Annual Report 1 March 2010 – 30 June 2011 contents: our values 03 our mission 03 our vision 03 our strategic objectives 04 key achievements 04 our locations 05 cemetery reform 06 our services 06 chair’s report 07 CEO’s report 08 key performance 09 our organisation 10 organisational chart 12 our workforce 12 leading by example 13 planning for our future 16 connecting with our communities 17 developing our people 20 governing with integrity 22 financial statements 27 disclosure index 69

The Greater Metropolitan Cemeteries Trust 1187 Sydney Road Fawkner VIC 3060 PO Box 42, Fawkner, VIC 3060 ABN 89 704 536 022 03 our values Responsiveness our Respect & Dignity Integrity mission Leadership To provide caring and respectful Compassion memorial services to our diverse communities. To apply best Accountability & Impartiality practice to every aspect of our Human Rights stewardship of tranquil memorial places in perpetuity.

our vision Guardian of Enduring Memorials THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

our strategic objectives

To achieve our Mission to provide 1. Providing Strong Leadership 4. Developing our people and caring and respectful memorial By developing, operating workforce services to our diverse communities and maintaining our parks Ensuring our workforce is and our Vision to be the guardian of and facilities as best practice flexible and skilled to meet enduring memorials we are focussed memorial sites we are able to challenges enables us to grow as on five strategic areas over the provide services which meet an organisation and continually coming three years. the changing needs of our improve our services. community. 5. Demonstrating strong 2. Building a viable and governance and accountability sustainable organisation Improving our processes and Undertaking operations which business systems to ensure are environmentally friendly efficient and effective utilisation and sustainable in perpetuity is of resources is essential to our important in ensuring we are able ability to be accountable and to provide quality services to our conform with government and clients from now into the future. legislative requirements. 3. Enhancing relationships with the community, clients and stakeholders Providing exceptional customer service, a range of quality services and facilities, and improving communication are key areas of focus for meeting the needs of key our clients and communities. achievements • Increase in grave infrastructure of 5% for burials and 65% for mausoleums • Completion and implementation of an Environmental Sustainability Plan • Establishment of a Community Advisory Committee and the creation of a Community Engagement position to facilitate the development and implementation of a Community Engagement Plan • Completion of 16 capital works projects totalling $6.3 million 04 05

THE GMCT is made up of 18 cemeteries and memorial parks in the north, east and west of . our locations

18 7

12 10 6 8 4 13 9 11

2 14 Melbourne 15 • 1 17 3

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1 Altona Memorial Park 2 Anderson’s Creek Cemetery 3 Burwood Cemetery 4 Coburg Pine Ridge Cemetery 5 Emerald Cemetery 6 fAwkner Memorial Park 7 Healesville Cemetery 8 kEILOR Cemetery 9 Lilydale Lawn Cemetery 10 Lilydale Memorial Park 11 Northcote Cemetery 12 Northern Memorial Park 13 Preston Cemetery 14 Templestowe Cemetery 15 Truganina Cemetery 16 wERRIBEE Cemetery 17 wILLIAMSTOwn Cemetery 18 yARRA Glen Cemetery THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

cemetery reform

In July 2008, the State Government announced reforms to the 14 major metropolitan and regional Cemetery Trusts that report to Parliament under the our Financial Management Act 1994. The reforms have been enacted as amendments to the Cemeteries and Crematoria Act 2003. The changes primarily affect the services 10 reporting trusts in the metropolitan area. The GMCT provides a broad range of services to Two metropolitan cemetery trusts were created as communities across the North, East and West of a result of the cemetery sector reform. The Greater metropolitan Melbourne. The following quality services Metropolitan Cemeteries Trust (The GMCT) covers are delivered in a caring and culturally sensitive manner, the North, West and Eastern metropolitan areas and respectful of all values and beliefs: is made up of 18 sites previously managed by the - Cremation following 8 trusts: - Interment • Altona Memorial Park - Entombment • Anderson’s Creek Cemetery Trust - Memorialisation • Fawkner Crematorium and Memorial Park - Chapel services • Keilor Cemetery Trust - Historical and heritage records • Lilydale Cemetery Trust - Garden design, landscape and maintenance • Preston Cemetery Trust - Service refreshments and functions • Templestowe Cemetery Trust • Wyndham Cemeteries Trust Responsible Bodies Declaration In accordance with the Financial Management Act 1994, I am pleased to present the Report of Operations for The Greater Metropolitan Cemeteries Trust for the reporting period ending 30 June 2011.

Catherine Brown Chair Greater Metropolitan Cemeteries Trust 30 June 2011

06 07 chair’s report:

The completion of this Annual Report has taken longer than anticipated due to to provide advice to the Trust on the unprecedented requirements of merging eight entities, each with widely community and cultural issues. I varying levels of professionalism, client services and finance processes and would like to thank Members of the systems. Due to inconsistent accounting policies and poor record keeping Committee for their work, especially by the previous cemetery trusts, additional work was required to form the in relation to the development of construction of the opening balances in the merged entity’s general ledger. heritage walks at Coburg Cemetery This has necessitated extensive additional accounting and audit work. We are and their input into some of our pleased that the audit has been completed without any qualifications. culturally specific community events, We are fully aware of the ongoing need to continue strengthening the including the All Souls Day Masses. consistency and completeness of financial administration at all sites. The Trust There are many detailed operational is committed to building a professional and responsive organisation. We are aspects to implementing a merger. looking forward to now expanding our strategic work to meet and even exceed These are reported on more fully community expectations into the future. in the CEO’s report. This has been a demanding year for management Catherine Brown and a great deal of the financial and Chair, June 2012 IT underpinnings are now in place to increase operational efficiency and This is the first annual report of The end of life needs of people from very responsiveness in corporate services, GMCT which was formed on 1 March culturally and geographically diverse client services and infrastructure 2010 following the merger of eight communities, while providing a robust management. Change is also former Cemetery Trusts in the West, and transparent financial underpinning challenging for staff, especially those North and East of Melbourne. The for current and future operations. who have held positions for many Trust wishes to acknowledge the hard Public cemeteries are required to years. The Trust appreciates this work and dedication of the former be maintained in perpetuity under and thanks change leaders for their Trust Members. Knowledge about the Victorian legislation. This means positive and thoughtful approach. management of public cemeteries that good governance requires that and crematoria has been passed on funds be set aside to meet future Cemeteries and crematoria are to us through access to planning and maintenance requirements. Once a people focused organisations and financial reports and through the cemetery is full, ongoing maintenance the Trust has recently reviewed our appointment of three former Trust must be funded from reserves. The Client Services area. We appreciate Members to the new Trust. Current GMCT has expanded on the work the feedback provided by the funeral Trust Members have backgrounds carried out by the Department of directors who met with us in June in public governance, finance, law, Human Services in this area and and are looking forward to a good heritage and property management, commissioned Deloittes to provide working relationship with all the sales and marketing, community us with advice about the perpetual families to whom we provide services development and commercial maintenance reserves required at during very sad and sensitive times. management. The diversity of skills each of our 18 sites. All sites require Recently, we initiated a market and experience has been a strength additional perpetual maintenance research project to give us feedback as we work through the complex task reserves and this is now a dimension about how community aspirations of building a single organisation. The of our investment and operational and expectations are changing about Trust has given considerable attention planning. end of life services. This will help us respond to these needs over the to strategy and policy development to The Trust is also committed to coming years. ensure strong governance of the Trust. sustainability principles and the The members of the Trust’s Finance Environmental Sustainability Plan I would like to thank all my fellow Trust and Investment Committee and has been completed and is now Members, the CEO and her Executive Audit and Risk Committee have met being actively implemented. The Team and all staff for their hard work regularly to ensure financial and risk Infrastructure Department has done ensuring that The GMCT is established management systems are in place and excellent work in this area. The Plan on a firm footing for the future. actively maintained. can be viewed on the website. Governing a public cemetery and The Trust is required to establish a Catherine Brown crematoria must balance meeting the Community Advisory Committee Chair THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

ceo’s report

The past sixteen months has been Considerable efforts have been calendar of events which support both challenging and rewarding committed to identifying the local community events where for The Greater Metropolitan resources and funds necessary members of the community are able Cemeteries Trust. We have had many to meet the current and future to commemorate their loved ones successes and identified a number obligations of the Trust to ensure memorialised in our cemeteries. of opportunities throughout all that all of our sites are maintained In addition, processes have been aspects of the business which have at a standard that continues to meet implemented to capture community resulted from the merging of eight the expectations of the community feedback in the planning and organisations into a single entity. in perpetuity. A comprehensive evaluation of services. A Customer On establishment, the new Asset Management Plan, regular Service Charter has also been organisation was structured around inventory reporting and burial developed to communicate our two geographical regions, one infrastructure projects have been commitment to listening and covering the North West and the implemented and supported by a responding to community feedback. other the North East, with the direct comprehensive capital development An extensive Market Research services areas of Infrastructure program. Major maintenance works Program has commenced and will and Client Services configured to have been completed on the Keilor provide valuable insights into the support these regions. A number and Williamstown mausoleums and community’s expectations and end of of exciting new positions were Preston Mausoleum construction is life preferences. Our new Marketing also created to facilitate our work nearing completion. Strategy will utilise this community with the community and all of Management with the Trust’s support and research feedback to deliver our stakeholders. New roles have and encouragement has developed services and products which will included, a Director of Corporate a comprehensive Environmental improve the way we do things and Services, a Public Relations & Sustainability Plan and is committed fulfil those needs which are currently Communications Manager, a to reducing our carbon footprint unmet. Community Engagement Manager and the impact of our activities on Change is often difficult and the and a Quality & Risk Manager. the environment wherever this is achievements of the past sixteen The integration has not been possible. We now actively monitor months would not have been without its challenges. Work has water, electricity and gas consumption possible without all of the staff commenced and will continue on and have put in place various recycling throughout The GMCT. I would integrating finance, information initiatives. like to thank the Trust Chair, Trust technology, employee relations, Building positive relationships with Members, the Executive and Senior policies and procedures and records the community, funeral directors and Management teams and each and management across the organisation. the Department of Health has also every staff member for their patience, With a consistent approach to these been important to The GMCT. The perseverance and commitment to important support functions, all of position of Community Engagement building a solid foundation for the our services will be streamlined and Manager has strengthened our future. result in improved accessibility and ties with our local communities, responsiveness for our community. overseeing a comprehensive Liz Riley CEO 08 09 key performance

