NEW SOUTH WALES ABORIGINAL LAND COUNCIL

NEW SOUTH WALES ABORIGINAL LAND COUNCIL

2005 - 2006 ANNUAL REPORT ANNUAL REPORT 2005 - 2006

Designed by: Sheridan Kent and Cindy Heyhoe

34 Harley Crescent GOOD Condell Park NSW 2200 IMPRESSIONS T 9790 4001 F 9790 1961 Contents

Letter to the Minister...... 2 Administrator’s Report...... 3 Addresses of Zone Offices Report by the Chief Executive Officer...... 6

New South Wales Aboriginal Land Council Overview...... 10 Background...... 11 Western Zone Our Clients...... 13 Northern Zone Aims & Objectives...... 13 Regional Aboriginal Land Councils (RALCs)...... 15 Local Aboriginal Land Councils (LALCs)...... 17 Council Structure and Memberships...... 18 Executive...... 19 Finance and Administration Division...... 20 Commercial Unit...... 21 Human Resources Unit...... 21 Network Services Unit...... 22 Zone Offices of NSWALC...... 23 Governance Unit...... 23 Strategic Planning & Policy Unit...... 24 Eastern Zone Media & Marketing Unit...... 25 Legal Services Unit...... 25

2005-2006 Year in Review...... 27 Southern Zone Review of Operations...... 28 Finance & Administration Division...... 28 Human Resources...... 31 Learning and Development...... 34 Head Office Eastern Zone Information and Technology Unit...... 35 Level 4 Level 5 Property and Administration...... 36 33 Argle Street 33 Argle Street Head Office...... 36 Parramatta NSW 2150 Parramatta NSW 2150 Statutory Investment Fund...... 37 PO Box 1125 PO Box 987 Commercial Unit...... 39 Parramatta NSW 2124 Parramatta NSW 2124 Community Business Plans...... 40 Rural Properties...... 41 Land Rights ...... 43 Tel: 02 9689 4444 Tel: 02 8836 6000 Review of the Aboriginal Land Rights Act...... 48 Fax: 02 9687 1234 Fax: 02 8836 6006 Community Forums...... 56 Network Services Unit...... 54 Northern Zone...... 65 Western Zone Southern Zone Southern Zone...... 70 62 Bultje Street Suite100 Western Zone...... 74 Dubbo NSW 2830 Corporate level Eastern Zone...... 78 PO Box 1196 Riveside Plaza Governance Unit...... 80 Dubbo NSW 2830 Monaro Street Audit Committee...... 86 Media and Marketing...... 92 Queanbeyan NSW 2620 Funds Granted to Community Organisations...... 98 Tel: 02 6885 7000 Legal Matters and Changes...... 100 Fax: 02 6881 6268 PO Box 619 Economic Factors...... 102 Queanbeyan NSW 2620 Management and Activities...... 102 Research & Development...... 102 Northern Zone Tel: 02 6124 3555 List of Consultants...... 103 8 Dalley Street Fax: 6297 3541 EEO ...... 104 Coffs Harbour NSW 2450 Land Disposal...... 105 PO Box 1912 Accounts Payment Policy & Practice...... 105 Coffs Harbour NSW 2450 Risk Management/Insurance...... 105 Occupational Health and Safety...... 106 Tel: 02 6659 1200 Financial Reports...... 107 Fax: 02 65550 0420 List of Local Aboriginal Land Councils...... 148 “Liberate and EMPOWER Aboriginal People in New South Wales through ECONOMIC and SOCIAL INDEPENDENCE.” New South Wale s Aborigi nal Land Cou nc il

20 February 2007

The Hon Reba Meagher Minister for Community Affairs, Youth and Aboriginal Affairs Governor Macquarie Tower 1 Farrer Place Sydney NSW 2000

Dear Minister

We present to you the draft New South Wales Aboriginal Land Council Annual Report for the year ended 30 June 2006, in accordance with the provisions of the NSW Aboriginal Land Rights Act 1983, the Public Finance and Audit Act 1983 and the Annual Reports (Statutory Bodies) Act 1984.

Yours sincerely

Murray Chapman Administrator New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006  systems and structures, and consolidation systems and structures, Statutory Investment of NSWALC’s key features of this Fund have all been reporting period. demonstrate an Our achievements efficient and increasingly effective with an organisation firmly engaged ever increasing number of internal and external stakeholders, mindful that it is the remnant peak Aboriginal representative body on the eastern seaboard. by This was exemplified, in my view, response to one key the organisation’s development early in the reporting period. I refer to the sudden resignation Treasurer of the former Deputy Premier, and Minister for Aboriginal Affairs, August 2. Doctor Andrew Refshauge on in eight Within an hour of the swearing Mr days later of the Member for Swansea, Milton Orkopoulos--Doctor Refshauge’s replacement in the Aboriginal Affairs had a letter on his portfolio—NSWALC desk seeking an early meeting to discuss the need for the current reform agenda to continue without in Aboriginal Affairs falter. At a subsequent meeting the Minister readily agreed with the need to continue the reform agenda, through the ALRA Review process announced and to the ongoing by his predecessor, restructure of NSWALC. He made it clear he would seek to ensure the three-tier land council system in NSW was reformed and strengthened rather than abolished as Report from the from Report Administrator ay Chapman Murray

This report marks my third year as This report marks Administrator. NSWALC’s by the then Minister for I was appointed Andrew Dr. the Hon. Aboriginal Affairs, 2003 on 23 November Refshauge MP, considered a report after the Minister Beauman Wayne by Mr. into NSWALC MRI. of the accounting firm, Bentleys report highlighted The investigator’s a number of problems in the council’s administration. for My appointment was extended 19, 2004. twelve months from November until 15 I was subsequently re-appointed 2006. November, last As I stated in my introduction to Annual Report I regard my role year’s as being that of a caretaker at NSWALC NSWALC pending the return of an elected for council and as a “change manager” the organisation. My intention is that, when an elected council does return, it is able to work with better governance policies and procedures, more efficient management systems and structures, and a financial foundation that better fits the organisation and the land council network as it serves our people into the twenty-first century. This remains my clear intent and I’m pleased to report that we have continued to make considerable headway in fulfilling that goal during this financial year. New policy formulation, the introduction and implementation of new management the Howard Government had done at the Legislative amendments arising from Commonwealth level with the Aboriginal the review were not expected to be and Torres Strait Islander Commission. introduced to State Parliament until late in the 2006 calendar year. NSWALC did, however, have a range of policy differences with the Minister In stating the above, I am mindful that I during the reporting period. noted in my Administrator’s report last year that the ALRA review could not, and A major policy difference developed, should not, be rushed for instance, over the timing of the next election for the return of a State Council. It was tasked with a fundamental examination of the base structure of NSWALC sought to have this election held legislation which was enacted, with the in November, 2006, which would have best of intention, more than 20 years brought my three year administration to ago and the relevance of key elements of an end. that legislative structure have long since passed. Following considerable debate the Minister announced in October last year The Aboriginal Land Rights Act has he had decided to gazette 19 May, 2007, delivered significant and valuable assets as the date for the election. He stated to the ALC network with the existing that he did not want to hold such an and future land base of land councils election ahead of the next State Election providing Aboriginal people in NSW with in March, 2007 and the completion of the a degree of economic influence that too legislative process arising from the ALRA few of us appreciate fully. Review. The structure, however, is not geared to NSWALC had hoped this date could carry the system into the next phase of be re-gazetted if proposed legislative land rights, the sustainable development amendments arising from the ALRA and management of our land base for Review could be introduced to the State the benefit of the present and future Parliament early in the 2006 calendar generations. year. It is simply not geared to help us This appeared to be a slender hope at overcome the administrative overload the time of writing this report, despite and lack of capacity of Aboriginal land the release by the ALRA Review Taskforce councils. of two major Issues papers on Land Dealings and Structure, Representation, The review has the potential to deliver Governance and Benefits. a better land rights system in NSW that allows us to build upon the gains of the A State-wide meeting of LALC past two decades. It also has the potential representatives convened by NSWALC to establish new and much needed levels generated considerable agreement of transparency and participation in the on many of the complex issues raised various components of the land council in those papers but the drafting of a network, particularly in governance, legislative response to the review was structure and representation. proving to be a slow process as the New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales financial year drew to a close. The current legislative arrangements  for land dealings by local land councils New South Wales Aboriginal Land Council • Annual Report 2005 - 2006  In closing, I’m pleased to report that the report that the I’m pleased to In closing, great has made administration NSWALC period in the reporting gains during organisation to of the the restructuring needs. Its and emerging meet current been the result of a achievements have genuine team effort. Mr. Executive Officer, Chief NSWALC’s staff and NSWALC’s William Johnstone practical, principled continue to provide and support for professional advice that is underway at the reform process NSWALC. growth Among the many gains was solid in the value of the Statutory Investment audit, Fund, a third successive unqualified award the bedding down of a new staff designed and the new regional structure a return to re-connect with the network, and to the core business of land claims, LALC’s the first increase in funding to in many years from NSWALC them I look forward to working with move during the coming year as we the into a key phase in that restructure, transition to a new State Council. Murray Chapman are inadequate. We need an improved need an improved We are inadequate. selling and for managing, framework land assets, land council developing large scale in regard to particularly developments. commercial has proposed a The Review Taskforce and holistic much more comprehensive management of approach to the has recommended land dealings and on governance, fundamental changes structure and representation. been released to the All of its work has ALC network and the general public. all of us have a stake in the Ultimately, land land rights legislation and the I urge Accordingly, council system in NSW. views people to continue to make their known during the passage of proposed legislation through the State Parliament. I would also remind everyone that the NSW Government has repeatedly of an committed itself to the return elected State Council. into the Our job over the past year and reform coming year is to continue the in preparation program within NSWALC for this eventuality. must ensure that once an elected We Council is returned, it can operate within a streamlined legislative structure supported by skilled and experienced and the necessary financial resources staff to ensure that Aboriginal concerns and Aboriginal views continue to be heard. I have made it clear that I will not be party to any attempt to use the review to diminish the rights and gains which have been achieved over the past two decades. need change and do, however, We legislative clarity. Report from the chief executive officer WILLIAM JOHNSTONE

This report marks with my third year as the Jumbunna Indigenous House of Chief Executive Officer of the New South Learning to facilitate an intensive land Wales Aboriginal Land Council. claim process.

It has, again, been a challenging but I’m pleased to report the project began productive and rewarding year which has early in this reporting period and continued the operational and financial NSWALC had filed more than 7,000 consolidation of the previous two years. new land claims across the state as the financial year ended. These were being Many significant gains have been made progressively lodged with the Registrar. during this reporting period in both our capacity and capability to deliver As you will see further into this report increasingly efficient support services this is almost equivalent to the total to our constituents in the network of number of land claims lodged throughout Local Aboriginal Land Councils and the first 20 years of the operations of the in eliminating many of the wasteful Aboriginal Land Rights Act (1983). practices of the past. It compares with a total 336 land claims We have continued to build on the lodged in the 2004-05 financial year- major administrative restructure of the --which, in itself, was a 182 per cent organisation, initiated by the former increase on the previous reporting period. State Council, to address the previously reported deficiencies in expertise and This is an outstanding effort given strategic focus in most key management the granting of land claims is the sole positions and in addressing low staff remaining form of compensation morale. currently available under the ALRA for the dispossession of land. We have also continued to develop, refine and implement the new suite of It is essential, in my view, we continue governance policies and procedures, to remind ourselves that the invasion initiated by the former Council, and of Australia by the British commenced a have progressively replaced redundant long and sorry history of dispossession of operating systems. Aboriginal people from their land.

There have been many operational The taking of that land, and with it highlights during the year. the capacity to be self sufficient, is a fundamental reason for much of the Chief among them has been a return to social and economic marginalisation still the core business of claiming land. suffered by our people today.

As foreshadowed in my last report That said, there has been an unwavering

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales NSWALC was due to begin the new determination by Aboriginal people to  financial year by signing a contract with retain and regain that land, often lost in New South Wales Aboriginal Land Council • Annual Report 2005 - 2006  wider Aboriginal community was heard was heard community wider Aboriginal review. during the a leading also took NSWALC In this regard consultations. role in community in a NSWALC- This work culminated meeting of ALC convened state-wide early in the 2006 calendar representatives agreement on year which reached cent of the options more than 90 per in both discussion for change outlined papers. has NSWALC It is the first time strategic undertaken such a detailed and fact noted public awareness campaign, a by many ALC representatives. maintained close contact with NSWALC stakeholders and other staff the Minister’s smooth to seek to ensure the eventual passage of any legislative amendments. to its As this reporting period came was advised a conclusion NSWALC to go Cabinet submission was expected year forward early in the new financial introduced with consequential legislation in to the Spring Session of Parliament September 2006. advised the great majority were also We of the proposed amendments identified papers would Force Discussion in the Task be adopted by Government and be reflected in the legislation but a number resolved, be to remain would issues key of including a new land dealings regime and the eventual shape of a new State Council. The ALC network was kept fully informed of developments. On the operational side of the ledger, the key challenges for the year included the need to maintain the impetus of the organisational changes, particularly at the regional level through the new Zone office structure, to maintain the steady violent confrontation, since the onset of since the onset violent confrontation, dispossession. taken history I have Given this of this pride as CEO considerable being able to commit organisation in to accelerate the the necessary resources lost land. repossession of last year that the I also reported preparing for a major organisation was Government initiated role in the State Land Rights Act, review of the Aboriginal 1983. that after It should also be remembered for basic more than 200 years of agitation rights to land this legislation represented by the State the first significant attempt to Government, and the NSW Parliament, redress these wrongs. has The legislation, as the Administrator pointed out, has delivered significant the assets to the ALC network over the past two decades, not least being funded representative and independently structure that is NSWALC. The operational and financial demands of the system, havehowever, outgrown its legislative base. The Act has also failed to keep pace with contemporary governance requirements and commercial pressures. took a lead role in the work NSWALC which of the ALRA Review Taskforce produced two major discussion papers. A 112-page paper on Land Dealings was released in August, 2005. A 224-page document on Structure, Representation, Governance and Benefits was released They contained more than in November. seventy five options or recommendations for change. A key continuing task was to ensure the voice of the land council network and the growth in the Statutory Investment and was concluded without affecting our Fund, the peaceful negotiation and record of industrial harmony. introduction of a new staff award, and The award provided for a wage increase achievement of another unqualified of 6 per cent—backdated to October, audit. 2005 with automatic increases of four per cent per year from 2006 to 2008—in All were achieved. line with current National Wage Case I’m particularly pleased to report that the determinations and the three year value of the Statutory Investment Fund duration of the new Award. has grown from $583.8million as at June 30, 2005 to $637 million as at June 30 The major operational disappointment 2006. during the year was the inability of the State Government to respond to This represents an increase of $54 million NSWALC’s calls for a State Council election during the reporting period and equates in November 2006 which is touched upon to a rate of return of more than 13%. in the Administrator’s report.

The growth in the fund allowed us to In conclusion, I should point out, as I did consider an increase in NSWALC’s annual last year, that all of the changes outlined administrative allocation to all Local above were achieved while dealing Aboriginal Land Councils in the state for with an increasing range of complex the first time in more than six years. issues which often required urgent daily attention, particularly in relation to A new NSW Aboriginal Land Council Staff compliance issues and land dealings. Award 2006 was finalised and passed through the NSW Industrial Relations The fundamental reconstruction required Commission in March, 2006. in recent years to ensure NSWALC’s continued relevance continues to gather The initial NSWALC staff award was made momentum. in 2002 with the Public Service Association (PSA) of NSW for a period of three years We are now an organisation which and lapsed in October, 2005. can readily adapt to rapid political and administrative change within our In re-negotiating the new conditions operating environment and continue to of the Award, NSWALC took into seek and obtain sustainable outcomes for consideration a range factors including our constituents. issues raised by the PSA and their members, non-union staff and the senior We can, and do, make a positive management team. difference to Aboriginal people in New South Wales but prudent management It was also recognised that the of the Fund and ongoing renewal and impending introduction of the Federal reform are all essential elements of this. Government’s Workchoices Legislation may have had an adverse impact on both So too, in my view, is a new degree of the NSWALC and staff. solidarity within the land council system.

Despite a PSA claim for a 15 per cent First and foremost is the need for wage increase the negotiation of the everyone committed to Aboriginal self New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales new award was approached by NSWALC determination to seek to work together  in a spirit of co-operation with the union on common goals. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006  William Johnstone Chief Executive Officer In closing I’d like to express my gratitude my gratitude I’d like to express In closing Mr Murray Administrator, to NSWALC a difficult task He was given Chapman. in a professional, has performed which he courteous manner. constructive and in facilitating He has been instrumental operational and cultural the fundamental administrative change within NSWALC’s to working with him arm. I look forward to ensure we continue over the next year gains outlined in this to build on the for the anticipated report and prepare return of a State Council under streamlined legislation. AboriginalNew South Land Wales Council New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales 10 Overview New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 11 This report covers the activities and financial dealings of the New South Wales Wales of the New South dealings and financial covers the activities This report It provides a 30 June 2006. 1 July 2005 to for the period Land Council Aboriginal period. during that and achievements of our activities and highlights summary the NSW required under and other reports the financial also includes The report Bodies) Act 1984. Annual Reports (Statutory Government’s 20 It has been so since present in the hands of an Administrator. The Council is at November 2003. for Regulation 2002 the Minister of the Aboriginal Land Rights Under clause 98 for State Council in determine the date of an election must Aboriginal Affairs the Administrator/Council. consultation with this reporting period that the next election for State The Minister determined during and others, that from NSWALC, 2007 despite representations Council would be 19 May, it be held in November 2006. functioning of Council is described in terms which It is for this reason that the normal members collectively setting policy direction, assume a model of elected representative team of senior managers, administering the with an experienced CEO and skilled communities to achieve economic and social support systems to assist local Aboriginal independence. it is important to place in context the way in which this For the benefit of new readers, is what the Land Council system in New South Wales organisation came into being, about doing it. designed to do, and how it goes Who We Are and What We Do value at approximately $952.6 million.

The New South Wales Aboriginal The Aboriginal Land Rights Amendment Land Rights Act 1983 gives the New Act (2001), proclaimed on 25 October South Wales Aboriginal Land Council 2002, set out an improved set of (NSWALC) the mandate to provide for accountability requirements while at the development of Land Rights for the same time in theory permitting a Aboriginal people in NSW. greater degree of autonomy by LALCs in their dealings with land. For example, A self funding Statutory Authority, the under the new Act, LALCs can, within Council is committed to the ongoing guidelines, purchase, dispose of and provision of high quality support and lease land without specific prior approval advice to the Local Aboriginal Land from NSWALC or the Minister. All major Council network and empowerment of commercial developments must be Aboriginal communities through: approved by NSWALC. • Land acquisition either by land claim or purchase Those sections of the ALR Act which • Establishment of commercial govern land dealings are now under enterprises to create a sustainable careful examination as part of a economic base for Aboriginal comprehensive review of the ALR Act communities announced by the then Minister for Aboriginal Affairs, Doctor Andrew • Maintenance and enhancement Refshauge on May 26, 2004 of Aboriginal culture, identity and heritage (including the The Minister requested the three-person management of traditional sites Taskforce established to conduct the and cultural materials within NSW). review to focus its attention first on the issue of land dealings. A detailed Issues In addition, NSWALC acts as an advisor Paper on the land dealing provisions to and negotiates with Governments, of the ALR Act was publicly released in and other stakeholders, to ensure the August 2005. preservation of Aboriginal rights. A detailed Issues Paper on Structure, It is the peak Aboriginal representative Representation, Governance and Benefits body in NSW charged with managing a was publicly released in November, 2005. Statutory Investment Fund and oversees the development and management of a The two Issues Papers contained a significant Aboriginal owned land estate. total of 76 recommendations/options to streamline the ALR Act., which are The total area granted under the ALR reported upon later in the section of this Act is approximately 80,036 hectares, report on the Review of the Aboriginal or just under one per cent of the New Land Rights Act. South Wales land area. It has a value conservatively estimated at $771.6 million.

Added to this are properties acquired by purchase or other transfer of land (such as former missions/reserves) into LALC New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales ownership—giving a total of over 616,461 12 hectares, with an unimproved capital New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 13 determine and approve/reject and approve/reject determine of and conditions the terms Local proposed by agreements to allow Land Councils Aboriginal on or mineral exploration mining Aboriginal land Crown lands, make claims on behalf or at the either on its own Aboriginal Land request of Local Councils of the with the agreement manage any of particular LALC, of that Council the affairs conciliate disputes between Aboriginal Land Councils or between Councils and individuals of or between individual members those Councils make grants, lend money to or invest money on behalf of Aborigines hold, dispose of or otherwise deal by with land vested in or acquired NSWALC ensure that Regional and Local Aboriginal Land Councils comply with the Act in respect of the establishment and keeping of accounts and the preparation and submission of budgets and financial reports ensure that elections for the Chairpersons and other officers of Regional and Local Aboriginal Land Councils are conducted in accordance with the Act advise the Minister on matters relating to Aboriginal land rights, and exercise such other functions as conferred or imposed on it by or under the Aboriginal Land Rights Act (1983) or any other Act. iv) v) vi) vii) viii)  ix) x) xi) xii) xiii)  administer the NSWALC Account administer the NSWALC and Mining Royalties Account grant funds for payment of the administrative costs and expenses of Regional and Local Aboriginal Land Councils acquire land on its own behalf or on behalf of, or to be vested in, Local Aboriginal Land Councils i) ii) iii) NSWALC is empowered under legislation is empowered under legislation NSWALC to: Aims & Objectives Our Clients of 13 normally consists The Council members who elected democratically land council the 13 Aboriginal represent The Council South Wales. regions in New its work by a Head Office, is supported in headed by a Chief located in Parramatta, with the delegated Executive Officer Council to assume authority of the all aspects of the day to responsibility for affairs. the Council’s day operation of is the of NSWALC The principal client Land network of 121 Local Aboriginal the Councils which collectively manage at range of support services delivered These local level to their communities. affairs, services include housing, legal employment, training and property acquisition and management. has NSWALC During the reporting year, continued to refine its management structure and to restructure the distributed support for Local Aboriginal Land Councils. As reported last year an 11 Branch was structure with minimal staffing, with replaced with a new Zone Structure offices established in three regional Coff’s centres (Dubbo, Queanbeyan, Harbour) and Sydney. The NSW Aboriginal Land Rights 2. (Create) A network of fully Amendment Act (2001), proclaimed on functional, transparent, well 25 October 2002, provides for NSWALC governed Regional and Local to carry out the following additional Aboriginal Land Councils. functions: 3. To help the LALCs acquire and develop assets to become (i) to mediate, conciliate and financially viable. arbitrate disputes relating to the operation of the Principal Act 4. To improve the internal operations between Aboriginal Land Councils, of NSWALC between those Councils and 5. To maximise the return on the individuals, or between individual investment portfolio while members of those Councils and to maintaining an acceptable capital refer such disputes to the Registrar risk profile. or independent mediators, conciliators and arbitrators These revise the five key objectives (ii) with the approval of the Minister, previously articulated in the NSWALC to make grants or lend money to a Business Plan. funeral scheme established for the benefit of Aboriginal persons Strategies and actions were also developed to assist the Purpose, (iii) to compile and maintain a Objectives, and Key Performance Indicator consolidated roll of all members of targets set during the revision of the Plan. Local Aboriginal Land Councils Responsibilities for implementation are (iv) to compile and maintain a register assigned at a work unit level. of all land held by Local Aboriginal Land Councils The strategies included: (v) to make prescribed information contained in the land register or • Take a leadership role in the consolidated membership roll that promotion, protection and relates to a Local Aboriginal Land preservation of Aboriginal culture Council available on request to and heritage. members of that Local Aboriginal • To secure and enhance the current Land Council. legislative rights to land. • Take a leadership role with There were five key objectives within this Governments and other framework for NSWALC in 2005/2006, as stakeholders to work to improve articulated in the NSWALC Business Plan. the economic and social well being They were as follows: of Aboriginal people.

1. NSWALC will provide leadership to • Ensure the appropriate influence the policy of government organisation structures, staffing, and other stakeholders to preserve policies and procedures are in place Aboriginal culture and heritage to promote effective and efficient and create economic, social internal operations and cultural improvements for Aboriginal people. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

14 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 15 provide assistance to Local Aboriginal Land Councils in the preparation of claims on Crown land or the negotiation of the purchase or sale of land in assist Local Aboriginal Councils of the establishment and keeping accounts and submission of budgets and financial reports provide advice and further assistance as required by Local area Aboriginal Land Councils in its to conciliate any assist the NSWALC disputes between Local Aboriginal Land Councils, or between those councils and individuals, or between individual members of Councils, and exercise such other functions as are or conferred, or imposed on it by, under the Aboriginal Land Rights Act (1983), or any other Act. all Local Aboriginal Land Councils all Local Aboriginal within its area compile and maintain a register of compile and maintain c. d. e. f. b. a. The 2001 Amendments to the Act brought some changes to these responsibilities designed to streamline their operation and allow a greater focus on support to LALCs to help them meet their more onerous responsibilities under the new Act. have direct authority over any Local authority over have direct (although a Land Council Aboriginal for make recommendations RALC can or the NSWALC). by a LALC consideration a local RALC provides the Importantly, LALCs and their elected support base for Councillor. authority with the The RALC is a statutory responsibility to: Ensure NSWALC’s organisational organisational Ensure NSWALC’s is based on performance culture improvement, and continuous culture of shared foster a and develop information, risk effective and maintain an management culture. public to increase NSWALC’s Work informed by advocacy position to respond research, based evidence and improve the emerging issues, between NSWALC, communication and RALC’s. LALC’s the participation to maximise Work the constituents and of NSWALC’s all wider Aboriginal community in relevant political processes. Provide support, assistance and and relevant training to RALC’s to enable them to better LALC’s manage their administration and the to meet their obligations under ALRA. Monitor the financial and non- RALC’s financial performance of the and LALC’s to prepare community Assist LALC’s business plans and facilitate the provision of best quality professional business advice and and assist mentoring to LALC’s them evaluate potential business opportunities. Develop clear funding guidelines to provide equitable funding to all and RALC’s. LALC’s • • • • • • • There are 13 RALCs located across New Each regional Aboriginal South Wales. land council is made up of representatives elected by the various Local Aboriginal Land Councils. RALCs are designed to play an advisory role in the management of the land council network and do not Regional Aboriginal Land Regional Councils (RALCs) Regional Aboriginal Land Councils operated during 2005/2006 from the following locations: Armidale Northern Tablelands Region Gosford Sydney/Newcastle Region Lismore North Coast Region Moama Murray River Region Nowra & Bateman’s Bay South Coast Region Wagga Wagga Wiradjuri Region Coonamble North West Region Kempsey Central Coast Region Liverpool & Gosford Western Metropolitan Region Batemans Bay Far South Coast Region Quirindi Northern Region Menindee Western Region Dubbo Central Region

A map setting out the boundaries of each Regional Council may be found at the rear of this report. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

16 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 17 Local Aboriginal Land Councils (LALCs) Councils Land Local Aboriginal within The number South Wales. across New are located Land Councils Local Aboriginal is 121. Each the current total to 16, and ranges from three varies and each Region and also elects and treasurer) secretary bearers (chairperson, its own office LALC elects are and members at their RALC. Staff to attend meetings two regional representatives support from the NSWALC. access advice, information and encouraged to their local Aboriginal community living in their members and the wider LALCs work for employment of housing, legal affairs, in matters relating to the areas area. They assist functions people in accordance with matters involving Aboriginal and other day-to-day the Act. detailed under a high in a way that has sought to achieve the land council structure The Act established of by every Aboriginal person in the affairs degree of participation and involvement their local community. the reporting standards expected by the NSW The Amendment Act clarified and set in place a general framework for increased Government for Land Councils public accountability. Land Councils is located at Appendix 1 on page 148. A complete list of Local Aboriginal Council Structure & Membership The New South Wales Aboriginal Land Council’s elected arm normally consists of 13 Councillors, democratically elected by Local Aboriginal Land Council members to serve four year terms. The Council itself elects office bearers. The positions of Councillor are established under the NSW Aboriginal Land Rights Act, 1983 with salaries determined by the Statutory and Other Offices Remuneration Tribunal for Public Office Holders.

Organisation Structure

Council or Administrator

Chief Executive Officer

Chief Operating Executive Deputy CEO Chief Finance Officer Officer Officer

Manager Director Director Executive Director Media Human Western Zone Network Assistant Marketing Services Resources

Director Director Manager Southern Zone Governance Finance

Director Director Commercial Northern Zone Policy Analyst

Director Principal Manager Info. Eastern Zone Legal Officer Technology

The administrative arm of NSWALC has been arranged in functional areas relating to the core business of the Council - namely, Land Rights, Investment and support to the Land Council network. The organisation has traditionally been structured around a range of management and support areas including Executive, Human Resources, Training & Development, Accounts, Purchasing, Fleet Management, Field Liaison and Internal Audit.

Strategic priorities in recent years, as well as structures, had been determined in response to the requirements of the long-awaited Amendment Act (2001) which was finally proclaimed (with Regulations) on 25 October 2002. The organisational structure of the administrative arm has undergone significant change in the past three years. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

18 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 19 Executive Level. Those had four positions at the Senior Executive During 2005/2006, the NSWALC Chief Operating Deputy Chief Executive Officer, Officer, positions were Chief Executive Officer and Senior Finance Officer. appointed Chief Executive Officer by the former State Mr William Johnstone had been Ms Margaret Palmer took up the position of Chief Council in September 2003 while Finance Officer in June 2005. the appointment of Mr Malcolm Davis to the permanent Recruitment action resulted in Davis had previously acted in the in March 2006. Mr. position of Chief Operating Officer down of the new Zone structure. position to assist in the bedding Officer in a Scott was appointed to the position of Deputy Chief Executive Mr Geoff in addition to his management role of NSWALC’s temporary capacity in June 2006, review of the ALR Act. response to a Government initiated the leadership of the senior His appointment was a key component of a re-definition of Governance, Land, management roles within the organisation. The Legal Services, Council Secretariat, and Policy units were placed under his management. claims and land In keeping with the emphasis on a return to core business—land management—the Land Services Unit was bolstered. and filled as part of A number of positions at the Executive Level were also established the on-going restructure of the organisation. The new Zone Office structure, which was established last financial year, was designed was designed year, last financial was established which Zone Office structure, The new group they were to the client being placed closer resources were more skilled to ensure to support. designed with boosted support for LALC’s. simplified corporate structure This entailed a in terms of policy was also added to the organisation Substantial capability and of this via short term contracts project management, much development and on a campaign to fill positions specific tasks, pending a recruitment consultants for permanent basis. has always been problematic for staff suitable qualified and specialist Recruitment of actual staffing level was As at 30 June 2006, such as NSWALC. hybrid organisations a slight Zone Offices. This represents 31 of these functioning in the 74 persons with period. numbers at the close of the previous reporting increase on actual staff Finance and Administration Division As part of this restructure, the Finance, Administration, Human Resources, Information Technology and Commercial Services Units had been brought together to form the Finance & Administration Division.

