737 109,177 107,346 Depreciation and amortisation 29,057 27,928 23,300 21,419 21,880 Other expenses 19,300 - - - - Total expenses 342,772 322,967 311,011 310,649 305,855
LESS: OWN-SOURCE INCOME Own-source revenue Sale of goods and rendering of services 10,861 10,566 7,214 7,223 1,823 Total own-source revenue 10,861 10,566 7,214 7,223 1,823
Gains Resources received free of charge 770 770 770 770 770 Total gains 770 770 770 770 770 Total own-source income 11,631 11,336 7,984 7,993 2,593
Net cost of (contribution by) services 331,141 311,631 303,027 302,656 303,262
Revenue from Government 282,986 283,905 279,929 281,439 281,382
Surplus/(Deficit) attributable to the Australian Government before income tax (48,155) (27,726) (23,098) (21,217) (21,880) Prepared on Australian Accounting Standards basis Continued on next page
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Table 3.2.1b: Departmental comprehensive income statement (DVA excluding DSHIS) (showing net cost of services) (for the period ended 30 June) (continued) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000
Income tax expense 202 202 202 202 - Surplus (Deficit) attributable to the Australian Government after income tax (48,357) (27,928) (23,300) (21,419) (21,880)
OTHER COMPREHENSIVE INCOME Changes in assets revaluation reserve - - - - - Total other comprehensive income - - - - -
Total comprehensive income (loss) attributable to the Australian Government (48,357) (27,928) (23,300) (21,419) (21,880)
Note: Impact of Net Cash Appropriation Arrangements 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 Total Comprehensive Income (loss) excluding depreciation/amortisation expenses previously funded through revenue appropriations (19,300) - - - - less depreciation/amortisation expenses previously funded through revenue appropriations (a) 29,057 27,928 23,300 21,419 21,880
Total Comprehensive Income (loss) - as per the Statement of Comprehensive Income (48,357) (27,928) (23,300) (21,419) (21,880) Prepared on Australian Accounting Standards basis
(a) From 2010-11, the Government introduced net cash appropriation arrangements where Bill 1 revenue appropriations for the depreciation/amortisation expenses of FMA Act entities were replaced with a separate capital budget (the Departmental Capital Budget, or DCB) provided through Bill 1 equity appropriations. For information regarding DCBs, please refer to Table 3.2.5 Departmental Capital Budget Statement.
93 DVA Budget Statements Table 3.2.2b: Budgeted departmental balance sheet (DVA excluding DSHIS) (as at 30 June) Estimate d Budget Forward Forward Forward actual estimate estimate estimate estimate 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 ASSETS Financial assets Cash and cash equivalents 1,488 263 96 93 97 Trade and other receivables 3,097 3,097 3,097 3,097 3,097 Appropriation receivables 2,865 - - - - Investments - - - - - Total financial assets 7,450 3,360 3,193 3,190 3,194 Non-financial assets Land and buildings 18,054 10,834 16,994 15,702 21,041 Infrastructure, plant and equipment 3,043 4,093 5,579 7,280 8,985 Intangibles - Computer Software 88,228 79,626 62,185 54,364 39,502 Other non-financial assets 7,032 7,131 7,131 7,131 7,131 Total non-financial assets 116,357 101,684 91,889 84,477 76,659 Total assets 123,807 105,044 95,082 87,667 79,853 LIABILITIES Payables Supplier payables 14,442 13,454 12,236 11,702 11,007 Other payables 6,512 9,189 11,694 12,696 14,595 Total payables 20,954 22,643 23,930 24,398 25,602 Provisions Employee provisions 64,282 61,102 59,648 59,177 57,977 Other provisions 7,914 5,414 5,414 5,414 5,414 Total provisions 72,196 66,516 65,062 64,591 63,391
Total liabilities 93,150 89,159 88,992 88,989 88,993 Net assets 30,657 15,885 6,090 (1,322) (9,140) Equity Contributed equity 204,047 218,553 232,058 246,065 260,127 Asset revaluation reserve 13,471 13,471 13,471 13,471 13,471 Retained surplus (accumulated deficit) (186,861) (216,139) (239,439) (260,858) (282,738) Total equity 30,657 15,885 6,090 (1,322) (9,140) Prepared on Australian Accounting Standards basis
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Table 3.2.3b: Budgeted departmental statement of cash flows (DVA excluding DSHIS) (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 OPERATING ACTIVITIES Cash received Appropriations 297,847 305,836 288,988 289,665 285,125 Sale of goods and services 11,446 11,623 7,935 7,945 2,005 Net GST received 9,627 9,435 9,457 9,587 10,210 Total cash received 318,920 326,894 306,380 307,197 297,340 Cash used Employees 189,668 189,633 183,428 180,524 177,829 Suppliers 117,660 127,718 115,703 119,251 117,684 Other 11,063 12,118 7,416 7,425 1,823 Total cash used 318,391 329,469 306,547 307,200 297,336 Net cash from (used by) operating activities 529 (2,575) (167) (3) 4 INVESTING ACTIVITIES Cash received Proceeds from sales of property, plant and equipment - 1,350 - - - Total cash received - 1,350 - - - Cash used Purchase of property, plant and equipment 18,665 14,506 13,505 14,007 14,062 Total cash used 18,665 14,506 13,505 14,007 14,062 Net cash from (used by) investing activities (18,665) (13,156) (13,505) (14,007) (14,062) FINANCING ACTIVITIES Cash received Contributed equity 17,490 14,506 13,505 14,007 14,062 Total cash received 17,490 14,506 13,505 14,007 14,062 Net cash from (used by) financing activities 17,490 14,506 13,505 14,007 14,062 Net increase (decrease) in cash held (646) (1,225) (167) (3) 4 Cash and cash equivalents at the beginning of the reporting period 2,134 1,488 263 96 93 Cash and cash equivalents at the end of the reporting period 1,488 263 96 93 97 Prepared on Australian Accounting Standards basis
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Table 3.2.1c: Departmental comprehensive income statement (DSHIS) (showing net cost of services) (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 EXPENSES Employee benefits 4,083 4,100 4,150 4,200 4,250 Supplier 3,130 3,225 3,275 3,325 3,375 Depreciation and amortisation 75 75 75 75 75 Insurance claims 28,505 29,000 29,500 30,000 30,500 Total expenses 35,793 36,400 37,000 37,600 38,200
LESS: OWN-SOURCE INCOME Own-source revenue Sale of goods and rendering of services 33,642 35,000 36,000 37,000 38,000 Other 4,560 4,600 4,700 4,800 4,900 Total own-source revenue 38,202 39,600 40,700 41,800 42,900
Gains Resources received free of charge 55 55 55 55 55 Total gains 55 55 55 55 55 Total own-source income 38,257 39,655 40,755 41,855 42,955
Net cost of (contribution by) services (2,464) (3,255) (3,755) (4,255) (4,755)
Revenue from Government 320 120 120 120 120 Surplus/(Deficit) attributable to the Australian Government 2,784 3,375 3,875 4,375 4,875
Total comprehensive income/(loss) attributable to the Australian Government 2,784 3,375 3,875 4,375 4,875 Prepared on Australian Accounting Standards basis
Continued on next page
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Table 3.2.1c: Departmental comprehensive income statement (DSHIS) (showing net cost of services) (for the period ended 30 June) (continued) Note: Impact of Net Cash Appropriation Arrangements 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 Total Comprehensive Income (loss) less depreciation/amortisation expenses previously funded through revenue appropriations 2,859 3,450 3,950 4,450 4,950
less depreciation/amortisation expenses previously funded through revenue appropriations (a) 75 75 75 75 75
Total Comprehensive Income (loss) - as per the Statement of Comprehensive Income 2,784 3,375 3,875 4,375 4,875 Prepared on Australian Accounting Standards basis
(a) From 2010-11, the Government introduced net cash appropriation arrangements where Bill 1 revenue appropriations for the depreciation/amortisation expenses of FMA Act entities were replaced with a separate capital budget (the Departmental Capital Budget, or DCB) provided through Bill 1 equity appropriations. For information regarding DCBs, please refer to Table 3.2.5 Departmental Capital Budget Statement.