Mar 2010 - June 2010 July 2010 - June 2011 Burials 1,421 4,445 Cremations 1,709 6,469 Chapel services 1,073 3,383 Cremated remains interment 559 2,034 Mausoleum entombments 102 438

Revenue Expenditure July 10-June 11 July 10-June 11

8% 19% 9%

45% 57% 24% 38%

Cremations Salaries and wages

Interments Repairs and maintenance

Mausoleum Capital

Memorialisation THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

our organisation Trust Members Graeme Shaw - Grad Dip Marketing. Diplomas of the Catherine Brown - LLB, BA, Grad Dip Bus Admin, FAICD Advertising Institute of and the Australian Marketing Institute Catherine is an experienced lawyer, management consultant and board director with particular expertise in governance, Most of Graeme’s working life has been spent in the private organisational development and the not for profit sector. sector in various sales, marketing and management roles Catherine is Chair of the Queen Women’s Centre and in a diverse range of industries. Previous positions have Trust and was Deputy Chair of the Royal Victorian Eye and included: Marketing Services Manager Boral Insulwool, Ear Hospital for nine years from July 2000 to June 2009. Marketing Services Manager Victorian Prison Industries Commission, and Owner and Operator of a Snap Printing Catherine has consulted in philanthropy and not-for- franchise. profit governance and organisational development to a range of organisations including amongst others the Graeme was a member of the Wesley Central Mission Myer Foundation, the United Nations University, Deakin managing committee and was a member of the Lilydale University, The Ian Potter Foundation, Northern Australia Cemeteries Trust. Indigenous Land and Sea Management Alliance, Australian Graeme is a member of the Community Advisory Council for Educational Research and ANZ Trustees. Committee. Catherine is Chair of the Executive Performance and Remuneration Committee and a member of the Audit & Risk Jennifer Kearney - NSW Leaving Certificate 1966 Management Committee. Jennifer was a member of the Templestowe Cemetery Trust for 8 years and Chair for the final two years of the David Cleland - FIE (Aust), GAICD Trust operation at Templestowe. She was a member of the David is a Fellow of the Institute of Engineers, with over Metropolitan Cemetery Change Advisory Committee. She 30 years experience at Chief Executive level of companies was also a Board member of the Harvest Picnic Foundation manufacturing and distributing water products, building and a member of the Tarrawarra Abbey Business Advisory glass, industrial electrical and air-conditioning products. Group. She is a Director of Kekeco Childcare P/L and for 8 David’s career includes extensive manufacturing experience years was National Indirect Channel Manager with Telstra. (including lean manufacturing), brand management, Jennifer is a member of the Executive Performance product research & development, outsourcing and company & Remuneration Committee. acquisitions. Currently David is an independent director of Saferoads Gary Jungwirth - MPP, BA, LLB, PG Dip Town Holdings Limited, a publically listed company that & Regional Planning and Criminology manufactures and distributes road safety products and Gary currently works for the Victorian Local Governance solutions. Association (VLGA) as Policy and Project Officer in Human David is a member of the Finance & Investment Committee Rights and Timor-Leste. Previously Gary was a Victorian and the Executive Performance and Remuneration Public Servant in policy and project areas particularly in Committee. minerals, petroleum, energy and native title issues. Gary was a Ministerial Adviser for 7 Ministers in the Hawke, Neil Greenaway - FCA FCPA FCIS FAICD Cain and Bracks governments. Gary was also a councillor for Neil has extensive governance and finance experience in over 18 years and 3 times Mayor in the Cities of Hume and the not-for-profit and commercial sectors. Neil is a member Preston with previous experience in cemeteries as a Trustee of the National Council of The Royal Australian College of for Sunbury and Preston cemeteries (as part of his then General Practitioners and a member of the Victorian State councillor responsibilities). Council of Chartered Secretaries Australia. He has held Gary is a member of the Community Advisory Committee. executive positions at Medibank Private, St Vincent’s Health and Tupperware International and is presently a consultant. Neil is Chair of the Finance & Investment Committee. 10 11

Infrastructure Ian Broomfield - Director The Infrastructure Division is responsible for: Barbara McLure - Dip Bus Studies (Accounting), • Horticulture Dip Ed, GAICD • Burial Operations • Crematoria Operations Barbara’s current work life comprises her role as the Statutory • Repairs and Maintenance Manager of the Mental Health Legal Centre which is the • Memorialisation first appointment of its type in Victoria; board and audit • Contract Management committee memberships and other consultancy work. • Projects/Capital Development She publishes e~EAST, e~NORTH, e~SOUTH and e~WEST • Mason Management weekly electronic newsletters which focus on business and development across Melbourne. Client Services Barbara is also a director of Matthews Steer Chartered Vacant - Director Accountants, a member of the Victoria Police Audit and Risk The Client Services Division is responsible for: Committee and a member of Western Melbourne Regional Development Australia. • Customer Service • Sales and Marketing Barbara is Chair of the Audit & Risk Management Committee • Chapel Operations and a member of the Finance & Investment Committee. • Funeral Co-ordination • Community Consultation Dr Jan Penney - BA, Dip Ed, PHD • Function Centre Operations Jan has been the Executive Chair of Mint Inc since the Committee was established in 1998 and is now the Interim Corporate Services Executive Officer. She is an historian with an interest in Phillip Trestrail - Director Aboriginal History, Local History and the Murray River Region. The Corporate Services Division is responsible for: She also taught the Master of Public History at Monash • Human Resources University for several years and has lectured and taught at • Information Technology several universities. • Records Management Jan was until recently the CEO of the Goldfields Library • Risk & Quality Corporation which managed the libraries between • OH&S Gisborne in the south and Pyramid Hill in the north with its • Payroll headquarters in Bendigo. Prior to that she was the Director - • Security Museums at Sovereign Hill Museums, Ballarat. She was also Chair of the Heritage Council, Victoria for several years and Finance takes a special interest in the adaptive re-use of heritage Ross Ingram - Director buildings and archaeological sites as tourism components. The Finance Division is responsible for: Jan is Chair of the Community Advisory Committee and is a • Accounting member of the Audit & Risk Management Committee. • Purchasing • Inventory Chief Executive Officer • Pricing • Investment Liaison Liz Riley Liz is a health and management professional with 20 years PR & Communications experience in the health industry in both clinical and Letitia Duncan - Manager management positions. She has held senior management The PR & Communications Manager is responsible for media positions in both the public and private, acute health and liaison, internal and external communication. community sectors. Previous positions have included: Executive Director Strategy & Planning Ambulatory Services The Royal Victorian Eye and Ear Hospital, General Manager/Acting CEO of Dental Health Services Dani Johnson - Manager Victoria, Operations Director Peter McCallum Cancer Centre, The Manager, Strategy & Planning is responsible for Associate Operations Director Epworth Private Hospital and corporate strategy, master planning, inventory and mapping Director Community Health ISIS Primary Care. and The GMCT policy framework. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

organisational chart Trust

Chief Executive Officer Manager PR & Communications

Infrastructure Client Corporate Services Strategy & Planning Finance

Manager Director Director Director Director Strategy & Planning

Operations CS Manager Risks & Quality Senior Manager West Manager Accountant North East

Operations CS Manager Manager IT Manager North North West Headcount 154 Deputy CS Manager HR Manager Operations East FTE 145 Manager Part-time 16 Community Full-time 134 Engagement Casual 4 Manager Male 108 Female 46 Indoor 55 our Outdoor 93 Executive 6 65 and over 7 workforce 55-64 28 45-54 50 The following statistics provide information regarding The GMCT’s workforce as at 30 June 2011. Indoor staff provide numerous services within client services, office 35-44 50 administration, human resources, finance and information technology. Outdoor staff 25-34 15 are responsible for services within burial operations, cremations, client services, Under 25 4 horticulture and repairs and maintenance. As at 30 June 2011 12 13 leading by example

Great Foundations – organisations operations in order with plans for further mapping of Strategy Execution Project to successfully achieve The GMCT all of our sites. These maps provide Vision. The formation of concrete detailed information on the tree In 2010/11 a Strategy Execution objectives and tangible measures species and allocate a maintenance Project was undertaken in which has resulted in consistent reporting program which is monitored by our a core project team, consisting which enables all staff to monitor horticulture staff. of a range of staff across the performance on a monthly basis organisation, worked together to Australasian Cemeteries and highlight areas of achievement and Crematoria Association develop a strategy map, objectives and those in need of improvement. and primary measures which would (ACCA) Tree Management Strategy operationalise The GMCT’s Vision Fawkner Memorial Park was and Strategic Plan 2010-2013 for all Trees have many important chosen by ACCA to be showcased staff across the organisation. functions including providing during their midyear conference. The objectives which were shade, reducing heat loading on Employees of cemeteries and developed are aligned with the buildings, reducing air pollution by crematoria from throughout four core business perspectives; providing fresh oxygen, providing Australia were provided with a tour customer, learning and growth, food and shelter for wildlife, and of the park with staff highlighting internal business process and improving the aesthetics of our areas of interest and innovation. financial. The aims of the plan are: parks. The GMCT’s tree population is an important asset and we • Optimising revenue for have a strong commitment to its sustainable operations and preservation, development, risk seeking best value from our management and maintenance. The activities. GMCT’s Tree Management Strategy • Providing information and is one of very few in the Melbourne solutions for our client’s cemetery metropolitan area and has been needs. adopted by other organisations • Delivering key operations in looking to implement similar line with service standards and programs. ensuring optimal presentation of The Strategy outlines how we our parks. manage trees within our parks and • Increasing opportunities for grounds, including the preservation interaction with our communities. of heritage and significant trees, • Building the capability of our the development of sustainable workforce and creating a culture maintenance regimes and the which embraces change and long term preservation for future innovation. generations. The strategy map places emphasis In addition to 6000 trees mapped at on the interconnecting nature of Fawkner Memorial Park, mapping the organisation’s objectives and of trees at Coburg and Keilor the importance of aligning all of the Cemeteries has been completed, THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