The Senior Finance Officer position had been established to take responsibility for the Finance & Administration Division, including the following functions and responsibilities:

Finance • Strategic and operational planning and budgeting • Financial and management reporting • Financial accounting services • Statutory and regulatory compliance • Treasury and investment funds management • Payroll • Funeral grants • Insurance

Administration • Fleet management • Purchasing • Reception • General administration

Human Resources • Occupational Health & Safety • Industrial relations • Personnel records & administration • Policies & procedures • Recruitment & selection • Organisation design • Performance management processes • Training & development • Pay & benefits

Information Technology • Support for all information technology and management information systems New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

20 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 21 Management of NSWALC’s properties, including Rural Properties. properties, including NSWALC’s Management of Commercial advice and assistance to all LALC’s; and and assistance to all LALC’s; Commercial advice All “land dealing” issues; All “land dealing” Commercial advice and assistance to all areas of NSWALC; and assistance to all areas Commercial advice 4. 3. 2. 1.

Since its formation the Commercial Unit has engaged appropriately qualified and appropriately qualified the Commercial Unit has engaged Since its formation above are the purposes outlined They are focused on ensuring experienced personnel. and expeditiously. addressed professionally residential and management, experience in property development They bring extensive commercial and strategic management, business real estate management, financial, planning and accounting. a Commercial Simon Spicer, Mr. of a Manager, As at 30 June 2006, the Unit consisted Analyst and a Property Coordinator. established to provide an extensive range of services The Human Resources Unit was Regional & Local and Councillors as well as providing advice to to Management, staff Aboriginal Land Councils. relating to personnel functions, Occupational The Unit is responsible for all matters Selection and also provides advice Industrial Relations, Recruitment and Health & Safety, management issues and coordinates the implementation and support with performance necessary. of disciplinary action where considered counselling and establishment records, providing staff The accurate maintenance of all in accordance with and the processing of conditions of employment and advice to staff, Policies and Procedures, and legislative requirements are Award, Staff the NSWALC fundamental functions of the Unit. period has been A major additional responsibility of the Unit during the reporting restructure. review and associated with the NSWALC of strategies and policies The Unit has had significant involvement in the development and evaluation associated with the restructure as well as coordinating the development together with the of position descriptions, commencement of recruitment action staff. management of affected in the consultative process During the reporting period, the Unit has also been involved management of and the development of strategies and time frames for the improved rural properties. NSWALC’s placed demands new the meet to evolve Unit the see will future the that anticipated is It and RALC’s assist to Offices Zone the with consultation in work to and NSWALC the on practices. resource human sound of implementation and development the in LALC’s Human Resources Unit Commercial Unit Commercial It has four in April 2004. was established a Commercial Unit reported As previously responsibilities: functions and principal Network Services Unit purpose of the Network Services Unit and its relationship with other established As reported in the 2003/2004 Annual Units within the NSWALC structure. Report the results of an organisational restructure conducted during 2000/2001 The former land rights functions during led to the creation of the Land Council 2005/2006 had continued under the Services Unit to provide a range of management of the Commercial Unit. support services to LALCs. In the new financial year, however, the This unit was the operational “core” of land rights functions will be established NSWALC’s dealings with the network under a new position to be known as the of local Aboriginal Land Councils Director of Lands. with the assistance of Branch offices and incorporated the functions and The Director of Lands will also manage responsibilities of the former Land Rights the Commercial Unit which will have a Unit and the former Field Liaison Unit. continued association with the Senior Land Rights Officer, Land Rights Officer Further consideration was given to the and Land Claims Officer. purpose of this unit during the review of structure during 2004/2005 and the first The Director of Lands will report to the half of the current reporting period. Deputy CEO.

Its focus shifted to the provision of direct The Intervention Officer position, support to the newly created Zone Offices which deals with the appointment through the development of relevant of Investigators and Administrators, operational processes and procedures. transferred from the Governance Unit to These are designed to provide a Network Services Unit during 2005/2006. consistent approach to service delivery from the Zone offices to LALCs. The transfer was considered to be in line with the functions of the operational area The unit was renamed the Network and allowed for the direct management Services Unit. of the important area of Administrators and Investigators. During the 2005/2006 reporting period further consideration was given to the

Director Network Services

Snr Compliance & Snr Training Intervention Project Officer Evaluation Officer Officer Officer

Comliance & Training Officer Legend Evaluation Officer Fulltime New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

22 Temporary New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 23 Ensuring effective and business like relationships between NSWALC and between NSWALC and business like relationships Ensuring effective governance. In particular external agencies with responsibility for effective (ICAC), the the Ombudsman, Independent Commission Against Corruption and the Registrar of the ALRA. All (DAA) Department of Aboriginal Affairs Developing an effective complaints management process for NSWALC in process for NSWALC complaints management Developing an effective accordance with transparent policies and procedures. for decision making that ensure establishment and maintenance of satisfactory for decision making that ensure establishment and maintenance functioning Governance systems and practices including assisting in the effective Board; of the NSWALC Developing; implementing, managing, evaluating and monitoring procedures Developing; implementing, managing, evaluating and monitoring Development and implementation of a risk management framework. • • • • Governance Unit under the reformed structure to provide a focus This Unit was established in 2004/05 It was managed and the network. within NSWALC on improved corporate governance Colin Plowman, who has a wealth of experience by Mr. throughout the reporting period at both the State and Federal level. in the governance area of Aboriginal Affairs, Specific functions and responsibilities of the unit are: Zone Offices of NSWALC Zone Offices support to LALCs directly through had previously provided NSWALC As reported earlier a network of Branch Offices. at the Branch level contributed in part to the decision Lack of depth of skilled resources into Zone Offices, each with the resources to to consolidate the 11 Branch Offices needs of the LALCs in their Zone. adequately service the particular operational in December 2004 and gradually The Zone offices all became fully the ALC network during the current reporting consolidated their operations with period. Affairs with considerable experience in Aboriginal The recruitment of Zone staff depth of skills brought to the organisations in the staff complemented the range and period in Head Office. appointments during the reporting Network Services Unit Current Structure Current Services Unit Network was appointed Michael Stewart, Mr. a senior bureaucrat, reporting period During this Malcolm of Mr. the appointment following Network Services of Director, to the position Officer. Chief Operating Davis as year when 2005 until June the following the position from September Mr Stewart held Zone office. acting director of the Southern he was appointed Bob Davis, who had joined NSWALC Mr. by another senior officer, He was replaced as a strategic research analyst. earlier in the year reporting, actions and internal procedures must adequately address the requirements of the Ombudsman Act 1974, Independent Commission Against Corruption Act 1988 and other relevant legislation. • Manage the policies and procedures governing the appointment and management of Administrators and Investigators to Local Aboriginal land Councils under Sections 222 and 216 of the Act, respectively, in conjunction with Zone Offices • In the longer term to ensure LALCs have appropriate risk management, governance, fraud control and complaints handling mechanisms in place. • Ensure Secretariat services to the NSWALC Council/Administrator and its various committees. • Ensure effective internal audit services to NSWALC • Ensure quality assurance with NSWALC policies and procedures. • Business and Corporate Planning • Management of NSWALC’s responsibilities with regard to LALC membership rolls. That is to maintain a consolidated roll and ensure that LALC’s meet their statutory responsibilities; and • Quality assurance of NSWALC’s policies and procedures.

The Governance Unit also oversees high risk and complex LALC issues, particularly those concerning administration.

During 2005/06 the overview of the policies and procedures governing the appointment and management of Administrators and Investigators to Local Aboriginal Land Councils under Sections 222 and 216 of the Act was transferred to Operations.

The responsibility for business and corporate planning were transferred to the Governance Unit.

Strategic Planning & Policy Unit The SPPU performs a key role in the management of NSWALC’s relationship with policy makers in government and a range of agencies involved in the administration of Aboriginal Affairs at both State and Commonwealth level.

The SPPU, which had been inactive for a twelve month period, was re-activated with the temporary appointment in May 2004 of Mr. Robert Burgess as Director of the Unit. Mr Burgess was seconded from the NSW Department of Health for an initial period of six months. His appointment was subsequently extended on an ongoing temporary basis, ahead of a recruitment campaign for the position which saw him appointed on a full time basis in November 2005. During the reporting period job descriptions were updated and three policy officer positions were evaluated in preparation for permanent recruitment. The positions reflect NSWALC’s business objectives in the key areas of: • promotion of Aboriginal culture New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

24 • protection of Aboriginal heritage, New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 25 publications improved access to culturally appropriate human services and better outcomes for and better human services appropriate access to culturally improved people. Aboriginal increased Aboriginal participation in natural resource management and share of management resource in natural Aboriginal participation increased its benefits Assisting NSWALC Units and Zone Offices with promotional activities and Units and Zone Offices Assisting NSWALC Publishing and updating NSWALC online services and information sheets online Publishing and updating NSWALC Organising events and promotional activities Responding to negative reports Initiating positive stories Providing media advice and briefings for Councillors/Administrator and senior staff Providing media advice and briefings Liaising with community and government organisations Liaising with community and government Responding to requests for information from community and government bodies Responding to requests for information Responding to daily media inquiries Monitoring of Indigenous issues in the media Monitoring of Indigenous issues • • • • • • • • • • • • The position of Director, Media and Marketing was held by Mr. Brian Johnstone Media and Marketing was held by Mr. The position of Director, of Executive Officer to throughout the reporting period. He also acted in the position the Chief Executive Officer The Legal Services Unit (LSU) came into being in January 2002 as a discrete entity. as a discrete entity. The Legal Services Unit (LSU) came into being in January 2002 continue the work Formerly part of the Land Rights Unit, the LSU was to not only Rights Unit (briefing previously undertaken by legal officers working in the Land decide whether or not to barristers on significant Land Claims and assisting LALCs to more strategically to pursue a particular claim), but was also to provide legal services the CEO and Council. Legal Services Unit With the joint aims of improving the organisation’s profile as well as facilitating the organisation’s With the joint aims of improving the broader community and also within the Land improved communication with Marketing Office has an important role in the ongoing Council network, the Media & development of NSWALC. include: functions and responsibilities The Media & Marketing Office’s Media & Marketing Unit Media & Marketing Jason Field, formerly Director of Research at the Jumbunna House of Indigenous Jumbunna House of Indigenous Director of Research at the Jason Field, formerly the position of Senior Sydney was appointed to of Technology, Learning, University Policy Officer. posting June 2006 to take up an overseas resigned her position In Ms Stephanie Moore of contribution to the work She made an important in Vietnam. in a voluntary capacity her term of employment at NSWALC. the Unit during The plan, therefore, was that as a dedicated Unit, the LSU would have been capable of providing better managed, comprehensive legal services both to NSWALC and to various Regional and Local Aboriginal Land Councils within NSW.

Prior to the establishment of the LSU, various units engaged legal practitioners independently of the Legal Officers. There were numerous problems arising from obtaining advice in such an ad hoc fashion.

This included duplication of (or conflict with) advice already obtained; legal costs not properly negotiated; advice being retained by one officer and not being made available to other staff or Council; inappropriate selection of legal practitioners with insufficient expertise on the particular point of law in question; no central conduit for managing the growing in-house legal knowledge of NSWALC.

The Legal Services Unit was fully staffed throughout the reporting period allowing much of NSWALC’s legal work to be conducted in house.

The Unit comprised three solicitors, a Principal Legal Officer, Senior Legal Officer and Legal Officer and one administrative assistant.

Given the full staffing complement the Unit was able to:

• manage internally a higher number of legal matters (hence reducing the reliance on, and cost of, an array of barristers and solicitors); • provide closer management and supervision of matters briefed out (to reduce the incidence of double handling and unnecessary duplication); • monitor/oversee all NSWALC legal issues; and • deal with a broader range of legal issues by virtue of acquired expertise in a wider field of legal experience.

During the reporting period the LSU increasingly provided direct assistance on land rights in direct advice to the Land Rights Unit and by direct involvement with external solicitors in the assessment of refusals of land claims and the running of appeals on refused land claims.

The Unit also became increasingly involved in many of the commercial activities of NSWALC and the ALC network in concert with the Commercial Unit.

For example the LSU was involved in the analysis and assessment of many of the more complex applications for approval under sections 40B and 40D of the Act.

The Principal Legal Officer, Ms Linda Whelan, joined NSWALC in August 2005. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

26 AboriginalNew South Land Wales Council Review of New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales 27 Operations Review of Operations The Minister was informed that NSWALC’s Fund Managers, Chifley Financial Services, The various operational areas of NSWALC had projected the likely Fund earnings conduct regular internal reviews of their to be in the region of $73 million in the operations, as well as being subject to 2006/07 financial year given the current external review by a range of bodies. outlook for investment markets.

The following is a review of operations We advised that NSWALC was conscious and a summary of achievements during of the need to grow the fund for future the reporting period. generations but had also framed the budget conscious of the need to complete Finance & Administration the rebuilding of the organisation. Division To this end, the draw-down required from The Finance & Administration Division the Statutory Investment Fund to meet reported a hectic workload during operational expenses in 2006/07 would be the 2005/06 financial year under the $30 million. management of the Chief Finance Officer, Ms Margaret Palmer, who, as reported This represented an increase of $5 earlier, joined NSWALC in June 2005. million over the draw down required in the 2005/06 financial year to fund a Ms Palmer spent a considerable amount number of key initiatives to complete the of time building a team around her, administrative restructure and to increase bedding down the restructure of our financial support to the land council the division, and developing and network. implementing a range of new policies, procedures and systems. We also advised that the budget for next financial year was also based on a The achievements of the division number of key assumptions about the included: financial impact on NSWALC’s current and future operations which could flow Budgeting from the expected outcomes of the State The Finance Unit reviewed the budgeting Government-initiated Review of the ALRA. model used to submit NSWALC’s annual budget to the Minister. Major initiatives included a decision to increase the annual administrative A new budgeting model was developed allocation from NSWALC to the Local and implemented during the year for the Aboriginal Land Council network—the 2006/2007 budget submission. first for many years.

The new budgeting model provides a The Minister was also advised the budget fuller picture of NSWALC’s operations, contained an increase in administrative including forecast information on the costs of about $500,000 to fund a Investment Fund, projected debt recovery, refinement of the management structure, and a Capital Budget. including the creation of the Deputy Chief Executive Officer position, with a NSWALC’s operating budget for subsequent tightening of reporting lines. 2006/2007 was submitted to the Minister New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales by the statutory deadline in May 2006. We also made provision for the four per 28 cent wage increase negotiated as part New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 29 We expressed confidence that this budget that this confidence expressed We operational base a sound would establish financial forthcoming in the for NSWALC those that follow. years, and that it also expressed confidence We balance between contained the necessary new initiatives and the funding of the improve to planning financial prudent of NSWALC. effectiveness efficiency and Australian Equivalent to Australian Equivalent Financial Reporting International Standards With the introduction of the new for Accounting Standards taking effect June the financial period ending 30 2006, the Unit analysed all accounting on standards that have an impact and the Local Aboriginal Land NSWALC Council. document A position paper and guidance AEIFRS on the impact of implementing to all was developed and distributed Finance and LALC staff. the The Unit provided training on Finance implementation of AEIFRS to all across and all LALC staff at NSWALC staff the new NSW to ensure compliance with accounting standard. A meeting with LALC Auditors was also convened to discuss the impact of AEIFRS did not incur and to ensure that LALC’s large audit fees. The Financial Statement for the reporting period contained a new format for reporting in accordance with AIFRS, requiring more analysis and disclosure of financial accounts and the reclassification of assets and liabilities. of the new NSWALC Award for staff for staff Award NSWALC of the new employees. the $500,000 for budgeted NSWALC an Review, of theALRA completion phase for proposed implementation our strategy to prepare amendments, and a State Council. for the return of that the had assumed, for instance, We Administrator’s term of the NSWALC be extended to appointment would financial year to cover the full 2006/07 nominated Minister’s accommodate the election date. This would allow for a short transition period to the new State Council. the Minister to note also asked We cost the provision of $470,000 for the to of an election which was expected be conducted by the State Electoral increase Commission with an anticipated be the in costs given the election would first since 1999. had made that NSWALC reported We considerable progress on its reform to process in 2005/06 and planned in the continue to build on this platform new financial year. in 2006/07 of NSWALC The major efforts would be aimed at consolidating the gains made over the past two years. They would be squarely targeted at ensuring a new State Council is able to work with significantly improved governance policies and procedures, more efficient management systems and structures, and a financial foundation that better fits the organisation and the land council network as it serves our people into the twenty-first century. Australian Taxation Office processing was applied across the NSWALC network. The Finance Unit also assisted in organising a training workshop held The Unit will continue to improve, by the Australian Taxation Office (ATO) develop and implement policies and on issues regarding the GST, FBT and procedures that will further enable best Superannuation to the NSWALC Finance practice for the finance operations during and LALC support staff. the next reporting period.

A similar workshop was also delivered for New Accounting Software LALC’s by the ATO. A review of the current accounting The Unit worked closely with the Zone software (Attaché) was also undertaken offices and the ATO to ensure that during the year. NSWALC and LALCs staff were aware of changes to tax legislation to ensure A number of limitations were identified, NSWALC and LALC’s complied and particularly inefficiencies in management adopted best practice. reporting and manual processing requirements. Public Benevolent Institution Status The system did little to automate repetitive tasks and was creating As previously reported The Australian work due to inefficient data entry and Taxation Office finally endorsed NSWALC maintenance processes. as a Public Benevolent Institution with effect from 01 July 2005. It was also unable to integrate with the asset register system; manual processing The endorsement allowed NSWALC was needed for bank reconciliations; to access tax concessions such as GST it also required manual integration concession and FBT exemption. between accounts payable module to the general ledger and also the accounts The PBI status has also meant NSWALC receivable module to the general ledger. could offer staff benefits such as salary sacrifice, considered crucial to the future The system did not have the facility recruiting and retaining of staff given the to update data in real time from the difficulty organisations such as NSWALC Accounts Payable module and the have in finding and keeping suitably Accounts Receivable module to the skilled and qualified staff. general ledger.

Policies and Procedures An internal committee was established The Finance Unit also undertook a to consider the findings of the review review of NSWALC’s financial policies and and determine future action. A range of procedures. options was considered.

As a result, a number of new policies It was determined that the Financial and procedures were developed and Management system, SAP Business One, implemented during the reporting was the most suitable for NSWALC’s needs. period that were designed to provide New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales better guidance to staff to ensure It was decided to implement the system, effective from 1 July 2006. 30 timely, consistent and accurate financial New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 31 Leave Reserve Clause which provided for provided for Clause which Leave Reserve salary packaging negotiation on further groups provision of additional and the as considered salary rates to the current appropriate. provision for also contained The Award over amendments the parties to consult Hours Working to the current Flexible directed the Human provisions. I have to ensure negotiation on Resources Unit resolved as a priority. these matters is was placed Award A copy of the new Intranet and pay rate on the NSWALC processed adjustments and back pay were 23/3/06. in the pay period commencing were The provisions in the new Award well received by staff. important Management considered them in ensuring continued industrial within the harmony and fiscal restraint organisation. salary was able to offer NSWALC flowing out of the packaging to all staff an award award negotiations, while not expected provision. The take up rate was to be considerable. Salary Packaging within This was introduced to all staff in May 2006 following the NSWALC Office endorsement by the Australian Tax status as a Public Benevolent of NSWALC’s Institution. It also followed extensive consultation with staff. engaged McMillan Shakespeare NSWALC as an external provider for these services. Salary Packaging will enable the NSWALC to provide significant tax benefits to all participating staff. It is an outsourced “user pays” system Staff Award Staff Land Council Staff A new NSW Aboriginal and passed 2006 was finalised Award Industrial Relations through the NSW March 17, 2006. Friday, Commission on award was made staff The initial NSWALC Association Service Public the with 2002 in years. (PSA) of NSW for a period of three It lapsed on October 24, 2005. In re-negotiating the new conditions took into NSWALC of the Award, consideration a range factors including issues raised by the PSA and their and the senior members, non-union staff management team. impending It was also recognised that the introduction of the Federal Government’s may have had an Legislation Workchoices and adverse impact on both the NSWALC staff. Despite a PSA claim for a 15 per cent wage increase the negotiation of the new award was approached by NSWALC in a spirit of co-operation with the union our and was concluded without affecting record of industrial harmony. The award provided for a wage increase of 6 per cent—backdated to October 25, 2005 with automatic increases of four per cent per year from 2006 to 2008—in Case line with current National Wage determinations and the three year duration of the new Award. Award Due to the need to finalise the and the PSA consented to a NSWALC Human Resources Human a number of period saw The reporting in the Human achievements significant the negotiation area including Resources of introduction Award, of a new Staff and implementation of Salary Packaging Resources system. a new Payroll/Human which will have minimal operational and d) the systems showed potential transactions costs to the organisation. for errors through transfer of information; As stated earlier it should provide the e) they required additional auditing; NSWALC with a significant benefit by increasing our competitiveness with other f) necessitated greater staff employers and further enhancing our involvement in processing; capacity to attract and retain quality staff. g) there was no interface to the General Ledger. Performance Management NSWALC reviewed a number of options A proposed NSWALC Performance and decided to introduce PayGlobal, an Planning System was revised during integratedHR/Payroll. the reporting period with a final comprehensive program being finalised While PayGlobal has been designed as for the consideration of the a stand alone solution it has the proven Executive Management team. capacity to fully integrate with the new finance system SAP Business One, The system is designed to provide a direct eliminating current inefficiencies such as link between the objectives outlined in duplication in processing, reporting and NSWALC’s Business Plan and that of each transfer of data between both previous manager and employee. systems.

The key components of the Program PayGlobal’s range of HR Management identify Core Job Responsibilities; Modules, including Recruitment, OH&S, Key Business Results; Behavioural Training & Development and Position Competencies; Learning & Development Management, could significantly enhance Career Plans and formal review processes. service delivery to all staff.

Subject to the concurrence of the senior It also provides greater scope for the management team it was anticipated automatic generation and electronic the new system would commence being transfer of information such as payslips; rolled out in the first quarter of the new leave balances, and timesheets, financial year. eliminating inefficient and time consuming processes. Payroll and Human Resources Information Systems NSWALC was due to begin a two phase implementation program with all payroll The use of separate computerised Human and leave entitlements being processed Resources Information Systems and through PayGlobal in the first pay period Payroll systems also came under review. of the new financial year.

It identified a number of inefficiencies in This was being targeted to coincide with the operation of two systems, including: the introduction of the SAP Business One a) the processing of all entitlements finance system. was unnecessarily duplicated; The second phase, which is due to begin b) they required additional IT support in the first quarter of the new financial and maintenance; year, would include scoping NSWALC’s New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales c) they required additional software Human Resource Module requirements. 32 costs; New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 33 Coordinator Accountant Senior Records Officer Senior Network Administrator Senior Policy & Research Officer Senior Legal Officer Senior Land Rights Officer Senior Compliance & Evaluation Officer Interventions & Complaints Officer Policy & Quality Assurance Officer Zone Office positions Various Chief Operating Officer Chief Operating Officer Principal Legal Director of Governance Director of Policy Manager of Human Resources Manager of Finance Manager of Information Technology HR & Learning Development • • • • • • • • • • • • • • • • • • During the reporting period the Human the Human reporting period During the of a number Unit coordinated Resources in which resulted strategies recruitment and qualified of skilled, the appointments within to key positions staff experienced the NSWALC. were to Many of these appointments within the newly created positions included the following organisation and senior positions. In addition to these management was also successful in positions NSWALC positions filling a number of other key on which will have significant impact These future operational requirements. included: Recruitment Action The need to attract and retain quality to meet new initiatives and staff increasing demands within the NSWALC has continued to provide a range of challenges. Restructure restructure last financial The focus of the aimed at the creation year was primarily Offices and the closure of the new Zone of the Branch Offices. shift This reporting period saw the focus the to completing the restructure within Parramatta Office. progress significant As mentioned earlier, areas was reported, particularly in those Officer, managed by the Chief Finance such as Human Resources, Financial and Services, Property Coordination Units. Information Technology For instance, the creation of an Unit, including Information Technology now a Records Management Section, with professional provides NSWALC internal resources to meet operational needs. The HR Unit has continued to coordinate the critical areas of the restructure through the development and evaluation of Positions Descriptions, implementation of recruitment strategies, and management of all issues associated or potentially displaced with affected employees. Industrial Relations Industrial to continued NSWALC the earlier noted As harmony industrial of period a experience & Association Service Public the with no with Association Officers Professional ongoing the despite implications industrial the and organisation the of restructure award. staff new the of negotiation Learning and Development development opportunities consistent with the NSWALC business plan. A dedicated Learning & Development Coordinator position was also created The NSWALC has also continued to within the Unit. The appointment of provide ongoing assistance to staff an officer to the position in early 2006 continuing or commencing tertiary resulted in a significant increase in studies at external institutions and/or internal training through both internal attending external seminars and training and external resources. courses.

Training has been conducted in new Occupational Health & Safety policies and procedures with emphasis on PayGlobal, and SAP Business One, TRIM, A number of strategies were identified and FBT. and initiated during the previous reporting period to improve the effective NSWALC also offered staff the management of Occupational Health & opportunity to participate in a Job Safety and Workers’ Compensation and to Seeking Skills Workshop specifically reduce workers compensation premium targeted to assist staff seeking to apply costs. for positions within the new structure. As a result of those strategies, and A detailed plan was completed for the other contributing factors, a number of further enhancement of Learning and significant achievements were recorded Development within NSWALC. Work was during the current reporting period. in progress on • The definition of specific skill They included: requirements; including the • A reduction in reported injuries identification of core business by 67%. (None required medical training skills and competencies attention nor resulted in lost time). • development of training programs • No new Workers Compensation to support NSWALC outcomes. Claims. • Improvements to systems for • An anticipated substantial reduction tracking training activity and in the workers compensation expenditure; and premium for the 2006/2007 Financial • Improvements to training support Year and a significant refund from and delivery capabilities. the 2005/2006 Financial Year.

The Corporate Learning and An OH& S Committee was established Development Plan will deliver a within the Parramatta Office, comprising minimum training program to all both employee and employer NSWALC employees in 2006/07 to further representation. An OH&S Representative develop the capabilities of individuals was elected from each Zone Office. and business units to improve the workplace culture within NSWALC and Accredited OH&S Consultation Training LALC’s. for OH&S representatives and OH&S Committee members was also provided. The Performance Planning System is New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales designed to further enhance the training The Zone Offices also received OH&S 34 program by identifying learning and Induction for staff. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 35 The creation of a dedicated Information Information of a dedicated The creation as a was identified Unit Technology need in the NSWALC critical strategic structure. adopted a had previously NSWALC to IT functions fragmented approach and external through both internal towards individual Unit sources targeted in- house capacity and needs. Specialised to meet increasing expertise was required demand and initiatives across the organisation. Unit The full establishment of an IT during the reporting period addressed many of these concerns and provided with the capacity to ensure the NSWALC to that IT priorities are directly linked organisational objectives. a Senior Network A Manager of IT; Officer Records Senior a and Adminstrator reporting were all appointed during the period. business The Unit provided support to all Unit activities and provided invaluable with technical advice and assistance the implementation of many new initiatives including SAP Business One; Payglobal; and the development and implementation of a Records Management function which had been identified in regulatory reports as a major deficiency within the organisation. Information and Technology and Technology Information Unit Workplace Inspection Reports Inspection Workplace Hazard Reporting Procedures Accident Investigation Procedures Accident Investigation Injury Reporting and Workers and Workers Injury Reporting Procedures Compensation Claim Return to Work Program Return to Work OH&S Policy Improving the awareness of OH&S Improving the awareness of OH&S through the development of an improved OH&S Booklet for all staff; circulation of information through the Intranet and inclusion of OH&S inductions. in formal staff The training and appointment of The training and appointment additional First Aid Officers. The provision of Driver Safety training for relevant staff. - - -  -  - - of a number of Policies, Procedures of a number of and Programs including: The revision and implementation and implementation The revision • • •

• In accordance with previous agreements In accordance with previous agreements continued to maintain a the NSWALC Pty close liaison with Riverina FARM Ltd including the provision of support and advice on OH&S and Workers’ Compensation matters. OH&S Coordinator completed NSWALC’s Training Awareness a Confined Space Course. This provided the capacity for the development and presentation of in appropriate training in “Safe Working Confined Spaces” specifically targeted at rural property employees. Rural Properties (OH&S) An OH&S Inspection was also undertaken also undertaken Inspection was An OH&S hazards in the any potential to identify offices. newly established included: in OH&S Other initiatives Property and Administration. occupancy from 2003/2004 to 2005/2006. NSWALC’s leasing strategies were also Responsibility for all NSWALC properties became the responsibility of the Chief Growth in Occupancy Financial Officer during the reporting period and resulted in the development of a Property and Administration Unit. Its 7 0 responsibilities included: 6 0 5 0

4 0 - Management of all NSWALC % 3 0 properties, including it’s Head Office 2 0

- Renewal of insurances for property, 1 0

machinery breakdown, vehicles and 0 public liability. 2003/2004 2004/2005 2005/2006 Ye a r - Advice and assistance on housing O cc up a ncy % policies and tenancy issues. - Administration of funeral grants. reviewed during the year owing to the sluggish commercial rental market. It is - Travel. clear NSWALC will have to offer further incentives to attract prospective tenants. Head Office. Rental income for the reporting period was $816,271 not including the notional NSWALC’s Head Office is situated at 33 rent of $291,400 for the space occupied Argyle Street Parramatta. by NSWALC.

The nine storey building in the Parramatta commercial hub is a major NSWALC Insurances NSWALC asset. Omega Insurance Brokers have effectively reduced the premiums of NSWALC over It was purchased in December 1992 at a the past 3 years. The insurance renewal cost of $9.75 million. for the NSWALC this year was $136,849.60 a reduction of $31,220.30 from last year’s It was recently revalued at $15.5 million premium of $168,069.90.

The focus of the Property and Administration Services Administration Unit in the reporting period was on marketing and leasing Policies and Procedures for administration vacant space in the building. This has were also under review as this reporting proved increasingly problematic given the period came to a close. The Property oversupply in the Parramatta Commercial and Administration Unit will assess their district. relevance to current work practices in the new financial year. Despite this two new tenants were secured during the financial year and negotiations were underway as the reporting period drew to a close for a further 150sqm tenancy.

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales The following table shows the growth in

36 Statutory Investment Fund

How We Are Funded and the Labor Council of NSW.

A NSWALC Statutory Investment Fund was The value of the Statutory Investment Fund established under the NSW Aboriginal Land was $637 million as at 30 June 2006, compared Rights Act (1983). with a value of $583.8 million at the end of the previous reporting period. For fifteen years, the State paid an amount equivalent to 7.5 per cent of NSW Land Tax This is well above the statutory limit of $485m (on non-residential land) to NSWALC, as prescribed in the ALRA and represents an compensation for land lost by the Aboriginal increase of $54 million in the value of the fund people of NSW. This annual payment ceased over its close in the 2004/2005 financial year. in December 1998. A drawdown of $25.2 milllion was made Since then, the NSW Aboriginal Land Council during the year to fund the operational and the land council network have been self expenditure of NSWALC and the network of sufficient. Local and Regional Aboriginal Land Councils.

The network is not, as is widely believed, NSWALC’s direct funding to the land council funded by the taxpayers of NSW. network comprises more than $10 million of its annual operational expenditure. The capital, or compensation accumulated over the first 15 years of the Council’s Indirect funding to the network accounts for a existence stood at $281 million as at considerable amount of the balance. December 1998 when the land tax payments stopped. The Investment Strategy Objectives of the Fund NSWALC has adopted a conservative investment strategy for the fund. There are two primary objectives for the fund. It has an annual growth target of 5 percent New South Wales Aboriginal Land Council • Annual Report 2003-2004 plus CPI. To provide sufficient income to meet the basic administrative expenses of This strategy was put in place by the State Local Aboriginal Land Councils and the Council and has since been adopted by the administration of NSWALC. NSWALC Administrator, Mr. Murray Chapman.