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Table 3.2.2c: Budgeted departmental balance sheet (DSHIS) (as at 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 ASSETS Financial assets Cash and cash equivalents 1,215 1,236 1,257 1,228 1,299 Trade and other receivables 12,500 12,500 12,500 12,500 12,500 Appropriation receivables - - - - - Investments 57,359 60,359 63,159 65,759 68,059 Total financial assets 71,074 74,095 76,916 79,487 81,858
Non-financial assets Intangibles - Computer Software 455 380 305 230 155 Other non-financial assets 2,000 2,000 2,000 2,000 2,000 Total non-financial assets 2,455 2,380 2,305 2,230 2,155 Total assets 73,529 76,475 79,221 81,717 84,013
LIABILITIES Payables Supplier 4,500 4,500 4,500 4,500 4,500 Other payables 19,500 19,500 19,500 19,500 19,500 Total payables 24,000 24,000 24,000 24,000 24,000
Provisions Other provisions 17,617 17,188 16,059 14,180 11,601 Total provisions 17,617 17,188 16,059 14,180 11,601
Total liabilities 41,617 41,188 40,059 38,180 35,601
Net assets 31,912 35,287 39,162 43,537 48,412
Equity Retained surplus (accumulated deficit) 31,912 35,287 39,162 43,537 48,412 Total equity 31,912 35,287 39,162 43,537 48,412 Prepared on Australian Accounting Standards basis
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Table 3.2.3c: Budgeted departmental statement of cash flows (DSHIS) (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 OPERATING ACTIVITIES Cash received Appropriations 320 120 120 120 120 Sale of goods and rendering of services 41,910 42,000 43,000 44,000 45,000 Other 7,301 2,801 2,801 2,801 2,801 Total cash received 49,531 44,921 45,921 46,921 47,921 Cash used Employees 3,738 3,800 3,900 4,000 4,100 Suppliers 1,992 2,000 2,100 2,200 2,300 Other 39,237 36,100 37,100 38,150 39,150 Total cash used 44,967 41,900 43,100 44,350 45,550 Net cash from/(used by) operating activities 4,564 3,021 2,821 2,571 2,371 INVESTING ACTIVITIES Cash received Investments realised - - - - - Total cash received - - - - - Cash used Investments 5,400 3,000 2,800 2,600 2,300 Total cash used 5,400 3,000 2,800 2,600 2,300 Net cash from/(used by) investing activities (5,400) (3,000) (2,800) (2,600) (2,300) Net increase/(decrease) in cash held (836) 21 21 (29) 71 Cash and cash equivalents at the beginning of the reporting period 2,051 1,215 1,236 1,257 1,228 Cash and cash equivalents at the end of the reporting period 1,215 1,236 1,257 1,228 1,299 Prepared on Australian Accounting Standards basis
99 DVA Budget Statements
Table 3.2.4: Departmental statement of changes in equity – summary of movement (Budget year 2015-16) Retained Asset Contributed Total earnings revaluation equity/ equity reserve capital $'000 $'000 $'000 $'000 Opening balance as at 1 July 2015 Balance carried forward from previous period (154,949) 13,471 204,047 62,569 Adjustment for changes in Adjusted opening balance (154,949) 13,471 204,047 62,569 Comprehensive income Surplus/(deficit) for the period (24,553) - - (24,553) Total comprehensive income (24,553) - - (24,553) Transactions with owners Distributions to owners Other (1,350) - - (1,350) Contribution by owners Equity injection - Appropriation - - 1,189 1,189 Departmental Capital Budget - - 13,317 13,317 Sub-total transactions with owners (1,350) - 14,506 13,156 Estimated closing balance as at 30 June 2016 (180,852) 13,471 218,553 51,172 Prepared on Australian Accounting Standards basis
100 DVA Budget Statements
Table 3.2.5: Departmental capital budget statement (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000
NEW CAPITAL APPROPRIATIONS Capital budget - Bill 1 (DCB) 13,469 13,317 13,308 13,927 14,062 Equity injections - Bill 2 2,617 1,189 197 80 - Total new capital appropriations 16,086 14,506 13,505 14,007 14,062
Provided for: Purchase of non-financial assets 16,086 14,506 13,505 14,007 14,062 Total Items 16,086 14,506 13,505 14,007 14,062
PURCHASE OF NON-FINANCIAL ASSETS Funded by capital appropriations (a) 4,021 1,189 197 80 - Funded by capital appropriations - Departmental Capital Budget (b) 13,469 13,317 13,308 13,927 14,062 Funded internally from departmental resources (c) 1,175 - - - - TOTAL 18,665 14,506 13,505 14,007 14,062
RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLE Total purchases 18,665 14,506 13,505 14,007 14,062 Total cash used to acquire assets 18,665 14,506 13,505 14,007 14,062 Prepared on Australian Accounting Standards basis
(a) Includes both current Bill 2 and prior Act 2/4/6 appropriations and special capital appropriations. (b) Does not include annual finance lease costs. Includes purchases from current and previous years' Departmental Capital Budgets (DCBs). (c) Includes the following sources of funding: – current Bill 1 and prior year Act 1/3/5 appropriations (excluding amounts from the DCB); – s74 retained revenue receipts; and – proceeds from the sale of assets.
101 DVA Budget Statements
Table 3.2.6: Statement of asset movements (2015-16) Land Buildings Other Intangibles Total infrastructure, - Computer plant and Software equipment $'000 $'000 $'000 $'000 $'000 As at 1 July 2015 Gross book value 1,350 24,120 8,464 196,251 230,185 Accumulated depreciation/ amortisation and impairment - (7,416) (5,421) (107,568) (120,405) Opening net book balance 1,350 16,704 3,043 88,683 109,780
Capital asset additions Estimated expenditure on new or replacement assets By purchase or internally developed: Appropriation equity (a) - - - 1,189 1,189 Appropriation ordinary annual services (b) - 1,047 2,700 9,570 13,317 Total additions - 1,047 2,700 10,759 14,506
Other movements Assets held for sale or in a disposal Depreciation/amortisation expense - (6,917) (1,650) (19,436) (28,003) Disposals (1,350) - - - (1,350) Total other movements (1,350) (6,917) (1,650) (19,436) (29,353)
As at 30 June 2016 Gross book value - 25,167 11,164 207,010 243,341 Accumulated depreciation/ amortisation and impairment - (14,333) (7,071) (127,004) (148,408) Closing net book balance - 10,834 4,093 80,006 94,933 Prepared on Australian Accounting Standards basis
(a) "Appropriation equity" refers to equity injections provided through Appropriation Bills (No.2) 2015-16. (b) “Appropriation ordinary annual services” refers to funding provided through Appropriation Bills (No. 1) 2015-16 for DCBs or other operational expenses.
