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Annual Report 2011-12 B L

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Annual Report 2011-12 B L Annual Report 2011-12 b l Letter to Ministers 11 August 2012 The Hon Terry Mulder MP The Hon Kim Wells MP Minister for Public Transport Treasurer Level 16, 121 Exhibition St 1 Treasury Place Melbourne VIC 3000 East Melbourne VIC 3002 Dear Ministers I have much pleasure in submitting the Annual Report for VicTrack for the period 1 July 2011 to 30 June 2012 for your presentation to Parliament. Yours sincerely Bob Annells Chair l 1 Contents Part One – About VicTrack 2 VicTrack – a snapshot 2 Chair’s Report 3 Core functions and business units 5 Part Two – Outcomes Report 6 Delivering value to transport 6 Delivering value to whole-of-government 9 Part Three – Statutory and Financial Reporting 10 Corporate governance 10 Statutory information 13 Financial performance 15 Independent Auditor’s Report 17 Statutory Statement 19 Comprehensive Operating Statement 20 Balance Sheet 21 Statement of Changes in Equity 22 Cash flow Statement 24 Notes to the Financial Statements 30 June 2012 25 Disclosure index 80 Appendices 82 Crossing Upgrades 2011–12 82 Board members 84 Consultant table 86 Executive team and organisational structure 87 Mission, vision, values 88 Cover: Dynon Rail Freight Terminal. 2 l Part One > About VicTrack Part One > About VicTrack VicTrack – a snapshot VicTrack is a state-owned business enterprise > providing more than 400 leases of railway land that plays a pivotal role supporting the Victorian to local councils and community groups at Government to provide better public transport non-commercial rentals, and outcomes without relying on government funding. > the restoration of heritage rail buildings and VicTrack’s core functions are to deliver other assets. telecommunications to support the operation of VicTrack is the custodial owner of not only public transport, to be the custodian of land set Victoria’s railway land, but its infrastructure and aside for transport purposes and to support rail much of its rolling stock. Almost all these assets freight by managing an important open access are leased to Victoria’s rail and tram operators via terminal in Melbourne. Public Transport Victoria (PTV). The operators are With strong support across the Victorian responsible for managing the assets and delivering Government, VicTrack has proactively extended its public transport or rail freight services. telecommunications infrastructure to provide much Created in 1997, VicTrack is a State Owned needed broadband and other IT services to the Enterprise with an independent Board reporting wider government sector. This has also increased to its sole shareholder, the Victorian Government. VicTrack’s revenue base. VicTrack reports to both the Minister for Public The revenue generated through VicTrack’s Transport and the Treasurer and operates under commercial activities funds its operations and the Transport Integration Act 2010. projects and the large financial obligations VicTrack works closely with PTV, the Department that come with its extensive land and of Transport (DoT), the Department of Treasury telecommunications assets. and Finance (DTF), public transport franchisees, Through its revenue, VicTrack funds a wide range the Department of Business and Innovation (DBI), of social and environmental activities, including: telecommunications carriers, VicRoads, local councils and a broad range of other stakeholders > a significant ongoing program of land and community groups. decontamination, asbestos identification and removal and flora and fauna management. Gertrude Street Tram Engine Shed l 3 Part One > About VicTrack Chair’s Report VicTrack was established with a narrow remit to And a modern digital Regional Rail be the custodian of land set aside for transport Communications Network (RRCN) will replace purposes and to provide the telecommunications an out-dated system following scoping and capacity associated with the operations of most procurement work undertaken by VicTrack on of the public transport network. behalf of V/Line. The assumption has always been that the funds VicTrack has however gone much further than raised through managing the extensive property simply transport-related projects and has assets vested in VicTrack, including the sale proactively sought to use the infrastructure under of surplus land, together with funds generated its control to deliver a range of government through telecommunication activities would telecommunications outcomes that provide not enable VicTrack to operate in a financially self- only much needed telecommunications services sufficient manner. to the wider government sphere, but also broaden VicTrack’s revenue generating capacity. To date VicTrack has been able to meet the original objective of not requiring funding