To ensure sufficient funds are put aside so Why Growth Is Important that the value of the fund increases with inflation. There is a view often expressed that NSWALC should loosen the purse strings on the Current Management and Value Statutory Fund to bolster the administrative funds it provides to the land council network. The Statutory Investment Fund is managed by Chifley Financial Services, a company It is also suggested a more aggressive established by Unions NSW (formerly the investment strategy be adopted to gain a NSW Labor Council). better return on its investments.

The company is now owned by the Local This ignores two fundamental points. Government Superannuation Scheme, the The fund is to provide compensation for Energy Industries Superannuation Scheme future generations. Prudent financial management is essential to maintain growth.

A less risk averse strategy could increase returns but could clearly increase the risk of losses.

It is important to understand that while NSWALC has a great deal of money invested it is not able to spend more than the realised income from interest less the allowance for inflation or it will be in breach of the NSW Aboriginal Land Rights Act.

Future Funding NSWALC agrees with the view that a new formula for the funding of Aboriginal Land Councils is required. There has been considerable debate about alternative funding models as part of the review into the Aboriginal Land Rights Act.

WHERE DOES THE MONEY GO

$’000 Revenues from ordinary activities Interest and Investment Income 70,283 Net increment on Investment Revaluation 3,868 Rent 839 Other Income 2,864 Gains on Disposal of Property Plant & Equipment - Revenues from government Grants and Subsidies 5

Total Revenues 77,859

Expenses from ordinary activities Audit Fees 248 Investigators Fees - Administrators Fees 231 Consultants Fees 436 Enterprise and Farm Expenses 2,100 Depreciation and Amortisation 642 Amortisation - Intangible Assets 18 Bad & Doubtful Debts 2,497 Employee Expenses 7,335 Funding of Regional and Local Aboriginal Land Councils 10,128 Grants 598 Legal Expenses 1,422 Loss on Disposal of Property Plant & Equipment 90 Motor Vehicle Expenses 302 repairs and maintenance 551 Other Expenses 2,935

Total Expenses from ordinary activities 29,533

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales SURPLUS FOR THE YEAR 48,326 38 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 39 their submission to NSWALC for approval. for to NSWALC their submission Unit year the Commercial During the a range of to discuss LALC’s visited many business and community land dealings issues. planning now acknowledge that Most LALC’s to ensure they is attempting NSWALC possible outcome from obtain the best dealing, rather than any proposed land the dealings from looking to prevent occurring. common misconception The latter was a first when the Commercial Unit was established. Land Dealings advice to The Commercial Unit provides Executive the Administrator and the Chief from Officer on applications received under Local Aboriginal Land Councils Land ss.38, 40B and 40D of the Aboriginal deal in Rights Act 1983 for approval to land. transfer, When a land council seeks to sell, dispose,” mortgage, lease “or otherwise of land it must fulfill certain requirements under the Act. gain the One of those requirements it to approval of NSWALC. receives a constant As a result NSWALC stream of land dealing applications , including acquisitions, disposals, leases for a period of three years or greater, the granting of easements and other transactions that result in a change of use to the land. During 2005-06, the Commercial Unit was involved in more than 60 proposed or completed land dealings, involving land with an estimated value of more than $124 million. Commercial Unit Commercial was first earlier this Unit As noted by NSWALC in April 2004 established to provide William Johnstone, CEO, Mr expertise in property high level in-house management, development and estate management, residential real and strategic financial, commercial planning and management, business accounting. such a unit has been It is the first time NSWALC. established within value It is a recognition of the emerging Local of the land estate now held by Aboriginal Land Councils and NSWALC, the emerging commercial interest in it, and the need for sustainable of that development and management land base. the The Unit performs a dual role for Land Council Network. statutory It administers NSWALC’s of obligations regarding the approval and, proposed land dealing transactions assists LALC’s perhaps more importantly, in land and commercial and NSWALC matters. the in involvement extensive had Unit The overall “commercialisation” of NSWALC’s operations in its first full year of activity. This continued during this reporting period. increasing an with worked Unit The 2005/06 the during LALC’s of number beneficial achieve to seek to year financial bases. land their from outcomes are now seeking the advice Many LALC’s prior to entering into any of NSWALC arrangements to ensure they obtain the best possible outcome and to minimise the need to modify agreements following All involved assistance to LALC’s ranging by detailed and locally developed plans. from advice on complying with the Act A key facet of the Guide is the inclusion and NSWALC’s land dealing policies to of a five year budget in the Plan to ensure providing advice on the appropriate identified strategies are achievable and processes to follow to enter into major financially viable. joint development projects with external builders and developers. The Guide includes advice on how to prepare the Plan, information on grants The unit also continued to assist Zone and other funds that may be available offices and the Network Services Unit to assist Aboriginal Land Council’s with a range of issues including reviews implement the strategies identified and of budgets and annual reports, auditor two example Plans. matters, IFRS technical matters and land dealings. Technical advice and other The Guide has also been included on contributions were made on various issues NSWALC’s website where the various to the Ministerial Taskforce reviewing the components can be downloaded thus ALRA. providing a further resource.

The unit also dealt with a range of As reported last year NSWALC has been various accounting, audit and legal conscious in developing the Guide that issues and provided assistance and advice the majority of Local Aboriginal Land in relation to the NSWALC Statutory Councils do not have the capacity and Investment Fund. resources to independently develop and implement CBP’s. Community Business Plans. Many do not have the resources to call The Unit launched a comprehensive upon appropriate external assistance. “Guide to Preparing a Community Business Plan” in the second half of 2005. Accordingly, to assist in the roll out of this project to LALC’s, NSWALC secured It also conducted a number of workshops a grant of $300,000 from the NSW in Queanbeyan, Coffs Harbour, Tamworth Department of Aboriginal Affairs and in and Port Stephens on land dealings and early 2006 obtained a grant of a further community business plans. $250,000 from the Indigenous Land Corporation (“ILC”) These workshops were well attended and well received. This funding provides much needed financial support to NSWALC, ensuring This Guide provides a solid planning it can allocate direct funding to enable framework for Aboriginal Land Councils, LALC’s to directly engage additional in line with NSWALC’s focus in achieving expertise to assist in the development of high standards of governance and CBP’s. financial and operational management across the Aboriginal Land Council The plan to utilise the $550,000 in grant Network. funds is in the process of being finalised.

A Community Business Plan provides an It is anticipated a grant agreement with Aboriginal Land Council can ensure that the ILC will be signed at this point.

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales community needs, wants and aspirations 40 are determined by members and supported New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 41 31,704 ha 9,890 ha 35,609 ha 5,184 ha Menindee Euabalong Coonamble Current Operations This financial year saw the previous focus on cereal cropping shift to an active cattle trading programme. This was supplemented by a reduced cropping programme. The principal reason for this was to reduce risk exposure. Adverse climatic conditions have consistently seen promising cereal harvests hit by drought. Since October 1990, as a result of 1990, as Since October Land to the Aboriginal amendments the New 1983 (“ALRA”), Rights Act Land Council Aboriginal South Wales ownership has assumed (“NSWALC”) responsibility for certain and operational which had been owned rural properties Aboriginal Land by various Regional Councils. are located in marginal These properties and for many years farming country losses incurred substantial operating farming apparently as a result of lack of expertise, climatic conditions, inadequate capital investment and general mismanagement. In 2002 NSWALC appointed independent agribusiness Pty FARM management experts, Riverina assistance. Limited, to provide advice and so In 2004 this role was consolidated is now currently that Riverina FARM contracted as the manager of NSWALC’s rural properties. by Riverina The rural properties managed are: FARM Appin Station Rural Properties Barooga-Karrai Calooma/Nulty Springs Bourke Kaituna-Uno A post implementation review, A post implementation review, including a revision of the Community Business Planning Guide, to reflect any amendments of resulting from the current review the ALRA. Generation of common information Generation of common such as information across all LALC’s, on land holdings and demographics. Training for both NSWALC’s for both NSWALC’s Training of and representatives Zone staff interested LALC’s. provided as individual grants of up as individual provided in the to assist to LALC’s to $8,000 These grants will planning process. activities of the LALC, be for specific workshops such as land assessment, or surveys and budgeting. The majority of the funding will be of the funding The majority • • • • Six LALC’s had prepared Community Six LALC’s Business Plans as at June 30, 2006. LALC, They included the Metropolitan Broken Birpai LALC, Ulladulla LALC and Hill LALC. a As this reporting period drew to either close around 30% of LALCs had completed plans, were in the processing of doing so, or were intending to begin This included early in the new year. in NSWALC’s over sixty percent of LALC’s Eastern Zone and almost fifty percent in the Northern Zone Indigenous Business Australia (“IBA”) to undertake land dealings has offered training across the LALC network. The Commercial Unit intends to work closely with IBA to develop and deliver this training in the new financial year. It is intended the funding will be utilised will be utilised the funding It is intended manner: in the following An active cattle trading programme will NSWALC and Riverina FARM continue to utilise the properties’ carrying capacities consider opportunities for diversification and enable a more timely and proactive into other income producing schemes or response to adverse conditions thereby the utilisation of the properties for social reducing potential costs and trading or cultural purposes. losses. Throughout 2006 regular management Notwithstanding the change in strategic meetings were held between NSWALC emphasis to cattle, an appropriate cereal and Riverina FARM to discuss strategy and cropping programme is still an imperative agree on short, medium and long term to provide cost effective fodder and to operational decisions. take advantage of any favourable climatic conditions that may present. In summary, current operations are focused on the following core principles: The cropping programme continues to focus on utilising appropriate • Management of all properties on grains and strains for the area and a complementary basis so as to conditions, improved techniques for soil maximise efficiencies and returns conservation, income maximisation and through effective utilisation of integration with the stocking programme. management skills, employees, machinery and equipment and the During 2006 an experienced agronomist different environmental features of was employed on a permanent basis by each property Riverina FARM to ensure the cropping programme received appropriate and • Engagement of quality, experienced timely advice. personnel, principally Aboriginal, to improve competency, integrity and Water management continued to be a flexibility through selection, training high priority in 2006 with efficiencies and active management and conservation being realised through • Improving infrastructure – fences, improvements to infrastructure, new outbuildings, windmills, dams, or upgraded yards, bore capping and yards, etc reticulation, and desilting of dams. • Vehicle and machinery rationalisation and replacement While significant Capex is required to bring all properties up to established best • Implementation of good farming practice, minimal Capex is being incurred techniques eg paddock preparation, (and principally for essential works cropping programme, stock after years of neglect eg fences, yards, programme including revising windmills, accommodation, vehicles) until strategies as and when appropriate the properties become cash positive. • Maintaining the security of the properties and assets 2006 also saw the continuation of negotiations in respect of the carbon • Ensuring that Occupational Health sequestration programme on Barooga- and Safety standards are maintained Karrai.

This is a complicated issue and the various New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales legislative requirements are being worked 42 through. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 43 Land is of spiritual, social, cultural spiritual, social, Land is of to importance and economic Aborigines the to acknowledge It is fitting has for which land importance the need of Aborigines and Aborigines for land as a result of It is accepted that decisions the past government set aside for amount of land been progressively Aborigines has compensation.” reduced without Land able to be lawfully sold or leased, or reserved or dedicated for any purpose under the Crown Lands Consolidation Act 1913 or Lands Act 1901. the Western Land that is not lawfully used or occupied. opinion the in not, are which Lands the administering Minister the of likely or needed Act, Lands Crown lands. residential as needed be to Lands which are not needed or likely to be needed for an essential public purpose.

(b) (c) (d) (a) (b) c) (d) Defining the Act claim land As outlined above the right to Act under the Aboriginal Land Rights (NSW) is based on the most fundamental --- the rights of the Aboriginal community land-- right to ownership of their own by -from which they were dispossessed white settlement. Aboriginal people have been able to make land claims since the commencement of the Act. over NSW Land councils lodge land claims Crown land, which are then determined appeal by the relevant Minister or on through the NSW legal system. Under the Act, claimable Crown land is defined as: Land in the state of New South and owned traditionally was Wales occupied by Aborigines (a) The Act Rights Land Aboriginal the of passage The Government Act (NSW) 1983 by the Wran marked a watershed in recent Aboriginal the Preamble, we Quoting from history. see the essential intent of the Act: “Whereas: Achievements in Land Rights in Land Achievements Report in its last Annual noted NSWALC the to be given in was that a re-emphasis to the core business financial year 2005/06 of claiming land. acknowledged organisation the so doing In not did Councils Land Aboriginal Local that to funding or resources expertise, the have scale a on process claim land the undertake warranted. was that the Land Rights Unit A restructure of but all was completed during the year as this positions were yet to be filled reporting period came to a close. a to respond to need the and this, Given the of review Government-initiated State to decided was it (1983), Act Rights Land project. claims land extensive an outsource entered into a funding NSWALC agreement with the Jumbunna at the Indigenous House of Learning in Sydney to University of Technology undertake the project. of more The project resulted in the filing been land claims in one year than had but achieved in the previous two decades the project before detailing the results of it would be useful to remind readers of the crucial importance of the Aboriginal Land Rights Act (1983) and the right claim to land. (e) Lands that are not subject of an (e) Safekeeping of the Common Seal; application for a determination (f) Rates policy including exemptions of Native Title or subject of an and S44A debts; approved determination of Native Title. (g) Policy matters relating to interaction with Federal, State, If land satisfies the above tests, it is and Local Government; granted to the claimant land council. (h) Interaction between Land Rights and Native Title issues; Land councils have a right of appeal (i) Monitoring & advising the Council against the Minister’s decision if a claim is on legislative change; refused. The appeal is heard by the NSW Land and Environment Court. (j) Planning law issues on LALC properties and where proposed The Purpose of Land Claims development affects Aboriginal people; The making of a claim and the granting (k) Protection of Aboriginal Cultural of land is now the sole remaining form of Heritage matters and policy; compensation for dispossession of land available under the Act. (l) Areas of NSW not constituted by LALCs; This follows the sunset of a provision of (m) Policy and representation the Act which for 15 years made available regarding Government advisory to NSWALC an amount equivalent to committees; 7.5% of commercial land tax collected in NSW, of which half has been invested on (n) Briefing external professionals behalf of the Aboriginal peoples of this such as Solicitors and ensuring co- state to help secure our economic, social ordination with LALCs; and cultural future. (o) Natural resource issues such as mining, hunting & gathering Functions and Responsibilities of NSWALC agreements, fishing rights and under the Land Rights Act policy regarding forestry issues; (p) NSWALC housing policy (including The statutory responsibilities carried out the Housing disposal Project) and by NSWALC under the Act in relation to involvement with the Aboriginal Land Rights are: Housing Office; (a) Land Claims; (q) Assistance with negotiations (b) Disposal , leasing, purchasing and under the Aboriginal Ownership changing the use of LALC land of National Park provisions of the pursuant to S38, S40D, S40B, Reg 24 National Park & Wildlife Act; & S40B of the ALR Act, respectively; (r) Applying for external grants (c) NSWALC Policy relating to property for specific projects including matters within the ALRA regarding ILC, Regional Forest Agreement LALCs, RALCs and NSWALC; process, Indigenous protected (d) Management & disposal of areas and Landcare; NSWALC properties including (s) Providing advice to LALCs. transfers to LALCs and investment New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales properties; 44 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 45 time frames. Assessment of the claims prepared to that time to ensure the process and outcomes are appropriate. The initial budget projections and • • officers in the systematic examination examination in the systematic officers various Parish map in the of each of Lands offices. Department making contact also included This role Department of Lands with the various (or attempting to) contact offices, making undertake the the respective LALC, the various Parish maps, investigating of of land claims, drafting and submission regular claims/briefing and to provide reports to NSWALC. ensured that The Project Manager rigour and discipline was maintained throughout the claims process. Project Administrative oversight of the the was provided by the Director of Learning. Jumbunna Indigenous House of fieldwork, Prior to the undertaking of any met with the Registrar the Project Team determine of the NSW Land Rights Act to that the appropriate documentation the was required to be collected by a Land Claims Officers and to establish to formal relationship with the Registrar facilitate the project. assess It was impossible to accurately project the cost and length of the total before it had begun. Both the Project agreed on the need team and NSWALC for a reassessment once the scope and range of the Project was fully known. One month into the project, the Project Manager presented an interim report to clarify several and met with NSWALC issues and to agree on amendments and changes required in the light of the initial project work including: A Project Manager was appointed to be the formal point of contact as well as to co-ordinate the team of land claims Process The primary objective of the Land The primary objective of the Land was Claims Research Project 2005-2006 Officers to employ four (4) Land Claims the to undertake research and prepare claims required documentation to lodge to on all Crown land that was available of the be claimed under the provisions Aboriginal Land Rights Act 1983. exclusion All of NSW was searched to the Lands Area. of the Western An initial assessment was undertaken in place to scope the Project and to put a formal strategy to ensure complete of land identification and preparation all claims that were to be made on possible claimable Crown land. The Project Manager ensured that all of the land claims were accurately prepared for lodgment on behalf of the New South Aboriginal Land Council (NSWALC) Wales and submitted to the Registrar of the ALRA. It was originally anticipated that the duration of the Project was to be six (6) months starting on 15 July 2005 with a completion date of 15 December 2005. Background NSWALC’s Land Claim Strategy NSWALC’s of the Land the inception Ever since LALC’s has supported NSWALC Rights Act, land rights pursuit of legitimate in their technical also provides claims. NSWALC to LALCs in their support & assistance claims under the ALRA. lodging of land it was decided last But as stated above on an exhaustive land year to embark claims project. It was anticipated that the Project team Taree January - would work for a six (6) month period February with reports being made to NSWALC on a Moree February – monthly basis as to: March • A log of claims prepared for Dubbo March – consideration by NSWALC April • number of claims lodged in each Deliverables area; Monthly reports on the progress of • geographical area covered to date; Project, including details of claims lodged, • issues arising in the land claim were submitted by the Project Officer to process that should be brought to NSWALC. NSWALC’s attention, and; • Other matters relevant to the The following Final Report provides an project. outline of the number of land claims filed as a result of the systematic searching of the Parish maps in the targeted 14 Crown The original proposal saw the team being lands offices. allocated tasks and the State divided into areas of operation (AO’s) and to be Throughout the Project, over 7500 Parish divided between the Project team. maps were searched in all 14 Crown land offices resulting in the submission of 7865 With an initial assessment and a change new land claims. in staff, the Project saw each team member having their AO’s changed All 7865 land claims were completed and and extended in time (with approval lodged with the Registrar of the ALRA by from NSWALC) to nine (9) months. This 1 May 2006. extension in time saw the Project being completed within the original contract budget. Status of Land Claims The number of claims lodged in this The following timetable was the final reporting period compared with 336 and agreed timetable used for the overall Aboriginal land claims lodged in the 2004- Project: 2005 financial year.

This was an increase of 182 per cent on Department of Projected Time: the 119 claims lodged in the 2003/2004 Lands Offices: financial year. Nowra & Tamworth July/Aug - September Whilst there have now been more than Armidale & Goulbourn September – 12,000 land claims lodged since 1983 only October 2200 have been granted or partly granted. Orange & Griffith October - November As at June 30, 2006 there were 503 claims still outstanding which had been lodged Wagga Wagga & before the year 2000. Leeton/Hay November – December There had been 4738 land claims New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Grafton December – registered with the ALRA Registrar as at 46 January June 30, 2006. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 47 After receiving further information further After receiving to the lawyers instructed NSWALC 10 land claim action against discontinue to have little which appeared appeals success. chance of Lands has also notified The Minister for to issue a Certificate that he intends regards to five Jerrinja under S36(8) in the which affect Land Claim appeals Bay National Park. proposed Jervis were lodged with the These 5 land claims 1986 and 1989. Minister between will be devising strategies in the NSWALC outstanding new financial year to resolve by the land claims and the time taken the Government to process them and which time taken to grant title to claims the need have been granted because of to complete surveying of the claimed land. Land Rights Unit also The organisation’s in has a number of other key strategies place to assist the land claims effort. Property Register is complying with S106(q) of NSWALC 1983 by the Aboriginal Land Rights Act of compiling and maintaining a register all land held by Local Aboriginal Land Councils. has negotiated a 5 year Property NSWALC Data Licence Agreement with Warehouse the Department of Lands for the supply of data whenever there is any acquisition or disposals of properties by a Local Aboriginal Land Council. The Land Rights Unit updates the Property Register Database when data is received daily through The Department Portal. of Lands Webgov NSWALC is also concerned that LALCs is also concerned NSWALC funds to legally do not have sufficient of the Minister in challenge the decision of land claims. regards to the refusal instructed lawyers to assess NSWALC the likely and advise on all refusals as to success of an appeal. had A total of 100 land claim refusals Lawyers by the been assessed by NSWALC end of this reporting period. being They resulted in over 30 appeals lodged in the Land and Environment Court. a LALC, If the land claim was lodged by received their authority to NSWALC instruct the lawyers on their behalf. has funded the appeals up to NSWALC evidence the discovery stage in which all make his relied upon by the Minister to decision is made available to NSWALC. A decision is then made on further funding of the appeal if there is a likely chance of success. The Minister has already altered his decision and granted a land claim under appeal which is valued at many millions of dollars to the LALC. of At the date of this report two offers settlement have been accepted by the Minister on other land claims under appeal. Land Claims Appeals Land Claims NSWALC was awaiting notification on notification was awaiting NSWALC more. almost 3000 registered there land claims are Once all by a decision 9000 awaiting will be some the Minister. A total of five disposals and twenty one Review of the Aboriginal acquisitions were registered during this financial year. Land Rights Act Fifteen of the acquisitions resulted from granted land claims. NSWALC has been obliged to devote considerable time and resources over the Online Access for Title Searches past two financial years responding to a major review of the Aboriginal Land NSWALC also made an agreement with Rights Act. the Department of Lands for access to the Webgov Portal for online title searches This has required a significant allocation and plans. of both financial and physical resources and has proved to be a significant This access allows the Unit to quickly call on the organisation. However, the respond to any land inquiries from within Administrator and senior management NSWALC, Zone Offices and LALCs. were determined to ensure the voice of the land council network was heard by Dealings with Land Subject to S38 & S40 Government and all other stakeholders ALRA on the need for changes to the ALRA.

The Land Rights Unit continues to provide Background assistance with inquiries and applications from the Zone Offices and LALCs in On May 26, 2004 the then Deputy Premier regards to all matters affecting S38 & S40 and Minister for Aboriginal Affairs, of the ALRA. Doctor Andrew Refhauge announced the establishment of a taskforce “responsible for overhauling the NSW Aboriginal land council system.”

Dr Refshauge, who retired from politics during this reporting period, said he was not satisfied that four previous reviews, and subsequent amendments, to the Aboriginal Land Rights Act 1983 had gone “far enough in fixing fundamental financial management and governance problems within the NSW Land Council system.”

He announced a three person Taskforce to conduct the review.

It comprised the Director-General of the Department of Aboriginal Affairs, Ms Jody Broun, the NSW Aboriginal Land Council Administrator, Mr.Murray Chapman and the Registrar of the Aboriginal Land Rights Act, Mr. Stephen

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Wright. 48 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 49 As noted in last year’s Annual Report, the Annual in last year’s As noted Council Aboriginal Land Wales New South suggesting it would wrote to the Minister time to conduct a be an inopportune absence of an elected review given the the resources then State Council and to a major administrative being devoted organisation. restructure of the decided to go ahead The Government with the review. After much deliberation NSWALC land decided it would be failing the council network if it did not welcome afford the opportunity the review would in the to remedy fundamental flaws sufficient legislation. It decided to divert informed resources to a campaign to seek a range of feedback from the network on review. complex issues flagged for the also welcomed the Minister’s NSWALC and public commitment to a democratic representative structure for Aboriginal council people in NSW through the land system. lost be not would commitment the noted It and NSW in people Aboriginal many the on the defending currently Australia around reform and maintain to people our of right rather structures elected democratically abolished. them see than initial response to the review NSWALC’s annual report. was detailed in last year’s This reporting period began with of completing the second round NSWALC community consultations on the NSWALC ALRA Review with forums in Broken Hill, Bay. Harbour and Bateman’s Coffs As noted last year the forums were designed to stimulate as much discussion and debate as possible and to generate The Response by NSWALC and by NSWALC The Response Council network the Land Examining the three tiered-structure the three tiered-structure Examining to see if council system of the land delivering a better way of there is people; outcomes to Aboriginal of powers Clearer separation and between the administrative local councils – to elected arms of and conflicts of avoid nepotism interest; qualified people Attracting more and with relevant managerial financial expertise; to Improved intervention strategies avoid the costly and often ineffective and appointment of administrators investigators to local land councils – in the past five years administrators the have been appointed to 21 of local land councils; State’s122 An improved framework for managing, selling and developing the land council assets – in particular of sale and commercial development land holdings; and Clarifying the role of elected representatives - including attracting highly qualified individuals through the option of part-time elected positions. •  •  •  •  •  •  The Minister acknowledged the Land Land the acknowledged Minister The enormous delivered had system Council years 20 its in people Aboriginal to benefits do to it wanted he said but operation of of responsibility,” “critical the given better Aboriginal local support to Councils Land are they fact the and communities funds substantial managing with charged budgets. dollar multi-million sometimes – The Minister pledged his commitment to a “democratic and representative structure for Aboriginal people in NSW” but stated change was critical to ensure land councils remained relevant into the future. The taskforce would report to the would report The taskforce on issues including: Minister maximum feedback from the grass roots Discussion Papers on the Review. The Discussion Paper on Land Dealings was publicly released in August 2005. NSWALC’s ALRA Review Manager, Mr Geoff Scott , informed the workshops A second 224-page Discussion Paper on that NSWALC had decided to hold Structure, Representation, Governance the community forums ahead of the and Benefits was released in November. formal consultation process to promote awareness of the review and encourage While the Land Dealings paper contained feedback. some 20 recommendations/options for change the Second Issues Paper contained The views and perspectives from RALC’s 56 options for consideration. and LALC’s were essential to inform and underpin the positions eventually The ALRA Review Task Force was adopted by NSWALC. abolished by the Minister for Aboriginal Affairs upon the release of the second NSWALC was putting all the information Discussion Paper. it had so far received from Government, albeit scant, to the network and the The NSWALC Administrative arm wider community. interpreted this decision as an indication the Minister and his advisors believed Mr Scott indicated NSWALC would hold they had received sufficient advice on the a final round of consultations once all of issues from the Task Force and required the Government’s material was available. the Review to move into a community consultation phase. All participants were provided with a published copy of a report back To this end the Department of Aboriginal document from the first round, Getting Affairs arranged and embarked on into the Act, plus a CD of the power point a round of consultations on the two presentation from the first round. Discussion Papers from mid-November to early December 2006. They were also provided a copy of published versions of NSWALC- NSWALC learned at the first of these commissioned studies and reports to assist forums in Coffs Harbour on November 17 with the review, which can all be found that the Department of Aboriginal Affairs on the NSWALC website. planned to close off public submissions to the Review on December 16, only days The meetings were advised Dr Refshauge, after its final consultation meeting in had endorsed the first of two discussion Dubbo on December 8. papers from the ALRA Review Taskforce which covered land dealings. NSWALC immediately sought an extension of time. It would be presented to Cabinet to be endorsed for public discussion and would The Minister later announced the trigger a formal Government consultation deadline for public submissions would be period which was expected between extended to the end of January 2006. August, 2005 and January 2006.