102 DVA Budget Statements
Table 3.2.7: Schedule of budgeted income and expenses administered on behalf of Government (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 EXPENSES Employee benefits 6,866 10,100 10,080 10,070 10,040 Grants 6,887 6,865 6,979 6,998 6,998 Personal benefits 6,467,949 6,281,872 6,104,881 5,894,479 5,718,655 Payments to corporate entities 44,008 44,059 41,655 41,135 41,227 Other 5,370,281 5,409,626 5,494,203 5,619,604 5,763,798 Total expenses administered on behalf of government 11,895,991 11,752,522 11,657,798 11,572,286 11,540,718
LESS: OWN-SOURCE INCOME Own-source revenue Non-taxation revenue Other 9,471 9,471 9,471 9,471 9,471 Total non-taxation revenue 9,471 9,471 9,471 9,471 9,471 Total own-source revenues administered on behalf of Government 9,471 9,471 9,471 9,471 9,471
Net Cost of (contribution by) services 11,886,520 11,743,051 11,648,327 11,562,815 11,531,247 Surplus/(Deficit) (11,886,520) (11,743,051) (11,648,327) (11,562,815) (11,531,247) Prepared on Australian Accounting Standards basis
103 DVA Budget Statements
Table 3.2.8: Schedule of budgeted assets and liabilities administered on behalf of Government (as at 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 ASSETS Financial assets Cash and cash equivalents 52,817 52,817 52,817 52,817 52,817 Other receivables 51,516 51,516 51,516 51,516 51,516 Investments 1,264,752 1,262,038 1,259,506 1,257,891 1,265,443 Total financial assets 1,369,085 1,366,371 1,363,839 1,362,224 1,369,776 Non-financial assets Other 6,061 6,061 6,061 6,061 6,061 Total non-financial assets 6,061 6,061 6,061 6,061 6,061 Total assets administered on behalf of government 1,375,146 1,372,432 1,369,900 1,368,285 1,375,837 LIABILITIES Provisions and payables Employee provisions 672 672 672 672 672 Personal benefits provisions 4,279,261 4,419,378 4,562,181 4,702,772 4,839,831 Grants payables 605 605 605 605 621 Other provisions and payables 2,168,337 2,272,402 2,389,363 2,511,341 2,639,223 Total provisions and payables 6,448,875 6,693,057 6,952,821 7,215,390 7,480,347
Total liabilities administered on behalf of the government 6,448,875 6,693,057 6,952,821 7,215,390 7,480,347
Net administered liabilities 5,073,729 5,320,625 5,582,921 5,847,105 6,104,510 Prepared on Australian Accounting Standards basis
104 DVA Budget Statements
Table 3.2.9: Schedule of budgeted administered cash flows (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 OPERATING ACTIVITIES Cash received Net GST received 43,512 43,512 43,512 43,512 43,512 Other 9,471 9,471 9,471 9,471 9,471 Total cash received 52,983 52,983 52,983 52,983 52,983 Cash used Personal benefits 6,397,207 6,141,680 5,962,005 5,753,815 5,581,523 Payments to employees 6,866 10,100 10,080 10,070 10,040 Health care payments and other 5,299,206 5,306,635 5,378,333 5,497,699 5,635,989 Grant 5,904 5,866 5,961 6,998 6,982 Net GST paid 43,512 43,512 43,512 43,512 43,512 Payments to corporate entities 44,008 44,059 41,655 41,135 41,227 Total cash used 11,796,703 11,551,852 11,441,546 11,353,229 11,319,273 Net cash used by (11,743,720 (11,498,869 (11,388,563 (11,300,246 (11,266,290 operating activities ) ) ) ) )
INVESTING ACTIVITIES Cash used Payments to corporate entities 12,444 7,472 7,168 7,500 7,552 Purchase of property, plant and equipment 6,061 - - - - Total cash used 18,505 7,472 7,168 7,500 7,552 Net cash used by investing activities (18,505) (7,472) (7,168) (7,500) (7,552) FINANCING ACTIVITIES Cash received Capital injections 6,061 - - - - Total cash received 6,061 - - - - Net cash received from financing activities 6,061 - - - - Net increase/decrease in cash (11,756,164 (11,506,341 (11,395,731 (11,307,746 (11,273,842 held ) ) ) ) ) Cash and cash equivalents at beginning of reporting period 52,817 52,817 52,817 52,817 52,817
Cash from Official Public Account 11,765,635 11,515,812 11,405,202 11,317,217 11,283,394 Cash to Official Public Account (9,471) (9,471) (9,471) (9,471) (9,552) Cash and cash equivalents at end of reporting period 52,817 52,817 52,817 52,817 52,817 Prepared on Australian Accounting Standards basis
105 DVA Budget Statements
Table 3.2.10: Administered capital budget statement 2014-15 2015-16 2016-17 2017-18 2018-19 Estimate d Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000
NEW CAPITAL APPROPRIATIONS Equity injections - Bill 2 6,061 - - - - Total new capital appropriations 6,061 - - - -
Provided for: Purchase of non-financial assets 6,061 - - - - Total items 6,061 - - - -
PURCHASE OF NON-FINANCIAL ASSETS Funded by capital appropriations (a) 6,061 - - - - TOTAL 6,061 - - - -
RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLE Total purchases 6,061 - - - - Total cash used to acquire assets 6,061 - - - - Prepared on Australian Accounting Standards basis
(a) Includes both current and prior Bill 2/4 appropriations and special capital appropriations.
106 DVA Budget Statements
Table 3.2.11: Statement of administered asset movements (2015-16) Land Buildings Other Intangibles Total infrastructure, - Computer plant and Software equipment $'000 $'000 $'000 $'000 $'000 As at 1 July 2015 Gross book value - 6,061 - - 6,061 amortisation and impairment Opening net book balance - 6,061 - - 6,061
CAPITAL ASSET ADDITIONS Estimated expenditure on new or replacement assets By purchase or internally developed: Appropriation equity (a) - - - - - Appropriation ordinary annual services (b) - - - - -
Other movements
As at 30 June 2016 Gross book value - 6,061 - - 6,061 Accumulated depreciation/ Closing net book balance - 6,061 - - 6,061 Prepared on Australian Accounting Standards basis
(a) "Appropriation equity" refers to equity injections provided through Appropriation Bills (No.2) 2015-16. (b) “Appropriation ordinary annual services” refers to funding provided through Appropriation Bills (No. 1) 2015-16 for DCBs or other operational expenses.
107 Portfolio Overview
Australian War Memorial
Entity resources and planned performance
108 Portfolio Overview DVA
109 Portfolio Overview AUSTRALIAN WAR MEMORIAL
Section 1: Entity overview and resources...... 99 1.1 Strategic direction statement...... 99 1.2 Entity resource statement...... 101 1.3 Budget measures...... 102 Section 2: Outcomes and planned performance...... 103 2.1 Outcomes and performance information...... 103 Section 3: Explanatory tables and budgeted financial statements. . .115 3.1 Explanatory tables...... 115 3.2 Budgeted financial statements...... 117 DVA
110 Portfolio Overview
111 Portfolio Overview
Section 1: Entity overview and resources
1.1 STRATEGIC DIRECTION STATEMENT The Australian Government’s outcome for the Australian War Memorial (AWM) includes all functions required of the Memorial under the Australian War Memorial Act 1980. One program and eight program components contribute to a single outcome:
Outcome 1: Australians remembering, interpreting and understanding the Australian experience of war and its enduring impact through maintaining and developing the National Memorial, its collection and exhibition of historical material, commemorative ceremonies and research.
During 2015-16, the Memorial will contribute significantly to its planned outcome by delivering the priorities and strategies detailed in the document titled Australian War Memorial 2014-2017.
Delivery of programs for the Centenary of the First World War 2014-2018 will continue and implementation of a number of new projects commenced. The Memorial will partner with both Government and major Australian Corporations to deliver the Spirit of Anzac Centenary Exhibition which was officially launched by the Prime Minister on 25 March 2015 and will travel around Australia during the 2015- 2017 period. On behalf of Government, the Memorial will develop and deliver an Anzac Centenary merchandising program.