Environmental To ensure our action plans are Some of our current initiatives Sustainability Plan effective in achieving our goals include: the ESP allows for actions to • 100% of tree pruning material Our impact on the environment be prioritised according to the at Fawkner Memorial Park both as individuals and as an following: is mulched, lessening our organisation is a continued area contribution to landfill. of focus for The GMCT. We have a 1. Energy preservation: by strong commitment to decreasing changing the way we undertake • Over 50% of plants which are our greenhouse gas emissions, tasks and ensure we reduce replaced at our parks are native making wiser decisions in areas such waste. and/or Indigenous. as electricity, paper consumption 2. Energy efficiency: ensuring • Additional recycling bins at and fuel, and increasing the use of energy is as efficient as Fawkner Memorial Park. awareness of staff in regards to our possible. • Participation in a Water Mapping carbon footprint. project with Yarra Valley Water 3. Renewable energy: investigate to improve water management An Environmental Sustainability options for renewable energy practices. Policy outlines The GMCT’s use. commitment to continual • Monthly energy consumption improvement of its environmental The ESP is promoted to all reporting. employees through staff and team performance, and recognition of • Installation of smart meters. its local and global responsibilities. meetings and is accessible via the • Use of a hybrid low emission An Environmental Sustainability intranet or individual managers. vehicle. Committee was formed to oversee The aims and initiatives outlined the policy and the implementation in the plan inform decision making • Development of a recycling of the organisation’s Environmental for budget processes, purchasing program for workshop materials Sustainability Plan (ESP). The aim of of equipment, construction of including batteries and tyres. the plan is to: buildings and the maintenance of • Development of a green supplier our grounds. • Create an overall vision for all list which adheres to green GMCT sites. purchasing standards. • Provide a basis to include • Monitoring of cremator mercury sustainability initiatives in policies emissions. and delivery of service. • Implementation of a Tree • Produce a template for strategies Management Strategy. and priorities. • Provide action plans with achievable goals and KPIs.

sustainability Water (megalitres) Water (megalitres) performance 4

3

2 1

0 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June 14 15

Major Works Henty 2 Maintenance Grants – Burwood and Healesville A number of capital works projects A new children’s area, Henty 2, was have been completed since The completed in Northern Memorial The GMCT was the recipient of GMCT assumed responsibility for Park. This area provides an maintenance grants from the all 18 sites. Projects have included additional 247 plots and includes Department of Health for the additional interment spaces, repairs features designed to allow visiting Healesville and Burwood Cemeteries to existing physical infrastructure children to play within an interactive with $21,890 and $6,250 being and improved outdoor areas for garden while their parents visit the awarded, respectively. These grants greater engagement with the parks. memorials of loved ones. Providing were used to upgrade a number of facilities which enhance the visitor deteriorating paths and walkways A number of small and large scale experience is an important part of and will allow improved access to maintenance and upgrade projects The GMCT’s role in connecting with each of the sites for visitors. have occurred since The GMCT was our communities. formed in March 2010. Lilydale Administration Building Altona Court of Four Seasons A new administration building at Keilor Mausoleum – Roof repair The development of a Court of Four Lilydale Memorial Park has been One of the major works is the Seasons at Altona Memorial Park, planned for completion in early repair of the Keilor Mausoleum which commenced prior to The 2012. This new building will provide roof which was completed in May GMCT’s stewardship, was completed much needed facilities for the staff 2011. This project was required to in April 2010. This memorial garden and community and will replace a fix construction faults which had not is for families wishing to choose dated residence which has been in been previously rectified. a contemporary alternative for use for many years. cremated remains and combines the symbolism of a living memorial with the peace of mind of an interment.

Lilydale Administration Building THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

planning for our future

Infrastructure Preston Mausoleum Information Technology Integration Ensuring we provide adequate Community consultation in the early services and infrastructure is 2000’s revealed a need for more One of the biggest challenges for important for The GMCT’s future interment space at the Preston the past year has been consolidating and its ability to meet the needs Mausoleum and a major works the large variety of information of its clients and community. project was commenced in 2006. technology and information systems Two of our capital works projects The third stage of construction was being used across the different sites. dedicated to achieving these goals completed in 2011 and provides a Since the amalgamation, The GMCT are the construction of a new three level structure with a below has focussed on reviewing systems Commemoration Centre at Northern ground interment space. This third and processes with the intention Memorial Park, and an extension of stage will accommodate a further that all sites will operate with the Preston Mausoleum. 4400 crypts. In December 2010 a compatible systems and processes very successful Community Sales creating a consistent approach to Commemoration Centre Event was held over three days, standards of service across the The Commemoration Centre at allowing families on the growing organisation. Northern Memorial Park, has been waiting list the opportunity to pre- built to provide a comfortable, purchase and see the inside of the One of the crucial steps to achieving flexible and modern space for a nearly completed structure. success is the integration of the numerous Information Technology range of functions to suit the diverse Resourcesmart program needs of our local communities. The systems. This project commenced Centre contains memorial rooms As a public authority The GMCT in March 2010 and will continue for sales appointments and two is required to have in place an early into the new financial year. commemoration spaces which can Environmental Sustainability Plan A Wide Area Network will link all accommodate 100 people each or (ESP) and report annually on its sites and enable access to central be converted to one large space for progress. The GMCT developed business systems. This will increase 200 depending on the event. The an ESP in 2010 and was invited to the effectiveness of operations facilities are available to hire for participate in the ResourceSmart and also create better internal post-service functions and also for program run by Sustainability communication channels. The community groups requiring event Victoria and the Department of migration of data from pre-existing space. Sustainability and Environment. systems has been completed for The program provides training and four of the sites as at 30 June 2011 Adjacent to the function rooms coaching to organisations who are and the rollout program will see all is a Cafe offering refreshments in developing effective environmental sites complete in 2011. The expected both an indoor and outdoor setting management systems. Three staff outcomes of this integration are and a flower stall for visitors to have participated in workshops, standardised processes, increased the park. The Centre is designed individual coaching sessions and the data integrity and improved with environmentally sustainable development of an environmental information sharing. This will initiatives in mind and includes policy, action and communication enhance The GMCT’s ability to plan maximum use of natural light, plan. for the future. ventilation and rain water. 16 17 connecting with our communities

Significant work has been undertaken The objectives of this committee Events to increase opportunities for our are: communities to engage with us to The events calendar developed by The 1. To involve the community and ensure our service provision meets GMCT aimed to incorporate a broad consumers in the decision their needs now and into the future. range of events which would appeal to - making process regarding many different areas of the community. The formation of a Community cemetery and crematoria Five event styles were focussed on in Advisory Committee and the service planning and delivery. the 2010/11 period of reporting. development of a Community 2. To advise The GMCT Engagement Plan have been Heritage through recommendations instrumental in delivering on this A number of heritage activities are and suggestions regarding commitment. The Community conducted each year by community appropriate strategies for Advisory Committee (CAC) was formed groups. Since March 2010, The GMCT effective consumer and to consider any matters that are has had over 150 participants at these community engagement. referred to it by the Trust and to raise events. Fawkner, Lilydale, Coburg, with the Trust any issues of concern or A number of initiatives have been Burwood, and Emerald have all hosted matters of interest to the community highlighted as being essential to heritage activities with the most regarding the cemetery or crematoria our success in connecting with popular being historical walks. Coburg services we provide. our communities. Some of the Pine Ridge Cemetery hosted a May Day activities planned for the coming Walk in 2011 which was conducted by The CAC is made up of 4 community financial year which will foster Catherine Turnbull, the Secretary of members who represent various our relationships include the the Australian Federation of Cemetery cultural and historical groups, and introduction of fact sheets and Friends. The tour included participants 3 Trust members. The community brochures to provide further from historical societies, members of members of CAC are Catherine information about our products the community with a keen interest in Turnbull, Carmen Zammitt, David and services, a cultural resource history, members of the Trust and the Down and Osman Said. The GMCT guide designed to ensure diversity Member for Wills, Kelvin Thomson MP. greatly appreciates their contributions. is embraced by The GMCT, and further research into historical walks at sites of interest. Our focus is not only on providing appropriate services and products to all parts of our community, but increasing our communication with groups and encouraging participation in events which build positive relationships. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

Commemorations Remembrance Children Commemorative service for ANZAC In 2010, four services were held for Both Lilydale and Fawkner Memorial Day is held each year at Fawkner families to remember their loved Parks have special burial areas for Memorial Park. On April 17 this year ones on special occasions. Lilydale children. Events are held annually more than 100 people gathered Memorial Park hosted Mothers’ in December at each site to provide at the Fawkner RSL Sub Branch to Day, Father’s Day and Children’s opportunities for parents and participate in the ANZAC service Remembrance services, with families to remember those they and march to the Carl Verey Cross approximately 430 people attending lost too soon. Fawkner Memorial at the Memorial Park. Many service across all three events. Mother’s Park hosts a Carols in the Garden of and community groups participated Day services are also held at Altona Angels whilst Lilydale Memorial Park on the day including members Memorial Park. These events are offers a remembrance service to of the Catafalque Guard 4 CSSB held to pay tribute to loved ones and families. Both events attracted over Broadmeadows, Rats of Tobruk remember the important roles that 120 attendees in 2010 and will be Memorial Pipes and Drums, Fawkner mothers, fathers and children play in held again in the coming December. Heart and Soul Singers and the our lives. Attendees at the Mothers Fawkner Police. The guest speaker at Day event at Lilydale Memorial Park, this year’s service was the recipient held in conjunction with Le Pine of the Victorian Veteran, Senior Funerals Lilydale, released balloons Citizen of the Year award for 2011, and lit candles to remember their John Vincent OAM, who paid tribute loved ones. to those who fell in battle.