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales The DAA consultations also seemed

50 hastily prepared with copies of the second New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 51 42 31 42 59 Campbelltown Wagga Wagga Dubbo Coffs Harbour Coffs Syd Sthn Nthn Wstn 7/12 9/12 There was general acceptance at the There was general majority of the 76 forums on the NSWALC contained in recommendations/options Papers, although there the two Discussion hostility expressed at was considerable any proposal to force all forums towards of Local Aboriginal Land amalgamations Councils. during The Minister indicated publicly the consultation process that forced in amalgamations would not be pursued the Act. any proposed amendments to State Wide Meeting sections There was agitation among some the of the ALC network, particularly Coast Northern Alliance and some Central a State- to convene for NSWALC LALC’s, wide meeting on the ALRA Review. could see little justification NSWALC it had in such a course of action given and engaged in extensive consultation amount distributed an unprecedented in of ALRA Review material. Its efforts other this regard had far exceeded any stakeholder. had held 20 community forums NSWALC in its three rounds of consultation during the past 18 months, attended by more than 1200 participants. A review of the minutes of the last State- Wide meeting convened by the former State Council over three days at the Opal Cove Resort showed the meeting had led to no tangible outcomes. The direct cost to the organisation was travel and $399,797, 08 (excluding staff Administration wages.) The NSWALC decided on a more strategic and cost approach. effective Date Zone 28/11 Location 1/12 Attending Number Discussion Paper only issued to attendees to attendees Paper only issued Discussion Harbour through the Coffs midway meeting. a view this reinforced In our view sections of the prevalent in significant the Government’s ALC network that review was flawed timetable for the in its NSWALC which did not assist processes. community consultation two independent The Minister engaged Government’s facilitators for the Jack Beetson Mr. consultation process, Machin to ensure that and Ms. Wendy were the views provided to the Minister and DAA. independent of both NSWALC Minster They provided a report to the early in the 2006 calendar year. two This report, together with the the Discussion Papers, was placed on website. NSWALC Force members were not formally Task required to attend the government forums but were asked to make themselves available to provide of explanation and advice in respect to both the rationale and background in the the positions and views stated discussion papers. monitored each of the NSWALC consultations. It decided to hold a third round of community consultations with one meeting in each of the four Zones to follow up on the DAA consultations. It was felt this would ensure the opportunity for participants to provide further advice after the initial consultations by DAA. Each of the recommendations/options was presented to ensure full details were available to the participants. The following schedule of Zone consultations was undertaken: Each of the Zone wide meetings in The meeting was considered a success by NSWALC’s third round of consultations all who attended. was asked to elect four or five delegates to represent their regions at a meeting to It provided the Minister with an be convened in Sydney early in the new opportunity to provide delegates with calendar year. some of the Government’s views on the progress, and possible outcome, of the A preliminary budget for the proposed ALRA Review and gave NSWALC a solid meeting indicated the cost would be platform upon which to continue its about $80,000. lobbying strategy on the shape of the proposed legislation. A draft NSWALC response to the 76 recommendations/options in the Progress on the ALRA Review Discussion Papers was prepared for As this reporting period drew to a close presentation at the meeting with a final there appeared to be little progress from formal NSWALC position on the Review within Government on a response to the expected to flow from the outcomes from ALRA Review but NSWALC maintained the meeting. close contact with the Minister’s staff and other stakeholders to seek to ensure the Preliminary work was also commenced eventual smooth passage of any legislative at this time on the drafting of proposed amendments. amendments to the ALRA ahead of the adoption of a final formal NSWALC The Minister’s office did provide an position. oversight of the government’s preferred position and confirmed a Cabinet minute Mr Scott and key managers also worked was expected to go forward in late August to reconcile and update membership data with consequential legislation introduced on an ongoing basis while an enrolment to the Spring Session of Parliament in strategy was being developed for September 2006. implementation in the new calendar year as part of a wider campaign to prepare for It also advised that the great majority of the return of a State Council. the proposed amendments identified in the Task Force Discussion papers would be This campaign also included the adopted by Government and be reflected development of a Governance manual in the legislation. and Induction programs to be prepared for incoming office bearers at both State In summary these included: Council and LALC level. • Boards for LALC’s (Chair & Deputy NSWALC also began accelerating an only plus 5-9 LALC Councillors) advocacy and lobbying strategy on the • Separation of Responsibilities for shape of any amended legislation. LALC’s The 2006 calendar year started with the • Regulatory Regimes (Land, Benefits, Statewide meeting of Zone delegates. Business and Investment and Social Housing) It was held on February 28 and March 1, 2006 and ended with agreement on • Electoral College Elections for NSWALC about 90 per cent of the recommendations • Six Regions aligned to the former New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales flowing from the two Taskforce Discussion ATSIC boundaries ( therefore six 52 Papers. Councillors) New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 53 requirement for NSWALC to obtain to obtain for NSWALC requirement to deal in of a LALC the approval its area. land within NSWALC for Appointment Return the process pre-2002 process of Auditors to the a maintains whereby NSWALC may and LALC’s Schedule of Auditors Schedule. select from that provide a regulation Need to either audit” or to determine “satisfactory requirement remove the assessment as currently given the altogether, failure for the Minister to provide the required regulation no RALC a or LALC could be found to have we satisfactory audit, and technically could be in breach of the legislation. Repeal of s.163, the Cease to Fund provisions – Guidelines for funding requires more flexibility to LALC’s by a and should be better managed or funding policy instrument, policy regulation. cease to Repeal s.233 NSWALC Function provision. Repeal of s.40 (1) (c) (a) –The s.40 (1) (c) (a) Repeal of • • • • • NSWALC put the view that the effect of put the view that the effect NSWALC amount to this section, if enacted, would the abolition of the ALRA. Such a decision would more properly be one for the Parliament. was considering a range of NSWALC measures which needed to be in place as this reporting period ended, assuming the introduction of the legislation in the first half of the new financial year. These included not achieving a 3% increase in membership per year less than 3% of the potential membership not able to pay rates as they are due. are they as rates pay to able not Expansion of the PIT to address Expansion of the PIT to address corrupt and unacceptable conduct. Application of a “fit & proper Application of a “fit & proper to all person” test (LGA as a guide) office holders Divestment of social housing where Divestment of social housing where the LALC cannot demonstrate capacity for sustainable management Statutory requirement for NSWALC for NSWALC Statutory requirement membership to to ensure that LALC next increase by 3% per year for the 5 years. Provide for Community Land & Provide for Community be required of all Business plans to ALC’s. A Land Dealing levy to be set at 3% A Land Dealing Regional Forums to replace Regional Regional Forums Councils Aboriginal Land Two optional appointees to the to the optional appointees Two Board NSWALC NSWALC Chair Fulltime, Others Part Others Chair Fulltime, NSWALC Time • • • • • • • • • iii)  iv) i) less than 50 members ii)  The Government advised it also intended to clarify section 150 of the Act. It would be amended to measure the lower limit for the Statutory Investment Fund to be the 31 December 1998 figure plus Annual CPI indexation. raised a number of matters NSWALC which were not, as we understood it, in the current proposals being considered by Government. In addition a cease to function definition In addition a cease to function and criteria was to be inserted. It was expected to be: They included: Officer position, which deals with the • A formal extension of the appointment of Investigators and Administrators term to ensure a Administrators, also transferred from the smooth transition to a new State Governance Unit to Network Services Unit Council during the 2005/2006 financial year. • Immediate information and advisory Intervention into the affairs of campaign to all LALC’s. Land Councils for 2005-2006 • Transfer of responsibility for Part 11 of the Act gives powers which maintenance of the copies of the allow for the intervention into the affairs LALC Rolls to the Registrar. of Land Councils. • Determination of the Regional Areas Division 1 deals with the appointment • Development of an Election of Investigators, Division 2 with the timetable for State Council and appointment of Administrators and LALC elections. Division 3 with non-functioning land • Rollout of compulsory training for councils and dissolution. all Office Holders • Policy to be developed on Land Section 234(1) gives the Minister authority Dealing, Social housing, Benefit to dissolve Regional or Local Aboriginal Regimes, Business & Investment Land Councils where they request it or Guidelines where NSWALC is of the view that the relevant Council has ceased to function. • Completion of a Governance Manual and procedures for same. There have been no dissolutions within the current reporting period. The reasons As at the end of June 2006, NSWALC for appointment of Administrators and was awaiting further advice from the Investigators vary. Government on the timetable for possible amendments. They can include failure to comply with statutory reporting requirements, Network Services Unit possible disposal of land without proper As reported earlier the focus of this unit approval, possible fraudulent activity, during the reporting period shifted to the and unsatisfactory audit reports are some provision of direct support to the Zone reasons. Offices through the further development and implementation of relevant Out of 121 Local Aboriginal Land Councils, operational processes and procedures. only 11 were under Administration at 30 June 2006, compared with 13 at the end of These were designed to provide the last reporting period. consistency within the Zone office structure to service delivery to LALCs. Only three new administrations were approved in the current reporting period, The Chief Operating Officer worked compared with five in the previous closely with the Director, Network Services financial year and six the year before. on this task. The major activities of each Zone Office are reported separately. These statistics give lie to the frequent claim in sections of the mainstream media New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales and among some regulatory agencies that 54 As reported earlier the Intervention the land council network is dysfunctional. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 55 NOTES Community Forums

NSWALC continued a public awareness campaign during the 2005/06 financial year to stimulate discussion and debate about the State Government-initiated review of the Aboriginal Land Rights Act.

The community forums were well attended and NSWALC received excellent feedback on the information presented.

The review was expected to result in significant changes to the Land Rights Act during the 2006/07 financial year and pave the way for the return of a duly elected State Council. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

56 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 57 to result in significant to result Act during the 2006/07 financial year and pave The review was expected The review duly elected State Council. the way for the return of a changes to the Land Rights presented. excellent feedback on the information were well attended were and NSWALC received received and NSWALC The community forums SWALC continued continued SWALC stimulate discussion and and discussion stimulate State the about debate Government-initiated Aboriginal the of review Act. Rights Land N awareness public a the during campaign to year financial 2005/06 Forums Community Following is a table showing the appointment (and re-appointment) of Administrators in recent years.

3 Administrators were appointed in 2005/06: Start of Status at 30 June Local Land Council Administrator Appointment 2006 Extended until 24 Condobolin Andrew Bowcher 25 July 2005 July 2006. Term ends 1 Nov. Darkinjung Peter Hillig 2 May 2006 2006 Term ends 7 Sept. Moama Andrew Bowcher 8 March 2006 2006. 5 Administrators were in place as at 1 July 2005: Start of Status at 30 June Local Land Council Administrator Appointment 2006 Extended until 10 Ashford Barry Jameson 11 March 2005 Sept. 2006 Extended until 15 Coonabarabran William Malvern 16 February 2005 Aug. 2006 Extended until 3 Jerrinja Frank Lo Pilato 4 May 2005 May 2007 Extended until 24 La Perouse Paul Gidley 25 August 2004 Aug. 2006 6 Administrators were in place as at 1 July 2004: Start of Status at 30 June Local Land Council Administrator Appointment 2006 Birpai Andrew Hoholt 17 March 2004 Ended 15 Mar. 2006 Extended till 23 Jali Barry Jameson 24 November 2004 Nov. 2006 Ngunnawal Peter Hillig 24 June 2004 Ended 23 Jun. 2006

Purfleet/Taree Terry Lawler 7 October 2003 Ended 7 Apr. 2006 Ended 16 Sept. Thungutti Andrew Hoholt 19 March 2004 2005 Extended till 12 Worimi Peter Hillig 13 April 2004 Oct. 2006 2 Administrators were in place as at 1 July 2003: Start of Status at 30 June Local Land Council Administrator Appointment 2006 Extended 13 June Koompahtoo Terry Lawler 25 February 2003 2007 Extended until 13 Moree Paul Gidley 15 August 2003 August 2006 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Following are details of the 11 Local Aboriginal Land Councils currently under 58 administration and the reasons for their appointment. 58 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 59 Mr Bowcher’s term was extended for term was extended Mr Bowcher’s 25 January six months on another his was due to complete 2006. He 2006. He was by 24 July administration outstanding to address all expected ALRA and put in place breaches of the and procedures appropriate policies of the LALC by its for the running elected representatives. membership and Local Aboriginal Darkinjung l Land Counci the Minister for On 3 March 2005, an appointed Aboriginal Affairs Kelly to examine all Mr Tim investigator, of DLALC. of the affairs report to the Minister The investigator’s that the on 17 October 2005 concluded properly office bearers of DLALC had not property. applied or managed its funds or there were concerns In particular, of about the lawfulness of the transfer the DLALC significant sums of money by the to entities incorporated under the Corporations Act that were beyond scrutiny of the ALRA. The auditors of DLALC financial June 2005 statements for the year ending in were unable to complete the audit accordance with s 41B(1) of the Public Finance and Audit Act and the Australian Accounting Standards. Peter Hillig was appointed as Mr. Administrator by the Minister under s 222(1)(c) of the ALRA on 2 May 2006 based on the failure of DLALC to report their audited financial statements in compliance with s 153 of the ALRA. The Administrator has been appointed to resolve a range of complex issues concerning the legality and proper auditing of the funds moved out of the DLALC account and out of the control of its members. nal Condobolin Local Aborigi Land Council Mr Andrew Bowcher was appointed Administrator to the CLALC commencing 25 July 2005. the LALC His appointment resulted from to losing elected executives, failing heavily successfully convene meetings, qualified Annual Financial Reports (particularly in relation to accountability, management and governance requirements) and mounting debts. highlighted members from Complaints in problems major and support of lack a infrastructure and Housing of maintenance Reserve. Bend Willow the at Since his appointment Mr Bowcher has negotiated the retrenchment of the LALC made substantial progress Coordinator, in reconstructing the accounts, addressed outstanding ALRA compliance reporting, met regularly with LALC members and performed substantial work to address the problematic infrastructure on the reserve (particularly the failed sewerage system). riginal Land Local Abo Moama il Counc appointed Bowcher was Mr Andrew 8 LALC from to the Moama Administrator March 2006. followed the discovery His appointment financial irregularities in of a number of This was evidenced, the LALC accounts. turnaround in the in part, by a drastic which saw financial affairs MLALC’s operating surplus of it move from an 2003/04 financial year to $172,340 in the a deficit of $108,459 in the recording of the subsequent year. continue Concern was raised funds would to be expended in an inappropriate manner in the absence of the appointment of an Administrator. Ashford Local Aboriginal Land period in lieu of rent with a requirement Council that tenants pay the rates, repairs & The audit statements from Ashford Local maintenance without seeking approval Aboriginal Land Council in the 2003- from NSWALC. 2004 financial year raised substantial governance and financial concerns. In the current term, the Administrator has reduced the CLALC’s outstanding rate Valuations on properties had not been debt to approximately $6000. Mr Malvern undertaken since 1998. No rent had been also expects to complete his investigation collected from any tenants for over three of the unsubstantiated payments to years. former Office Bearers by the end of the administration and will refer the matter No AGM was held in 2003. A substantial over to the police for further action. debt was also owed to the Australian Taxation Office. Jali Local Aboriginal Land Council The Administrator, Barry Jameson, The Administrator, Barry Jameson, was commenced activities upon appointment appointed by the Minister following poor to improve the functioning of ALALC financial management of the Jali LALC as particularly the implementation of proper revealed in an unsatisfactory audit report governance procedures. Membership for the 2002/2003 financial year. participation in the functioning of the LALC has been an issue; often resulting in JLALC had $102,307 in rental arrears at the inability to have a quorum present in 30 June 2003. JLALC Office bearers failed LALC meetings. Since November 2005, Mr to attend meetings to discuss the funding Jameson has tried to organise a members’ situation. The Department of Health & meeting but has been unsuccessful in Ageing stopped further funds for a JLALC obtaining a quorum. project because of lack of accountability. Activities to improve the functioning Coonabarabran Local of JLALC and to implement proper Aboriginal Land Council governance procedures are in progress as The Administrator, William Malvern was well as ongoing negotiations in relation appointed due to poor organisational, to the Taylors Lake & South Ballina financial and housing management at the land claim. Mr Jameson is also giving LALC. consideration of possible asset disposable to address the current debts of the JLALC. At the time of appointment, the CLALC was struggling to operate efficiently, with In the current term, Mr Jameson the main area of concern being a failure improved rental collections; with only to act on an unsatisfactory audit report five tenants in arrears and he is seeking for the 2003/2004 financial year. CTTT orders against these uncooperative tenants. The Administrator is also looking At the beginning of the Administrator’s to find an external property management tenure, there was $16,000 worth of agency to take over longer term unsubstantiated payments made to the management of JLALC housing stock. former Office Bearers as well as $174,000 in outstanding rates debts.

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales The CLALC signed uninsured tenancy 60 agreement with tenants for a three year New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 61 Plan which encompasses the disposal/ encompasses Plan which to that it needs of property development long-term viability. achieve Gidley has been term, Mr In the current the payment of LPLALC’s trying to resolve including in excess outstanding debts, owed to NSWALC, of $1 million now with the community through identifying parcels to dispose/ appropriate land develop. Aboriginal Land Moree Local Council Paul Gidley was extended as Mr. Administrator to the Moree Local in Aboriginal Land Council (MLALC) August 2005. The rationale for the appointment and was poor organisational, financial housing management of MLALC. MLALC At the time of appointment, the with was struggling to operate efficiently tenancy the main areas of concern being Plains records, rates owing to Moree financial Shire Council, membership rolls, reporting and assets register. of MLALC had an outstanding debt Plains $258,346.83 in rates to the Moree Shire Council in November 2004. Rent collections are currently being improved and problem tenants are being Tribunal. referred to the Tenancy In the current term, Mr Gidley has been finalising a litigation matter in regards to The Administrator the Nardoola property. nearly all of the has also paid off outstanding rates owing to Moree Plains Shire Council. An audit for the financial year ended 30 June 2006 is expected to be conducted to assess the current status of MLALC. Mr Paul Gidley was appointed as Mr Paul Gidley was appointed Local Administrator to the La Perouse 2004 Aboriginal Land Council in August His after unsatisfactory audit reports. term of appointment was subsequently extended until August 2006 because of the task ahead of him. At the end of May 2004, LPLALC had non-payments amounting to $464,561.33 with no indication of owed to NSWALC how and when such repayments would occur. Deficiencies in the implementation of a Housing Plan and non-collection of rents hindered the long-term viability of the LALC. The Administrator has been providing the appropriate management and commercial skills to LPLALC to implement a comprehensive Community Business nal La Perouse Local Aborigi Land Council riginal Land Local Abo Jerrinja il Counc of poor LALC had a history Jerrinja performance. reporting Mr Frank Lo Administrator, The current appointed on May 4, Pilato was initially had his term extended 2005 but has since to May 3, 2007. appointed after a range Mr Lo Pilato was ALRA by the LALC. of breaches of the an Administrator The LALC has had previous occasions: appointed on two and from March 1994 to August 1995 from October 2002 to April 2003. has been In the current term, Mr Lo Pilato by the appealing the land claims refused in place Minister of Lands and putting policies and procedures as well JLALC’s for the as the community business plan future of JLALC after the administration ends. Worimi Local Aboriginal Land be considering if the evidence available Council supports the prosecution for criminal Mr. Peter Hillig was originally appointed offences. as Administrator in April 2004 due to Council failing to furnish satisfactory In the current term, Mr Lawler has audited financial statements in the managed the KLALC legal proceedings 2003/2004 financial year. resulting from its unauthorised land dealings and has been working with the In April 2006, office bearers were elected community to implement proper policies in accordance with s 98 of the ALRR. and procedures for KLALC.

However, it was necessary to extend Disallowance Motion the Administrator’s appointment *On the 12th October 2005, the NSW until October 2006 as WLALC still had Legislative Council voted positively on a outstanding liabilities in the vicinity of $3 motion to disallow Aboriginal Land Rights million. Amendment (Elections) Regulation 2005 published in Government Gazette No. 65 The Administrator is currently providing and tabled in the House on 7 June 2005. the appropriate management and commercial skills to WLALC to implement The object of this regulation was to a comprehensive Community Business extend the period to five years within Plan which encompasses the disposal/ which elections must be held following development of property that it needs to the appointment of an Administrator to achieve long-term viability. an Aboriginal land council.

Koompahtoo Local Aboriginal Due to the disallowance, there is a Land Council requirement for elections to be held Mr Terry Lawler was appointed two years after the appointment of an Administrator based on recommendations Administrator under the Aboriginal Land of the Investigator’s report in relation to Rights Amendment (Elections) Regulation ultra vires payments, loans to members 2002. and cash payments and land dealings that contravene the Aboriginal Land Corporate Data Base Rights Act (1983). NSWALC initiated the Independent Commission Against In recent years the Network Services Unit Corruption (ICAC) inquiry into KLALC has successfully developed a system for through its appointment of an the storage of data on ALC’s breaches and Investigator and then an Administrator funding status. into the LALC following disquiet about its activities. The data base is being utilised as the primary tool for funding category In April 2005, the ICAC also released assessment for Local and Regional findings of corrupt conduct against eight Aboriginal Land Councils. people, and recommended prosecutions be considered against six of those It has been the driving force behind the persons, as a result of its investigation implementation of Funding Agreements into Koompahtoo Local Aboriginal Land to funded Regional and Local Aboriginal Council. In early 2006, the Office of the Land Councils during this reporting New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Director of Public Prosecutions began period. 62 its review of the ICAC findings and will New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 63 The Financial Reports and Breach and Reports and The Financial as required Reports format, Allocation Land Rights 159 of Aboriginal by section upgraded to is also being Act (1983), and intelligent comprehensive provide the users. information to procedures have Reports evaluation to provide clear and fair been improved compliance conclusions. Quality Assurance Unit also ensures quality Network Services performance of the assurance on the on Zone Offices in maintaining control Aboriginal Land Councils compliances with the regulation and policies. During the period when the ALC and Database was being developed exercise enhanced, a quality assurance use placed greater emphasis on efficient and of the database to achieve effective informative results from data collections. Quality assurance has also been performed on document maintenance in the Zone Offices and on their Aboriginal performance on evaluation of Land Councils audited Financial Statements. Improved evaluation records with Improved evaluation records with observation breaches linked to related sections of the ALRA. The automatic issue of Breach Notices to Local Aboriginal Land Councils for failure to comply with policies the ALRA and NSWALC category of Aboriginal Land Councils on failure to comply with, or clearing, breaches of the ALRA policy. and NSWALC Automatic changing of the funding Automatic changing of the funding • • • Network Services Unit assumes Network Services Unit assumes responsibility to develop and release model applications for preparation of business plans, financial reports and evaluations of plans and reports of the Aboriginal Land Councils. The current budget model, which was devised in conjunction with Price and released for use in Waterhouse March 2005, is under revision by in house information technology specialists for further enhancement to make it more user friendly. Business Applications The data base has increasingly allowed allowed base has increasingly The data all the status of of reporting on for ease ALCs. maintained Services Unit The Network for the continuing the responsibility the Corporate Data Base development of quarter of this reporting during the first was transferred to the period when it Technology newly created Information directly to the Chief Unit which reports Finance Officer. and enhancement Further development the first to the Corporate Data Base in included: quarter of the reporting period Statewide ALC Funding Categories

Statewide ALC Funding Category Com parison

82 90 75 80

70

60 48 50 40 36 36 40 31 28 26 21 30 18 18 19 20 12 11 12

10

0 F1 F2 F3 A UF1 UF2 Funded Unfunded

1-Jul-05 30-Jun-06

Statewide Funding Category at30 June 2006 -134 ALCs

F 1 , 3 1 , 2 3 % U F 2 , 3 6 , 2 8 %

F 2 , 1 8 , 1 3 % U F 1 , 1 2 , 9 %

A , 1 1 , 8 % F 3 , 2 6 , 1 9 %

F 1 F 2 F 3 A U F 1 U F 2

Explanation of the Graphs The Column Chart compares each funding category in which the 134 Aboriginal Land Councils were categorised at the beginning and at the end of the financial reporting period.

It also compares the funded and unfunded LALCs between the two periods. The LALCs that have received funds through an Administrator are shown separately.

The Pie Chart shows the number of LALCs, and the percentage of total LALCs, categorised in each funding category at the end of the reporting period. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

64 New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 65 Officer Officer Finance Senior Finance Officer LALC Support Zone Director Officer LALC Support Snr LALC Support Officer Officer LALC Support NSWALC will provide leadership to influence the policy of government and will provide leadership to influence the policy NSWALC culture and heritage and create other stakeholders to preserve Aboriginal for Aboriginal people; economic, social and cultural improvements transparent, well governed Regional Create a network of fully functional, and Local Aboriginal Land Councils, viable; acquire and develop assets to become financially help LALC’s To operations of NSWALC. improve the internal To Far North Coast Region (comprising 13 Local Aboriginal Land Councils); Region (comprising 13 Local Aboriginal Far North Coast Land Councils); (comprising 11 Local Aboriginal Central Coast Region Land Councils); and the (comprising 7 Local Aboriginal Northern Region Councils). 7 Local Aboriginal Land Region (comprising Northern Tablelands • • • • There are a total of 38 Local Aboriginal Land Councils and 4 Regional Aboriginal Land There are a total of 38 Local Aboriginal the Northern Zone. Councils within the boundaries of of the Northern Zone are primarily focused on the The general purpose, aims and functions Business Plan: the revised NSWALC following key objectives found within Objective 1: The Northern Zone office of the NSWALC was established in Coffs Harbour in December of in December Harbour established in Coffs was of the NSWALC Zone office The Northern 2004. regions, being the: comprises four NSWALC The Northern Zone Objective 2: Objective 3: Objective 4: by the Northern Zone relates to implementing a The primary focus of activities undertaken range of strategies addressing Objectives 1 and 2. The staffing structure of the Northern Zone is depicted below: The activities of each of the Zone offices is set out below. the Zone offices of each of The activities Zone Northern The Northern Zone has established a Case The 2004/2005 reporting period saw the Management Approach in the delivery full rollout of revised NSWALC funding of services and support to the network of and compliance policy. LALC’s in the zone. This reporting period saw the use of Land Council Support staff have primary NSWALC Funding Agreements for the first responsibility for day to day dealings with time. LALC’s on a broad range of issues. During the reporting period, a total of These include assisting LALC’s to fulfil 33 Funding Agreements were issued their responsibilities under the Act to LALC’s in the zone and a further 3 and provision of advice in relation Funding Agreements issued to RALC’s. to the requirements of the Act and LALC’s under administration were not Regulations, providing advice in relation offered a funding agreement in line with to operational matters, planning, NSWALC policy. preservation and protection of Aboriginal culture and heritage, land dealing The NSWALC funding category policy is matters, human resource functions based around a LALC’s compliance with and assistance with negotiations with the ALRA. government and other stakeholders. The following graph shows the number of The Finance staff provide support to LALC’s in the various funding categories, LALC’s in relation to budgeting, release compared to that of the 2004/2005 of NSWALC grant funds, processing of reporting period: “essential payments”, LALC financial performance monitoring and assistance and also provide internal services to 45 ensure the efficient and effective operations of the Northern Zone office. 40 35 Staff in the Northern Zone office have a range of technical and generalist skills 30 that has led to the development of a 25 team that delivers a professional, timely and comprehensive service to the land 20 council network within the zone. 15 ACHIEVEMENTS: 10 5 Compliance Monitoring and Assistance: 0 F1 F2 F3 UF1UF2 A Local and Regional Aboriginal Land Councils have many and varied 2004-2005 responsibilities under the ALRA. Financial Year 2005-2006 A major focus area for the Northern Zone Financial Year of NSWALC, since establishment, has been in relation to ALC compliance reporting New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 New South Wales as required by the ALRA. 66 New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 67 These workshops were held in Coffs These workshops were held in Coffs and were Harbour and Tamworth Commercial attended by NSWALC Two Land Dealing/Community Land Dealing/Community Two Business Planning Workshops: • compliance demands that are placed on are placed on demands that compliance LALC’s. an exercise Zone undertook The Northern annual audited a review of LALC whereby the 2004/2005 period statements for were within the zone shows that LALC’s funded by other delivering services dollar value in excess of agencies with a $16M. yet available for the This data is not period however 2005/2006 reporting the figures will anticipates that NSWALC be similar. received It is likely that each of the grants from other agencies also come by LALC’s which with reporting responsibilities impose additional layers of reporting responsibilities on LALC’s. The Northern Zone has Case Management Management Case has Zone Northern The Zone. the in LALC’s all for completed Plans These plans form the basis of support by the zone. provided to LALC’s in a The plans have been developed all holistic manner that seek to identify including the key issues facing LALC’s housing management, governance, compliance, asset management and development and financial management. Initiatives Building Capacity LALC During the course of the 2005/2006 the Northern Zone office, financial year, in concert with other stakeholders, provided the following development/ within capacity building support to LALC’s the Zone: Case Management Plans As can be seen, there has been an seen, there has As can be of F1 and F2 in the number increase zone. within the LALC’s category in the number been a decrease There has but an increase in the of F3 LALC’s and UF2 LALC’s. number of UF1 a decrease in the There has also been under administration number of LALC’s period. during the reporting see the number of F1 and It is pleasing to has increased. F2 LALC’s that over These categories clearly indicate in the Northern Zone have 55% of LALC’s within managed to comply continuously NSWALC the provisions of the ALRA and policy for at least 12 months. This is an excellent achievement. in the zone were A further 15% of LALC’s 2006. in a funded category as at 30 June in excess Overall, this data indicates that in the Northern Zone of 70% of LALC’s were able to adhere to the compliance regime established by the ALRA. in the zone Slightly over 13% of LALC’s were in the UF1 category as at 30 June 2006 with a further 7% in the UF2 category. in the zone were Almost 8% of LALC’s under the control of an administrator at the end of the reporting period. Overall, these statistics indicate a slight decrease in the number of funded LALC’s in the zone as at 30 June 2006 compared to that at 30 June 2005 but an overall improvement in the number of LALC’s who were able to meet and maintain a compliance regime for 12 months or longer. It is interesting to note the competing Unit staff. At the Coffs Harbour inform LALC’s on the budget Workshop 2 LALC’s currently process for the coming 2006/2007 considering land development financial year and to assist in the ventures provided case studies preparation of those budgets. to the delegates on their land • LALC Membership Roll Workshops: development approaches. During May and June 2006 the • Two NSWALC ALRA Review zone worked collaboratively with Workshops: the Registrar, other NSWALC staff In mid July 2005 NSWALC and the DAA to stage workshops convened a consultation workshop in Tamworth and Coffs Harbour in with LALC’s in the Central and relation to the requirements of the Far North Coast regions. This ALRA regarding LALC membership workshop was complemented by a rolls. similar workshop held at Armidale • AEIFRS Workshops: in June 2005 for the Northern and Northern Tablelands regions. The Also during May and June 2006, purpose of these workshops was the Northern Zone, with assistance for NSWALC to seek the views from a NSWALC engaged of the land council network in consultant, held workshops in relation to the ALRA Review Tamworth and Coffs Harbour Discussion Papers released by the in relation to the requirements Review Taskforce. and implementation of the new Australian Equivalent to the • Facilitate LALC Participation in the International Financial Reporting NSW Government ALRA Review Standards. LALC’s are required to Consultations: During the reporting adhere to these new standards. period the office also assisted LALC’s to attend community consultations undertaken by the DAA on behalf Working Together of the Government in relation to Throughout the year the Zone office the ALRA Review. worked with Local Aboriginal Land • In February 2006, the zone office Councils on a range of other issues. facilitated participation by LALC representatives from the zone at The following are examples of how the NSWALC Review Forum held the NSWALC and LALC’s have worked in Sydney. The purpose of this together to achieve beneficial outcomes forum was to again seek the views for members. of the network on the proposed amendments to the ALRA. The During the reporting period the Northern views from this forum assisted Zone worked closely with the Muli Muli NSWALC in finalising its position on LALC at Woodenbong to settle a long the proposed amendments. standing dispute with the Kyogle Shire Council in relation to a Special Water • 2006/2007 Budget Workshops: Rates Levy levied on the MMLALC by the In January and February 2006 the Shire. Northern Zone office held two budget workshops for LALC’s in This matter had been on foot for a the zone. The purpose of these number of years and involved legal New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 New South Wales workshops was to assist and proceedings by both parties and NSWALC 68 New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 69 Most of these agreements are still in the the in still are agreements these of Most a anticipate we however stage development to progressing agreements these of number NSWALC where year coming the in stage the disposals land approve to asked be will ALRA. the of 40D Section under these if date, to indications the Given the have they finalised, are proposals the to benefits lasting deliver to capacity communities. and members their LALC’s, the from staff elsewhere on reported As Unit Policy NSWALC the and Zone Northern the of efforts the to support direct provided relation in Island) Tree (Cabbage LALC Jali the by forward put route proposed a to an for Authority Traffic and Roads NSW have would that Hwy Pacific the to upgrade land. owned Jali on significantly impacted amend RTA the seen have efforts joint These LALC Jali that ensure to option route the affected. directly not is land owned Jali the with work to continue staff Zone and culture on LALC’s other and LALC development from arising matters heritage various within land freehold on pressure boundaries. LALC successful also was office Zone Northern The to DAA the from funding securing in increasing at aimed project a undertake at engagement and membership the young by Councils Land Aboriginal Local people. Aboriginal olds year 18-24 target will project This and membership increasing to view a with provide to olds year 16-17 and participation the of awareness increase and information and the benefits of network council land participation. “gala of series a involve will project The and zone the around held being days” Local nearby from people young involving Aboriginal Land Councils. and action in the Human Rights and in the Human and action by the Commission Equal Opportunities MMLALC. to the satisfaction was settled The matter resulted in the levy being of all parties and withdrawn. closely worked office Zone Northern The the and LALC Walhollow the with to Corporation Aboriginal Walhollow management housing joint a implement significantly to led has that strategy the within management housing improved community. management housing in improvements The repairs significant of granting the to led also community the to funding maintenance and Office. Housing Aboriginal the by careful requires strategy the Whilst established has it nurturing, and monitoring management housing equitable sustainable, practices. the over have staff Zone Northern The significant provided year past the of course in LALC’s many to assistance and guidance community of area manage to difficult the housing. and individually works Zone The Housing Aboriginal the with collaboratively in members for workshops staging in Office development policy setting, rent to relation practices. housing sustainable and with concert in office, Zone Northern The to continues Unit, Commercial NSWALC the number a to assistance and support provide their of development considering LALC’s of assets. land quite involve agreements these of Most where arrangements venture joint complex LALC’s assist to priority clear a has NSWALC interests. best their guarding in Southern Zone

The Southern Zone office was established in Queanbeyan in November 2004.

The Zone comprises three (3) NSWALC regions all with one Regional Aboriginal Land Council and Local Aboriginal Land Councils as follows: • Far South Coast Region (with 10 Local Aboriginal Land Councils); • Wiradjuri Region (with 16 Local Aboriginal Land Councils); • Murray River Region (with 5 Local Aboriginal Land Councils); and the

There are a total of 31 Local Aboriginal Land Councils and 3 Regional Aboriginal Land Councils within the boundaries of the Southern Zone.