Other key centenary projects will focus on the continuation of the Commemorative Crosses program and the Roll of Honour Soundscape involving school children across the nation in commemorating those listed on the First World War Roll of Honour. The delivery and enhancement of Anzac Connections will improve online access to the National Collection, collaboration and community engagement. A range of publications, public talks, collection loans and exhibition programs will provide increased access to and National Collection, disseminate information and engage with the broader Australian and international community. Planning for the installation of a Flanders commemorative garden will also continue.
With the assistance of sponsorship support from the private sector, the Memorial will continue a small travelling exhibition program: Remember me: the lost diggers of Vignacourt and A Camera at Gallipoli digital exhibition during the 2015 and 2016 calendar years. A temporary display of the German A7V tank ‘Mephisto’ will be developed to support the Centenary of the First World War commemorations.
A Memorial Centenary merchandising program will promote the Memorial and our activities across Australia and internationally.
The writing of the Official History of Peacekeeping and Post-Cold War Conflicts will continue in 2015-16. This major project ensures that the Memorial continues its important role of recording Australia’s military history.
112 Portfolio Overview The Memorial has been provided with funding to commence a new Official History of Australian operations in Iraq, Afghanistan and East Timor.
The Memorial will continue to provide dignified and fitting ceremonies, not only for Anzac Day and Remembrance Day, but for other commemorative days. The Last Post ceremony will be conducted on a daily basis and will be streamed live via the Memorial’s website.
Education programs will continue to be a focus and the Memorial will deliver a range of high quality, engaging, curriculum-related school education programs as well as increase online resources for teachers and students.
The Web Strategic Plan will provide coordinated delivery of internet and social media components to internal and external users. It will assist the Australian people to access the Memorial’s collection remotely, learn more about the Australian experience of war and research their own family connections to the Anzac story.
The Collection Development Plan will be reviewed to identify gaps in the Collection, determine an approach for collecting from new conflicts, develop themes for ongoing collection development and ensure acquisitions and donations are managed effectively and efficiently. Planning for implementation of a Treloar Site Development Plan to increase Collection storage at the Mitchell precinct will continue.
Development of a new gallery master plan will commence and focus on future permanent and temporary exhibition space and location needs in order for the Memorial to better tell the story of Australia’s involvement in recent and current conflicts.
113 AWM Budget Statements
1.2 ENTITY RESOURCE STATEMENT Table 1.1 shows the total resources from all sources. The table summarises how resources will be applied by outcome and by administered and departmental classification.
Table 1.1: Australian War Memorial resource statement Budget estimates for 2015-16 as at Budget May 2015 Actual Estimate of Proposed at Total available prior year 2015-16 2015-16 appropriation amounts Budget estimate 2014-15 available in $'000 $'000 $'000 2015-16 $'000 Opening balance/Reserves at bank 72,710 58,142 - 58,142 REVENUE FROM GOVERNMENT Ordinary annual services (a) Outcome 1 44,008 3,200 40,873 44,073 Total ordinary annual services 44,008 3,200 40,873 44,073 Other services (b) Non-operating 12,444 - 7,472 7,472 Total other services 12,444 - 7,472 7,472 Total annual appropriations 56,452 3,200 48,345 51,545
FUNDS FROM OTHER SOURCES Interest 2,489 - 2,113 2,113 Royalties 190 - 210 210 Sale of goods and services 4,101 - 3,891 3,891 Other 7,947 - 3,561 3,561 Total 14,727 - 9,775 9,775 Total net resourcing for AWM 143,889 61,342 58,120 119,462
All figures are GST exclusive. The Australian War Memorial is not directly appropriated as it is a corporate Commonwealth entity. Appropriations are made to the Department of Veterans' Affairs which are then paid to the AWM and are considered 'departmental' for all purposes. (a) Appropriation Bill (No. 1) 2015-16. (b) Appropriation Bill (No. 2) 2015-16. The movement of funds between years relates to the planned expenditure for the Spirit of Anzac Centenary Experience Travelling Exhibition. AWM Budget Statements
1.3 BUDGET MEASURES Budget Measures relating to the Australian War Memorial are detailed in Budget Paper No. 2 and are summarised below.
Table 1.2: Entity 2015-16 Budget measures Part 1: Measures announced since the 2014-15 MYEFO 2014-15 2015-16 2016-17 2017-18 2018-19 Programme $'000 $'000 $'000 $'000 $'000 Expense measures Official Histories of Iraq, Afghanistan and East Timor 1.7 Departmental expenses - 1,577 2,278 2,279 2,295 Total - 1,577 2,278 2,279 2,295 Total expense measures Departmental - 1,577 2,278 2,279 2,295 Total - 1,577 2,278 2,279 2,295 Capital measures Official Histories of Iraq, Afghanistan and East Timor 1.7 Departmental capital - 300 - - - Total departmental - 300 - - - Total capital - 300 - - - AWM Budget Statements Section 2: Outcomes and planned performance
2.1 OUTCOMES AND PERFORMANCE INFORMATION
Government outcomes are the intended results, impacts or consequences of actions by the Government on the Australian community. Commonwealth programmes are the primary vehicle by which government entities achieve the intended results of their outcome statements. Entities are required to identify the programmes which contribute to government outcomes over the Budget and forward years.
Each outcome is described below, together with its related programmes, specifying the performance indicators and targets used to assess and monitor the performance of the Australian War Memorial in achieving government outcomes.
Outcome 1: Australians remembering, interpreting and understanding the Australian experience of war and its enduring impact through maintaining and developing the National Memorial, its collection and exhibition of historical material, commemorative ceremonies and research.
Outcome 1 Strategy The outcome will be achieved through the: maintenance and development of the National Memorial and the National Collection of historical material, delivery of commemorative ceremonies, exhibitions, and interpretive services, and creation and dissemination of research and information. AWM Budget Statements
Outcome expense statement Table 2.1 provides an overview of the total expenses for Outcome 1, by programme.
Table 2.1: Budgeted expenses for Outcome 1 Outcome 1: Australians remembering, interpreting and 2014-15 2015-16 understanding the Australian experience of war and its enduring Estimated Estimated impact through maintaining and developing the National actual expenses Memorial, its collection and exhibition of historical material, expenses $'000 commemorative ceremonies and research. $'000 Programme 1.1: Australian War Memorial Revenue from Government Ordinary annual services (Appropriation Bill No. 1) 44,008 44,073 Revenues from other independent sources 15,027 10,075 Expenses not requiring appropriation in the Budget year 10,361 12,762 Total for Programme 1.1 69,396 66,910 Total expenses for Outcome 1 69,396 66,910 2014-15 2015-16 Average Staffing Level (number) 301 278
Note: Departmental appropriation splits and totals are indicative estimates and may change in the course of the budget year as government priorities change. AWM Budget Statements
Contributions to Outcome 1 Programme 1.1: Australian War Memorial
Programme 1.1 objective To maintain and develop the National Memorial and a national collection of historical material and through commemorative ceremonies, exhibitions, research, interpretation and dissemination. Linked to the following Programme components: Programme component 1.1: Commemorative Ceremonies Programme component 1.2: National Memorial and Grounds Programme component 1.3: National Collection Programme component 1.4: Exhibitions Programme component 1.5: Interpretive Services Programme component 1.6: Promotion and Community Services Programme component 1.7: Research and Information Dissemination Programme component 1.8: Visitor Services.