18 19

Religious The calendar of events for 2010/11 was extensive and included:

Six of The GMCT’s sites regularly Month Date Events Locations hold religious events and services to commemorate All Souls Day, April 18 ANZAC Commemoration Fawkner Memorial Park Christmas, and the Feast for St May 9 Mother’s Day Remembrance Altona Memorial Park Anthony. All Souls Day Masses which 9 Mother’s Day Remembrance Lilydale Memorial Park commemorate the faithful departed June 6 Feast for St Anthony Williamstown Cemetery are conducted at Preston, Keilor, September 5 Father’s Day Service Lilydale Memorial Park Altona, Williamstown and Fawkner 6 A Step Back in Time Tour Burwood Cemetery cemeteries, with the latter also 12 Tribute to Sgt Issy Smith VC Fawkner Memorial Park holding an All Souls Day Rosary. Over October 31 All Souls Day Mass Preston Cemetery 4000 people attended these masses, November 1 All Souls Day Rosary Fawkner Memorial Park with the largest groups gathering at 6 All Souls Day Mass Keilor Cemetery both Keilor and Fawkner. 7 All Souls Day Mass Altona Memorial Park The Feast for St Anthony is held 7 All Souls Day Mass Fawkner Memorial Park annually at Williamstown Cemetery 14 All Souls Day Mass Williamstown Cemetery and attracts over 200 people. This December 4 Carols in the Garden of Angels Fawkner Memorial Park event celebrates Saint Anthony whose 6 Christmas Service Lilydale Memorial Park shrine, the Basilica of St Anthony in 12 Children’s Remembrance Service Lilydale Memorial Park Padua, was the inspiration for the January 25 Australia Day Heritage Walk Lilydale Lawn Cemetery Williamstown Mausoleum. February 10 & 17 Yarra Valley Italian Group Visits Lilydale Memorial Park The conduct of events is an important March 7 & 17 Yarra Valley Italian Group Visits Lilydale Memorial Park part of our approach to Community April 4 & 11 Yarra Valley Italian Group Visits Lilydale Memorial Park Engagement. In the past 16 months 9 PAVE Festival Emerald Cemetery The GMCT has been host to many 13 Graveyard Walk Fawkner Memorial Park events across various sites. Hosting 17 Military Heroes Tour Lilydale Lawn Cemetery events provides The GMCT with an 17 ANZAC Commemoration Service Fawkner Memorial Park opportunity to engage positively with May 1 May Day Heritage Walk Coburg Pine Ridge Cemetery communities. 1 Melba and Other Amazing Lilydale Lawn Cemetery These events could not be successful Women Tour without the support and partnership 12 Lord Sebastian Coe Visit Fawkner Memorial Park of a number of community groups, 15 Melba and Her Family Tour Lilydale Lawn Cemetery organisations and individuals. We 29 Melba and Her Mates Tour Lilydale Lawn Cemetery would like to thank all those who June 19 Feast for St Anthony Williamstown Cemetery assisted in the organisation and delivery of these events and we look forward to continuing our Customer Service Charter and our stakeholders. It outlines partnerships with our clients and our commitment to meeting the Aligning with our goal to stakeholders over the coming year. expectations of our clients and “enhance relationships with our visitors in areas such as privacy, diverse community, clients and ceremony preparation, staff stakeholders”, The GMCT has knowledge and responsiveness, introduced a Customer Service welcoming and safe environments, Charter to provide transparency and accessibility to sites. The rights and accountability regarding of our clients and stakeholders the level of service our clients are clearly defined and feedback can expect from us. The Charter is encouraged by The GMCT to provides our clients with an create opportunities for continual overview of our services, the improvement. client groups we engage with THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

developing our people Values Reinforcement Staff Training Employee Assistance Program Program The GMCT has spent $124,016 in Reinforcing shared values was an the past 16 months on staff training. An organisation wide Employee important project in the first year The below table outlines the type of Assistance Program is available of the operation of The GMCT. The training and the number of staff who through Davidson Trahaire Corpsych GMCT’s values, mirror those of the participated: (DTC). The program provides Victorian Public Service and are independent professional short-term important to providing our clients Training Attendances counselling and support to all GMCT and stakeholders with a consistent OH&S 203 employees and their dependents level of service which is transparent Industry 8 who may be experiencing personal and accountable. To ensure a or work-related problems. This consolidated approach to service Conferences 8 service is a confidential service and delivery and provide staff with an Risk Management 10 staff are able to access the service understanding of the vision of The IT 3 free of charge either directly with GMCT, a Values Reinforcement DTC or through the support of Equipment 9 Program was created. The program their manager. The GMCT provides began with interviews and focus Human Resources 284 information on the program through groups, designed to develop the Other 3 new staff induction and encourages actions and behaviours which staff to access the service if would express the organisation’s Some staff attended more than one they would like any professional values. Sixty staff members along training session throughout the year assistance with personal or work- with the senior management team, and numerous programs were run related issues. in the OH&S and Human Resources participated in these initial forums. Merit and Equity A facilitator’s manual was created streams. and then used as the main resource The GMCT is committed to ensuring for the train the trainer program. its practices are free of any direct This program was conducted or indirect discrimination on the in May for senior management basis of sex, race, age, disability, who will then deliver the Values and all other attributes which apply Reinforcement training to all staff in Victoria under Federal and State members of The GMCT. laws. Recruitment is conducted according to merit based on relative ability, knowledge, skills and organisational fit. The appointment process is equitable, fair and based on legislative requirements and GMCT policies.

20 OH&S 21 statistics March – June 2010 July 2010 – June 2011 Total for GMCT Category 4 Months 12 Months 16 Months Incidents Total no. of incidents 33 150 183 Workcover Lost Time (Days) 110 517 627 No. of standard claims 7 12 19 No. of minor claims 6 9 15

A standard claim is when the employer liability period, 10 days lost and/or $592 (indexed annually) for medical expenses, has been exceeded. Any claims not exceeding this threshold are known as minor claims.

Occupational Health and Reporting – OH&S KPIs have been developed to ensure consistency Safety Program developed for monthly reporting in the way in which we deal with and review and these are presented safety. Chemical registers are Occupational Health and Safety at the OH&S Committee, Executive available at each site and are programs are essential in fostering Management Committee and routinely updated. a safe workplace for our staff Trust Meetings. Incident reporting Training – OH&S training is which protects their safety, procedures are in place at each site conducted for all staff in the areas of welfare and wellbeing. An audit and hazard identification forms have risk assessment, manual handling, of all our sites was undertaken been implemented to encourage sun protection, first aid and fire to better understand the varying staff to report issues early. approaches to OH&S practice and safety. Detailed information is inform the development of a best All risk assessment and incident provided to all new staff through the practice program for The GMCT. investigations are based on the organisation’s induction program The approved program contains a AS4360 and safety inspections are and the Contractor Management number of initiatives in the areas of conducted on a regular basis. Manual. governance, reporting, systems, and Systems and Procedures – As an An area of focus for the coming training. organisation with staff working in financial year is a Workcover claims Governance – The GMCT OH&S both indoor and outdoor positions, review. Our goal is to develop policy was approved in September it is essential to have effective action plans for staff with long- 2010 by the Trust and an OH&S systems and procedures in place term claims which provide support Committee was formed. The which provide employees with both and assistance in their return to Committee meets monthly and safe work areas and easy access work. OH&S remains a strong has representation from staff to OH&S information in various commitment for The GMCT and across all sites to ensure any site formats. An emergency plan is in we will continue to work towards specific issues are being addressed operation across all areas of the improving the safety and wellbeing effectively. All position descriptions organisation and standard operating of our employees. and staff performance plans include procedures are currently being OH&S requirements to reinforce the organisation’s commitment to providing a safe workplace.

Altona Memorial Park Service Recognition Awards recipients. Pictured from left: Val Hansen, Chris Konopka, Glenn Ilsley, Graeme Shaw and Peter Dourmitsis. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

governing with integrity

The Greater Metropolitan The Trust delegates day-to-day • Matters of accountability and Cemeteries Trust is classified as a management of the cemeteries internal control affecting The GMCT Class A Cemetery Trust under the within its control to management operations. Cemeteries and Crematoria Act 2003 via the CEO, subject to documented • The effectiveness of The GMCT’s (Vic). The Trust was established on delegations management information systems 1 March 2010 as a consequence Audit & Risk Management and other systems of internal of amendments to the Act, Committee control. enabling the consolidation of eight • The acceptability of and correct existing cemetery trusts into one. The Audit & Risk Management accounting treatment for, and These include locations in Altona, Committee comprises three Members disclosure of, significant transactions Anderson’s Creek, Fawkner, Keilor, of the Trust. The Chair of the which are not part of The GMCT’s Lilydale, Preston, Templestowe and Committee is Ms Barbara McLure normal course of business. Wyndham. and other members are Ms Catherine Brown and Dr Jan Penney. The CEO • The approval and recommendation, The Minister responsible for the and Director Corporate Services attend where appropriate, to the Trust of cemeteries sector from 1 March meetings by invitation. proposed accounting policies. 2010 until 2 December 2010 was • The GMCT’s process for monitoring the Hon. Daniel Andrews MP. Since The Committee’s role is to provide compliance with laws and 2 December 2010 the Minister oversight to the following: regulations and its own Code of responsible is the Hon. David Davis • Financial performance monitoring. Conduct and Code of Financial MP, Minister for Health, and the Practice. responsible Department is the • The scope of work, performance Department of Health (Cemeteries and independence of the internal The internal and external auditors and Crematoria Program). and external auditor. meet with the Audit & Risk • The operation and implementation Management Committee four times The Trust is a body corporate with of the risk management during the year and are invited perpetual succession established framework. to meet the Committee without by Governor in Council pursuant to management being present. regulations under the Cemeteries Act 1958 and updated within the GMCT Trust Members Attendance – 1 March 2010 until 30 June 2011 Cemeteries and Crematoria Act 2003 Executive (Vic) (the Act). Finance & Performance & Community Audit & Risk GMCT Trust Investment Renumeration Advisory Management The Trust is governed by six to Members Trust Meetings Committee Committee Committee Committee nine Trust Members. The Trust is responsible for the governance of Chair Catherine Brown Neil Greenaway Dr Janice Penney Barbara McLure the organisation including the key No. of Meetings 15 14 4 5 roles of setting strategic direction, Catherine Brown 15 11 4 1 5 approving the annual budget, David Cleland 14 13 4 monitoring performance, ensuring Neil Greenaway 15 14 compliance, developing policy, high Gary Jungwirth 13 11 4 level stakeholder management and Jennifer Kearney 15 6 4 ensuring that a risk management Barbara McLure 13 12 5 framework is in place. Janice Penney 13 1 4 5 22 Graeme Shaw 15 10 4 23

Pictured from left: Gary Jungwirth, Janice Penney, Neil Greenaway, Catherine Brown, Barbara McLure, Jennifer Kearney, Graeme Shaw. Absent: David Cleland.