The staffing structure of the Southern Zone is depicted below:

Zone Director

Snr LALC Senior Finance Support Officer Officer

LALC Support LALC Support LALC Support Officer Officer Officer

Finance Officer

Compliance Monitoring and Assistance: During the 2004/2005 financial year revised NSWALC funding and compliance policy was rolled out across the network, including the introduction and implementation of NSWALC Funding Agreements.

During the 2005/2006 financial year, a total of 28 Funding Agreements were finalised with twenty five Local Aboriginal Land Councils and three Regional Aboriginal Land Councils in the Southern Zone.

Local Aboriginal Land Councils under administration were not offered a funding agreement.

The graph below shows the number of LALC’s in the various funding categories at the end of the 2005/2006 reporting period compared with the beginning of the period. New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 New South Wales

70 New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 71 Assistance Agreements four The Southern Zone completed in the Assistance Agreements for LALCs Zone during the reporting period. Case Management Plans Case Management plans have been Case management majority of the developed for the unfunded LALC’s. the These plans attempt to highlight will operational areas where the LALC the Zone require advice and support from office. year is A priority for the new financial case to update these plans and develop remaining management plans for all the LALC’s. The first full year implementation of full year implementation The first during Policy occurred Funding NSWALC period. this reporting of this policy of application The benefits the number of unfunded are reflected in Councils in Southern Aboriginal Land Zone. A 2 U F 2 3 0 -J un-0 6 F 2 , 5 , 1 5 % 1 F 1 , 8 , 2 4 % U F 1 7 3 F 3 1 -Jul-0 5 F 2 3 3 F 1 9 1 0 F 3 , 9 , 2 5 % A , 2 , 6 % 5 5 8 1 2 F1 F2 F3 UF1 UF2 A 8 6 4 2 0 1 2 1 0 U F 2 , 7 , 21 % U F 1 , 3 , 9 % Southern ZoneA L C s -Funding Category at30 June 2006 -34 Southern ZoneA L C s -Funding Status Comparison - 34

A Comparative Analysis between the A Comparative Analysis between Years 2004/2005 and 2005/2006 Financial in the reveals the increase and decrease funded; various funding categories (F = UF = unfunded and A = Administrator): two At 30 June 2006 there were twenty Aboriginal Land Councils in a funded category. This represents a reduction of five from the twenty seven funded Aboriginal Land Councils at 1 July 2005. At 30 June 2006 there were ten Aboriginal Land Councils in an unfunded category. This represents an increase of four from the six unfunded Aboriginal Land Councils at 1 July 2005. At 30 June 2006 there were two Administrators appointed to Aboriginal Land Councils compared to one at 1 July 2005. ALC Capacity Building Initiatives: Pursuant to S.106 (u) of the Aboriginal Land Rights Act, the Southern Zone has organised, facilitated or participated in the following activities for LALCs:

LALC Staff, members and/or Executive:

Training Discipline Date Location No. of Participants

Government Review of the Batemans Bay and July 2005 80 Aboriginal Land Wagga Wagga Rights Act Community August 2005 Queanbeyan 80 Business Planning

Community November 2005 Wallaga Lake 10 Business Planning

Community December 2005 Wallaga Lake 10 Business Planning

Budget Workshop 1-3 February 2006 Albury 60

Land Dealings Workshop – 23 February 2006 Wagonga LALC 15 Wagonga LALC Land Dealings workshop – 24 February 2006 Merrimans LALC 2 Merrimans LALC

Amalgamation 4-5 March 2006 Ulladulla 15 Workshop

Sites Officers 9 March 2006 Zone Office 10 Working Party

Membership Rolls 16 May 2006 Wagga Wagga 40 Workshop

Membership Rolls 23 May 2006 Batemans Bay 18 Workshop

Amalgamation 2 June 2006 Queanbeyan 6 Workshop

New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 New South Wales AEIFRS Workshop 6-7 June 2006 Batemans Bay 60 72 New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 73 4 5 1 1 3 Location No. of Participants 1-4 May 2006 Parramatta SAP Training 19-21 June 2006 Parramatta OH&S Training 16 & 23 May 2006 Queanbeyan AEIFRS Training Basic Accounting/ Defensive Driving May 2006 11 Wellington Defensive Driving Defensive Driving 4 April 2006 Queanbeyan Training DisciplineTraining Date Community Business Plans Southern Zone that have indicated their support for There are at least 10 LALCs in the the community business planning process by NSWALC. assistance in, and facilitation of, with the training to ways to provide their staff Southern Zone at present is investigating be able to assist in the process. Training or skills enhancements for Southern Zone staff saw the following participation participation the following saw Zone staff for Southern enhancements or skills Training during 2005/2006: Zone Staff: Western Zone

The Western Zone office was established in Dubbo in December of 2004.

It comprises three NSWALC regions, being the:

o North West Region (comprising 17 Local Aboriginal Land Councils);

o Central Region (comprising 10 Local Aboriginal Land Councils);and the

o Western Region (comprising 10 Local Aboriginal Land Councils);

There are a total of 37 Local Aboriginal Land Councils and 3 Regional Aboriginal Land Councils within the boundaries of the Western Zone.

The staffing structure of the Western Zone is depicted below:

Zone Director

Senior Finance Snr LALC Administration Officer Support Officer Officer

Finance LALC Support LALC Support Officer Officer Officer

Compliance Monitoring and Assistance: Since its establishment the Western Zone office has focused on LALC compliance as stipulated in the Aboriginal Land Rights and relevant NSWALC policies.

At the commencement of the reporting period, a total of 19 Funding Agreements were offered to LALC’s in the zone and a further Funding Agreement was offered to the North West RALC.

LALC’s under administration were not offered a funding agreement in line with NSWALC policy.

The graphs appearing below show the number of ALC’s in the various funding

New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 New South Wales categories as at 30 June 2006 in comparison to the corresponding period in 2005.

74 New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 75 05/06 05/06 1 1 A A A 05/06 05/06 1 1 A 2 3 6 7 1 3 U F 2 UF 2 UF 2 9 13 UF 2 8 4 1 2 2 UF 1 UF 1 UF 1 7 10 UF 1 1 7 F 3 1 1 2 8 F 3 F 3 F 3 5 13 F2 5 2 4 2 4 1 F 2 F 2 F 2 2 3 F 1 F 1 2 3 F 1 0 F 1 20 10 8 6 4 2 0 8 6 4 2 0 4 3 2 1 0 04/05 Central Region 04/05 Western Region 04/05 North West Region 04/05 WESTERN ZONE 04/05 WESTERN ZONE 05/06 04/05 CentralRegion0 5 /0 6 04/05 Wes tern0 Region 5 /0 6 04/05 North WestRegion0 5 /0 6 A F1 05/06 3% 8%

A F1 3% 5% F2 14% F 1 UF2 24% UF2 F 2 34% F2 36% F 3 UF 1

F3 22% UF 2 UF1 27% F3 5% A

UF1 19%

The graphs show a decrease of one in the Training and Information number of funded LALCs. Workshops

A number of LALCs in the Western Zone During the 2005/2006 financial year have not been functioning properly for the Western Zone office undertook or many years. facilitated the following workshops or training initiatives in support of LALC’s: They represent about 12.5% of the total number of LALCs in the Western Zone. • Two Land Dealing/Community Business Planning Workshops: If this is taken into consideration the These workshops were held in figures demonstrate that just under 25% Dubbo and Tamworth and were of LALCs in this zone have complied with attended by NSWALC Commercial the provisions of the ALRA and NSWALC Unit staff. At the Dubbo Workshop policy for at least 12 months. 2 LALC’s currently considering land development ventures provided case Another 25% were in a funded category studies to the delegates on their as at 30 June 2006. land development approaches. • Three NSWALC ALRA Review 22% of LALC’s in the zone were in the Workshops: In December 2005 and UF1 category as at 30 June 2006 with a March 2006 NSWALC facilitated further 25% in the UF2 category. consultation workshops with ALC’s in the Central, North West and Only one LALC was under the control Western regions. The purpose of of an administrator at the end of the these workshops was for NSWALC reporting period. to seek the views of the land council network in relation to the ALRA Case Management Plans Review Discussion Papers released Case Management Plans have been by the Taskforce. completed for all LALC’s in the Zone. • Facilitated ALC Participation in the NSW Government ALRA Review The plans have been developed by Consultations: During the reporting identifying all of the the key issues period the zone assisted ALC’s in the facing LALC’s, including housing zone to attend the consultations management, governance, compliance, undertaken by the DAA on behalf New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 New South Wales asset management and development and of the Government in relation to 76 financial management. the ALRA Review. New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 77 : AEIFRS Workshops in was conducted A workshop Auditors associated Dubbo with Zone. in the Western with LALCs a was to ensure The rationale of the new consistent application the upcoming standards during audit performances. • Working Together Working Zone the Western During 2005/2006 with the Moree and worked closely in negotiations with the Mungindi ALCs to Moree Plains Shire Council in relation rateable properties. very These negotiations resulted in significant savings to the LALCs. has also worked closely Zone The Western portfolio with those LALCs with a housing outcomes in order to achieve appropriate of for ongoing repair and maintenance their housing stock. financial This includes assessment of the collection position, setting rent levels and as well as arrears collection. office has also Zone The Western between facilitated mentoring programs LALCs. have This enables those LALCs whose staff demonstrated a higher level of efficiency to provide administrative services while recruitment processes are undertaken. This allows for a smoother transition are finally employed. when staff

During During May 2006, the Western Zone, in in Zone, Western the 2006, May NSWALC other with conjunction consultant, external an and staff Tamworth, in workshops held the to relation in Dubbo and Cobar implementation and requirements to Equivalent Australian new the of Reporting Financial International the to required are ALC’s Standards. standards. new these to adhere AEIFRS Workshops: Workshops: AEIFRS LALC Membership Roll Workshops: During May and June 2006 the zone worked collaboratively with staff other NSWALC the Registrar, and the DAA to stage workshops Dubbo in Cobar and in Tamworth, relation to the requirements of the ALRA regarding LALC membership rolls. In February 2006 the Western Zone the Western In February 2006 budget day, staged two, three in the zone. workshops for ALC’s The venues for these workshops and Lightning Ridge. were Warren The format of these workshops, as as in prior years, was prepared an information forum which led in the directly into assisting the ALCs the preparation of the budget for ALCs The 2006/2007 financial year. end used all relative data with the the result being that, at the end of workshops, the budgets were for all intents and purposes completed to and ready for submission subject ratification by members. Workshops: 2006/2007 Budget In February 2006, the zone 2006, the zone In February by ALC participation facilitated at the NSWALC representatives The Forum held in Sydney. Review to again of this forum was purpose the network on seek the views of to the the proposed amendments from this forum ALRA. The views in finalising assisted NSWALC proposed its position on the amendments.

• • • • Eastern Zone

The Eastern Zone began operations on December 1, 2004

It is geographically the smallest of the four zones but, in many respects, deals with a raft of issues which are far more complex than many of the issues dealt with by the other three Zones.

The boundaries of the Eastern Zone consist of three Regional Aboriginal Land Councils- - Sydney Newcastle, Western Metropolitan and South Coast-- and fourteen Local Aboriginal Land Councils stretching from Port Stephen’s in the north to Culburra in the south. Worimi

Mindaribba

Awabakal Bahtabah

Metropolitan

Koompahtoo

Deerubbin Darkinjung

Tharawal Gandangara

La Perouse

Illawarra

Jerrinja

Nowra Eastern Zone Aboriginal Land Council

Governance and Compliance The past twelve months have seen improvements in the status of Land Councils in the Zone. LALC FundingComparsion Status of Eastern Zone Funding Categories Year 04/05 Year 05/06 ALC's Funding Categories F1 2 3 F2 2 2 F3 6 3 4 UF1 3 0 UF2 4 3 3 Year 04/05 A 2 4 5 Year 05/06

New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 New South Wales 0 78 F1 F2 F3 UF1UF2 A New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 79 F2, 12% F2, A F1, 18% F1, F3, 24% F3, UF2 UF1 F3 UF1, 0% UF1, Zone by Funding Category F2 UF2, 18% UF2, A, 28% A, F1 Percentage ofAborginal all Land Councilsin Eastern AEIFRS Information Session for Auditors. LALC Financial Management Workshop AEIFRS Workshop Budget Workshop ATO Workshop ATO Game Council of NSW Community Business Plans Land Dealings ALRA v. Native Title Acts Native Title ALRA v. • • • • • • • • • All the LALC’s in the Zone participated. All the LALC’s The Eastern Zone Office conducted nine forums and LALC workshops in the reporting The Eastern Zone Office conducted period. Training, Education and Development Training, There was also a marked improvement in the quality of financial reports received from There was also a marked improvement during the reporting period. LALC’s During the 2005/2006 financial year all but three LALC’s in the Zone were in funded the Zone were in but three LALC’s year all 2005/2006 financial During the categories. level of through a greater been achieved has in performance This improvement office, the Eastern Zone and the LALC’s between and co-operation understanding the provision of to improve performance, and of the need LALC’s a recognition by governance. particularly in finance and relevant training, Governance Unit A tender process was completed for a new joint list of Administrator and Interventions Investigators during the reporting period.

Investigators The Department of Commerce managed the tender process on behalf of NSWALC An Investigator was appointed to look and DAA and all of those successful were into the affairs of Darkinjung Local required to sign a contract. Aboriginal Land Council (DLALC) on 3 March 2005, prior to the year in review, Successful applicants were expected to following complaints from the then undertake cultural awareness training. Secretary and Treasurer. His term was extended twice, the second time to 23 Details on current administrations can be August 2005. found in the Network Services Unit review of operations. The Investigator, Tim Kelly, from Deloitte reported to the Minister and NSWALC in August. Secretariat The 2005/2006 financial year has been a Following the report both the Minister busy one for the Secretariat with regular and NSWALC sent “Show Cause” letters meetings being held by the Administrator. to DLALC, in October, seeking reasons The Secretariat also assisted in meetings for both parties not to approve the of the ALRA Review Taskforce. appointment of an Administrator. The NSW Aboriginal Land Council Later both NSWALC and the Minister sent Administrator, Mr. Murray Chapman, held letters regarding the possible failure of 24 Administrator’s meetings during this DLALC to comply with s153 of the ALRA; reporting period. that is to submit their Audited Financial Statements to NSWALC by the due date. A total of 75 resolutions were passed at those meetings. At the time DLALC put in place a court action seeking injunctions against the These included: Minister and NSWALC approving the appointment of an Administrator. Resolutions approving funeral grants for non-members totaling $264,515. An Administrator, Mr. Peter Hillig, was appointed to DLALC by the Minister Resolutions approving extraordinary under s 222(1)(c) of the ALRA on 2 May funeral grants totaling $2,210.00, 2006 for an initial period of six months. sporting grants totaling $50,500 and miscellaneous grants totaling $18,936. The Minister based his decision on the The Secretariat also attended each of failure of DLALC to report their audited the NSWALC Community Forums held on financial statements in compliance with s the Review of the NSW Aboriginal Land 153 of the ALRA. Rights Act 1983 in regional centres and senior management team meetings in Mr. Hillig was tasked with resolving a addition to a range of other duties. complex range of issues concerning the legality and proper auditing of DLALC New South Wales Aboriginal Land Council • Annual Report 2004 - 2005 New South Wales funds that had been moved out of the 80 control of its membership. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 81 Tribunal (CTTT). Members should attempt Members should (CTTT). Tribunal and grievances disagreements to resolve a members’ level through at a LALC meeting. to intervene for NSWALC If it is necessary seeks to resolve it. the organisation to only has the power NSWALC resolve complaints that investigate and For example, policies. concern NSWALC are not in NSWALC’s tenancy disputes can only be decided by jurisdiction and the CTTT. complaints are acknowledged Written within five working days. by NSWALC further Where the complaint requires seeks to resolve investigation, NSWALC process is the matter within 30 days. This described on the next page: Complaints investigation undertakes NSWALC received of that are of complaints contravenes behaviour that issues and operation of the policy and the NSWALC Rights Act 1983. Aboriginal Land of the complaints handles some NSWALC are however, The majority, internally. other government and referred out to departments. non-government or enquiry is received Once a complaint he decides under s by the Registrar, it can be 192 to take action or whether the resolved through dispute resolution, or an issuance of a compliance direction, of a investigation into a possible breach pecuniary interest. implemented a new complaints NSWALC in management system in 2005-2006 AS conformity to the Australian Standard 4269 for Complaints Handlings. for The Standard prescribes a design from the management of complaints inception to final determination. to provide The purpose of the Standard is that is a complaints handling framework efficient, fair and accessible exemplifying a positive attitude towards complainants with a commitment to resolving complaints. complaints management The NSWALC system aims to provide a timely resolution is given power to matters that NSWALC to regulate under the Aboriginal Land Rights Act 1983. makes it clear that If someone NSWALC has a cause for complaint, it is important to fully identify whether the matter is or to some other one to refer to NSWALC government agency such as the Registrar, and Tenancy Trader or the Consumer, Complaint Resolution Process

Complaint made by complainant

NO Complaint within Advise complainant NSWALC definition of alternative options

YES

YES Add complainant Advise complainant/s Complaint already existing to complaint file of outcome In NSWALC database? and send acknowledgement NO

NSWALC NO Complaint handling system NO

YES Is it within NSWALC YES responsibility/power to act?

The NSWALC Complaints Officer can classify a complaint according to the following categories:

• Category 1: Most serious – matters of likely corruption falling within the scope of the Independent Commission Against Corruption Act 1988; the Crimes Act 1900; the Ombudsman Act 1974, issues of serious and substantial waste need referral to the Auditor-General. • Category 2: Governance matters of the Act– matters relating to the administration of the ALRA for which the Registrar is responsible. • Category 3: Local, Regional or State management matters – matters relating to the procedures at the ALC. • Category 4: Disagreements, grievances between external parties; and/or with staff members/councilors. • Category 5: Non-NSWALC related matters – general law enquiries that should be referred to other bodies such as Department of Industrial Relations – 131 628, Consumer Trader Tenancy Tribunal – 1800 500 330 or the Attorney-General’s free advice line – LawAccess 1300 888 529.

When lodging a complaint, the NSWALC Complaints Officer advises the complainant on the resolution process. Most matters involving NSWALC policies are investigated by the

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Regional Zone Directors. 82 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 83 % 2 % 2 % 14 % 50 % 32 % 1 1 6 44 100% 22 14 No. be informed of the NSWALC’s decision and the reasons for the decision. the for reasons the and decision NSWALC’s the of informed be be provided with all relevant material to support a response to the complaint; the to response a support to material relevant all with provided be and respond to the complaint; the to respond and 1994. sufficient detail about the complaint to enable the person to properly investigate investigate properly to person the enable to complaint the about detail sufficient confidentiality when the complaint is not covered by the Protected Disclosures Act Act Disclosures Protected the by covered not is complaint the when confidentiality know that the complaint can be reviewed independently where possible; where independently reviewed be can complaint the that know be informed of the NSWALC’s decision and the reasons for the decision; the for reasons the and decision NSWALC’s the of informed be be informed of the response of the person complained against; complained person the of response the of informed be be informed of the criteria and processes for dealing with the complaint; the with dealing for processes and criteria the of informed be be provided with all relevant material to support the complaint; the support to material relevant all with provided be know whether NSWALC’s policies have been followed; been have policies NSWALC’s whether know be heard; be

• • • • • • • • • • • Total Fraud Membership issues Procedures of Aboriginal Land Councils issues Housing & Tenancy Alleged Corrupt Conduct Complaints received 2005-2006 Complaints received The Registrar and NSWALC work closely in trying to resolve complaints and disputes. work closely in trying to resolve complaints The Registrar and NSWALC encompassing the received 44 complaints in the 2005-06 financial year broadly NSWALC following areas of concern: Conversely, the person about whom the complaint is made should have the right to: right the have should made is complaint the whom about person the Conversely, However, complainants are advised if the matter falls outside NSWALC’s jurisdiction and and jurisdiction NSWALC’s outside falls matter the if advised are complainants However, CTTT. the or Registrar the as such agency external another to referred be will and complainant the both to fair is process complaint the AS4269, the with compliance In made. is complaint the whom against person the to: right complainant’s the acknowledges process NSWALC’s Essentially, This compared with a total of 77 complaints at the end of the 04/05 financial year.

Complaints received 2005-2006

1 1

6

Procedures of ALCs

Housing & Tenancy issues

2 2 Alleged Corrupt Conduct

Membership issues

Fr a u d 1 4

One complaint proved to have substance. The evidence was referred to the NSW Police for criminal investigations.

Investigation of the other complaints revealed no contravention of NSWALC policy or the Aboriginal Land Rights Act 1983.

A formal response of the outcome of each complaint investigation had been sent to the complainant in writing during the period.

The average resolution period for complaints was 18 days with all complaints recorded in NSWALC’s TRIM document management system. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

84 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 85 under administration it has been under administration obtaining long term unsuccessful in despite the funding commitments its housing. Also poor quality of to fund individual ACDP has failed water house water metering; community basis metering is on a and therefore does not allow for individual responsibility. Wilcannia: ACDP has constructed new houses on land not owned by the Wilcannia LALC and the quality of construction as assessed by a qualified person engaged is questionable. This by NSWALC assessment has been referred to DAA and no response was received by the time of writing, six months later. behaviour and lack of member interest; The inability to create and sustain governance and leadership; effective The LALC having not achieved its primary purpose as a land rights body; and Endemic insolvency unlikely to be own financial resolved from MLALC’s capabilities. Moree LALC. Despite being Moree LALC. Despite An extensive history of dysfunctional • • • • • • NSWALC has met with DAA on this NSWALC to DAA in matter many times and wrote January 2006 to suggest a coordination mechanism to improve the effectiveness DAA of ACDP funding on LALC lands. have not responded. designed by the NSW Aboriginal Housing Housing by the NSW Aboriginal designed for funding as the basis Office (AHO) decisions. the ACDP of how practical examples Two communities are: has failed Aboriginal Moree The Administrator of Moree LALC (MLALC) has recommended dissolution of the LALC because of:

Houses owned and managed by LALCs by LALCs owned and managed Houses of the total NSW for about 60% account housing sector. Aboriginal community view that the housing It is NSWALC’s of reform. sector is in need to be done by the Much more needs to assist LALCs to responsible agencies their housing stock and better manage and maintenance and to fund repairs need can replacement housing where a be demonstrated. participated in two meetings NSWALC Housing convened by the NSW Aboriginal to Office (AHO) in 2005/06 designed Sector. reform the Aboriginal Housing slow Progress on this issue is painfully and is beset by questions of jurisdictional responsibility. also has significant concerns NSWALC about the manner in which the (DAA) Department of Aboriginal Affairs manages the Aboriginal Community Development Program (ACDP). ACDP was established a number of years ago to provide housing and essential infrastructure to Aboriginal communities. In NSW Aboriginal communities are, by and large, on land owned by LALCs and are generally former reserve lands transferred to LALCs at the commencement of the Aboriginal Land Rights Act (1983) on 1 January 1983. that have the greatest need The LALC’s for housing and infrastructure funds find it the most difficult to attract ACDP funding, despite the program being created to fund them. DAA use a set of funding criteria LALC Issues Matters Housing The Governance Unit and Western Zone following the Minister’s announcement of Office staff have been involved in regular the May 19, 2007 election date as part of discussions on the future of the LALC with a Transition to Council strategy. its Administrator and members. The management of membership rolls Specifically a meeting of members on 25 is a key element of the governance of August 2005 discussed the issue and on LALCs. It is NSWALC’s role to ensure, as 23 November 2005 a facilitated full day far as possible, that its records and those workshop was held. Both meetings were of LALCs are of a reasonable quality and sparsely attended. consistency to ensure an efficient and effective election. To date NSWALC has not determined a final position on whether in its view it The Aboriginal Land Rights Act could be held that MLALC has ceased to (1983) (the Act) and the Regulations function, which would be the first step in determine responsibilities with regard to any process. membership rolls. • Each LALC Secretary is responsible The most pressing issue, should any for maintaining its roll; dissolution be seriously considered by NSWALC, and the Minister, is the future • The requirements for the roll are set management and ownership of housing out in Regulation 28; assets. There is a strong cross-over • Each LALC should review its roll between this matter and reform of the annually; the Secretary must send Aboriginal community housing sector. a copy of the roll to NSWALC by 21 April and advise changes to the roll Audit Committee in the previous period; The NSWALC Audit committee met twice • In order to be a Voting member of during the reporting period. a LALC a member needs a s54(3)(c) notice from NSWALC to state that At its last meeting for the year a new they are not a voting member of independent Chairman, Mr Jon Isaacs another LALC; and (also Chair of the Sydney Harbour • NSWALC must maintain a Foreshore Authority) took office. consolidated roll.

Internal Audit The strategy for improving membership As was reported last year NSWALC rolls covered three main areas of focus. decided to contract out its Internal Audit 1. Improving IT systems for handling function. Walter Turnbull was appointed the data. for an initial period of three years. 2. Cleansing existing records and Subsequently a three year audit plan providing assistance to LALCs in was developed and the first audits were managing membership rolls. started and completed in the last half of the year in review. 3. A promotional campaign to increase participation in and membership of Membership Rolls LALCs. In March 2006 the Administrator

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales approved a strategy to improve the 86 management of LALC membership rolls New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 87 Planning held its first planning discussions NSWALC under the new ‘zone structure’ in February 2005 with a goal to set in place the future direction of the organisation. The plan was driven by the vision created Councillors deriving by previous NSWALC from the Beyond the Sunset (1999) and documents. to the Future (2000) Tracks The Governance unit has responsibility for corporate planning process including Policies and Procedures Policies and maintains The Governance unit currently an internal index of policies and procedures to monitor and maintain operations. external and internal NSWALCs The Governance unit has the responsibility organisation the within gaps identifying of are absent where policies and procedures or deficient. evaluate to NSWALC assisted audit Internal gaps policies and procedures and identify policies within the organisation where were lacking or non existent. is to The goal of the Governance unit and ensure the organisation has efficient internal operations with a risk effective management focus on the development and maintenance of policies and procedures. to explain the roles of LALC office bearers, LALC office bearers, the roles of to explain and to give requirements, the legislative on necessary, guidance, where advice and membership to manage their how best rolls. were held between 2 Seven workshops 2006. May and 6 June at Parramatta, Tamworth, They were held Coffs Batemans Bay, Wagga, Wagga and Cobar. Dubbo Harbour, A new IT system was implemented in system was implemented A new IT and modern software March using are that manual processes ensuring to use, allows more It is easier automated. audit trail of users, has an concurrent automatic production of changes, allows (eg s54(3)(c)) and will have standard letters it will allow less data risk. Importantly particularly access by future development over the Internet. LALC’s the Act introduced in 2002 The changes to persons wanting to be required that all on a LALC membership listed as members a roll must provide additional information; birth. Not residential address and date of all records met this requirement. and the The Administrator of NSWALC in early Registrar wrote to all LALC’s things that February advising among other not from 21 April 2006 LALC rolls should details include people with incomplete roll consolidated and that NSWALC’s would also not include them. form A previous member declaration to regularise was devised to allow LALC’s with the records of previous members incomplete details. of their This letter also advised LALC’s obligations under s59 of the ALRA to by with a copy of their roll supply NSWALC 21 April 2006. It also highlighted the importance of getting the rolls updated in preparation for the upcoming State Council elections. provided each LALC with a copy NSWALC of its copy of their roll of voting and non-voting members plus a copy of all those records of previous members with incomplete details and encouraged them to update as many of these as possible. A series of workshops for LALC Secretaries and Coordinators, was funded and and the Registrar, delivered by NSWALC development, implementation and review. the development of human services, and the management of natural resources. NSWALC also implemented a planning system (Corpalign) to assist in monitoring The Unit has also engaged with those the progress of achieving planned agencies responsible for driving through outcomes. Full implementation of the major policy reforms or managing projects system has not been finalised. that pose serious threats to the integrity of Aboriginal lands, values and lifestyles. Strategic Planning & Policy Unit There are pockets of goodwill and assistance in government agencies but the Throughout the 2005/06 financial year Unit all too often encounters resistance the Strategic Policy and Planning Unit whenever it seeks to have Aboriginal continued to support the Chief Executive people’s interests or concerns incorporated Officer in pursuing social justice for within government initiatives and reforms. Aboriginal people and contributing to the achievement of NSWALC’s business International Advocacy objectives through research, negotiation and advocacy, at home and abroad. NSWALC determined in this financial year to re-engage in international advocacy. The reporting period saw the Unit intensify its research activities to better The organisation has held “Special understand the direction and the spectrum Consultative Status,” with the United of Government policies impacting upon Nations Economic and Social Council Aboriginal people. (ECOSOC) since 1988 but had not exercised its representative status in this forum for a The Unit expressed doubt in the previous number of years. reporting period about the capacity of government to provide culturally relevant Such status allows non government policies, services and support to Aboriginal organisations, such as NSWALC, to be people. consulted about the work of the ECOSOC and its various subsidiary bodies. Unfortunately, those doubts remain as we enter the 2006-07 financial year. In recent years international advocacy on behalf of Aboriginal people had largely Reports by government bodies on been left to the now defunct Aboriginal the continuing level of Aboriginal and Torres Strait Islander Commission and disadvantage and the lack of progress in a small number of other bodies such as addressing endemic social and economic FAIRA and NAILSS. problems paint a depressing picture. At the same time as the Federal From time to time there are gestures Government abolished ATSIC it severely towards recognition of fundamental restricted the funding of the other two human rights, compensation and organisations to the point where their reconciliation but little real reform. international advocacy had all but ceased.

As foreshadowed in the previous reporting This allowed the Federal Government to period members of the Unit have avoid using human rights as a guiding increasingly engaged with the government framework for the development of its

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales agencies responsible for the protection and Aboriginal Affairs policies.

88 promotion of Aboriginal cultural heritage, New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 89 stakeholders; Potential frameworks and supporting structures; and Business Plan. NSWALC’s The accountability demands of our • • • NSWALC’s Senior Managers were NSWALC’s provided with a presentation in October based on the outcome of the September meeting. While the Policy Unit continually monitors developments with respect to the in administration of Aboriginal affairs We plan to continue this work in coming this work in coming to continue plan We United the that fact the of conscious years agencies and other international Nations undertaking many years been have for in the setting of human important work and other developments. rights standards to rely on governments It is not possible to pass on this and their agencies a timely manner. information in contribution to has a positive NSWALC network of make to the international and organisations. Indigenous peoples Domestic Advocacy In response to the “new arrangements” for the administration of Aboriginal are now being implemented which affairs the by state and federal governments looking at Policy Unit started in this year intervention. strategies for more effective at the This process has involved looking sets that range of tools and information to develop would be required by NSWALC framework and approach. an effective held a strategic In this context NSWALC involving 2005 policy forum in September, executive and policy unit staff. The forum considered a number of matters including: Our decision to re-engage at the to re-engage Our decision supported by level was international organisations of Aboriginal a number the country. around delegation did so by sending a small We led by NSWALC of representatives, Johnstone, to the fifth CEO, Mr William Forum on session of the Permanent at the United Nations Indigenous Issues from 15-26 May York, Headquarters, New 2006. the fifth session of Prior to attending the Permanent Forum the NSWALC a representatives participated in on preparatory meeting held in Canberra 27-28 April. by attended was meeting This Aboriginal various of representatives organisations. government and community The meeting was a useful opportunity to raise our awareness about recent developments on Indigenous issues at the international level and also provided the chance to begin developing made to recommendations that might be the Permanent Forum. representatives, who The NSWALC attended the fifth session of the Permanent Forum, did so as part of the Australian Aboriginal Delegation. In all this delegation presented eight interventions – with CEO William Johnstone presenting on Free, Prior and Informed Consent; and Senior Policy Jason Field, presenting on Data Officer, Collection. was also a party to another two NSWALC interventions on the issue of Indigenous human rights. people’s The outcomes from the Forum were communicated in a series of network messages to the ALC network. NSW some delay has been experienced of natural resource agreements in converting this work into an effective between Aboriginal peoples and policy framework for NSWALC. various landholders; • Meeting with representatives of This is largely due to the need for the DEC in relation to proposed reforms policy officers to give their time to to the existing legal and policy dealing with various policy developments framework for Aboriginal culture and imperatives. and heritage; and

Whilst taking a proactive approach to • Monitoring developments of policy development and advocacy is recently proposed planning reforms bread and butter for the Policy Unit, and their implications for Aboriginal refining priorities and setting targets is an culture and heritage, particularly important and ongoing challenge for the with respect to the standardisation Unit and NSWALC’s Executive. of Local Environmental Plans.