Programme expenses 1.1 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 Annual departmental expenses: Departmental item 69,396 66,910 62,788 60,478 60,428 Total programme expenses 69,396 66,910 62,788 60,478 60,428 AWM Budget Statements Programme 1.1: Australian War Memorial (continued) Programme Components 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000
1.1 - Commemorative Ceremonies Annual departmental expenses: Departmental item 964 855 823 800 799 Total component expenses 964 855 823 800 799
1.2 - National Memorial & Grounds Annual departmental expenses: Departmental item 8,047 7,134 6,875 6,674 6,667 Total component expenses 8,047 7,134 6,875 6,674 6,667
1.3 - National Collection Annual departmental expenses: Departmental item 33,097 28,846 27,798 26,988 26,957 Total component expenses 33,097 28,846 27,798 26,988 26,957
1.4 - Exhibitions Annual departmental expenses: Departmental item 10,436 13,559 10,621 9,761 9,751 Total component expenses 10,436 13,559 10,621 9,761 9,751
1.5 - Interpretive Services Annual departmental expenses: Departmental item 4,909 4,351 4,192 4,071 4,066 Total component expenses 4,909 4,351 4,192 4,071 4,066
1.6 - Promotion & Community Services Annual departmental expenses: Departmental item 3,710 3,289 3,169 3,077 3,073 Total component expenses 3,710 3,289 3,169 3,077 3,073
1.7 - Research & Information Dissemination Annual departmental expenses: Departmental item 4,516 5,581 6,135 6,024 6,036 Total component expenses 4,516 5,581 6,135 6,024 6,036
1.8 - Visitor Services Annual departmental expenses: Departmental item 3,717 3,295 3,175 3,083 3,079 Total component expenses 3,717 3,295 3,175 3,083 3,079 Total programme expenses 69,396 66,910 62,788 60,478 60,428 AWM Budget Statements
CONTRIBUTIONS TO OUTCOME 1 Programme component 1.1: Commemorative Ceremonies Programme component 1.1 objective Major national ceremonies, particularly Anzac Day and Remembrance Day, and other commemorative ceremonies are conducted and promoted in an engaging, dignified and appropriate manner. This programme component assists Australians to remember the Australian experience of war and its enduring impact on Australian society. Programme component 1.1 deliverables The Australian War Memorial will deliver: Three major commemorative ceremonies – the Anzac Day Dawn Service, Anzac Day National ceremony and Remembrance Day ceremony At least 10 other commemorative ceremonies At least two ceremonies per week for the School Wreath-laying Program The Last Post ceremony on a daily basis. Programme component 1.1 key performance indicators Attendance at and participation in a commemorative ceremony is an explicit act of remembrance. Therefore, the KPI for measuring the effectiveness of this programme is the total attendance figure at commemorative ceremonies. AWM Budget Statements Programme component 1.2: National Memorial and Grounds Programme component 1.2 objective The Memorial building and grounds are conserved and developed as a dignified, moving and impressive national memorial to Australians who served and died at war. This programme component assists Australians to remember the Australian experience of war and its enduring impact on Australian society. Programme component 1.2 deliverables The Australian War Memorial will deliver: The Memorial heritage building, commemorative area and surrounding grounds maintained and presented to the highest standards Access to the Memorial and visitor facilities of the highest standard Building works that comply with relevant standards, codes and regulations Management and conservation of heritage elements using the Australia ICOMOS Burra Charter Timely completion of works to minimise impact on visitors. Programme component 1.2 key performance indicators Attending the National Memorial is an explicit act of remembrance. Therefore, the KPI for this programme component is the total attendance figure at the Australian War Memorial in Canberra. AWM Budget Statements Programme component 1.3: National Collection Programme component 1.3 objective An outstanding national collection of historical material with provenance that is related to Australia’s military history, and which is developed, managed, preserved and interpreted to make it accessible. This programme component assists Australians to remember, interpret and understand the Australian experience of war and its enduring impact on Australian society. Programme component 1.3 deliverables The Australian War Memorial will deliver: An outstanding national collection of historical material with provenance that is related to Australia’s military history. Programme component 1.3 key performance indicators The existence of an outstanding national collection provides the necessary foundation for other programme components to be able to occur (namely programme components 1.2, 1.4 and 1.7). The KPIs for the effectiveness of this programme component are: The number of new items acquired, in accordance with the Collection Development Plan The number of items disposed of, in accordance with the Collection Development Plan The number of collection items for which documentation has been enhanced or corrected At least 80% of the collection in storage meets conservation standards for environmental conditions Number of collection items that can be accessed via the Memorial’s website. AWM Budget Statements Programme component 1.4: Exhibitions Programme component 1.4 objective Development and maintenance of outstanding permanent, temporary and travelling exhibitions. This programme component assists Australians to understand the Australian experience of war and its enduring impact on Australian society. Programme component 1.4 deliverables The Australian War Memorial will deliver: Permanent exhibitions developed and maintained to the highest standards A minimum of one exhibition displayed per year in the Special Exhibitions Gallery. Programme component 1.4 key performance indicators Attending a Memorial exhibition is a deliberate act to find out more about the Australian experience of war. The KPIs for this programme component are: The total attendance figure at Memorial exhibitions and travelling exhibitions Qualitative or quantitative evidence about increases in visitors’ understanding Qualitative or quantitative evidence of affective or attitudinal change. AWM Budget Statements Programme component 1.5: Interpretive Services Programme component 1.5 objective Understanding of the Australian experience of war is enhanced through the provision of interactive interpretation, including the delivery of innovative on-site, outreach and online education and public programmes as well as special events. This programme component assists Australians to understand the Australian experience of war and its enduring impact on Australian society. Programme component 1.5 deliverables The Australian War Memorial will deliver: a range of public programmes and events for visitors to the Memorial a series of quality, engaging curriculum-related school education programmes for on-site education groups Memorial Boxes for schools in all Australian states and territories to borrow during the year a range of quality, engaging, curriculum-related online school education resources for teachers and students. Programme component 1.5 key performance indicators Attending a Memorial programme or event is a deliberate act to find out more about the Australian experience of war. The KPIs for this programme component are: The total attendance figure at Memorial programmes Qualitative or quantitative evidence about increases in participants’ understanding Qualitative or quantitative evidence of affective or attitudinal change. AWM Budget Statements Programme component 1.6: Promotion and Community Services Programme component 1.6 objective Promotion of the Memorial as an outstanding national institution and assistance to the community to understand the Memorial’s roles, activities, programmes, relevance and future. Through the provision of high-quality promotion and community services, the programme provides a necessary foundation for other programmes to function effectively. In this way, this programme assists Australians to remember, interpret and understand the Australian experience of war and its enduring impact on Australian society. Programme component 1.6 deliverables The Australian War Memorial will deliver: An engaging website with accurate information High quality service to the media to encourage suitable coverage in all forms of media High quality marketing and promotional activities as appropriate. Programme component 1.6 key performance indicators Effective promotion of the Memorial provides the necessary foundation for other programme components to function effectively (namely programme components 1.1, 1.2, 1.3, 1.4, 1.5 and 1.7). The KPIs for the effectiveness of this programme component are: Number of visits to the Memorial’s website Number of people to make their first visit to the Memorial Number of media items including television, radio, online and print media. AWM Budget Statements Programme component 1.7: Research and Information Dissemination Programme component 1.7 objective The stimulation of an interest in and understanding of Australia’s military history by the production of and dissemination in print, broadcast and online media of articles, papers and presentations, conferences, publications and encouraging the conduct of historical research and dissemination of knowledge and understanding of Australia’s military history. This programme component assists Australians to interpret and understand the Australian experience of war and its enduring impact on Australian society. Programme component 1.7 deliverables The Australian War Memorial will deliver: 1. Support for research about Australian military history including: a. The Official