External Audit The GMCT has in place a system The audits resulted in the The Victorian Auditor-General’s Office of business risk management that identification of one high risk which (VAGO) is responsible for the audit of forms part of the business planning was immediately rectified and 41 improvement opportunities which the records and Financial Statements and monitoring process across all have been addressed or have plans of the Trust. VAGO has appointed business units. Each business unit in place to action. RSM Bird Cameron as its agent for: is responsible for assessing and updating its risk profiles, including Financial Overview Internal Control Framework related mitigation programs. The GMCT is responsible for the The Greater Metropolitan The Audit & Risk Management overall internal control framework Cemeteries Trust was established and Committee receives and reviews and for reviewing its effectiveness commenced operations on March reports on the status of business but recognises that no cost-effective 2010 and therefore only has limited risks. Each year a full risk assessment internal control system will preclude comparative results. and mitigation plan is prepared all errors and irregularities. and endorsed by the Trust. The The key features of the control risk assessment process includes Total environment include the Charters input from the Trust, Executive and ($‘000) and Terms of Reference for The Management across the organisation. Total Revenue 110,748 GMCT and each of its Committees, Implementation of Internal Total Expenses 30,548 a clear organisational structure Audit Program with documented delegation of Operating / Surplus 80,200 / Deficit authority from the Trust to executive Following the appointment of HLB management and defined procedures Mann Judd as The GMCT’s internal R e t a i n e d S u r p l u s / 31,960 for the approval of major transactions auditors, a three year audit plan has Accumulated Deficit and capital expenditure. been developed in consultation with Total Assets 246,987 the Audit and Risk Management Total Liabilities 17,403 Internal Audit and Risk Committee. In the period ending 30 Net Assets 229,584 Management June 2011, seven internal audits have Total Equity 229,584 The Trust has appointed independent been completed according to the firm, HLB Mann Judd, as internal plan. These audits were: auditor to conduct internal audits in accordance with a risk-based Internal • Financial Data Integration Audit plan. This plan is reviewed and • Cash Handling and Accounts approved annually by the Audit & Risk Receivable Management Committee. • Tendering Process The risk management methodology • Payroll in place is based on Australian and • Purchasing New Zealand Risk Management • Compliance with legislative Standards. A key component of requirements the strategic risk management planning and operational reviews is • Risk Attestation the identification and evaluation of potential business risks. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

Consultancies

The combined consultancy costs by category were:

Category Amount Finance and Audit $173,000 Information Technology $10,668 Strategy Development $51,532 TOTAL $235,200

Legislation Whistleblowers Privacy Building Act The GMCT is committed to The GMCT complies with the the aims and objectives of the Information Privacy Act 2000. The GMCT complies with the Whistleblowers Protection Act The information privacy principles provisions of the Building Act 1993 2001. The Trust does not tolerate within the Act establish standards which encompasses the Building improper conduct by its employees, for the use of personal information. Code of Australia and Standards stakeholders and clients, nor the The GMCT received no complaints for Publicly Owned Buildings, taking of reprisals against those in relation to breaches of privacy November 1994. who come forward to disclose in 2010-11. For enquiries, or to Freedom Of Information such conduct. The Trust recognises request a copy of The GMCT’s the value of transparency and Privacy Policy, contact: The Freedom of Information (FOI) accountability in its administrative Act 1982 entitles members of the Privacy Officer and management practices, and public to obtain information, other PO Box 42, Fawkner, Victoria 3060 supports the making of disclosures than that which is exempt from Phone (03) 9355 3126 or email that reveal corrupt conduct, the Act, held by The GMCT. One [email protected] conduct involving substantial freedom of information request was mismanagement of public received in the reporting period. resources, or conduct involving substantial risk to public health and Victorian Industry Participation safety or the environment. There Policy were no disclosures made to the The GMCT identifies and maximizes Trustees of The GMCT under the local sourcing opportunities Whistleblowers Protection Act 2001 wherever they offer a value for during the reporting period. money outcome. The Victorian Industry Participation Policy Act Competitive Neutrality 2003 did not apply to any contracts The GMCT is committed to that commenced or were completed competitive neutrality principles during this period. ensuring fair and open competition. Many non-core activities have been outsourced, such as security, cleaning, design, printing and construction. The Trust did not receive any competitive neutrality complaints during the reporting period. 24 25

Other Trust Committees Community Advisory Committee Executive Performance and (CAC) Remuneration Committee (EPRC) Finance & Investment Committee The CAC comprises three Members The EPRC comprises three of Trust. The Chair of the Members of Trust. The Chair of the The Finance & Investment Committee is Dr Jan Penney and Committee is Ms Catherine Brown Committee comprises three other Trust members are Mr Gary and other members are Mr David Members of Trust. The Chair of the Jungwirth and Mr Graeme Shaw. Cleland and Ms Jennifer Kearney. Committee is Mr Neil Greenaway. Community Representatives, who The CEO and Director Corporate Other members are Mr David are members of the committee, Services attend meetings by Cleland and Ms Barbara McLure. are: David Down, Catherine invitation. The CEO and Director of Finance Turnbull, Carmen Zammit and The role of the EPRC is to provide attend meetings by invitation. Osman Said. The CEO and Director advice and direction to the Trust The role of the Finance and of Client Services attend meetings on such matters as the overall Investment Committee is to by invitation. performance and remuneration of provide advice and receive The purpose of the CAC is to executives, through regular reviews, reports as required for relevant consider any matters that are and the individual remuneration programs and projects and make referred to it by the Trust and to packages of the CEO, direct reports recommendations to the Trust on raise with the Trust any issues of to the CEO, and other executive matters relating to: concern or matters of interest positions, as defined from time to • Appropriate, prudent, sustainable to the community regarding the time, by the applicable government and efficient use of investment cemetery or crematoria services policies. provided by the Trust. funds. The committee ensures • Establishment and maintenance of executive remuneration packages the Perpetual Maintenance Fund. appropriately reflect competence and performance and comply • Accuracy and veracity of monthly with the applicable Victorian financial reports in presenting a Government policies, guidelines true and fair view of The GMCT and directives. activities. • Establishment and maintenance of appropriate financial risk management, internal control systems and compliance processes. • Reviewing the annual financial report. • Monitoring the procedures in place to ensure compliance with the legislation, regulations and codes. • Other financial matters as requested by the Trust. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011

Accountable officer’s risk management attestation

I, Catherine Brown, certify that The Greater Metropolitan Cemeteries Trust has risk management processes in place consistent with the Australian/New Zealand Risk Management Standard and an internal control system is in place that enables the Executive to understand, manage and satisfactorily control risk exposures. The Audit and Risk Management Committee verifies this assurance and that the risk profile of The Greater Metropolitan Cemeteries Trust been critically reviewed during the sixteen months ended 30 June 2011.

Catherine Brown Chair Greater Metropolitan Cemeteries Trust 30 June 2011

26 THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 27

financial statements For the Financial Period 1 March 2010 to 30 June 2011

27 28 29

Trust Member’s, Accountable Officer’s and Chief Finance & Accounting Officer’s Declaration

We certify that the Financial Statements for The Greater Metropolitan Cemeteries Trust have been prepared in accordance with Standing Direction 4.2 of the Financial Management Act 1994, applicable Financial Reporting Directions (FRD’s), Australian Accounting Standards, Interpretations and other mandatory professional reporting requirements. We further state that, in our opinion, the information set out in the Comprehensive Operating Statement, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Financial Statements, presents fairly the financial transactions during the 16 month reporting period 1 March 2010 to 30 June 2011 and the financial position of The Greater Metropolitan Cemeteries Trust as at 30 June 2011. At the time of signing, we are not aware of any circumstance which would render any particulars included in the financial statements to be misleading or inaccurate. We authorise the attached financial statements for issue on this day.

Catherine Brown Jacqui Briggs-Weatherill Ross Ingram Trust Chair Accountable Officer Chief Finance and Accounting Officer

Melbourne Melbourne Melbourne 15 June 2012 15 June 2012 15 June 2012 THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 financials 10/11:

30 31 THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 financials 10/11:

Comprehensive Operating Statement for the Financial Period Ended 30 June 2011 Note 2011 $ 000

Income from transactions Cemetery Operations Income 2a 63,078 Cost of Sales 3a (10,865) 52,213

Resources Received Free of Charge 1b(v), 2b 47,397 Investment Income 2c 11,138

Total Income from Transactions 110,748

Expenses from transactions Employee Expenses 16,393 Depreciation and Amortisation Expense 3c 2,609 Maintenance and Operations Costs 7,045 Administration Costs 1,015 Audit Fees – Auditor General 173 Other Expenses 1,088

Total Expenses from Transactions 28,323

Operating Result for the Period before Cemetery Levy 82,425

Cemetery Levy 2,225 Operating Result for the Period 80,200

Other Comprehensive Income Net Fair Value Gains / (Loss) from Available for Sale Investments 6d 512 Comprehensive Result for the Period 80,712

This Statement should be read in conjunction with the accompanying notes.

32 33

Balance Sheet as at 30 June 2011 2011 Note $ 000 Current Assets Cash and Cash Equivalents 4a 29,452 Available for Sale Investments 4c 82,008 Receivables 4b 4,130 Inventories 4d 39,555 Prepayments 4f 34 Total Current Assets 155,179

Non-Current Assets Available for Sale Investments 4c 34,953 Inventories 4d 6,448 Property, Plant and Equipment 4e 50,344 Intangible Assets 4g 63 Total Non-Current Assets 91,808

Total Assets 246,987

Current Liabilities Payables 5a 3,606 Provision for Employee Benefits 5d 2,287 Provision for Onerous Contracts 5c 243 Unearned Income 5b 11,133 Total Current Liabilities 17,269

Non-Current Liabilities Provision for Employee Benefits 5d 134 Total Non-Current Liabilities 134

Total Liabilities 17,403

Net Assets 229,584

Equity Contributed Capital 6a 148,872 Accumulated Surplus / (Deficit) 6b 25,446 Perpetual Maintenance Reserve 6c 54,754 Available for Sale Investment Revaluation Surplus 6d 512

Total Equity 229,584

Commitments 10 Contingent Assets and Contingent Liabilities 11

This Statement should be read in conjunction with the accompanying notes. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 financials 10/11:

Statement of Changes in Equity For the Financial Period Ended 30 June 2011 Available for Sale Physical Perpetual Investment Asset Contributed Accumulated Maintenance Revaluation Revaluation Capital Surplus / (Deficit) Reserve Surplus Surplus Total $ 000 $ 000 $ 000 $ 000 $ 000 $ 000

Balance at 1 March 2010 ------Contributed Capital Transferred on Amalgamation 148,872 - - - - 148,872 Net Result for the Period - 80,200 - - - 80,200 Other Comprehensive income for the Period - - - 512 - 512 Transfer to / (from) Accumulated Surplus / (Deficit) - (54,754) 54,754 - - -

Balance at 30 June 2011 148,872 25,446 54,754 512 229,584

This Statement should be read in conjunction with the accompanying notes.