Culture and Heritage Through all of these activities NSWALC has reiterated its concern regarding the Culture and Heritage remains an ongoing artificial divide that exists in relation priority for the Unit, consistent with to natural resource management and objective one of the NSWALC Business cultural heritage management. Plan. Preliminary work on examining the One of the key policy challenges faced possible options for reform to the system by NSWALC in dealing with culture and has commenced within the Strategic heritage matters is the breadth and depth Policy and Planning Unit. of inter-related issues including access to natural resources, water management This work will continue through the first and urban planning. half of the 2006/2007 financial year.

NSWALC’s policy activity in relation to It is also worth noting that during 2006 culture includes: the Aboriginal Cultural Heritage Advisory • The presentation of submissions Committee (ACHAC) was established to DEC on proposed developments and held its first meeting on 11-12 May. with respect to biodiversity, in NSWALC holds a dedicated seat on the particular the Biodiversity Bill ; ACHAC. • Participation in the Two Ways Together cultural heritage cluster A small selection of particular outcomes working party. This group is achieved by the unit in the reporting developing a framework for the period are outlined below to provide a making of access agreements with snapshot of the range of practical policy Aboriginal peoples for the purpose issues dealt with in the reporting period of collecting and using natural and the interaction between the unit and resources; other key sections of the organisation and the ALC network • Participation in the activities of the Natural Resources Advisory Committee (NRAC) particularly with

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales respect to its work on developing

90 a tool kit to assist with the making New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 91 the Pacific Highway and was provided to was provided Highway and the Pacific of Parliament. of Members a number route was preferred The RTA’s to avoid Jali land. modified subsequently how a major The case illustrates project government infrastructure interests and can threaten Aboriginal heritage values. to maintain has It shows why NSWALC quickly to assert vigilance and act rights. Aboriginal land helped to intervention has NSWALC’s educate a major government department Aboriginal land rights and about the law, improve government policy designed to outcomes for Aboriginal people. prompt, It is a good illustration of how action well targeted and coordinated and the between a LALC, Zone Office result. Policy Unit can achieve a positive Gali Toomelah Water Summit Water Gali Toomelah Toomelah the and Office Zone Western The invited Council Land Aboriginal Local to Quayle Cleonie Officer Policy NSWALC address to Summit Water a in participate water about concerns community ongoing system. sewerage the and quality The concerns were first documented in the Einfield Report, 1988. The community initiated its own local “whole of government approach” by inviting representatives to the Summit from the Moree Plains Shire Council, the the Department of Aboriginal Affairs, Department of Commerce, the Premier’s Department. Ms Quayle was one of a number of Local representatives from Toomelah Aboriginal Land Council and NSWALC who also attended. NSWALC v the RTA RTA v the NSWALC the Highway on of the Pacific The safety concern for both is a major North Coast Governments. and NSW Commonwealth involves frequently process upgrading The acquisition of private the compulsory land. the Administrator of In October 2005 the Policy Unit to the Jali LALC alerted “favoured option,” a well developed reroute the highway to of the RTA by the Jali LALC through land owned which is considered to have outstanding Aboriginal cultural sensitivity. considered that “community The RTA by interests” would be best served compulsorily acquiring the land. NSWALC The Chief Executive Officer of RTA sent a letter to the head of the not advising him that the agency could granted simply compulsorily acquire land Act under the Aboriginal Land Rights 1983. have to if it so wished, would The RTA, Act of acquire the Jali land through an firm basis Parliament. This was hardly a building on which to plan a major road project. In his letter Mr Johnstone went on to complain about the extreme concern the proposal had aroused within the RTA Aboriginal community. He also reminded the agency that the NSW Government had previously committed to the protection and support of Aboriginal cultural heritage, both as an affirmation of reconciliation between Aboriginal and non-Aboriginal people and to promote a richer cultural inheritance letter was subsequently tabled NSWALC’s before a Legislative Council Inquiry into Each organisation was asked to provide Action and Policy Association (YAPA), information on what responsibilities gave an overview of the negative and they held, what work each agency was adverse impact of the built environment carrying out, and what future work on Aboriginal children and youth needed to be carried out in Toomelah. highlighting homelessness, the growth of exclusion practices in shopping centres, The Gali Toomelah Water Summit was a the impact of the Children (Protection productive exercise. & Parental Responsibility) Act, 1997 on Aboriginal people in Moree and Ballina, It dispelled many misconceptions about and the impact of poor urban planning water quality and the work of the on Aboriginal young people and children. agencies responsible for the supply, testing and certification of the water It recommended the inclusion of young system and the sewerage system. Aboriginal people and children, and their advocates, in urban design and planning. It provided contact points for members of the Toomelah community and started Media and Marketing constructive dialogue between the Aboriginal community, government and The major focus of activity for the non-government organisations. Media and Marketing Unit during the reporting period continued to be the Each agency agreed to continue working public awareness campaign to underpin with the Toomelah community to ensure NSWALC’s response to the review of the water quality and sewerage work was Aboriginal Land Rights Act (1983) and carried out. the administrative restructure of the NSWALC played a role in managing the organisation. communities concerns and ensuring that the meeting was conducted in a The Unit also developed and launched constructive manner to ensure that work the organisations’ first Intranet, produced continues to be carried out. and distributed NSWALC’s 2004/05 Annual Report and continued to inform Parliamentary Standing the office bearers and members of Local Committee of Inquiry into Aboriginal Land Councils, and NSWALC Young People and the Built staff, through a series of regular internal Environment network messages from the Administrator and the Chief Executive Officer. NSWALC made a submission to the Parliamentary Inquiry into Young It also dealt with constant inquiries from People and the Built Environment at Aboriginal and mainstream media on the the invitation of the Commissioner for ALRA Review, land dealings and LALC Children and Young People. matters as well as a stream of email traffic from the NSWALC website seeking a wide The Inquiry sought views into the array of information on Aboriginal Affairs adequacy of present planning laws and issues. building guidelines in regard to the particular needs of children and young The Unit also assisted the Administrator people. and the Chief Executive Officer with a range of strategic public affairs issues.

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales NSWALC’s submission, which was

92 assisted by research from the Youth New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 93 the now defunct Aboriginal and Torres and Torres defunct Aboriginal the now Commission. Strait Islander mechanics of both the This involved public awareness and the those elections element. sought the also successfully NSWALC a senior public affairs secondment of to Mr Paul Molloy, officer from FaCS, liaison element of this assist in the media campaign. secondment agreed to a one year FACS of for both officers from the end 2005. November, raise The campaign was designed to awareness of the importance of electoral participation in the NSWALC processes by building on the momentum community created by NSWALC’s and consultations on the ALRA Review the ALRA the proposed amendments to which were expected in the Parliament late in the 2006 calendar year. NSWALC Community Relations Adviser Sol Bellear with Freddy Fricke Scholarship Community Relations Adviser NSWALC recipients at Parliament House Public Awareness Campaign on Campaign Awareness Public of Council Return during was also successful The Unit obtaining the period in the reporting senior public affairs services of two Department of Family officers from the Services to assist in the and Community implementation of a development and awareness campaign progressive public for the return of a to prepare by NSWALC State Council. the Minister for The decision by to set May 19, 2007 Aboriginal Affairs for the next election of State Council to provided an impetus for NSWALC implement the strategy. approached the Department of NSWALC (FaCS) Family and Community Services to seek the secondment of a highly Tatten, to Mr Roy experienced officer, Mr plan and implement the strategy. has specific skills in this area, Tatten held by having worked on every election Intranet contains our new electronic magazine, Pen-Wurru plus a photo gallery. A As reported in last year’s annual report Quickphone facility contains contact a key initiative for this unit was the details for all staff and LALCs. development and successful launch of NSWALC’s first Intranet. Initial anecdotal evidence suggested the take up rate had been very strong across This was achieved in November 2005. the organisation.

The key aim of the Intranet is a simple An online staff survey confirmed this. one. The survey asked a series of questions on It was designed to offer all staff, how often staff used the Intranet, if the irrespective of their location within the content was relevant to their day to day organisation, easy access to corporate work, the ease of navigation, and the use information in a comprehensive, logical of the Quickphone service. and thorough way. All who responded reported they used The information is designed to be the Intranet on a daily basis, particularly reliable, useful and to enhance the ability to track messages from the Administrator of all staff to better do their jobs. It is and the CEO and to check policies and now a one stop repository for a host of procedures. information which had previously been difficult to locate quickly and efficiently. A number of staff proposed minor changes to the style and content which The Intranet is an excellent avenue have since been adopted. to unify the far flung operations of an organisation such as NSWALC and Internet increase the ease, frequency and quality of inter-agency communication. The NSWALC website is an increasingly popular source of relevant information It has also created an online platform on NSWALC’s role, objectives and which NSWALC hopes can eventually be organisational structure for office bearers accessed by the wider Aboriginal land and members of the LALC network, council network. government departments, educators, . students and the general public. An online survey conducted by the Unit showed the facility was being well utilised The currency of this source material had and understood by staff. suffered due to the effective closure of the Media section before it was re- All network messages are now routinely vitalised in the previous reporting period. loaded onto the site. The Unit had planned a re-design of the website but this was deferred to give A Policies and Procedures section now precedence to the construction of the contains all current and relevant NSWALC Intranet and to await the return of an policies and procedures. elected arm in the 2006-07 financial year.

A Staff Central area contains all relevant Much of the dated content, however, was

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales HR policies, including a copy of the taken off the site in this reporting period 94 current NSWALC staff award. The site also and a considerable amount of material in New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 95 Coverage of the event featured of the event Coverage the section of in the business prominently the education Indigenous Times, National and was also of the Koori Mail section and rural in many suburban reported the Northern Daily newspapers including Independent, Lake Armidale Leader, Sydney Central Courier Macquarie News, Truth. and Barrier Daily reported on radio The event was also England, 2BS, 2TM and stations ABC New 2HD. Network Messages As mentioned above the Unit continued to seek to inform the office bearers Land and members of Local Aboriginal through staff, Councils, and NSWALC a series of regular internal network and the messages from the Administrator forty were Nearly Chief Executive Officer. issued during the reporting period. positive receive to continued Unit The messages, network the on feedback strategic explained which those particularly NSWALC when and why about decisions public in not, or intervene, to sought system. rights land the about debate has a policy of not responding, NSWALC where possible, to media debate on disputes within LALCs, or between and LALCs. It takes the view that NSWALC no-one within the land council network stands to benefit from such public conflict, other than the media. The system of network messages enables to correct media misinformation NSWALC on such disputes and on other matters without fuelling public controversy. asked often is NSWALC hand other the On to increase its dialogue with elements of the mainstream media in an attempt to in balance coverage of Aboriginal Affairs New South Wales. Promotion the Media and It largely falls to to publicly promote Marketing Unit and policies the activities, objectives network, the to the ALC of NSWALC and the wider Aboriginal community public. of a range of The part sponsorship events, including cultural and sporting concert, the annual Rugby the Yabun Yaama League Knockout Festival, the and the festival, the Deadly Awards award of the Freddy Fricke Scholarships highly visible most were among NSWALC’s promotional events for the year. also A number of small grants were and provided to a range of sporting in their community groups to assist them activities. Many promoted NSWALC’s those sponsorship contribution during activities and events. The Unit designed, desk top-published, and distributed a new promotional pamphlet for the Freddy Fricke year’s Scholarship to coincide with this in the applications, resulting in a spike number of applications received. The Unit also designed award certificates for the 2006 scholarship winners who had received grants of between $2,250 and $7,500 to assist with the payment of university fees and test books. A presentation ceremony was subsequently held in Parliament House in late May. The award presentation was made by and the Minister for Aboriginal Affairs resulted in positive media coverage for the scholarship. relation to the ALRA Review and a LALC and a LALC to the ALRA Review relation added. drive was membership When we do we are often left wondering compliance provisions of the Act. why we bother. There was also no mention of the fact The release of the Auditor General’s that the land council network was seeking Report to Parliament (Volume One) in reform of LALC compliance provisions in 2005 was a case in point. the ALRA Review, all of which had been pointed out to the journalist. NSWALC was contacted by The Australian newspaper and asked for some comments NSWALC issued a network message which on the report which the reporter stated contrasted the negative portrayal in The was “good news,” for NSWALC. Australian with the positive nature of the Auditor General’s report. He was referring to the fact that the audit of NSWALC’s financial report for the The report showed 90 of 121 LALC’s did year ended June 30, 2005 resulted in an provide satisfactory audited financial unqualified Independent Audit Report. statements, compared with 78 the year before. The report also stated that audits prior to the current year had identified systemic Nineteen of the LALC’s were and persistent problems with Council’s unsatisfactory (as reported by The financial management and many of these Australian) but this compared with 23 last had diminished during the year. year, in other words, an improvement.

The journalist said the report was less The Auditor General’s report also positive for Local Aboriginal Land contained commentary from NSWALC Councils given more than a quarter (26 which said, in part, NSWALC was per cent) had failed to lodge satisfactory encouraged by the content and tone of financial statements. the report.

NSWALC pointed out that the statistics It clearly demonstrated an did not provide a true picture of the acknowledgment by the Audit Office of administrative or operational health of the positive changes within NSWALC and Local Aboriginal Land Councils given the the wider ALC network. arbitrary compliance provisions of the ALRA. This was not reported by The Australian.

We expected this might be reflected in The message also pointed out that any article. NSWALC wanted to see the current provisions of the Act amended to avoid The Australian newspaper ran a our resources continuing to be diverted to wholly negative story on the report to simply spotting, and reporting on, what Parliament, headlined: Land Councils in amounted to minor technical “breaches” fiscal mess. of the current Act.

There was no mention of the “good Again, there was no mention of this by news,” for NSWALC, no qualification on The Australian. the statistics on Local Aboriginal Land Councils and no reference to the fact This misinformation was not confined to New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales that an increasing number of LALC’s were the mainstream media. 96 fulfilling their obligations under the New South Wales Aboriginal Land Council • Annual Report 2003-2004 Mr.Mundine and Councillor Bird had and Councillor Mr.Mundine to NSWALC attempt to contact made no matter. discuss the seeking an letters to both wrote NSWALC their actions and lack of explanation for NSWALC. consultation with They went unanswered. were also used to Network messages in relation to consistent correct the record Chairperson of one claims by the then Land Council that an Local Aboriginal as a investigator had been appointed result of “malicious and false rumours.” advised the network the NSWALC for a Investigator had been appointed number of reasons. of the These included the fact that two question office bearers of the LALC in two had sought the appointment, and entity independent directors of a related had resigned, with one citing concerns the about corporate governance and behaviour of the then Chairperson. offered The then Chairperson was twice the opportunity to have independent the other mediation between himself and two office bearers. He rejected both offers. Concerns had also been expressed by the LALCs auditors about being denied access to financial records. Administrator and Chief The NSWALC Executive Officer have both sought to find new and improved ways of communicating with the ALC network. be to proved have messages network The so. doing of ways effective most the of one that the is concerned, however, NSWALC messages are not being received by all LALC members in a timely and efficient A report in The Australian in November in November in The Australian A report claims that a series of spurious sparked deal into a “secret” had entered NSWALC to force Local Macquarie Bank with the to only deal Land Councils Aboriginal if they were considering with that bank land. developing their later acknowledged its The newspaper deal were wrong. reports on the alleged the Chief Executive This did not stop Title Wales Native South Officer of New Mundine, Warren Services Limited, Land writing to all Local Aboriginal had been Councils claiming NSWALC LALCs in “remiss,” in not consulting with on an “open and transparent,” matter the issue. of At about the same time the President the NSW Local Government Aboriginal issued Network, Councillor Barry Bird, that a media statement which reported meeting of the LGAN an “emergency,” to discuss Executive had been convened the “secretive dealings,” between and Macquarie Bank and it NSWALC “actions.” condemned NSWALC’s a member of is staff One of Mr Mundine’s the LGAN Executive. Mr Bird When contacted by NSWALC refused to reveal who had called the emergency meeting. He also refused to with the minutes of the provide NSWALC meeting. He did confirm that the only documentation circulated to members of the LGAN Executive before the meeting were a number of speculative articles which had appeared in The Australian. He said he was unaware that NSWALC had issued a network message to all LALCs well before the LGAN Executive meeting which stated there was no “deal.” New South Wales Aboriginal Land Council • Annual Report 2003-2004 these grants. individual grantsof$5,000ormoreandabriefdescriptionthepurposeeach Aggregated detailsofgrantslessthan$5,000areprovidedbelow, aswellalistingof 2004/2005). in severalcategories,totalling$597,2862005/2006(comparedwith$924,563 The secondcategoryisothergrantstocommunityorganisationsandindividuals expenses oftheCouncils,andalsoforCouncilapprovedcapitalacquisitions. These allocationsareusedprimarilyasacontributiontowardtheannualoperational $10,127.332 in2005/2006($0.355mtoRALCsand$9.792mLALCs). annual allocationoffundstoRegionalandLocalAboriginalLandCouncils,totalling There aretwomajorcategoriesoffunds,thefirstandbyfarlargestcategoryis Funds GrantedtoCommunityOrganisations members. in thenewfinancialyeartoseekbuildanemailgroupdeliverthemdirect manner underthepresentmeansofdistribution.TheMediaandMarketingUnitplans iceinr 134,436 11 Discretionary * aeoyNme Amount Number Category uea 2 527,850 328 Funeral oa 6 562,286 368 Total Minor Grants(<&=$5000) New South Wales Aboriginal Land Council • Annual Report 2003-2004 15,000 35,000 Amount $ Amount 69,436 597,286 527,580 Amount $ Purpose 13 341 328 Number League Project ARL Indigenous Rugby ARL Indigenous Sponsorship of ActivitiesSponsorship of 20,000 2004/2005 2005/2006 (Major & Minor) SUMMARY TOTAL OF ALL GRANTS OF ALL GRANTS TOTAL SUMMARY MAJOR GRANTS ( $5000 AND ABOVE) GRANTS ( $5000 MAJOR Total Funeral Payee Category Discretionary Corporation Total of Major Grants of Total National Aboriginal Sports National Aboriginal Australian Rugby League Ltd Australian Rugby The staff of NSWALC’s Legal Services Unit. Legal Services of NSWALC’s The staff New South Wales Aboriginal Land Council • Annual Report 2003-2004 neither NSWALC nor MMLALC were Commission). As a result of the settlement, Human Rights and Equal Opportunity a complaint made by MMLALC to the proceedings which were on foot (including a favourable settlement of all of the matter, were instrumental in negotiating with NSWALC’s external solicitors in this The LSU and the Northern Zone, working Court objecting to the notice. Council in the Land and Environment commenced proceedings against Kyogle Special Water Rate. In response, NSWALC to s.44A of the ALRA in respect of the served a notice on NSWALC further On about 23 June 2005, Kyogle Council of time. basis that the appeal had been lodged out ultimately unsuccessful in doing so on the the Land and Environment Court, but was lawfulness of the Special Water Rate in MMLALC disputed the validity and approximately $325,000. amount sought by Kyogle Council was Aboriginal Land Council (‘MMLALC’). The relation to land owned by Muli Muli Local period 1 July 2003 until 30 June 2004 in Rate (the ‘Special Water Rate’) for the the Muli Muli Water Supply Special Water On 16 June 2003, Kyogle Council made of 2005 Environment Courtproceedings 40803 NSWALC vKyogleCouncil-Landand Muli LocalAboriginaland reporting period. legislation governing NSWALC during the No actual amendments were enacted to cases. Many relate to long running commercial ended. matters on hand as this reporting period NSWALC had a large number of legal Legal MattersandChanges application for s.40D approvals for the in relation to their handling of NLALC’s of NSWALC had behaved appropriately the Court noted that the relevant staff a number of grounds. In the judgment, and 19 October 2006 in NLALC’s favour on parts) was handed down on 6 September and the decision (which was split into two The proceedings were heard in July 2005 the course of the proceedings. NLALC’s favour was adduced throughout which supported all the arguments in therefore considered crucial that evidence decision which was not in its favour. It was stages that it would seek to appeal any MyMurra had indicated at all relevant MyMurra. significant commercial disadvantage to was on terms which placed NLALC at a entered into in June 2002. The DMDA of Agreement (‘DMDA’) which had been of a Development Management Deed MyMurra following NLALC’s termination The proceedings were commenced by MyMurra. joined as a party to those proceedings by (‘MyMurra’). NSWALC was subsequently later changed its name to MyMurra Pty Ltd whose directors include Mr Martin Burke, Pty Ltd, a land development company Land Council (‘NLALC’). Redglove Projects against the Ngunnawal Local Aboriginal then known as Redglove Projects Pty Ltd commenced by a proprietary company These Supreme Court proceedings were 2004 - Supreme Court proceedings 1984 of Council Supreme Court proceedings Ngunnawal Local Aboriginal Land NSWALC. successful outcome for both MMLALC and This was therefore considered to be a very the Special Water Rate. required to pay any amount in respect of New South Wales Aboriginal Land Council • Annual Report 2003-2004 Claim. As a result, many arguments raised arguments many result, a As Claim. NSWALC’s advisers about legal by DLALC’s were dropped. conduct heard by the Chief were The proceedings and Environment Justice of the Land basis over 6-7 Court on an expedited and the decision was December 2005 2 June 2006. handed down on against DLALC and Mr The Court found proceedings in relation Aidon in those they raised. to all of the arguments the Court found that DLALC Specifically, procedural fairness in had been afforded Minister to respect of any decision by the appoint an administrator to DLALC. that Whilst it is regarded as unfortunate brought proceedings of this nature were before the Courts, it is nevertheless regarded as an achievement that under exercise of its function NSWALC’s Act s.222 of the Aboriginal Land Rights was not able to be subject to criticism in such proceedings. Land claims 2005/2006 with conjunction in worked has LSU The solicitors external and Unit Rights Land the the by refusals of appeal the to relation in claims land grant to Lands for Minister Local of behalf on NSWALC by brought (LALCs). Councils Land Aboriginal NSWALC year, financial 2005/2006 the In refusal Minister’s the of appeals 30 lodged These LALCs. of behalf on claims land of of sets 12 into merged been have appeals Environment and Land the in proceedings Court. these in involved been has LSU The external instructing by both appeals the of conduct the to relation in solicitors whether analysing itself by and appeals Land the in commenced be should appeals Court. Environment and were which claims land the of 3 date, To In November 2005, the Darkinjung In November 2005, the Darkinjung (DLALC) Local Aboriginal Land Council and Damein Aidon (CEO of DLALC) NSWALC commenced proceedings against Affairs and the Minister for Aboriginal The in the Land and Environment Court. decision by proceedings sought to avoid a the Minister to appoint an administrator to DLALC relying on matters contained Kelly who in a report prepared by Tim of DLALC had conducted an investigation under s.216 of the Aboriginal Land Rights Act. had Both the Minister and NSWALC previously written to DLALC offering DLALC the opportunity to be heard in relation to any proposed decision to appoint an administrator to DLALC. DLALC and Mr Aidon sought to challenge any appointment of an administrator grounds, based on a number of different including that DLALC had not been procedural fairness. afforded The LSU and its external legal advisers worked together to defend NSWALC against the specific allegations made original Points of against it in DLALC’s Darkinjung Local Aboriginal Land Darkinjung Local Aboriginal the Council and Damein Aidon v - Land and Minister and NSWALC 41363 Court proceedings Environment of 2005 application for s.40D approvals for the the for approvals s.40D for application 2003. and 2002 of course the over DMDA successful earlier NLALC’s of Because NLALC costs, for security for application order costs the up follow to able now is favour, its in made eventually was which into paid was that money the against proceedings the of part early the in Court MyMurra. by successful very a be to considered was This NLALC. and NSWALC both for outcome New South Wales Aboriginal Land Council • Annual Report 2003-2004 ranks atbothHeadOffice andRegional revamping ofthesenior management Foremost amongthese hasbeenthe 20 yearhistory. administrative changestoNSWALC’s in its continuation ofthemostsignificant The 2005/2006reportingyearsawa Management andActivities successfully. rein inspendingordertokeeptrading portfolio, managedtotrimcostsand organisations withadiversified where possible,and,likemanyother NSWALC alsoreducedexpenditure, earnings. assisted inincreasingtheorganisation’s NSWALC’s HeadOfficebuildingalso Increased commercialreturnsfrom NSWALC StatutoryInvestment Fund. improvement inthebasevalueof during 2005/06,deliveringasustained World stockmarketscontinuedtorecover Economic Factors but noresponsewasreceived. requested paymentfromtheapplicants 30, 2006.InthethreeothercasesNSWALC Three ofthecaseswereresolvedbyJune during thereportingperiod. six FreedomofInformationapplications NSWALC’s LegalServicesUnitdealtwith Freedom ofInformation process willbecultivatedandimproved. capacity tobeinvolvedintheappeals that, overthatperiod,theLSU’s internal the courseof2006-2007.Itisanticipated ongoing role in the appeal process over It is anticipated that the LSU will have an claimed land being granted. resulting in at least some part of the appealed by NSWALC have been settled including itslandclaimsstrategy. development projectsduringtheyear, a numberofmajorresearchand As earlierreportedNSWALC outsourced endorsement. policy positionsforCouncil/Administrator array ofcommitteesanddevelopeddraft A small team of skilled officers serviced an and developmentrolewithinNSWALC. The SPPUassumedtheprincipalresearch Research &Development reporting period. NSWALC duringthecourseofthis Industrial RelationsCommissioninvolving There werenohearingsbeforethe who wishtoleave. redundancies haveaccommodatedall restructure androundsofvoluntary regarding thepotentialimpactof All staff continuedtobe consulted on anewStaff Award. the reportingperiodwasagreement industrial relationsdevelopmentduring As reportedearlierthemostsignificant developments Industrial Relations standards. adopted morerigorousaccounting The organisationhasalsoprogressively Local AboriginalLandCouncils. intensive assistancetoourkeyclients,the corporate structurewhichfocuseson levels andtheadoptionofanew

New South Wales Aboriginal Land Council • Annual Report 2003-2004 66,500 31,225 89,258 69,098 302,634 133,180 435,814 Amount Paid $ 13 18 Fund Standard Consultations Title of Project Advice on Adoption of Number of Consultants Paid $ Total Number of Consultants Paid $ Total Australian Equivalent to International Accounting ALRA Review Community ALRA Review Community Review of NSWALC Investment Review of NSWALC above Services Name of Consultant Total All Consultants Total Consultants < $30,000 Watson Wyatt Consulting Watson Reflex Business Consulting (Projects $30,000 & above) (Projects Badge 90 Consulting Services Badge 90 Consulting Total amounts paid $30,000 & Total Orange Management Services Software Systems Corpalign 46,554 Michael Collins and Associates Property Consultation List of Consultants List of value projects at a total consultants on eighteen engaged NSWALC During 2005/2006, in cost of $737,720 at a total nineteen consultants with a total of 814 compared of $435, were on the government-initiated areas of work The major year. financial the previous Fund, and Property Consultation. Investment a review of the NSWALC ALRA Review, the with the requirements of is supplied in accordance The following breakdown amended. (Statutory Bodies) Act 1984, as Annual Reports New South Wales Aboriginal Land Council • Annual Report 2003-2004 during 2005/2006 people inseniormanagementpositionsandmoregenerallywithintheorganisation NSWALC continuedtoseekpromotetheparticipationofwomenandAboriginal EEO the 13NSWALC CouncillorsweresackedbyMinister RefshaugeinNovember2003. have beenamendedtoseparatelyreflectboth CouncillorsandNSWALC staff. Notethat included Councillorswithinthestaff count.Thefiguresforeachofthe yearsabove * PleasenotethatpreviouseditionsoftheNSWALC AnnualReport(to 2002)have oa eirMngmn 21 Total SeniorManagement All Staff PlusCouncillors oa diitaie56 Total Administrative Administrative Staff Executive &Senior Management Total Council Councillors Aboriginal Aboriginal Aboriginal Total Staff Disability Female Female Female Female NESB Male Male Male Male Year 0220 0320 0420 2005/2006 2004/2005 2003/2004 2002/2003 12 14 13 20 13 36 46 29 44 90 55 1 7 4 3 12 17 22 33 55 34 29 38 72 38 0 0 0 5 9 4 1 11 15 27 28 55 38 22 32 70 26 0 0 0 4 4 3 2 12 15 30 29 59 42 26 32 74 33 0 0 0 3 7 7 2 New South Wales Aboriginal Land Council • Annual Report 2003-2004 500 100 100 $ ‘000 35,382 40,000 Sum Insured Sum Insured Market Value Type of Policy Type Personal Accident Public Product liability Industrial Special Risks Machinery Breakdown Motor Vehicle (45 vehicles) Motor Vehicle Group Journey Personal Accident Umbrella (anything not covered below) 10,000 Elders Name of Insurer Risk Management/Insurance insurance: following the holds NSWALC NSWALC continues to take steps to expedite payments by encouraging regular service service regular encouraging by payments expedite to steps take to continues NSWALC payment.. prompt enable to accounts their of payment EFT for register to providers controls internal of implementation and development the to approach systematic A the accompanying Letter Management the in items of number the reduce helped has Report. Audit General’s Auditor were Reports Audit previous several over Letters Management in raised points All compliance. ensure to “checklists” of series a into incorporated action and considered Accounts Payment Policy & Practice & Policy Payment Accounts Service Standards Service toward directed been had period reporting this during effort NSWALC’s Aboriginal of part Local 121 major of The network the group, client major its to delivery mandated now service are improving standards reporting and accountability improved While provide to Councils. able be Land must it that view the taken has NSWALC ALRA, the amended with the comply under can they that ensure help to LALCs to delay support of undue no is standard high there a that compliant, are they where that, and Act financial the for of applications requirements determining in grants, operating the their meet of to payments bearers office processing new in assist to training suitable providing in or assistance, legal or position. their of demands the to relation in particularly period, reporting the during NSWALC by made progress The Operations. of Review the in detailed is structure, Zone new Land Disposal Land auction public than other means by of disposed was $5m than more at valued land No period. reporting the during New South Wales Aboriginal Land Council • Annual Report 2003-2004 number ofworkers’compensation claimscomparedtopreviousyears. reduced significantlyin linewithpreviousyears.Therewasnosignificant changeinthe In thisreportingperiod, thenumberofworkrelatedinjuries/illnesses reportedwere Occupational HealthandSafety Total Cases continuing&carriedforwardto2005/2006 Cases completed Total New casesthisperiod Cases broughtforwardfrom2004/2005 REHABILITATION Open claimscarriedforwardto2005/2006 Total Provisional Liability Liability accepted&claimcontinuing Claims declined/underinvestigation Claims finalised Claims statusat30.6.06 Total New claimsthisperiod Claims broughtforwardfrom2004/2005 WORKERS COMPENSATION CLAIMS Total At workawayfromtheworkplace On thejourneyto/fromwork At theWorkplace Where InjuriesOccurred Total Struck stationeryobject Slips, Trips &Falls Nature ofAccidents Number reported WORK RELATED INJURY &ILLNESS WORK RELATED INJURY WORKERSCOMPENSATION andREHABILITATION 2005/2006 0 0 2 2 0 2 3 8 0 3 0 5 8 0 8 3 1 1 1 3 1 2 3 New South Wales Aboriginal Land Council • Annual Report 2003-2004 Financial Statements New South Wales Aboriginal Land Council • Annual Report 2003-2004 Notes toandformingpartoftheFinancialStatements. Cash FlowsStatement. Statement ofChangesinEquity. Balance Sheet. Income Statement. Statement byAdministrator. Independent AuditReport. Contents