History of Peacekeeping, Humanitarian and Post Cold-War Conflicts b. The Summer Scholars program c. A range of internal research projects 2. A publishing programme including: a. Curatorial monographs b. Military history publications c. Wartime magazine d. Exhibition and education publications 3. Access to collection items and military history information including: a. Reading room facilities b. An authoritative research enquiry service c. An annual conference d. Online research facilities e. A shop that provides quality military history books and exhibition publications Programme component 1.7 key performance indicators Conducting individual research at the Memorial’s Research Centre, viewing online research facilities, making research enquiries, attending conferences or lectures, reading material produced by Memorial curators or historians are all deliberate actions to interpret and understand the Australian experience of war and its enduring impact on Australian society. The KPIs for the effectiveness of the programme component are: Number of visitors to the Research Centre’s Reading Room Number of items retrieved for and accessed by Reading Room clients Number of page views accessing the Memorial’s online research facilities Number of research enquiries answered by Memorial staff Total attendance at the annual conference Number of lectures and conference papers given by Memorial staff Number of books and articles written by Memorial staff Sales figures for Wartime and other publications produced by the Memorial AWM Budget Statements Programme component 1.8: Visitor Services Programme component 1.8 objective Visitors to both the Memorial and its outreach programmes are provided with a standard of service that enhances their experience and encourages them to re-use services and promote them to others. Through the provision of high-quality visitor services, this programme component provides a necessary foundation for other Programme components to function effectively. In this way, this programme component assists Australians to understand the Australian experience of war and its enduring impact on Australian society. Programme component 1.8 deliverables The Australian War Memorial will deliver: Front-of-house staff trained to deliver high level customer service and voluntary guides trained to an introductory level of military history and to deliver high level customer service High quality and suitable public facilities such as restrooms, cafes, and way-finding signs Opportunities for visitor feedback such as Service Charter, Visitors’ Book and evaluation services. Programme component 1.8 key performance indicators The provision of high-quality visitor services provides the necessary foundation for other programme components to function effectively (namely Programme components 1.1, 1.2, 1.4, 1.5 and 1.7). The KPIs for the effectiveness of this programme component are: At least 90% of surveyed visitors state that their visit has met or exceeded their expectations At least 80% of surveyed visitors state that the Memorial has maintained or improved its standard of service since their last visit. AWM Budget Statements Section 3: Explanatory tables and budgeted financial statements Section 3 presents explanatory tables and budgeted financial statements which provide a comprehensive snapshot of entity finances for the 2015-16 budget year. It explains how budget plans are incorporated into the financial statements and provides further details of the reconciliation between appropriations and programme expenses, movements in administered funds, special accounts and government indigenous expenditure.
3.1 EXPLANATORY TABLES
3.1.1 Movement of administered funds between years The Australian War Memorial receives its department funding via a Department of Veterans’ Affairs administered appropriation. Consequently, any movement of funds affecting the Australian War Memorial departmental funds must be matched by a complementary movement in the respective Department of Veterans’ Affairs administered funds.
Administered funds can be provided for a specified period, for example under annual Appropriation Acts. Funds not used in the specified period with the agreement of the Finance Minister may be moved to a future year. Table 3.1.1 shows the movement of administered funds approved between years, which relates to the planned expenditure for the Spirit of Anzac Centenary Experience travelling exhibition.
Table 3.1.1: Movement of administered funds between years(a)
2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 Outcome 1: Programme 1.1 Australian War (3,800) 3,200 600 - - Memorial Total movement of administered funds (3,800) 3,200 600 - -
(a) Figures displayed as a negative (-) represent a decrease in funds and a positive reflect an increase in funds.
3.1.2 Special accounts The Australian War Memorial does not operate Special accounts. AWM Budget Statements
3.1.3 Australian Government Indigenous expenditure The Australian War Memorial reports the following Australian Government Indigenous expenditure.
Approp Approp Special Total Other Total Programme Bill No. 1 Bill No. 2 approp approp $'000 $'000 $'000 $'000 $'000 $'000
Australian War Memorial
Outcome 1
Departmental 2015-16 111 - - 111 - 111 AWM
Departmental 2014-15 112 - - 112 - 112 AWM
Total outcome 2015-16 111 - - 111 - 111
Total outcome 2014-15 112 - - 112 - 112
Total AGIE 2015-16 111 - - 111 - 111
Total AGIE 2014-15 112 - - 112 - 112 AWM Budget Statements
3.2 BUDGETED FINANCIAL STATEMENTS
3.2.1 Differences in entity resourcing and financial statements The Memorial reports no significant difference between entity resourcing and financial statements.
3.2.2 Analysis of budgeted financial statements The Memorial is forecasting a loss in the Budget year of $2.3 million before heritage and cultural assets depreciation expense.
The loss relates to a timing difference between previously received appropriation revenue and forecasted costs for First World War Centenary programmes. The costs for these activities are funded from cash reserves established for this purpose.
A deficit of $12.8 million is forecast in the Budget year after the application of heritage and cultural assets depreciation, also reflected in forward year estimates.
The Collection Development and Acquisition Budget (CDAB) is treated as an equity injection, and funds both the on-going preservation of the Memorial’s collection, plus acquisition of heritage and cultural assets.
Total revenue in 2015–16 is estimated to be $54.1 million, with the decrease from 2014–15 estimated revenue, mostly attributable to external revenue from bequests, donations and sponsorship, conservatively forecast in 2015-16 due to uncertainty in levels of receipt.
The total equity of $1.264 billion in 2015–16 is a decrease of $5.3 million from the 201415 estimate, represented by the operating deficit for the year, partially offset by the increase in equity injections to fund capital expenditure.
The Memorial’s primary asset, the National Collection, is projected to remain relatively stable in value.
Investments on hand represent accumulated capital reserves, plus carried forward independently sourced revenue, set aside for specific commitments, planned for future years.
The Memorial’s primary liability continues to be employee provisions which, during 2015-16, are projected to be $10.2 million, as a result of accruing leave entitlements. AWM Budget Statements 3.2.3 Budgeted financial statements tables Table 3.2.1 Comprehensive income statement (showing net cost of services) for the period ended 30 June 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 EXPENSES Employee benefits 24,234 22,156 22,382 22,730 23,091 Supplier expenses 25,330 24,612 20,533 18,158 16,934 Depreciation and amortisation 19,832 20,142 19,873 19,590 20,403 Total expenses 69,396 66,910 62,788 60,478 60,428
LESS: OWN-SOURCE INCOME Own-source revenue Sale of goods and rendering of services 4,101 3,891 3,891 3,891 3,891 Interest 2,489 2,113 2,757 2,768 2,657 Royalties 190 210 210 210 210 Other 8,247 3,861 3,366 3,286 3,166 Total own-source revenue 15,027 10,075 10,224 10,155 9,924
Net cost of (contribution by) services 54,369 56,835 52,564 50,323 50,504
Revenue from Government 44,008 44,073 41,676 41,156 41,248
Surplus (Deficit) attributable to the Australian Government (10,361) (12,762) (10,888) (9,167) (9,256)
OTHER COMPREHENSIVE INCOME Changes in asset revaluation surplus 4,423 - - - -
Total other comprehensive income 4,423 - - - -
Total comprehensive income (loss) (5,938) (12,762) (10,888) (9,167) (9,256)
Total comprehensive income (loss) attributable to the Australian Government (5,938) (12,762) (10,888) (9,167) (9,256) Prepared on Australian Accounting Standards basis Table continued on next page AWM Budget Statements
Table 3.2.1: Comprehensive income statement (showing net cost of services) for the period ended 30 June (continued) Note: Impact of net cash appropriation arrangements 2014-15 2015-16 2016-17 2017-18 2018-19 $'000 $'000 $'000 $'000 $'000 Total comprehensive income/(loss) excluding depreciation /amortisation expenses previously funded through revenue appropriations 4,461 (2,252) (936) 206 192 less heritage and cultural depreciation expenses previously funded through revenue appropriations (a) 10,399 10,510 9,952 9,373 9,448 Total comprehensive income/(loss) - as per the Statement of Comprehensive Income (5,938) (12,762) (10,888) (9,167) (9,256) (a) From 2009-10, the Government replaced Bill 1 revenue appropriations for the heritage and cultural depreciation expenses of designated Collection Institutions, with a separate capital budget (the Collection Development Acquisition Budget, or CDAB) provided through Bill 2 equity appropriations. For information regarding CDABs, please refer to Table 3.2.5 Departmental Capital Budget Statement.