34 35

Cash Flow Statement For THE Financial Period ended 30 June 2011 2011 Note $ 000

Cash Flows from Operating Activities Receipts from Customers 64,967 Payments to Suppliers and Employees (33,058) Investment Income Receipts 9,482 Goods and Services Tax received and paid (net) (9) Net Cash Inflow from Operating Activities 7a 41,382

Cash Flows from Investing Activities Payments for Property, Plant and Equipment (4,694) Proceeds from Sale of Property, Plant and Equipment 2d 207 Payments for Investments (62,219) Net Cash Outflow from Investing Activities (66,706)

Cash Flows from Financing Activities Cash and Cash Equivalents transferred from Former Trusts 54,776 Net Cash Inflow from Financing Activities 7b 54,776

Net increase / (decrease) in Cash and Cash Equivalents 29,452 Cash and Cash Equivalents at Beginning of the Period - Cash and Cash Equivalents at the End of the Period 4a 29,452

This Statement should be read in conjunction with the accompanying notes. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

TABLE OF CONTENTS

1 Summary of Significant Accounting Policies 37 2 Income from transactions 50 (a) Cemetery Operations Income 50 (b) Resources received Free of Charge 50 (c) Investment Income 50 (d) Profit on disposal of Property, Plant and Equipment 50 3 Expenses from transactions 51 4 Assets 52 (a) Cash and Cash Equivalents 52 (b) Receivables 52 (c) Available for Sale Investments 52 (d) Inventories 52 (e) Property, Plant and Equipment 53 (f) Prepayments 54 (g) Intangible Assets 54 5 liabilities 55 (a) Payables 55 (b) Unearned Income 55 (c) Provision for Loss on Onerous Contracts 55 (d) Employee Benefits and related On-cost provisions 55 6 Equity 56 (a) Contributed Capital 56 (b) Accumulated Surplus / (Deficit) 56 (c) Perpetual Maintenance Reserve 56 (d) Available for Sale Investment Revaluation Surplus 56 7 cash Flow Information 57 (a) Reconciliation of Net Cash Flow From Operating Activities to the Result for the Operating Period 57 (b) Reconciliation of Net Cash Flow from Financing Activities 57 8 Superannuation 58 9 Financial Instruments 58 (a) Financial Management Objectives and Policies 58 (b) Credit Risk 59 (c) Liquidity Risk 61 (d) Market Risk Exposure 62 (e) Fair Value 64 10 commitments 65 11 contingent Assets and ContingentL iabilities 65 12 Perpetual Maintenance 65 13 net Assets Acquired from Former Trusts at 1 March 2010 66 14a Responsible Persons Disclosure 67 14b Executive Officer Disclosures 68 15 Related Party Transactions 68 16 Ex-Gratia Payments 68 17 Events Occurring after the Reporting Period 68 36 37

Note 1 – SUMMARY of Significant Accounting Policies

(a) Statement of Compliance months from 1 March 2010 to 30 June 2011. As this is the first period of operation for the Trust, there are no (i) Statement of compliance prior period comparative figures. These financial statements of The Greater Metropolitan The going concern basis was used to prepare the Cemeteries Trust (‘the Trust’) are a general purpose financial statements. financial report which have been prepared in accordance with the Financial Management Act 1994 The financial statements, except for the cash flow and applicable Australian Accounting Standards (AAS), information, have been prepared using the accrual which include the Australian accounting standards basis of accounting. Under the accrual basis, items issued by the Australian Accounting Standards are recognised as assets, liabilities, equity, income Board (AASB), Interpretations and other mandatory or expenses when they satisfy the definitions and professional requirements. AAS include Australian recognition criteria for those items; and they are equivalents of International Financial Reporting recognised in the reporting period to which they relate, Standards (IFRS). regardless of when cash is received or paid. The financial statements also comply with relevant The financial statements are prepared in accordance Financial Reporting Directions (FRD) issued by the with the historical cost convention, except for the Department of Treasury and Finance, and relevant revaluation of certain non-financial assets and financial Standing Directions (SD) authorised by the Minister for instruments, as noted. Particular exceptions to the Finance. In complying with AAS, the Trust has, where historical cost convention include: relevant, applied those paragraphs applicable to not- • Non-current physical assets which, subsequent to for-profit entities. acquisition, are measured at valuation and are re- The annual financial statements were authorised for assessed with sufficient regularity to ensure that issue by Catherine Brown, Trust Chair on behalf of the the carrying amounts do not materially differ from Trust on 15 June 2012. their fair values (ii) Basis of accounting preparation and measurement • Available-for-sale investments which are measured at fair value with movements reflected in equity Accounting policies are selected and applied in a until the asset is derecognised. manner which ensures that the resulting financial information satisfies the concepts of relevance and Historical cost is based on the fair values of the reliability, thereby ensuring that the substance of the consideration given in exchange for the assets. underlying transactions or other events is reported. In the application of AAS’s management is required to The accounting policies set out below have been make judgments, estimates and assumptions about applied in preparing the financial statements for the the carrying values of assets and liabilities that are not 16 months ended 30 June 2011. readily apparent from other sources. The estimates In July 2008, the State Government announced reforms and associated assumptions are based on historical to the 14 major metropolitan and regional cemetery experience and various other factors that are believed trusts that report to Parliament under the Financial to be reasonable under the circumstances, the results Management Act 1994. The reforms were enacted of which form the basis of making the judgments. as amendments to the Cemeteries and Crematoria Actual results may differ from these estimates. Act 2003 and resulted in the establishment of the The estimates and underlying assumptions are Trust which replaced: The Trustees of the Fawkner reviewed on an ongoing basis. Revisions to accounting Crematorium and Memorial Park, The Trustees of the estimates are recognised in the period in which the Altona Memorial Park, The Keilor Cemetery Trust, The estimate is revised if the revision affects only that Preston Cemetery Trust, Wyndham Cemeteries Trust, period; or in the period of the revision, and future The Anderson’s Creek Cemetery Trust, The Lilydale periods if the revision affects both current and future Cemeteries Trust and The Templestowe Cemetery periods. Judgements made by management in the Trust. This led to the transfer of all assets, powers, application of AAS that have significant effects on works, rights, liabilities and obligations to the Trust. The the financial statements and estimates, with a risk effective date of this machinery of government change of material adjustments in the subsequent reporting was 1 March 2010. Class A Cemetery Trusts were period, are disclosed throughout the notes to the exempted from preparing financial statements for the financial statements. period from 1 March 2010 to 30 June 2010. The Trust is therefore presenting financial statements for the 16 THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

(iii) Reporting Entity Comparative Information The financial statements include all the controlled The Greater Metropolitan Cemeteries Trust was activities of The Greater Metropolitan Cemeteries formed on 1 March 2010. The Greater Metropolitan Trust. The Trust was established under the Cemeteries Cemeteries Trust was exempted from preparing and Crematoria Act 2003 and its operations are financial statements for the period from 1 March 2010 governed by that Act. The financial statements of to 30 June 2010 and is therefore presenting financial this Trust include the operations of Altona Memorial statements for the 16 month period from 1 March 2010 Park, Anderson’s Creek Cemetery, Burwood Cemetery, to 30 June 2011. As this is the first period of operation Coburg Pine Ridge Cemetery, Emerald Cemetery, for The Greater Metropolitan Cemeteries Trust, there Fawkner Crematorium and Memorial Park, Healesville are no prior period comparatives. Cemetery, Keilor Cemetery, Lilydale Lawn Cemetery, Functional and Presentation Currency Lilydale Memorial Park, Northcote Cemetery, Northern Memorial Park, Preston Cemetery, Templestowe These financial statements are presented in Australian Cemetery, Truganina Cemetery, Werribee Cemetery, dollars, the functional and presentation currency of Williamstown Cemetery and Yarra Glen Cemetery. The Greater Metropolitan Cemeteries Trust. The principal address of the Trust is: (v) Rounding of Amounts 1187 Sydney Road All amounts shown in the financial statements are Fawkner, Victoria 3060 expressed to the nearest $1,000 unless otherwise stated. A description of the nature of the Trust’s operations and its principal activities is included in the report of (b) Income Recognition operations, which does not form part of these financial Income is recognised in accordance with AASB 118 statements. Revenue and is recognised to the extent that it is (iv) Scope and Presentation of Financial Statements probable that the economic benefits will flow to the Trust and the income can be reliably measured. Balance Sheet Unearned income at the reporting date is reported as Assets and liabilities are categorised either as current unearned income, in accordance with the policy set out or non-current. in Note 1(b)(vi) below. Statement of Changes in Equity (i) Fees The Statement of Changes in Equity presents Fees received for the rights of interment for graves, reconciliations of each non-owner and owner equity cremation memorials and mausoleum crypts are opening balance at the beginning of the reporting recognised as revenue at the time of purchase except period to the closing balance at the end of the for the memorialisation portion which is recognised at reporting period. It also shows separately changes due the time of interment. to amounts recognised in the comprehensive result Fees received for interment, cremation and certain and amounts recognised in other comprehensive memorialisation products such as granite and memorial income related to other non owner changes in equity. plaques are recognised as revenue in the period that Cash Flow Statement the goods or services are provided. Cash flows are classified according to whether or not Fees received in advance of service provision are they arise from operating activities, investing activities, recorded as unearned income in accordance with Note or financing activities. This classification is consistent 1(e)(i). with requirements under AASB 107 Statement of Cash Flows. Amounts disclosed as revenue are, where applicable, net of returns, allowances and duties and taxes. (ii) Dividend Revenue Dividend revenue is recognised on a receivable basis. (iii) Interest Revenue Interest revenue is recognised on a time proportionate basis that takes into account the effective yield of the financial asset. 38 39