via the State Supporting the provision of better broadband Budget but to do so it has needed to expand the services to the Victorian Government, fibre was range of its commercial activities and their scope laid from the Hume Highway to railway stations in over recent years. Wangaratta, Benalla and Seymour, enabling the Goulburn Ovens TAFE campuses to be connected During the year VicTrack pursued with vigour its to the TAFE Broadband Network. mandate to provide public transport outcomes without relying on government funding, resulting VicTrack also has an increasingly vital role to play in in a range of projects exceeding targets. generating economic activity and jobs by partnering with the private sector to improve station precincts. VicTrack upgraded 40 level and pedestrian The important strategic goal of building vibrant crossings, above Victorian Government objectives, communities around station precincts is reflected while budget savings on the Bridge Renewal in the Glen Waverley IKON precinct project, Program allowed for two extra bridges to be a partnership with Consolidated Properties. refurbished, making a total of five. The $70 million complex will create a new VicTrack’s telecommunications network is a connected community where housing, business critical infrastructure asset for the State and an and retail come together. essential service for all Victorians, without which rail services could not operate. Work continued with the VicTrack, as the owner of land and air rights within Department of Transport, Public Transport Victoria the public transport network and with considerable and Victoria’s train and tram operators on a range of property development expertise, is the natural technology projects to improve the reliability, safety agency to progress similar station enhancement and accessibility of public transport. projects across metropolitan Melbourne. In particular, the roll-out of fibre and power to all VicTrack also has a key role in the promotion of rail 116 sub-stations on the metropolitan rail network freight as an Accredited Rail Operator and access was substantially completed, enabling Metro provider for rail operators at the Dynon Rail Freight Trains Melbourne to more effectively monitor Terminal. Work progressed on the $8.4 million and control power outages and faults. project to renew the central hardstand at the Dynon Rail Freight Terminal, part of the strategy to develop the terminal’s capacity to accommodate growth. 4 l Part One > About VicTrack Part One > About VicTrack Chair’s Report (continued) VicTrack is second only to the Crown as the largest I would also like to thank the Minister for Public landholder in Victoria and seeks to proactively Transport, Terry Mulder, for his continued strong manage this substantial resource while also dealing support and engagement with VicTrack’s mission. with the extensive legacy of contamination from an The commitment and enthusiasm of VicTrack staff accumulation of more than 100 years of use. deserves particular acknowledgement. They have In the past year 68 asbestos audits and delivered impressive results, enabling VicTrack remediation works were completed on VicTrack to make a more valuable contribution across the properties, alongside work with Landcare groups broad spectrum of its activities. to monitor and increase biodiversity on rail land. As an agency working intensively in the rail environment it was pleasing there were no lost time injuries over the past year. A priority is to roll out a Health and Safety Strategy during 2012-13 Bob Annells to give greater focus and impetus to our efforts in Chair providing a safe workplace. Protecting rail heritage remains a strong commitment. This year a $1.3 million restoration of the Maryborough Railway Station verandah, funded jointly by the Department of Transport and VicTrack, was completed using plans approved by Heritage Victoria. The experience and diligence of VicTrack’s Board of Directors has contributed significantly to the organisation’s achievements. I extend special thanks to my predecessor Bruce Cohen and Deputy Chair Chris Lovell. My thanks also go to the current Board members Sam Andersen, Brian Bullus, David Hunter, Jenny Roche and Deputy Chair Yehudi Blacher. VicTrack is fortunate to have Directors of their calibre and commitment on the Board. I also thank Tony Shepherd for his significant contribution to the Board. l 5 Part One > About VicTrack Core functions and business units VicTrack’s structure consists of three main > land records departments supported by business services > maintaining infrastructure and property that including finance, human resources, legal, safety, is not leased to other parties environment and risk, and stakeholder and > managing and developing key rail-based sites community relations. in the Melbourne area
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