Prepared on Australian Accounting Standards basis AWM Budget Statements Table 3.2.2: Budgeted departmental balance sheet (as at 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 ASSETS Financial assets Cash and cash equivalents 3,142 2,994 2,979 2,002 1,699 Trade and other receivables 1,324 1,338 1,359 1,380 1,401 Investments accounted for under the equity method 55,000 56,000 56,000 57,000 52,000 Other 1,513 1,513 1,513 1,513 1,513 Total financial assets 60,979 61,845 61,851 61,895 56,613 Non-financial assets Land and buildings 143,842 142,506 141,817 142,704 142,474 Property, plant and equipment 1,071,025 1,066,823 1,064,304 1,062,411 1,065,899 Intangibles 4,645 4,041 3,544 2,860 3,201 Inventories 819 819 819 819 819 Other 1,158 1,158 1,158 1,158 1,158 Total non-financial assets 1,221,489 1,215,347 1,211,642 1,209,952 1,213,551 Total assets 1,282,468 1,277,192 1,273,493 1,271,847 1,270,164
LIABILITIES Payables Suppliers 3,168 3,182 3,203 3,224 3,245 Other 168 168 168 168 168 Total payables 3,336 3,350 3,371 3,392 3,413
Provisions Employee provisions 10,191 10,191 10,191 10,191 10,191 Total provisions 10,191 10,191 10,191 10,191 10,191 Total liabilities 13,527 13,541 13,562 13,583 13,604 Net assets 1,268,941 1,263,651 1,259,931 1,258,264 1,256,560 Prepared on Australian Accounting Standards basis Table continued on next page AWM Budget Statements Table 3.2.2: Budgeted departmental balance sheet (as at 30 June) (continued) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 EQUITY* Parent entity interest Contributed equity 96,152 103,624 110,792 118,292 125,844 Reserves 620,479 620,479 620,479 620,479 620,479 Retained surplus (accumulated deficit) 552,310 539,548 528,660 519,493 510,237 Total Equity 1,268,941 1,263,651 1,259,931 1,258,264 1,256,560 * Equity is the residual interest in assets after deduction of liabilities.
Prepared on Australian Accounting Standards basis. AWM Budget Statements Table 3.2.3: Departmental statement of changes in equity — summary of movement (Budget year 2015-16) Retained Asset Other Contributed Total earnings revaluation reserves equity/ equity $'000 reserve $'000 capital $'000 $'000 $'000 Opening balance as at 1 July 2015 Balance carried forward from previous period 552,310 620,479 - 96,152 1,268,941 Adjustment for changes in accounting policies - - - - - Adjusted opening balance 552,310 620,479 - 96,152 1,268,941 Comprehensive income Other comprehensive income Surplus (deficit) for the period (12,762) - - - (12,762) Total comprehensive income (12,762) - - - (12,762) Transactions with owners Contributions by owners Equity injection - Appropriation - - - 7,472 7,472 Sub-total transactions with owners - - - 7,472 7,472 Closing balance attributable to the Australian Government 539,548 620,479 - 103,624 1,263,651 Prepared on Australian Accounting Standards basis AWM Budget Statements Table 3.2.4: Budgeted departmental statement of cash flows (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 OPERATING ACTIVITIES Cash received Appropriations 43,961 44,059 41,655 41,135 41,227 Goods and services 4,101 3,891 3,891 3,891 3,891 Interest 2,489 2,113 2,757 2,768 2,657 Other 8,137 3,771 3,276 3,196 3,076 Total cash received 58,688 53,834 51,579 50,990 50,851 Cash used Employees 24,237 22,156 22,382 22,730 23,091 Suppliers 25,330 24,598 20,512 18,137 16,913 Total cash used 49,567 46,754 42,894 40,867 40,004 Net cash from (used by) operating activities 9,121 7,080 8,685 10,123 10,847 INVESTING ACTIVITIES Cash received Investments 89,000 60,000 62,000 61,000 62,000 Total cash received 89,000 60,000 62,000 61,000 62,000 Cash used Purchase of property, plant and equipment 36,133 13,700 15,868 17,600 23,702 Investments 77,000 61,000 62,000 62,000 57,000 Total cash used 113,133 74,700 77,868 79,600 80,702 Net cash from (used by) investing activities (24,133) (14,700) (15,868) (18,600) (18,702) Prepared on Australian Accounting Standards basis Table continued on next page AWM Budget Statements Table 3.2.4: Budgeted departmental statement of cash flows (for the period ended 30 June) (continued) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual $'000 estimate estimate estimate $'000 $'000 $'000 $'000 FINANCING ACTIVITIES Cash received Contributed equity 12,444 7,472 7,168 7,500 7,552 Total cash received 12,444 7,472 7,168 7,500 7,552 Net cash from (used by) financing activities 12,444 7,472 7,168 7,500 7,552 Net increase (decrease) in cash held (2,568) (148) (15) (977) (303) Cash and cash equivalents at the beginning of the reporting period 5,710 3,142 2,994 2,979 2,002 Cash and cash equivalents at the end of the reporting period 3,142 2,994 2,979 2,002 1,699 Prepared on Australian Accounting Standards basis AWM Budget Statements Table 3.2.5: Departmental capital budget statement (for the period ended 30 June) 2014-15 2015-16 2016-17 2017-18 2018-19 Estimated Budget Forward Forward Forward actual 2015-16 estimate estimate estimate $'000 $'000 $'000 $'000 $'000 NEW CAPITAL APPROPRIA TIONS Equity injections - Bill 2 12,444 7,472 7,168 7,500 7,552 Total new capital appropriatio ns 12,444 7,472 7,168 7,500 7,552 Provided for: Purchase of non-financial assets 12,444 7,472 7,168 7,500 7,552 Total items 12,444 7,472 7,168 7,500 7,552 PURCHASE OF NON- FINANCIAL ASSETS Funded by capital appropriation s (a) (c) 20,146 7,472 7,168 7,500 7,552 Funded internally from departmental resources (b) 16,287 6,528 9,000 10,400 16,450 TOTAL 36,433 14,000 16,168 17,900 24,002
RECONCILI ATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLE Total purchases 36,433 14,000 16,168 17,900 24,002 less gifted assets (300) (300) (300) (300) (300) Total cash used to acquire assets 36,133 13,700 15,868 17,600 23,702 (a) Includes both current Bill 2 and prior Act 2/4/6 appropriations and special capital appropriations (b) Includes the following sources of funding: - current Bill 1 and prior year Act 1/3/5 appropriations (excluding amounts from the DCB). - donations and contributions. - gifts. - internally developed assets. (c) A movement of capital expenditure for the redevelopment of the First World War Galleries, has been approved AWM Budget Statements
by the Minister for Finance
Prepared on Australian Accounting Standards basis AWM Budget Statements Table 3.2.6: Statement of asset movements (2015-16) Land Buildings Other Heritage Intangibles Total $'000 $'000 property, and Computer $'000 plant and cultural Software equipment assets $'000 $'000 $'000 As at 1 July 2015 Gross book value 12,386 156,646 54,949 1,055,686 11,483 1,291,150 Accumulated depreciation/amortisation and impairment - (25,190) (3,996) (35,614) (6,838) (71,638) Opening net book balance 12,386 131,456 50,953 1,020,072 4,645 1,219,512 CAPITAL ASSET ADDITIONS Estimated expenditure on new or replacement assets By purchase Appropriation - equity(a) - 583 300 6,589 - 7,472 Appropriation - ordinary annual services(b) - 2,917 2,850 261 200 6,228 Assets received as gifts/donations - - - 300 - 300 Total additions - 3,500 3,150 7,150 200 14,000 Other movements Depreciation/amortisation expense - (4,836) (3,992) (10,510) (804) (20,142) Total other movements - (4,836) (3,992) (10,510) (804) (20,142) As at 30 June 2016 Gross book value 12,386 160,146 58,099 1,062,836 11,683 1,305,150 Accumulated depreciation/amortisation and impairment - (30,026) (7,988) (46,124) (7,642) (91,780) Closing net book balance 12,386 130,120 50,111 1,016,712 4,041 1,213,370 Prepared on Australian Accounting Standards basis
Estimated operating expenditure in income statement for heritage and cultural assets
Operations and Maintenance 375 Preservation and Conservation 17,054 Total operating expenditure on heritage and cultural assets 17,429
(a) "Appropriation equity" refers to equity injections or appropriations provided through Appropriation Bill (No.2) 2015-16, including CDABs.