(iv) Sale of Investments (c) Expense Recognition The gain or loss on the sale of investments is recognised Expenses are recognised as they are incurred and are when the investment is realised. Movements in the fair reported in the financial year to which they relate. value of investments are recognised in accordance with (i) Cost of Goods Sold Note 1(d)(vi). Costs of goods sold are recognised when the sale of (v) Resources Provided and Received Free of Charge or an item or right of interment occurs by transferring for Nominal Consideration the cost or value of the item/s or value of land Resources provided or received free of charge or for related to the right of interment from inventories to nominal consideration are recognised at their fair operating expenses. See also Note 1(d)(iv). value when the transferee obtains control over them, (ii) Employee Expenses irrespective of whether restrictions or conditions are imposed over the use of the contributions, unless Employee expenses include: received from another cemetery or agency as a • Wages and salaries consequence of a restructuring of administrative arrangements. In the latter case, such transfer is • Annual leave recognised at carrying value. Contributions in the form • Sick leave of services are only recognised when a fair value can be determined reliably and the services would have been • Long service leave purchased if not received as a donation. • Superannuation expenses are reported On 1 March 2010, ten metropolitan cemetery trusts differently depending upon whether employees were consolidated into two cemetery trusts, The are members of defined benefit or defined Greater Metropolitan Cemeteries Trust and The contribution plans. Southern Metropolitan Cemeteries Trust, as a result In relation to defined contribution (i.e. accumulation) of machinery of government changes provided for in superannuation plans, the associated expense is the Schedule 4 to the Cemeteries and Crematoria Act 2003. employer’s contributions that are paid or payable Prior to the consolidation, the ten cemetery trusts had in respect of employees who are members of these established reserves for the purpose of setting aside plans during the reporting period. funding for their perpetual maintenance obligations as required by section 12 of the Cemeteries and In relation to defined benefit superannuation plans, Crematoria Act 2003. the amount charged to the comprehensive operating statement represents contributions made by the Trust Recognising that these assets were, in substance, to the superannuation plans in respect of the services reserved for a specific purpose, the transfer of assets of current Trust staff. Superannuation contributions from the old to the new cemetery trusts has been are made based on the rules of each plan and are treated as a transfer of resources (provided) received determined on actuarial advice. free of charge, with the State of Victoria acting as a temporary custodian to facilitate the transfer. (iii) Depreciation Accordingly, The Greater Metropolitan Cemeteries Trust Assets with a cost in excess of $3,000 are capitalised has recognised in these financial statements a non-cash and depreciation has been provided on depreciable transaction for $47.4 million as resources received free assets so as to allocate their cost or valuation over of charge, which has been set aside by the Trust as their estimated useful lives. reserves to fund its perpetual maintenance obligations. Depreciation is calculated on a straight-line basis, (vi) Unearned Income at rates that allocate the asset’s value, less any Unearned income represents monies received in estimated residual value, over its estimated useful advance of the provision of particular interment life. Estimates of the remaining useful lives and the and cremation services and for sales of some goods depreciation method for all assets are reviewed at e.g. memorial plaques. These monies are recorded least annually and adjustments are made where as unearned income as at the reporting date and appropriate. recognised as revenue in the period that the goods or Depreciation is provided on property, plant and services are provided. equipment, including freehold buildings, but excluding land. Refer to Note 1(d)(vii). THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Depreciation begins when the asset is available for Any excess of the carrying amount over the use, which is when it is in the location and condition recoverable amount is recognised as an impairment necessary for it to be capable of operating in the loss. manner intended by management. Intangible assets with finite useful lives are amortised The following table indicates the depreciation rates in over a 4 - 5 year period. use. (v) Cemetery Levy 2011 In accordance with Section 18Q of the Cemeteries and Crematoria Act 2003, the Trust is required to Buildings 2.5% pay a percentage of its gross earnings, as defined Plant and Equipment 10% by the Department of Health, to the Consolidated Infrastructure and Improvements 2% Fund held by the State of Victoria. ‘Gross Earnings’ is currently defined as cemetery operations income and Office Equipment, Furniture and Fittings 10% investment income, excluding: donations, government Motor Vehicles 20% grants, profit or loss on sale of investments and other Computer Systems 33% assets and assets received free of charge. The levy rate for this reporting period is three percent. (d) Assets (iv) Amortisation (i) Cash and Cash Equivalents Intangible assets with a cost in excess of $3,000 are capitalised. Cash and cash equivalents comprise cash on hand, cash at bank, deposits at call and highly liquid Amortisation is allocated to intangible assets with finite investments with an original maturity of three months useful lives on a systematic (typically straight-line) basis or less, which are readily convertible to known over the asset’s useful life, and is recognised as an amounts of cash and are subject to insignificant risk of expense. changes in value. Amortisation begins when the asset is available for For the cash flow statement presentation purposes, use, that is, when it is in the location and condition cash and cash equivalents includes bank overdrafts, necessary for it to be capable of operating in the which are included as current interest bearing manner intended by management. liabilities in the balance sheet. The amortisation period and the amortisation method (ii) Receivables for an intangible asset with a finite useful life are reviewed at least at the end of each annual reporting Trade debtors are carried at nominal amounts due period. for settlement within 30 days from the date of recognition. Collectability of debts is reviewed on In addition, an assessment is made at each reporting an ongoing basis, and debts which are known to be date to determine whether there are indicators that uncollectible are written off. A provision for doubtful the intangible asset concerned is impaired. debts is recognised when there is objective evidence If so, the assets concerned are tested to assess that an impairment loss has occurred. Bad debts are whether their carrying value exceeds their recoverable written off when identified. amount. Receivables are recognised initially at fair value and Intangible assets with indefinite useful lives are not subsequently measured at amortised cost, using amortised, but are tested for impairment annually (or the effective rate method, less any accumulated whenever there is an indication that the asset may be impairment. impaired) by comparing their recoverable amount with (iii) Prepayments their carrying amount. The useful lives of intangible assets that are not being amortised are reviewed each Prepayments represent payments in advance period to determine whether events and circumstances of receipt of goods or services or that part of continue to support an indefinite useful life assessment expenditure made in one accounting period covering for those assets. a term beyond that period. 40 41

(iv) Inventories At each balance sheet date the Trust assesses whether a financial asset or group of financial assets is impaired. Inventories include goods and other property held All financial assets except those measured at fair value either for sale or for distribution at zero or nominal through profit and loss are subject to annual review for consideration, or for consumption in the ordinary impairment. course of business operations. (vi) Available-for-Sale Financial Assets Inventories exclude depreciable assets. Other financial assets held by the Trust are classified Inventories include land allocated for interment as being available-for-sale and are measured at fair purposes and held for sale. Inventory of land value. Gains and losses arising from changes in fair allocated for interment purposes is measured at the value are recognised as other comprehensive income lower of cost and net realisable value on the basis of directly in equity until the investment is disposed of weighted average cost and includes adjacent land and or is determined to be impaired, at which time the landscaping that add to the amenity of the land for cumulative gain or loss previously recognised in equity interment. is included in profit or loss for the period. Inventories are classified as either work in progress or Fair value is determined in the manner described in finished goods. Work in progress includes undeveloped Note 9(e). land and expenditure on inventories partially constructed, but not available for sale. Finished goods (vii) Property, Plant and Equipment represent inventories available for sale to clients All non-current assets are measured initially at cost and including land to be used for interment purposes. subsequently revalued at fair value less accumulated Stock held in maintenance stores is valued at weighted depreciation and impairment. average cost. Crown land which has been reserved for cemetery Stocks of precast concrete lined graves, pre-poured and crematoria purposes is measured at fair value foundations for graves, memorial wall niches, with regard to the property’s highest and best mausoleum crypts and granite are valued at weighted use after due consideration is given to any legal average cost. Inventories expected to be sold or or constructive restrictions imposed on the land, utilised within 12 months are recorded as current public announcements or commitments made in assets, with the balance as non-current assets. These relation to the intended use of the asset. Theoretical inventories are measured at the lower of cost or net opportunities that may be available in relation to the realisable value. asset(s) are not taken into account until it is virtually certain that any restrictions will no longer apply. Costs for all other inventories are measured on the basis of weighted average cost. Land for Cemetery Use Inventories acquired for no cost or for nominal These restrictions, whereby land has been reserved for consideration are measured at current replacement a cemetery, have been assessed by the Valuer-General cost at the date of acquisition. of Victoria as reducing the land’s highest and best use value by a discount factor of 95%. The discount of 95% Costs of goods sold are recognised in accordance with represents the Community Service Obligation (‘CSO’) of Note 1(c)(i). providing the cemetery to the people of Victoria. (v) Other Financial Assets Cemetery use land was valued at 30 June 2007 by or Other financial assets are recognised and derecognised under the auspices of the Valuer-General in accordance on trade date where purchase or sale of an investment with the requirements of Financial Reporting Direction is under a contract whose terms require delivery of the FRD103D Non-current Physical Assets, issued pursuant to investment within the timeframe established by the the Financial Management Act 1994. The next scheduled market concerned, and are initially measured at fair revaluation under FRD103D is set for 30 June 2012. value, net of transaction costs. Land for cemetery use is classified between Interment The Trust classifies its other financial assets between Land (see inventories above) and land under current and non-current assets based on the purpose Infrastructure which is part of property, plant and for which the assets were acquired. Management equipment. determines the classification of its other financial Land and buildings are measured initially at cost and investments at initial recognition. subsequently measured at fair value. Accumulated depreciation is deducted from the fair value of buildings to derive a value to be assessed for impairment. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Plant, Equipment and Vehicles are measured initially assessed for impairment annually or whenever there is at cost and will be measured subsequently at fair an indication that the intangible assets may be impaired. value less accumulated depreciation and impairment. Costs incurred subsequent to initial acquisition are Depreciated historical cost is generally a reasonable capitalised when it is expected that additional future proxy for depreciated replacement cost because of the economic benefits will flow to the Trust. short lives of the assets concerned. (x) Net Gain / (Loss) on Non-Financial Assets (viii) Revaluation of Non-Current Physical Assets Net gain / (loss) on non-financial assets includes Non-current physical assets measured at fair value realised and unrealised gains and losses from are revalued in accordance with FRD 103D. This revaluations, impairments and disposals of all physical revaluation process normally occurs every five assets and intangible assets. years, based upon the asset’s Government Purpose Disposal of Non-Financial Assets Classification, but may occur more frequently if fair value assessments indicate material changes in Any gain or loss on the sale of non-financial assets values. Independent valuers are used to conduct these is recognised in the reported result at the date that scheduled revaluations and any interim revaluations control of the asset is passed to the buyer and is are determined in accordance with the requirements of determined after deducting from the proceeds the the FRD. Revaluation increments or decrements arise carrying value of the asset at that time. from differences between an asset’s carrying value and Impairment of Non-Financial Assets its fair value. All assets are assessed annually for indications of Revaluation increments are recognised in other impairment except for: comprehensive income and accumulated in the • Inventories property, plant and equipment revaluation surplus, except to the extent that an increment reverses a If there is an indication of impairment, the assets revaluation decrement in respect of that class of asset concerned are tested to determine whether their previously recognised as an expense in the reported carrying value exceeds their possible recoverable result, the increment is recognised as income in amount. Where an asset’s carrying value exceeds its determining the reported result. recoverable amount, the difference is written-off as an expense except to the extent that the write-down value Revaluation decrements are recognised immediately can be debited to an asset revaluation surplus amount as expenses in the reported result, except that, to the applicable to that same class of asset. extent that a credit balance exists in the property, plant and equipment revaluation surplus in respect of the If there is an indication that there has been a change same class of assets, they are debited directly to the in the estimate of an asset’s recoverable amount since property, plant and equipment revaluation surplus. the last impairment loss was recognised, the carrying amount shall be increased to its recoverable amount. Revaluation increases and revaluation decreases This reversal of the impairment loss occurs only to relating to individual assets within an asset class are the extent that the asset’s carrying amount does not offset against one another within that class but are not exceed the carrying amount that would have been offset in respect of assets in different classes. determined, net of depreciation or amortisation, if no Revaluation surplus relating to an asset is not normally impairment loss had been recognised in prior years. transferred to accumulated funds on de-recognition of It is deemed that, in the event of the loss of an asset, the relevant asset. the future economic benefits arising from the use of (ix) Intangible Assets the asset will be replaced unless a specific decision Intangible assets represent identifiable non-monetary has been made to the contrary. The recoverable assets without physical substance, and include amount for most assets is measured at the higher computer software and associated development costs. of depreciated replacement cost and fair value less costs to sell. The recoverable amount for assets held Intangible assets are initially recognised at cost. primarily to generate net cash inflows is measured at Subsequently, intangible assets with finite useful lives the higher of the present value of future cash flows are carried at cost less accumulated amortisation and expected to be obtained from the asset and fair value accumulated impairment losses. Intangible assets less costs to sell. with indefinite useful lives are not amortised but are 42 43