1. StatementofSignificantAccountingPolicies. 2. Cashandcashequivalents. 8. Intangibleassets. 7. Investmentproperty. 6. Property, plant&equipment. 5. Financialassets. 4. Receivables. 3. Biologicalassets. 9. Artefacts. 10. Payables. 12. Total equity. 11. Provisions. 16. Otherfinancialassetsandpropertyrevaluations. 15. Interestandotherfinancialassetsincome. 14. Contingentassetsandliabilities. 13. Commitments. 26. Liabilityastrustee. 25. Notetocashflowsstatement. 24. Otherexpenses. 23. Fundingofregionalandlocalaboriginallandcouncils. 22. Employeeexpenses. 21. Auditfees. 20. Revenuesfromgovernment. 19. Profit(loss)ondisposalofproperty, plant&equipment. 18. Otherincome. 17. Rent. 28. Financialinstruments. 27.  toequityunderaeifrs. Reconciliation ofequityunderexistingstandards(agaap) ...... 113 ...... 138 ...... 112 ...... 131 ...... 132 ...... 127 ...... 132 ...... 139 ...... 115 ...... 136 ...... 138 ...... 128 ...... 137 ...... 109 ...... 140 ...... 131 ...... 111 ...... 142 ...... 131 ...... 139 ...... 114 ...... 145 ...... 143 ...... 127 ...... 129 ...... 139 ...... 141 ...... 137 ...... 138 ...... 116 ...... 138 ...... 139 ...... 138 116 127 New South Wales Aboriginal Land Council • Annual Report 2003-2004 New South Wales Aboriginal Land Council • Annual Report 2003-2004 New South Wales Aboriginal Land Council • Annual Report 2003-2004 New South Wales Aboriginal Land Council • Annual Report 2003-2004 The accompanyingnotesform partofthesefinancialstatements. Other Expenses Repairs andMaintenance Motor Vehicle Expenses Loss onDisposalofPropertyPlant&Equipment Legal Expenses Grants Funding ofRegionalandLocalAboriginalLand Employee Expenses Bad &DoubtfulDebts Amortisation -IntangibleAssets Depreciation andAmortisation Enterprise andFarmExpenses Consultants Fees Administrators Fees Investigators Fees Audit Fees Grants andSubsidies Gains onDisposalofPropertyPlant&Equipment Other Income Rent Net IncrementonInvestmentRevaluation Interest andInvestmentIncome Revenues from ordinary activities FOR THEYEARENDED30JUNE2006 INCOME STATEMENT NEW SOUTHWALES ABORIGINAL LANDCOUNCIL Revenues from government SURPLUS FORTHEYEAR Total Expensesfrom ordinary activities Expenses from ordinary activities Total Revenues oe$00$’000 $’000 Note 20 19 18 17 16 15 24 19 23 22 21 8 6 78472,115 77,854 66,505 70,283 83645,471 26,949 48,326 29,533 11,235 10,128 72,420 77,859 062005 2006 ,6 5,022 2,864 3,868 ,3 2,608 2,935 7,241 7,335 ,2 1,201 1,422 2,497 2,100 839 642 248 551 302 598 436 231 18 90 5 - - 305 541 501 203 210 722 752 293 925 738 238 48 33 14 34 - New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 113 34 60 60 636 228 754 67 67 541 131 217 793 2006 2005 1,401 6,205 8,628 6,454 2,842 3,191 2,7833,576 2,634 3,388 3,643 3,448 18,43810,695 18,667 10,350 32,323 32,470 12,773 33,797 616,147626,717 564,467 577,762 659,040 610,232 655,397 606,784 642,624655,397 572,987 606,784 2 3 4 5 6 7 8 9 4 10 11 11 12 12 Note $’000 $’000 The accompanying notes form part of these financial statements. financial these of part form notes accompanying The NEW SOUTH WALES ABORIGINAL LAND COUNCIL LAND ABORIGINAL WALES SOUTH NEW SHEET BALANCE 30 JUNE 2006 AS AT CURRENT ASSETS Cash and cash equivalents Biological Assets Receivables Financial Assets Total Current Assets Current Total NON-CURRENT ASSETS Plant and Equipment Property, Investment Property Intangible Assets Artefacts Receivables Total Non-Current Assets Non-Current Total ASSETS TOTAL CURRENT LIABILITIES Payables Provisions Liabilities Current Total NON CURRENT LIABILITIES Provisions Liabilities Non-Current Total LIABILITIES TOTAL NET ASSETS EQUITY Reserves Accumulated Funds Equity Total NEW SOUTH WALES ABORIGINAL LAND COUNCIL

STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 30 JUNE 2006 2006 2005 Note $’000 $‘000

Total equity at the beginning of the financial year 12 606,784 552,046

Net increase / (decrease) in property, plant and equipment asset revaluation reserve 12 287 (13) Available for sale financial assets - Valuation gains / losses 12 - 9,280

Adjustment on the adoption of AASB 132 and AASB 139 to: Accumulated Funds 21,311 - Reserves (21,311) -

TOTAL INCOME AND EXPENSE RECOGNISED DIRECTLY IN EQUITY 287 9,267 Surplus / (Deficit) for the Year 48,326 45,471 TOTAL INCOME AND EXPENSE RECOGNISED FOR YEAR 48,613 54,738 Accumulated Funds 12 642,624 572,987 Reserves 12 12,773 33,797 655,397 606,784

The accompanying notes form part of these financial statements. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

114 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 115 541 305 164 5 839 209 (461) (429) 2006 2005 4,650 3,836 6,205 1,689 72,538 64,355 16,842 38,212 (4,804) 4,516 (31,077) (30,144) (68,349) (72,324) (51,759) (34,377) 25 46,955 38,893 25 1,401 6,205 Note $’000 $’000 The accompanying notes form part of these financial statements. The accompanying notes form part of NEW SOUTH WALES ABORIGINAL LAND COUNCIL LAND ABORIGINAL WALES SOUTH NEW STATEMENT CASH FLOWS JUNE 2006 YEAR ENDED 30 FOR THE Cash flows from operating activities operating Cash flows from Income Interest and Investment Rent and Outgoings Receipts from customers receipts Operating grants and employees Payments to suppliers by operating activities Net cash provided investing activities Cash flows from Purchase of Financial Assets Plant and Equipment Purchases of Property, Assets Proceed from Disposals of Financial Plant and Equipment Sale Proceeds Property, Net cash used in investing activities in cash held Net increase Cash at the beginning of the year Cash at end of year NEW SOUTH WALES ABORIGINAL LAND COUNCIL

Notes to and forming Part of the Financial Statements for the year ended 30 June 2006

1. STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

The Financial Statements are a general purpose financial report that have been prepared in accordance with applicable Australian Accounting Standards, Urgent Issues Interpretations, other authoritative pronouncements of the Australian Accounting Standards Board and the requirements to the Public Finance and Audit Act 1983, Public Finance and Audit Regulation 2005, Treasurer’s Directions and the New South Wales Aboriginal Land Rights Act 1983.

The financial report covers the New South Wales Aboriginal Land Council as an individual entity. New South Wales Aboriginal Land Council is a Statutory Body constituted by the Aboriginal Land Rights Act 1983.

The financial report of New South Wales Aboriginal Land Council as an individual entity complies with all applicable Australian equivalents to International Financial Reporting Standards (AIFRS).

The following is a summary of the material accounting policies adopted by the Council in the preparation of the financial report. The accounting policies have been consistently applied, unless otherwise stated.

BASIS OF PREPARATION

First-time adoption of Australian Equivalents to International Financial Reporting Standards

The Council has prepared financial statements in accordance with the Australian equivalents to International Financial Reporting Standards (AIFRS) from I July 2005.

In accordance with the requirements of AASB 1: First-Time Adoption of Australian equivalents to International Financial Reporting Standards, adjustments to the accounts resulting from the introduction of AIFRS have been applied retrospectively to 2005 comparative figures with the exception of AASB132 Financial Instruments: Disclosure and Presentation and AASB139 Financial Instruments Recognition and Measurement. As a result, comparative information for these two standards is presented under the previous Australian Accounting Standards which applied to the year ended 30 June 2005. The basis used to prepare the 2004-2005 comparative information for financial instruments under previous Australian Accounting Standards is disclosed in Note 1(c)(ii) and Note 1(c)(iii). The Financial Instrument accounting policies for 2005-2006 are specified in Note 1(c)(ii) and Note 1(c)(iii).

This is the first financial statements of New South Wales Aboriginal Land Council to be prepared in accordance with AEIFRS.

The accounting policies set out below have been consistently applied to all years New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales presented. 116 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 117 Income on Financial Assets investment or of, provision the for consideration receive to right a of Control of recognised as income. Refer Note 1(c) (iii) for the basis been has assets in, measurement and accounting. income Interest 2006 June 30 ended Year interest method. accrues using the effective Revenue is recognised as interest amortised cost of a financial asset and This is a method of calculating the the relevant period using the effective allocating the interest income over discounts estimated future cash receipts interest rate, which is the rate that asset to the net carrying amount of through the expected life of the financial the financial asset. 2005 ended 30 June Year established. Interest revenue is recognised when the right to receive payment is Note 5. Interest is earned on the Financial Assets on the basis specified in Rent over the lease Income from property rentals is recognised on a straight line basis term. Assets Disposal of Non-Current Control of the goods has passed to the buyer. Grants and Subsidies the Grants and subsidies from other bodies are recognised as revenue when is Control entity obtains control over the assets comprising the grant or subsidy. normally obtained upon the receipt of cash. Revenue is recognised to the extent that it is probable that the economic benefits will Revenue is recognised to the extent can be reliably measured. The following specific flow to the entity and the revenue before revenue is recognised. recognition criteria must also be met (i) (ii) (iii) (iv) (v) Revenue Recognition

(a) ACCOUNTING POLICIES ACCOUNTING Reconciliations of AEIFRS equity and operating results for 30 June 2005 to the balances June 2005 to the results for 30 equity and operating of AEIFRS Reconciliations AEIFRS are at transition to report and June 2005 financial in the audited 30 reported in Note 27. detailed in and are expressed thousand dollars to the nearest one are rounded All amounts Australian currency. Conventions Reporting Basis and basis and is based on historical has been prepared on an accruals The financial report and assets, and financial assets the revaluation of selected non-current costs modified by accounting has been applied. for which the fair value basis of financial liabilities (b) Expenses All expenses incurred on an accrual basis are recognised as expenditure for the year to the extent that the entity has benefited by receiving goods or services and the expenditure can be reliably measured. The following specific recognition criteria must also be met before expenditure is recognised.

(i) Employee Expenses Employee expenses includes salaries and wages incurred for the year, workers compensation insurance premium for the year and 9% defined contribution paid for employees under defined contribution scheme. In addition, the expenses under defined superannuation scheme, annual leave and long service leave expenses are charged as stated in Note 1(j).

(ii) Depreciation and Amortisation Expenses Depreciation is provided for on a straight-line basis for all depreciable assets so as to write off the depreciable amount of each depreciable asset as it is consumed over its estimated useful life to the Council.

The depreciation rates used for each class of depreciable assets are:

Class of Fixed Asset Depreciation Rate Land is not depreciated. Buildings 3. 33% Motor vehicles 20. 00% Computer equipment 33. 33% Other Equipment, Furniture and Fittings 20. 00%

An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its estimated recoverable amount.

Intangible assets are amortised on a straight line basis over its estimated useful life to the Council.

(iii) Funding of Regional and Local Aboriginal Land Councils Funding for Regional and Local Aboriginal Land Councils is charged to the Income Statement as per the agreed amount of allocation paid or payable for the year as per the funding agreement. If Regional and Local Aboriginal Land Councils are in breach of statutory requirements, only essential payments were made as per the Aboriginal Lands Right Act 1983 and expensed in the Income Statement as Funding of Regional and Local Aboriginal Land Councils Expenses.

(iv) Grants The Council pays grants as a voluntary transfer, not an in substance agreement. Therefore they are expensed when the payments are made.

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales (c) Financial Instruments Financial Instruments give rise to positions that are financial assets or liabilities (or 118 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 119 Provision for Loss on Mortgages Provision Cash and Cash Equivalents comprise cash at bank and in deposits in the Balance Sheet Cash and short-term maturity of three months or term deposits with an original hand and other short less. of consist equivalents cash and cash Statement, Flow Cash the of purpose the For outstanding bank overdrafts. as defined above, net of cash and cash equivalents The bank for $100K. MasterCard facility with Westpac The Council has a at 30 June 2006. The Council has a Leasing MasterCard facility was not in used facility had an unused amount bank for $500K. The Leasing facility with Westpac of $355K at 30 June 2006. Loans and Receivables paid on behalf of Local Aboriginal Land Loans and receivables include rates Aboriginal 44A of the New South Wales Councils in accordance with Section loans. Loans and receivables are non- Land Rights Act 1983 and approved or determinable payments that are not derivative financial assets with fixed of debtors is reviewed on an ongoing quoted in an active market. Collectability uncollectible are written off. basis. Debts which are known to be carry interest at an agreed rate, loans to Local Aboriginal Land Councils Term average interest rate Weighted whilst other receivables earn no interest. applicable was 5.72% (4.76% in 2004-2005). ended 30 June 2006 Year initially at fair value, usually based on the Loans and receivables are recognised measurement is at amortised cost transaction cost or face value. Subsequent interest method, less an allowance for any impairment of using the effective measured at receivables. Short-term receivables with no stated interest rate are of discounting is immaterial. Gains the original amount paid where the effect are and losses are recognised in profit or loss when the loans and receivables derecognisedor impaired, as well as through the amortisation process. is An allowance for impairment of receivables is established when there due. objective evidence that the entity will not be able to collect all amounts 2005 ended 30 June Year date. All loans and receivables are recognised as amounts receivable at balance amount An estimate for doubtful debts was made when collection of the full reviewed was no longer probable. All amounts due at 30 June 2005 have been and were considered to be collectable. • Note 5 refers to a number of mortgage loans made by the Council as part of its Note 5 refers to a number of mortgage loans made by the Council equity instruments) of the Council. These include cash at bank, debtors, financial assets debtors, financial include cash at bank, Council. These of the equity instruments) and payables. at net fair value. and are carried recorded at cost instruments are Classes of (i) (ii)

investment operations. Where settlement date has passed and the loan is considered to be in default, the Council provides for a loss on these mortgages on the basis of the difference between the mortgage balance owing and the advised likely realisable value obtained at a mortgagee sale.

• Interest and Costs Once a mortgage loan has defaulted, the Council does not continue to accrue interest charges on the balance outstanding. Similarly, where the margin between recent valuations of the mortgaged property and the balance outstanding is narrow, or, in deficit, legal and other costs associated with investigating and negotiating settlement of balances owed to the Council are not accrued as part of the balance outstanding.

The credit risk is the carrying amount (net of any allowances for doubtful debts).

(iii) Financial Assets Financial Assets comprise of short term commercial paper and units acquired in the Chifley Investment Fund an individually managed portfolio and a mortgage fund owned by the Council.

The credit risk of the Financial Assets is limited to the amount carried in the Balance Sheet at 30 June 2006.

Financial Assets were measured on the following basis:

Year ended 30 June 2006

Financial assets in the scope of AASB 139 “Financial Instruments: Recognition and Measurement” are classified as either financial assets held for trading, held-to-maturity investments, or available-for-sale investments, as appropriate. When financial assets are recognised initially, they are measured at fair value, plus, in the case of investments not at fair value through profit or loss, directly attributable transaction costs. The Council determines the classification of its financial assets after initial recognition and, when allowed and appropriate, re- evaluates this designation at each financial year-end.

All regular way purchases and sales of financial assets are recognised on the trade date i.e. the date that the Council commits to purchase the asset. Regular way purchase or sales are purchases or sales of financial assets under contracts that require delivery of the assets within the period established generally by regulation or convention in the marketplace.

• Financial assets held for trading Financial assets classified as held for trading are included in the category `financial assets at fair value through profit and loss’. Financial assets are classified as held for trading if they are acquired for the purpose of selling in the near term. Gains or losses on investments held for trading are recognised in the profit or loss.

• Held-to-maturity investments New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Non-derivative financial assets with fixed or determinable payments and fixed 120 maturity are classified as held-to-maturity when the Council has the positive New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 121 Available-for-sale investments Available-for-sale intention and ability to hold to maturity. Investments that are intended to to are intended that Investments to maturity. and ability to hold intention measured at amortised are subsequently such as bonds, be held-to-maturity, minus principal initially recognised as the amount cost is computed cost. This the effective amortisation using the cumulative plus or minus repayments, amount recognised between the initially of any difference interest method all fees and points paid amount. This calculation includes and the maturity an integral part of the parties to the contract that are or received between and discounts. costsand all other premiums interest rate, transaction effective losses are recognised in the at amortised cost, gains and For investments carried or impaired, as well as when the investments are derecognised profit and loss process. through the amortisation • Available-for-sale investments are those non-derivative financial assets that are those non-derivative financial investments Available-for-sale not classified as any of the three or are are designated as available-for-sale investments recognition available-for-sale preceding categories. After initial or losses being recognised as a separate are measured at fair value with gains is derecognised or until the component of equity until the investment at which time the cumulative gain or investment is determined to be impaired, is recognised in profit or loss. loss previously reported in equity are actively traded in organised financial The fair value of investments that to quoted market bid prices at the close markets is determined by reference date. For investments with no active market, of business on the Balance Sheet techniques. Such techniques include fair value is determined using valuation reference to the current market length market transactions; using recent arm’s is substantially the same; discounted cash flow value of another instrument that analysis and option pricing models. ended 30 June 2005 Year at fair value. Revenue and expenses arising These financial assets were valued recognised on an accrual basis. All realised from financial instruments were unrealised gains/losses (revaluation to market gains/losses (interest received) and value) were recognised in the Income Statement. were All revaluations to market value, including revaluation of unit prices with brought to account as a revaluation of non current assets in accordance Australian Accounting Standard AASB 1041 “Accounting for the Revaluation in the asset of Non-Current Assets” and any change in values were recognised revaluation reserve. as recognised are received fee) management of (net trust unit by Distribution accordance with industry practice. in income interest fixed owned wholly the from income Assets Financial Other deriving In accretion receipts subject to the amortisation of premium and coupon portion, of discounts, were recognised as income.

(iv) Trade and Other Payables

Year ended 30 June 2006

Trade and other payables are carried at fair value and represent liabilities for goods and services provided to the Council prior to the end of the financial year that are unpaid and arise when the Council becomes obliged to make future payments in respect of the purchase of these goods and services.

Year ended 30 June 2005

Liabilities (other than for employee entitlements) are recognised for amounts due to be paid in the future for goods and services received, whether or not invoiced. Amounts owing to suppliers (which are unsecured) are settled in accordance with the policy set out in Treasurer’s Direction 219. 01, which allows the Minister to award interest for late payment.

If trade terms are not specified, payment is made no later than the end of the month following the month in which an invoice, or statement, is received.

(d) Inventories Inventories are valued at the lower of cost or net realisable value. Biological assets are valued at its fair value less estimated point-of-sale costs.

(e) Property, Plant and Equipment Each class of property, plant and equipment is carried at cost or fair value less, where applicable, any accumulated depreciation and accumulated impairment losses.

Each item of plant and equipment costing or valued at $500 and above is capitalised. Property, plant and equipment purchased during the year is capitalised at cost. Assets granted or transferred to the control of the Council were valued at fair value and capitalised as an asset.

Revaluations Following initial recognition at cost, land and buildings are carried at a revalued amount which is the fair value at the date of the revaluation less any subsequent accumulated depreciation on buildings and any subsequent accumulated impairment losses.

The fair value of land and building are determined in accordance with the “The Valuation of Physical Non-Current Assets at Fair value” (TPP 05-3), This policy adopts fair value in accordance with AASB 116 “Property, Plant and Equipment” for financial years beginning on or after 1 January 2005. There is no substantive difference between the fair value valuation methodology and the previous valuation methodology adopted in the NSW public sector.

The Australian Valuation Office valued all properties as at 30 June 2004.

Plant and Equipment (Furniture & Fittings, Computer Systems and Computer Equipment) are carried at cost less accumulated depreciation. The net book value

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales represents fair market value as at the balance date.

122 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 123 Intangible Assets measured at cost. Following initial Intangible assets acquired are initially carried at cost less any accumulated recognition, intangible assets are impairment losses.The useful lives of amortisation and any accumulated assets intangible assets are assessed to be either finite or indefinite. Intangible assets and with finite lives are amortised over the useful life of the intangible assessed for impairment whenever there is an indication that the intangible method asset may be impaired. The amortisation period and the amortisation at each for an intangible asset with a finite useful life are reviewed at least Changes in the expected useful life or the expected pattern financial year-end. are of consumption of future economic benefits embodied in the asset amortisation accounted for by changing the amortisation period or method. The or loss in the expense on intangible assets with finite lives is recognised in profit amortisation line of the income statement. Investment Properties costs. Investment properties are measured initially at cost, including transaction cost, the Where an investment property is acquired at no cost or for nominal amount investment property is measured initially at its fair value. The carrying at the includes the cost of replacing part of an existing investment property the time that cost is incurred, if the recognition criteria are met; and excludes Subsequent to initial costs of day-to-day servicing of an investment property. Other Plant and Equipment and Motor Vehicles in relation to Rural Properties were Properties Rural to in relation and Motor Vehicles and Equipment Other Plant on 24 March 2004. Machinery Bowen Agricultural revalued by independently to the reserve except asset revaluation is credited to the increment Any revaluation of assets previously of the same class decrease it reverses a revaluation extent that the revaluation increment is income statement, in which case recognised in the income statement. recognised in the statement, except to the extent is recognised in the income Any revaluation decrease class of assets previously recognised revaluation increase of the same that it reverses a reserve. in the asset revaluation are offset increments and decrements the revaluation entity, As a not-for-profit assets. within a class of non-current against one another restates the gross amount of the asset and the Where assets are revalued, the Council of the class of the revalued assets. related accumulated depreciation relating to the particular asset being sold is Upon disposal, any revaluation reserve transferred to retained earnings. and disposal Derecognition derecognised upon disposal or when no plant and equipment is An item of property, are expected from its use or disposal. further future economic benefits between of the asset (calculated as the difference Any gain or loss on derecognition carrying amount of the asset) is included in the the net disposal proceeds and the asset is derecognised. income statement in the year the (f) (g)

recognition, investment properties are stated at fair value, which reflects market conditions at the reporting date. Gains or losses arising from changes in the fair values of investment properties are recognised in profit or loss in the year in which they arise.

Investment properties are derecognised either when they have been disposed of or when the investment property is permanently withdrawn from use and no future economic benefit is expected from its disposal. Any gains or losses on the retirement or disposal of an investment property are recognised in profit or loss in the year of retirement or disposal.

Transfers are made to investment property when, and only when, there is a change in use evidenced by ending of owner-occupation, commencement of an operating lease to another party or ending of construction or development. Transfers are made from investment property when, and only when, there is a change in use, evidenced by commencement of owner-occupation or commencement of development with a view to sale.

When an owner-occupied property becomes an investment property, the Council accounts for such property in accordance with the policy stated under Property, Plant and Equipment up to the date of change in use. The Council occupies 31% of the Argyle Street property and 69% of the property is leased out to tenants. In accordance with AASBI40, the Council accounts for 69% of the Argyle Street property as an investment property. For transfer from inventories to investment property, any difference between the fair value of the property at that date and its previous carrying amount is recognised in profit or loss. When the Council completes construction or development of a selfconstructed investment property, any difference between the fair value of the property at that date and its previous carrying amount is recognised in profit or loss.

(h) Leased Assets A distinction is made between finance leases which effectively transfer from the lessor to the lessee substantially all the risks and benefits incidental to ownership of the leased assets, and operating leases under which the lessor effectively retains all such risks and benefits.

Finance leases are recognised as assets and liabilities at the present value of the minimum lease payments. The lease asset is amortised on a straight-line basis over the term of the lease or, where it is likely that the entity will obtain ownership of the asset, the useful life of the asset to the entity. Lease payments are allocated between the principal component and the interest expense.

Initial direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased asset and recognised as an expense over the lease term on the same basis as rental income.

Operating lease payments are charged to the Income Statement on a straight- line basis over the lease term. Lease incentives are recognised directly to the

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Income Statement as an integral part of the total lease expense. 124 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 125 Superannuation of the present benefits represents the value The liability for accrued beneficiaries and is benefits to members and other obligation to pay payments which present value of expected future determined as the The present value of the fund to balance date. arise from membership and salary levels to expected future wage is measured by reference discount and of a market determined, risks adjusted and by application appropriate actuarial assumptions. Long Service Leave been provided for all employees who The long service leave liability has of service and has been calculated have five or more continuous years It is considered that this measurement at the expected settlement rates. from the estimate different technique produces results not materially value basis of measurement. determined by using the present Sick Leave statements for non-vesting sick No liability is recognised in the financial it probable that sick leave taken in leave as the Council does not consider entitlements accrued in the future. the future will be greater than the Salaries and Annual Leave Wages, and measured as the and Salaries are recognised Liabilities for Wages at the current pay rates in respect of amount unpaid at the reporting date Annual leave liabilities, expected to be employee services up to that date. at the settled within twelve months of the reporting date, are calculated expected settlement rates. Tax Exemptions Tax (PBI) under the Benevolent Institution as a Public has been approved The Council exempt from income the Council is Act 1997. Therefore Assessment Income Tax Payroll under Tax from Payroll Council is also exempt 1 July 2000. The tax from Act 1971. Tax Employee Entitlements (i) (ii) (iii) (iv) Funeral Fund Liability the intention The Council collected fees from persons of Aboriginal descent with approved of establishing a Funeral Fund in 1992. Since the Fund has not been all fees collected have been included under by the Department of Fair Trading payables. Provisions (legal Provisions are recognised when the Council has a present obligation of or constructive) as a result of a past event, it is probable that an outflow the obligation resources embodying economic benefits will be required to settle and a reliable estimate can be made of the amount of the obligation. for When the Council expects some or all of a provision to be reimbursed, as a example under an insurance contract, the reimbursement is recognised The expense separate asset but only when the reimbursement is virtually certain. (i) (j) (I) (k)

relating to any provision is presented in the operating statement net of any reimbursement.If the effect of the time value of money is material, provisions are discounted using commonwealth bond rate that reflects the risks specific to the liability.

When discounting is used, the increase in the provision due to the passage of time is recognised as a borrowing cost.

(m) Compliance with Aboriginal Land Rights Act 1983 The Council complies with s150 of the Aboriginal Land Rights Act 1983 - Preservation of money in NSW Aboriginal Land Council Account by maintaining the capital value of $485,340,000 as at 31 December 1998. In order to ensure that the capital value is maintained since that date, the Council has applied the annual rate of inflation on a compounding basis and compared with all funds held by the Council as at 30 June of each year as disclosed in Note 5. The previous statutory requirement to disclose Statutory and Administrative funds is no longer required by the Act and not disclosed in the Financial Report.

(n) Comparative Figures Comparative figures have been restated based on AEIFRS with the exception of financial instruments information, which has been prepared under the previous AGAAP standard (AAS 33) as permitted by AASB 1 36A. The transition to AEIFRS for financial instruments information was 1 July 2005. The impact of adopting AASB 132 / 139 is further discussed in Note 27. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

126 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 127 216 1 3 1,455 4,534 39 40 290 636 596 452 722 227 - - 2006 2005 1,401 6,205 81 46 25 $’000 $’000 541 516 2006 2005 2006 2005 8,628 6,454 5,2912,842 2,750 3,191 2,9108,709 1,961 6,744 5,753 4,740 $’000 $’000 $’000 $’000 2. CASH AND CASH EQUIVALENTS 2. CASH Cash at Bank and in Hand Cash at Bank 11 AM Call Deposits at Bank Funeral Fund - Cash 4. RECEIVABLES 3. BIOLOGICAL ASSETS Non-Current Loans and Advances to Local Aboriginal Land CouncilsLess Allowance for Doubtful Debts 8,133 5,941 Prepayments Local Aboriginal Land Councils Less Allowance for Doubtful Debts Current Council Members Other Debtors Other Debtors - Prepaid Superannuation - (Note 11) Livestock Grain and Other Rural Stock The Funeral Fund collections have been maintained in a separate bank account and as a in a separate bank account and collections have been maintained The Funeral Fund of are refundable to former members of the High Court of Australia result of a judgment the fund. bank ranged from nil up to 5. 64% (nil to 5. 1% in Interest rate at year end on cash at 2004-2005). Allowance for doubtful debts is raised when doubt as to collection exists. A review of amounts owing by Local Aboriginal Land Councils in respect of rates debtors is undertaken annually. Those councils that have not made a significant reduction in their rate debtor balance in recent years have been classified as doubtful. All other debtors have been reviewed objectively as to whether they are collectable and an allowance has been made accordingly.

5. FINANCIAL ASSETS 2006 2005 $’000 $’000 Financial Assets Held-for-Trading

Commercial Bills / Promissory Notes - 9,937 Units in Australian Fixed Income 157,888 123,835 Units in Managed Australian Equities 182,718 192,682 Units in International Equities 63,256 61,121 Units in Australian Listed Property Trusts 48,286 45,564 Units in International Fixed Income 87,863 87,149 Absolute Return Funds 75,975 43,286 Mortgages 161 1,066 616,147 564,640 Provision for Loss on Mortgages - (173) 616147 564,467 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

128 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 129 415 Total - 132 -- - 155 312689 18,438 18,667 341 2,067 920 20,856 Motor Vehicles - - - 415 1,726 Plant and Plant and Equipment (219) (1,591) (608) (2,418) ------(1,819)- (188) (163) 132 (3,019) (537) (298) (2,356) (768) (3,975) (181) (642) - -- Land Buildings $’000 $’000 $’000 $’000 $’000 12,60012,600 4,609 4,485 917 893 12,600 4,828 2,508 12,600 4,673 3,912 1,457 22,642 2006 Written Down Value Written 2006 2005 Disposals Disposals Closing Balance at Fair Value Closing Balance at Charge for the year Adjustments Accumulated Depreciation Opening Balance Additions Adjustments Fair Value at 30 June 2006 Fair Value Opening balance for the yearRevaluation change - 155 6. PROPERTY, PLANT & EQUIPMENT PLANT & 6. PROPERTY, Plant and Motor 2005 Land Buildings Total Equipment Vehicles $’000 $’000 $’000 $’000 $’000 Fair Value at 30 June 2005 Opening Balance 11,714 4,613 4,044 1,672 22,043 Revaluation change for the year - - (13) - (13) Adjustments -- (92) (103) (195) Additions 886 60 266 122 1,334 Disposals -- (293) (234) (527) Closing Balance at Fair Value 12,600 4,673 3,912 1,457 22,642

Accumulated Depreciation Opening Balance - - (3,270) (745) (4,015) Charge for the Year - (188) (103) (210) (501) Adjustments -- 71 75 146 Disposals -- 283 112 395 - (188) (3,019) (768) (3,975)

Written Down Value 2005 12600 4,485 893 689 18,667 2004 11,714 4,613 774 927 18,028

In terms of the Aboriginal Land Rights Act 1983, the NSW Aboriginal Land Council is able to lodge land claims with the Crown Lands Minister. The Minister may grant all or part of the claim.