(b) "Appropriation ordinary annual services" refers to funding provided through Appropriation Bill (No.1) 2015-16 for depreciation / amortisation expenses, DCBs or other operational expenses. AWM Budget Statements
Department abbreviation Budget Statements
3.2.4 Notes to the financial statements
Note 1 – Revenue from government Revenue from government does not include Heritage and Cultural (Collection) capital appropriations (Collection Development Acquisition Budget-CDAB). Note 2 – Other revenue Other revenue includes sponsorship and donation funds received. Note 3 – Depreciation and amortisation Depreciation expense includes Heritage and Cultural (collection) depreciation as per the Memorial’s depreciation policy. Note 4 – Investments The Memorial’s investments comprise short-term term deposits held with banks with a variety of maturity dates. Note 5 – Assets are categorised as follows Revised Budge Forward Forward Forward Budget t 2015-16 Estimate Estimate Estimate 2014-15 $’000 2016-17 2017-18 2018-19 $’000 $’000 $’000 $’000 Written down value Land and buildings 143,842 142,506 141,817 142,704 142,474 Infrastructure, plant and equipment 5,966 6,525 6,475 6,496 6,452 Exhibitions 44,987 43,586 43,601 43,260 48,388 Computer software 4,645 4,041 3,544 2,860 3,201 Heritage and cultural assets 1,020,072 1,016,712 1,014,228 1,012,655 1,011,059 Total 1,219,512 1,213,370 1,209,665 1,207,975 1,211,574
Note 6 - Intangibles This class of assets consists of purchased software. Glossary
GLOSSARY
Accrual accounting System of accounting where items are brought to account and included in the financial statements as they are earned or incurred, rather than as they are received or paid. Accumulated depreciation The aggregate depreciation recorded for a particular depreciating asset. Additional estimates Where amounts appropriated at Budget time are insufficient, Parliament may appropriate more funds to portfolios through the Additional Estimates Acts. Administered items Expenses, revenues, assets or liabilities managed by entities on behalf of the Commonwealth. Entities do not control administered items. Administered expenses include grants, subsidies and benefits. In many cases, administered expenses fund the delivery of third party outputs. AEIFRS Australian Equivalents to International Financial Reporting Standards, which were issued by the Australian Accounting Standards Board in July 2004. Appropriation An authorisation by Parliament to spend moneys from the Consolidated Revenue Fund for a particular purpose. Annual Appropriation Acts of Parliament, which provide appropriation for the government’s activities during a specific financial year. Three appropriation Bills are introduced into Parliament in May and comprise the Budget. Further supplementary Bills are introduced later in the financial year as part of the Additional Estimates process. The Parliamentary departments have their own appropriation Bills. Capital expenditure Expenditure by an entity on capital projects, for example purchasing a building. Consolidated Revenue Fund Section 81 of the Constitution stipulates that all revenue raised or money received by the Commonwealth forms the one consolidated revenue fund (CRF). The CRF is not a bank account. The Official Public Account reflects most of the operations of the CRF. Departmental items Assets, liabilities, revenues and expenses that are controlled by the entity to deliver programs. Departmental items would generally include computers, plant and equipment assets used by entities in providing goods and services, most employee expenses, supplier costs, and other administrative expenses incurred. Depreciation Apportionment of an asset’s capital value as an expense over its estimated useful life to take account of normal usage, obsolescence, or the passage of time.
Effectiveness indicators Indicators to assess the degree of success in achieving outcomes. As outcomes are generally long-term in nature, effectiveness indicators often relate to intermediate outcomes (shorter term impacts) below the planned outcomes
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specified. Efficiency indicators Measures the adequacy of an entity’s management of its programs and, where applicable, administered items. Includes price, quality and quantity indicators. The interrelationship between the three efficiency indicators of any one output should be considered when judging efficiency. Equity or net assets Residual interest in the assets of an entity after deduction of its liabilities. Expense Expenses represent the full costs of an activity, that is, the total value of all the resources consumed in producing goods and services or the loss of future economic benefits in the form of reductions in assets or increases in liabilities of the entity. Expenses include cash items, such as salary payments, as well as expenses that have been incurred, such as accruing employee entitlements that will be paid in the future. Fair value Valuation methodology: The amount for which an asset could be exchanged or a liability settled between knowledgeable, willing parties in an arm’s length transaction. Intermediate outcomes More specific medium-term impacts (eg trend data, targets or milestones) below the level of the planned outcomes specified in the Budget. A combination of several intermediate outcomes can at times be considered as a proxy for determining the achievement of outcomes or progress towards outcomes. See Outcomes. Operating result Equals revenue less expenses. Outcomes The Government’s objectives in each portfolio area. Outcomes are desired results, impacts or consequences for the Australian community as influenced by the actions of the Australian Government. Actual outcomes are assessments of the end results or impacts actually achieved. Price One of the three key efficiency indicators. The amount the government or the community pays for the delivery of programs. Quality One of the three key efficiency indicators. Relates to the characteristics by which customers or stakeholders judge an organisation, product or service. Assessment of quality involves use of information gathered from interested parties to identify differences between users’ expectations and experiences. Quantity One of the three key efficiency indicators. Examples include the size of an output; count or volume measures; how many or how much. Revenue Total value of resources earned or received for the provision of goods and services. Special Account Balances existing within the Consolidated Revenue Fund (CRF) that are supported by standing appropriations (Financial Management and Accountability Act 1997, ss. 20 and 21). Special accounts allow money in the CRF to be acknowledged as set aside (hypothecated) for a particular
143 Glossary
purpose. Amounts credited to a Special Account may only be spent for the purposes of the Special Account. Special accounts can only be established by a written determination of the Finance Minister (s. 20 FMA Act) or through an Act of Parliament (referred to in s. 21 of the FMA Act). Special Appropriations An amount of money appropriated by a particular Act of (including Standing Parliament for a specific purpose and number of years. For Appropriations) special appropriations, the authority to withdraw funds from the Consolidated Revenue Fund does not generally cease at the end of the financial year. Standing appropriations are a subcategory consisting of ongoing special appropriations — the amount appropriated will depend on circumstances specified in the legislation.
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