Where it is the intention of the NSW Aboriginal Land Council to transfer property granted by the Minister to the Local Aboriginal Land Council in which the property is situated, the property is regarded as being held in trust. Since the title and the control of those properties are with the Council they are included as part of property plant and equipments from this financial year.

At 30 June 2006 the Council held title to 46 properties with a total value of $954K ($954K in 2004 / 2005) which were awaiting transfer to Local Aboriginal Land Councils. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

130 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 131 - 1 41 34 (1) 274 228 228 234 (34) (240) 196 217 217 345 274 116 193 131 (18) (65) (194) (240) (207) 2006 2005 2006 2005 2006 2005 $’000 $’000 $’000 $’000 $’000 $’000 10,350 10,350 10,695 10,350 9. ARTEFACTS 8. INTANGIBLE ASSETS 8. INTANGIBLE 7. INVESTMENT PROPERTY 7. INVESTMENT Disposal Closing Balance at 30 June Opening Balance Accumulated Depreciation Depreciation charged Cost at 30 June Book Value their value. No depreciation is charged, as these assets are considered to maintain Fair Value as at 1 July Opening balance fair value adjustment Net gain/(loss) from Cost at 1 July Addition Disposals at 30 June Down Value Written Closing balance as at 30 June Closing balance as by an independent, professionally are valued annually at fair value Investment properties and category of investment with recent experience in the location qualified valuer property. 10. PAYABLES 2006 2005 $’000 $’000

Sundry Payables and Accruals 2,337 2,382 Other Debtors - Unfunded Super - (Note 11) 219 36 Funeral Fund - Contributions Refundable 227 216 2,783 2,634

11. PROVISIONS 2006 2005 $’000 $’000

a) Current Employee Benefits Provision for Annual Leave-Short Term 359 415 Provision for Long Service Leave - Short Term 14 339 Provision for Annual Leave-Long Term 170 - Provision for Long Service Leave - Long Term 250 - 793 754

b) (i) Non-Current Employee Benefits

Provision for Long Service Leave 41 60 41 60

b) (ii) Other Non-Current Liabiltities Provisions for make goods 26 - 26 -

Total Non-Current Provisions 67 -

Aggregate Employee Benefits and Related On-Costs Provisions - Current 793 754 Provisions - Non Current 41 60 Accrued Salaries and Wages 44 28 878 842 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

132 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 133 % 15 7.3 4 0 2.5 5.2 5 % 7.6 4.0 2.5 5.9 2006 2005 2006 2005 $’000 $’000 State Superannuation Scheme & State Authorities Non‑ Contributory Superannuation Scheme Rate of Investment return Rate of salary escalation Rate of CPI increase Discount Rate Employer contributions paid in relation to the defined contribution plan c) Superannuation Plan c) Superannuation plans. contribution superannuation and defined defined benefit has both The Council’s from 1 employment who commenced closed for employees’ benefit plan is Defined under plans. Employees defined benefit are under Only two employees July 1993. years of service based on lump sum benefits be provided with benefit plan will defined under defined contribution receive salary on retirement. Employees and final average is limited to these legal or constructive obligation and the Council’s fixed contributions contributions. with an immediate contribution legal obligation to settle this liability The Council has no contribute to the defined The Council intends to contributions. off or additional one Trustee Corporation. a rate specified by SAS benefit plan at Accounting policy immediately in profit and loss in the year in Actuarial gains and losses are recognised which they occur. Fund information. sector public NSW closed the of investments the trust in holds Fund Pooled The Scheme (SASS) State Authorities Superannuation schemes: superannuation State Superannuation Scheme (SSS) Superannuation Scheme (SANCS). State Authorities Non-contributory schemes - at least a component of the final benefit is These schemes are all defined benefit salary and years of membership. derived from a multiple of member members. All the Schemes are closed to new and SSS is based on the full requirements of AAS25 The 2006 assessment of SANCS, SASS Plans.” This requires that a market determined “Financial Reporting by Superannuation as the valuation interest rate in the calculation risk adjustment discount rate be applied The financial assumptions that have been applied for the of the value of accrued benefits. ‑ calculations for 2006 thereafter are: Defined Benefit Plans - Revenue/(Expense) Recognised in Income Statement

Expected Net actuarial Current service Interest on return on plan losses/(gains) cost obligation assets recognised in 2006 2005 2006 2005 2006 2005 2006 2005 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000

State Authorities 5 5 6 5 (8) (7) (5) (1) Superannuation Scheme

State Authorities Non- Contributory Superannuation 3 3 2 2 (6) (5) (1) (1) Scheme

State Superannuation 16 13 30 26 (36) (30) 174 42 Scheme

24 21 38 33 (50) (42) 168 40

The following table shows the actual return on plan assets 2006 2005 $’000 $’000

State Authorities Superannuation Scheme 19 13 State Authorities Non-Contributory Superannuation Scheme 8 7 State Superannuation Scheme 89 53 116 73

Defined Benefit Plans - Movement in (Asset) / Liability During the Year

Net expense Net Net recognised in Contri- (asset)/liability (asset)/liability the income butions at start of year at end of year statement

2006 2005 2006 2005 2006 2005 2006 2005 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 State Authorities (10) (8) (3) 3 (3) (5) (15) (10) Superannuation Scheme State Authorities Non-Contributory (29) (25) (1) (1) (1) (3) (31) (29) Superannuation Scheme State Superannuation 36 (9) 184 51 (I) (6) 219 36 Scheme (3) (42) 180 53 (5) (14) 173 (3) New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

134 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 135 deficit member multiple of 53 (150) contributions Net (surplus)/ (asset)/liability (676) (475) 102 (104) salary assets % member Net market assets of plan value of fund (505) SASS SANCS SSS 1.90% 2.50% 0.93% member Accrued Benefits multiple of 20 44 (51) (77) (31) (33) 607 371 759 526 (706) contributions 2006 2005 2006 2005 2006 2005 $’000 $’000 $’000 $’000 $’000 $’000 benefit defined 20 48 (51) (77) (31) (29) 134 114 (149) (124)724 (I5) 511878 (10) (505) 673 (475) (705) 219 (676) 173 36 (3) 2006 2005 2006 2005 2006 2005 $’000 $’OOO $’000 S’OOO $’000 $’000 Contribution Recommendations Fund Rate Defined Benefit Plans - Funding Arrangements for Employer Contributions Defined Benefit Plans - Funding Defined Benefit Plans - Superannuation (Surplus) / Deficit Superannuation Benefit Plans - Defined State Authorities Non-Contributory State Authorities Scheme Superannuation Scheme State Superannuation the market values and accrued benefits of the plans, The total amount of excess between in the Balance Sheet (refer note 4). Where the plans has been recognised as a receivable values, a liability has been recognised in the Balance accrued benefits exceed the market Sheet (refer note 10). 2006 and 2005 financial position of the Fund The table below is a summary of the 25 - Financial Reporting by Superannuation Plans calculated in accordance with AAS State Authorities Superannuation State Authorities Scheme State Superannuation Scheme State Authorities Superannuation SchemeState Authorities Non-Contributory 132Superannuation Scheme 111 (150) (124) (18) (13) Recommended contribution rates for the Defined Benefit Schemes are: Recommended contribution rates for the Defined Benefit Schemes The economic assumptions adopted to make funding recommendations are:

2006 2005

Weighted - Average Assumptions - SASS, SANCS, & SSS

Expected rate of return on Fund Assets 7.30% 7.00%

Expected salary increase rate 4.00% 4.00% Expected rate of CPI increase 2.50% 2.50%

The components of the amounts disclosed in the Income Statement are as follows:

2006 2005 $’000 $’000 Contribution valuation adjustment 173 (3) 173 (3)

12. TOTAL EQUITY

Accumulated Revaluation Total Equity Funds Reserve

2006 2005 2006 2005 2006 2005 $’000 $’000 $’000 $’000 $’000 $’000

Opening Balance 572,987 527,516 33,797 24,530 606,784 552,046 AASB 139 first-time adoption 21,311 - (21,311) - -- Restated opening balance 594,298 527,516 12,486 24,530 606,784 552,046

Changes in Equity - other than transactions with owners as owners

Operating Surplus from Ordinary 48,326 45,471 - - 48,326 45,471 Activities

Increment on Revaluation of - - - 9,280 - 9,280 Financial Assets

Increment on Revaluation of - - 287 (13) 287 (13) Property, Plant and Equipment

Total 48,326 45,471 287 9,267 48,613 54,738

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales Closing Balance 642,624 572,987 12,773 33,797 655,397 606,784

136 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 137 429396 451 825 809 1,260 2006 2005 $’000 $’000 Not later than one year Not later than one and not later than five years Later than one year (including GST) Operating Lease Commitments Total been included in the total above. GST of $75K has in the financial statements as liabilities. The These operating leases are not recognised include the residual value that may lead to a potential figure for operating lease does not depending on the movement in the market value for liability at the end of the lease term goods and services of $44K (115K 2004-2005) are not motor vehicles. Commitments for as liabilities. The figures include goods and services recognised in the financial statement Office. from the Australian Taxation tax (GST) of $4K, which is recoverable 14. CONTINGENT ASSETS AND LIABILITIES 14. CONTINGENT ASSETS AND of cases currently before the courts. The Council’s The Council is a party to a number the Council has the potential to receive amounts up to solicitors have advised if successful and the maximum possible legal claims and costs may $4.6 million ($2M to $5M 2004-2005) 2006 ($63K 2004-2005). amount to $1 million as at 30 June (FBT) from I July 2005. It is estimated that Tax Benefit The Council is exempt from Fringe would be $240K. It is not practicable to estimate any potential FBT liability for 2000-2005 1993-1999. Since the Council believes that it will obtain any potential liability for the years 2005 no liability for FBT has been recognised in the exemption for FBT prior to 30 June Financial Statements. 13. COMMITMENTS follows :- are payable as operating leases to non cancellable in relation Commitments 15. INTEREST AND OTHER FINANCIAL ASSETS INCOME 2006 2005 $’000 $’000 Interest Income 677 628 Investment Income 69,606 65,877 70,283 66,505

16. OTHER FINANCIAL ASSETS AND PROPERTY REVALUATIONS For the year ended 30 June 2005 revaluation of Non Current Financial Assets were treated in accordance with Australian Accounting Standard AASB 1041. Non Current Financial Assets that result in increments are credited to an asset revaluation reserve, except to the extent that the increment reverses a revaluation decrement previously expensed. In these circumstances the increment must be recognised as income. During 30 June 2006 treated as per accounting policy note Note 1 (c)(iii). 3,868 14

17. RENT 2006 2005 $’000 $’000 Regional Offices 65 19 Head Office 774 522 839 541

18. OTHER INCOME 2006 2005 $’000 $’000 Enterprise Gross Income 1,334 1,025 Investment Managers Fees Rebates 550 446 Other 980 3,551 2,864 5,022

19. PROFIT (LOSS) ON DISPOSAL OF PROPERTY, PLANT & EQUIPMENT 2006 2005 $’000 $’000 Proceeds from sale 209 164 Written down value of assets disposed (299) (131) Net profit( loss) on disposal of property, plant and equipment (90) 33 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

138 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 139 - - 756 305 203 557 217 305 203 383 - 5 5 47 410 248 407 335 201 624 2006 2005 2006 2005 2006 2005 2006 2005 7,335 7,241 9,793 11,018 5,894 5,545 $’000 $’000 $’000 $’000 $’000 $’000 $‘000 $’000 10,128 11,235 The auditors received no other benefit. Compensation Insurance Workers Local Aboriginal Land Councils Capital Allocations - Local Aboriginal Land Councils Total Revenues from Government Total Turnbull paid to Walter Internal Audit Fee Annual and Long Service Leave 23. FUNDING OF REGIONAL AND LOCAL ABORIGINAL LAND COUNCILS 23. FUNDING OF REGIONAL AND LOCAL ABORIGINAL LAND 22. EMPLOYEE EXPENSES 21. AUDIT FEES 20. REVENUES FROM GOVERNMENT FROM 20. REVENUES Regional Aboriginal Land Councils Commonwealth Government Grants & Subsidies Government Commonwealth Grants & Subsidies Government New South Wales Wales Office of New South Fees paid to Audit Salaries & Wages Superannuation 24. OTHER EXPENSES 2006 2005 $’000 $’000 Staff Training, Development and Recruitment 128 59 Telephone 225 212 Insurance 189 95 Rates 24 21 Rent and Outgoings 475 509 Advertising 105 48 Public Relations and Publicity etc 26 16 Travel Expenses and Allowances 476 406 Postage, Printing and Stationery 88 145 Office and Administration Expenses 226 160 Equipment Hire and Lease 135 93 Meeting Costs 22 28 Workshop and Conference Costs 34 63 Accounting - 34 World Indigeneous Expenses 57 - Other Expenses 725 719

2,935 2,608 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

140 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 141 - 56 210 535 216 (96) (33) (14) 4,534 1,455 46 95 149 (1,660) 660 227 722 452 (164) (242) (1,271) (345) 2006 2005 2006 2005 2,497 1,401 6,205 $’000 $’000 $’000 $’000 46,955 38,893 48,326 45,471 (4,157) (4,305) For the purposes of the Cash Flows Statement the For the purposes the following as cash :‑ Council considers Net cash inflows from ordinary activities Payables (decrease)/increase Employee Benefits (decrease)/increase Less: Receivables written off Less: Non-Cash Revenue & Equipment Plant Loss (Profit) on disposal of non Property, of in respect Other Changes in assets and liabilities 90 activities. ordinary Receivables decrease/(increase) Inventories decrease/(increase) Bad & Doubtful Debts Net (Increment)/Decrement on Other Financial Assets Net (Increment)/Decrement on Other Revaluation (b) Reconciliation of net cash flows from Operating from (b) Reconciliation of net cash flows Activities Ordinary Activities to Operating Surplus from Activities Operating Surplus from Ordinary Depreciation & Amortisation Funeral Fund - Cash at Bank Funeral Fund - Cash 11 AM Call Deposits 25. Note to Cash Flows Statement to Cash Flows 25. Note (a) Cash at Bank and in hand (a) Cash Hand Cash at Bank and 26. LIABILITY AS TRUSTEE

The New South Wales Aboriginal Land Council acts as trustee for various Trusts. The assets of the Trusts which lie behind the rights of indemnity are not directly available to meet any liabilities of the New South Wales Aboriginal Land Council acting in its own right. The assets of the Trusts were sufficient to discharge all the liabilities of the Trusts at 30 June 2006.

The positions of the Trusts are :- 2006 2005 $’000 $’000 CURRENT ASSETS

Gumbaynggir Tribal Aboriginal Elders Co. 50 40 Cash at Bank

TOTAL TRUST FUNDS HELD 50 40 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

142 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 143 - As at 1 July 2004 1 July As at 1 July 2004 1 July - (46) (46) 2005 to 30 June to 30 June Cumulative Cumulative 2005 $’000 $’000 $’000 $’000 3,193 3,519 3,279 (179) 21,311 45,303 45,303 45,216 45,471 ( 3,530) ( 3,530) ( 3,530) - 606,795 606,795 552,225 552,225 606,458 606,784 551,974 552,046 (21,311) Reported Revised Reported Revised to 30 June to 30 June Cumulative Cumulative (i) 3,530 3,530 3,530 - (i) ( 3,530) ( 3,530) ( 3,530) - (v) - 168 - (v) - 168 (ii) - (ii) 46 - (iv) ( 190) (32) ( 131) ( 59) (iv) (59) - (iii) ( 147) ( 147) (74) (74) (iii) (74) - note assets RECONCILIATION OF EQUITY UNDER EXISTING STANDARDS (AGAAP) TO (AGAAP) STANDARDS UNDER EXISTING OF EQUITY RECONCILIATION UNDER AEIFRS EQUITY Total Equity under AGAAP under Equity Total for Adjustment Superannuation Benefit Defined Rate Discount in Change Adjustment to Accumulated Funds Adjustment to Reserve for Asset Revaluation Write-back Investment Properties Effect of discounting employees entitlements Point of sale expenses for bilogical assets Point back written property Investment of Depreciation Accumulated Funds to Transfers Adjustment to Other Reserves: Reconciliation of Surplus under AGAAP to Surplus under AEIFRS to Surplus under AGAAP Reconciliation of Surplus under AGAAP Net Surplus under Effect of discounting employees entitlements Total Equity under AEIFRS Equity under Total assets bilogical for expenses sale of Point Write-back Depreciation 2005 due to Reclassification of Land and Buildings as Investment Property at 1 July 2004 Rate Discount Superannuation Benefit Defined Adjustment back written property Investment of Depreciation AEIFRS Net Surplus under AASB 139 Adjustment for Reversal of revaluation reserve for the financial assets financial the for reserve revaluation of Reversal financial the for reserve revaluation of Reversal Write-back Asset Revaluation Reserve for Investment Investment for Reserve Revaluation Asset Write-back Property 27.  Note 27 (cont)

(i) AASB 140 Investment Property recognised at fair value will not be depreciated and changes in fair values will be recognised in the operating statement rather than the asset revaluation reserve.

(ii) AASB 119 Employee Benefits requires defined benefit obligations to be discounted using the government bond rate as at each reporting date rather than long-term expected rate of return on plan assets. In 2004-2005 this would have decreased the amount of the superannuation asset and changed the amount of employee benefit expenses.

(iii) AASB 119 requires present value measurement for long-term employee benefits. These benefits were measured at nominal value under the current AGAAP. The effect of the change in measurement has increased the employee expenses.

(iv) Financial Instruments- Investments at fair value: In accordance with NSW Treasury’s indicative mandates, the Council will apply the exemption provided in AASB 1 First-time Adoption of Australian Equivalents to International Financial Reporting Standards not to apply the requirements of AASB 132 Financial Instruments: Presentation and Disclosures and AASB 139 Financial Instruments: Recognition and Measurement for the financial year ended 30 June 2006. These Standards will apply from 1 July 2005. None of the information provided above includes any impacts for financial instruments of the comparative balances. These Standards are applied as at 1 July 2005 therefore the increase in value of investment at fair values is transferred from revaluation reserve to retained earnings.

(v) The Council will apply the requirements in AASB 1004 Contributions regarding contributions of assets (including grants) and forgiveness of liabilities. There are no differences in the recognition requirements between the new AASB 1004 and the previous AASB 1004. However, the new AASB 1004 may be amended by proposals in Exposure Draft (ED) 125 Financial Reporting by Local Governments and ED 147 Revenue from Non-Exchange Transactions (including Taxes and Transfers). If the ED 125 and ED 147 approach is applied, revenue and/or expense recognition will not occur until either the Council supplies the related goods and services (where grants are in-substance agreements for the provision of goods and services) or until conditions are satisfied. ED 125 and ED 147 may therefore delay revenue recognition compared with AASB 1004, where grants are recognised when controlled. However, at this stage, the timing and dollar impact of these amendments is uncertain. New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales

144 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 145 Units in International Equities Commercial Bills/ Promissory Notes Bills/ Promissory Commercial issued by a Corporation, which is responsible These are short dated instruments a short term credit rating of A1 or better. for repayment at due date, having were earning an average interest rate of These instruments at balance date sum of monthly weighted 5.58% (5.64% 2004 - 2005), whilst over the period the (5.64% 2004 - 2005). The Reserve Bank of average interest rates was 5. 59% cash rate to 5. 75% during the year Australia increased the official overnight under review (5.50% 2004 - 2005). Units Australian Fixed Income Composite of the Chifley Investment Fund manages Australian Fixed Income on behalf realised Council which earns income and produces capital gains or losses, both and unrealised, in accordance with market conditions. 3. 45% These instruments over the year under review resulted in a return of (7.165% 2004 - 2005) per annum after taking net capital profits both realised and unrealised into account. Units in Managed Australian Equities earn The Council has units in the Chifley Investment Fund. Equities (Shares) and income (dividends) and produce capital gains or losses, both realised unrealised, in accordance with market conditions. a return of These Other Financial Assets over the year under review resulted in and 22.94% (26.84% 2004 - 2005) per annum after taking net capital profits losses both realised and unrealised into account. (iv) Interest Rate Risk Interest financial of the interest rate fluctuations changes in market risk is due to Interest rate interest rates and effective interest rate risks exposure to instrument. The Council’s at the (aggregated) and liabilities recognised and unrecognised of financial assets Balance date are: Risk Credit party to a contract/financial financial loss arising from another Credit risk is the maximum exposure The Council’s discharge a financial obligation. position failing to assets in the Balance Sheet. carrying amount of the financial to credit risk is the risk of financial loss is minimal the credit risk exposure, the actual Despite the size of debtors are public sector entities. as the majority of Net Fair Value equivalents and non-interest bearing financial The net fair value of cash and cash approximates their carrying value. assets and liabilities of the Council and liabilities is based upon market prices where a The net fair value of financial assets expected future cash flows by the current interest market exists or by discounting the similar risk profiles. rates for assets and liabilities with swaps contracts and interest rate futures The net fair value of the interest rate Manager to realise or settle the contracts, were contract quoted by Chiefly Fund determined at 30 June 2006. (i) (ii) (iii) 28. FINANCIAL INSTRUMENTS 28. FINANCIAL (a) (b) (c) The Council has units in the Chifley Investment Fund International Equities Trust which earn income (dividends) and produce capital gains or losses, both realised and unrealised, in accordance with market conditions. These Other Financial Assets over the year under review resulted in a return of 23.12% (8.06% 2004 - 2005) per annum after taking net capital profits and losses, both realised and unrealised into account. (v) Units in Australian Listed Property Trusts The Council has units in the Chifley Investment Fund which earn income (dividends) and produce capital gains or losses, both realised and unrealised, in accordance with market conditions. These Other Financial Assets over the year under review resulted in a return of 17.83% (17.73% 2004 - 2005) per annum after taking net capital profits both realised and unrealised into account. (vi) Units in International Fixed Income Chifley Investment Fund manages International Fixed Interest Securities on behalf of the Council which earn income and produce capital gains or losses, both realised and unrealised, in accordance with market conditions. These instruments over the year under review resulted in a return of 1. 36% (12.07% 2004 - 2005) per annum after taking net capital profits both realised and unrealised into account. (vii) Absolute Return Funds The Council has units in the Chifley Investment Fund. With the current market situation the return for the twelve months under review resulted in a return of 10.29% (8.27% 2004 - 2005). (viii) Mortgages The Council lent funds on first mortgage on real property up to a maximum of two-thirds of independent market valuation. These mortgages have been introduced mainly by mortgage brokers and to a lesser extent have been advanced to Local Aboriginal Land Councils. Weighted average return on mortgages advanced at 30 June 2006 was 1. 65% (2.12% 2004 - 2005) per annum, including amounts written off as bad. Where delinquent mortgages have been placed in the hands of solicitors for collection, these mortgages are regarded as non performing loans and interest is no longer accrued, but all effort is made to collect this interest as well as the principal. At 30 June 2006, the balance outstanding amounted to $18K ($1.1M 2004 - 2005). The Council assessed these mortgages, comparing each balance outstanding to a current valuation of the mortgaged property, in order to provide for possible losses. Of advances totalling $25.6M made since the inception of the scheme, the Council has advanced $11.7M to eight mortgagors without obtaining independent valuations of the properties. This action does not comply with Section 18(2) of the Trustee Act 1925 which requires the value of the property used as security for the mortgage loan to be subject to a valuation by a registered valuer instructed and employed by the mortgagee.

New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales End of Audited Financial Statement

146 New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 147 NOTES List of Local Aboriginal Land Councils

Zone RALC LALC Zone RALC LALC

East South Coast Illawarra South Far South Coast Ngunnawal East South Coast Jerrinja South Far South Coast Ulladulla East South Coast Nowra South Far South Coast Wagonga East Sydney Newcastle Awabakal South Murray River Albury & District East Sydney Newcastle Bahtabah South Murray River Cummeragunja East Sydney Newcastle Darkinjung South Murray River Deniliquin East Sydney Newcastle Koompahtoo South Murray River Moama East Sydney Newcastle La Perouse South Murray River Wamba Wamba East Sydney Newcastle Metropolitan South Wiradjuri Condobolin East Sydney Newcastle Mindaribba South Wiradjuri Cowra East Sydney Newcastle Worimi South Wiradjuri Griffith East Western Metropolitan Deerubbin South Wiradjuri Hay East Western Metropolitan Gandangarra South Wiradjuri Leeton & District East Western Metropolitan Tharawal South Wiradjuri Murrin Bridge North Central Coast Birpai South Wiradjuri Narrandera North Central Coast Bowraville South Wiradjuri Onerwal North Central Coast Bunyah South Wiradjuri Orange North Central Coast C. Harbour & District South Wiradjuri Peak Hill North Central Coast Forster South Wiradjuri Pejar North Central Coast Karuah South Wiradjuri Tumut-Brungle North Central Coast Kempsey South Wiradjuri Wagga Wagga North Central Coast Nambucca Heads South Wiradjuri West Wyalong North Central Coast Purfleet-Taree South Wiradjuri Windradyne North Central Coast Stuart Island South Wiradjuri Young North Central Coast Thungutti West Central Dubbo North Central Coast Unkya West Central Gilgandra North Far North Coast Baryulgil West Central Mudgee North Far North Coast Birrigan Gargle West Central Narromine North Far North Coast Bogal West Central Nyngan North Far North Coast Casino Boolangle West Central Quambone North Far North Coast Grafton-Ngerrie West Central Trangie North Far North Coast Gugin Gudduba West Central Warren Macquarie North Far North Coast Jali West Central Weilwan North Far North Coast Jana-Ngalee West Central Wellington North Far North Coast Jubullum West North West Baradine North Far North Coast Muli Muli West North West Brewarrina North Far North Coast Ngulingah West North West Cobar North Far North Coast Tweed-Byron West North West Collarenebri North Far North Coast Yaegl West North West Coonamble North Northern Amaroo West North West Goodooga North Northern Coonabarabran West North West Lightning Ridge North Northern Nungaroo West North West Moree North Northern Red Chief West North West Mungindi North Northern Tamworth West North West Murrawari North Northern Walhallow West North West Narrabri North Northern Wanaruah West North West Nulla Nulla North Northern Tablelands Anaiwan West North West Pilliga North Northern Tablelands Armidale West North West Toomelah North Northern Tablelands Ashford West North West Walgett North Northern Tablelands Dorrigo Plateau West North West Wee Waa North Northern Tablelands Glenn Innes West North West Weilmoringle North Northern Tablelands Guyra West Western Balranald North Northern Tablelands Moombahlene West Western Broken Hill South Far South Coast Batemans Bay West Western Dareton South Far South Coast Bega West Western Ivanhoe South Far South Coast Bodalla West Western Menindee South Far South Coast Cobowra West Western Mutawintji South Far South Coast Eden West Western Tibooburra New South Wales Aboriginal Land Council • Annual Report 2005 - 2006 New South Wales South Far South Coast Merrimans West Western Wanaaring 148 South Far South Coast Mogo West Western Wilcannia West Western Winbar Contents

Letter to the Minister...... 2 Administrator’s Report...... 3 Addresses of Zone Offices Report by the Chief Executive Officer...... 6

New South Wales Aboriginal Land Council Overview...... 10 Background...... 11 Western Zone Our Clients...... 13 Northern Zone Aims & Objectives...... 13 Regional Aboriginal Land Councils (RALCs)...... 15 Local Aboriginal Land Councils (LALCs)...... 17 Council Structure and Memberships...... 18 Executive...... 19 Finance and Administration Division...... 20 Commercial Unit...... 21 Human Resources Unit...... 21 Network Services Unit...... 22 Zone Offices of NSWALC...... 23 Governance Unit...... 23 Strategic Planning & Policy Unit...... 24 Eastern Zone Media & Marketing Unit...... 25 Legal Services Unit...... 25

2005-2006 Year in Review...... 27 Southern Zone Review of Operations...... 28 Finance & Administration Division...... 28 Human Resources...... 31 Learning and Development...... 34 Head Office Eastern Zone Information and Technology Unit...... 35 Level 4 Level 5 Property and Administration...... 36 33 Argle Street 33 Argle Street Head Office...... 36 Parramatta NSW 2150 Parramatta NSW 2150 Statutory Investment Fund...... 37 PO Box 1125 PO Box 987 Commercial Unit...... 39 Parramatta NSW 2124 Parramatta NSW 2124 Community Business Plans...... 40 Rural Properties...... 41 Land Rights ...... 43 Tel: 02 9689 4444 Tel: 02 8836 6000 Review of the Aboriginal Land Rights Act...... 48 Fax: 02 9687 1234 Fax: 02 8836 6006 Community Forums...... 56 Network Services Unit...... 54 Northern Zone...... 65 Western Zone Southern Zone Southern Zone...... 70 62 Bultje Street Suite100 Western Zone...... 74 Dubbo NSW 2830 Corporate level Eastern Zone...... 78 PO Box 1196 Riveside Plaza Governance Unit...... 80 Dubbo NSW 2830 Monaro Street Audit Committee...... 86 Media and Marketing...... 92 Queanbeyan NSW 2620 Funds Granted to Community Organisations...... 98 Tel: 02 6885 7000 Legal Matters and Changes...... 100 Fax: 02 6881 6268 PO Box 619 Economic Factors...... 102 Queanbeyan NSW 2620 Management and Activities...... 102 Research & Development...... 102 Northern Zone Tel: 02 6124 3555 List of Consultants...... 103 8 Dalley Street Fax: 6297 3541 EEO ...... 104 Coffs Harbour NSW 2450 Land Disposal...... 105 PO Box 1912 Accounts Payment Policy & Practice...... 105 Coffs Harbour NSW 2450 Risk Management/Insurance...... 105 Occupational Health and Safety...... 106 Tel: 02 6659 1200 Financial Reports...... 107 Fax: 02 65550 0420 List of Local Aboriginal Land Councils...... 148 NEW SOUTH WALES ABORIGINAL LAND COUNCIL

NEW SOUTH WALES ABORIGINAL LAND COUNCIL

2005 - 2006 ANNUAL REPORT ANNUAL REPORT 2005 - 2006

Designed by: Sheridan Kent and Cindy Heyhoe

34 Harley Crescent GOOD Condell Park NSW 2200 IMPRESSIONS T 9790 4001 F 9790 1961