Revaluation of Financial Instruments at Fair Value (iii) Provision for Loss on Onerous Contracts (on unearned income) The revaluation gain / (loss) on financial instruments at fair value excludes dividends and interest earned on Provisions are recognised when either a legal or financial assets, which are reported as part of income constructive obligation, as a result of a past event, exists in the comprehensive operating statement. at the balance sheet date and where the amount of the obligation can be reliably estimated. A provision Impairment of Financial Assets is also recognised for onerous contracts where the Financial assets, including available for sale unavoidable costs of meeting the obligations and the investments have been assessed for impairment in future sacrifice of economic benefits is probable and accordance with Australian Accounting Standards. exceed the economic benefits that are expected to be Where a financial asset’s fair value at balance date received under the contract. has reduced by 20 per cent or more of its cost price; The amount recognised as a provision is the best or where its fair value has been less than its cost estimate of the consideration required to settle the price for a period of 12 or more months, the financial present obligation at reporting date, taking into account instrument is treated as impaired. the risks and uncertainties surrounding the obligation. In order to determine an appropriate fair value as at 30 A provision is recognised in relation to pre-paid fees June 2011 for its portfolio of financial assets, the Trust where the cost of providing the purchased goods and/ used valuations provided by its fund managers as at 30 or services is expected to be greater than the amount June 2011 which were based on market prices. received/revenue to be recognised and the current service cost can be reliably measured. The provision The above valuation process was used to quantify the represents the current cost of the expenditure required level of impairment on the portfolio of financial assets to provide the goods and/or services, less the amount as at period end. of revenue to be recognised based on historical prices (e) Liabilities and current costs at the reporting date. (i) Unearned Income As the Trust does not have an unconditional right to defer settlement, the liability for onerous contracts is Unearned income is as per Note 1 (b)(vi). recognised as a current liability. All unearned income is classified as a current liability (iv) Goods and Services Tax (‘GST’) as the Trust does not have an unconditional right to defer settlement. Pre-purchases and pre-need deeds Income, expenses and assets are recognised net of the are redeemed when a need arises. The amount that associated amount of GST, unless the GST incurred is will be redeemed during the coming 12 months cannot not recoverable from the taxation authority. In this case be determined reliably. Prepaid fees are recognised at it is recognised as part of the cost of acquisition of the their nominal (contracted) value. asset or as part of the expense. (ii) Payables Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount These amounts consist predominantly of liabilities for of GST recoverable from, or payable to, the taxation goods and services. authority is included with other receivables or payables Payables are initially recognised at fair value, and in the balance sheet. subsequently carried at amortised cost and represent Cash flows are presented on a gross basis. The GST liabilities for goods and services provided to the Trust components of cash flows arising from investing or prior to the end of the reporting period that are unpaid, financial activities which are recoverable from, or and arise when the Trust becomes obliged to make payable to the taxation authority are presented as future payments in respect of the purchase of these operating cash flows. goods and services. The normal credit terms are Nett 30 days. Commitments and contingent assets or liabilities are presented including GST. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

(v) Employee Benefits Termination Benefits Wages and Salaries, Annual Leave Termination benefits may be payable when employment is terminated by the Trust before normal Liabilities for wages and salaries, including non-monetary retirement date or when an employee accepts benefits and annual leave, expected to be settled within voluntary redundancy in exchange for these benefits. 12 months of the reporting date, are recognised in the provision for employee benefits in respect of employees’ Liabilities for termination benefits are recognised service up to the reporting date, classified as current when a detailed plan for the termination has been liabilities and measured at nominal values. developed and a valid expectation has been raised with those employees affected that the termination will be Those liabilities that the Trust does not expect to settle carried out. The liabilities for termination benefits are within 12 months are also recognised in the provision recognised in other creditors unless the amount or for employee benefits as current liabilities, but are timing of the payments is uncertain, in which case they measured at present value of the amounts expected are recognised as a provision. to be paid when the liabilities are settled using the remuneration rate expected to apply at the time of On-Costs settlement. Employee Benefit on-costs (workers compensation and Long Service Leave (LSL) superannuation) accrued on annual leave and LSL are recognised separately from the provision for employee Current Liability – Unconditional LSL (representing 7 or benefits. more years of eligible continuous service) is disclosed as a current liability even where the Trust does not (vi) Leases expect to settle the liability within 12 months because Operating lease payments, including any contingent it will not have the unconditional right to defer the rentals, are recognised as an expense in the settlement of the entitlement should an employee take comprehensive operating statement on a straight- leave within 12 months. line basis over the lease term, except where another The components of this current LSL liability are systematic basis is more representative of the time measured at: pattern of the benefits derived from the use of the leased asset. Present value – component that the Trust does not expect to settle within 12 months; and (vii) Superannuation Nominal value – component that the Trust Employees of the Trust are entitled to receive expects to settle within 12 months. superannuation benefits and the Trust contributes to both defined benefit and defined contribution plans. Non-Current Liability – Conditional LSL (representing less than 7 years of eligible continuous service) Defined Contribution Plan is disclosed as a non-current liability. There is an The defined contribution funds receive both employer unconditional right to defer the settlement of the and employee contributions on a progressive basis. entitlement until the employee has completed the Employer contributions are normally based on a fixed requisite years of service. percentage of the employee earnings in accordance Conditional LSL is measured at present value. in accordance with the Superannuation Guarantee Legislation (9%). The Trusts current contribution range Consideration is given to expected future wage and between 9% and 10%. No further liability accrues to salary levels, experience of employee departures and the employer as the superannuation benefits accruing periods of service. Expected future payments are to employees are represented by their shate of the discounted using interest rates of Commonwealth netassets of their chosen fund. Government guaranteed securities in Australia. Defined Benefit Superannuation Plan The defined benefit plans provide benefits to employees based on years of service and final average salary. GMCT makes employer contributions to the defined benefits category of the Superannuation Fund at a minimum of the rate determine by the Fund’s Trustee. (9.25%) 44 45

On the basis of the results of the most recent full (iv) Contributed Capital actuarial investigation conducted by the Fund’s actuary Consistent with Australian Accounting Interpretation as at 30 June 2010, GMCT’s current contribution is 1038 Contributions by Owners Made to Wholly-Owned 9.25% of superannuation salary, plus the difference Public Sector Entities and FRD 119 Contributions by between the retrenchments benefits paid to any Owners, net assets of the former trusts have been retrenched employees, plus contribution tax. treated as contributed capital in accordance with The Trust does not recognise any defined benefit liability the Allocation Statement authorised by the Minister in respect of the superannuation plan because the Trust for Health. Other transfers that are in the nature of has no legal or constructive obligation to pay future contributions or distributions that have been designated benefits relating to its employees; its only obligation is as contributed capital are treated as contributed capital to pay superannuation contributions as they fall due. (Note 6a). Unfunded liabilities are assessed by the Super Plan, and (v) Net Assets acquired under Statutory Powers the Trust pays any shortfall annually. The Department of Treasury and Finance administers and discloses the Section 8 of the Cemeteries and Crematoria Act 2003 State’s defined benefit liabilities in its financial report. provided for the transfer of the assets and liabilities of the former trusts listed in Note 1(a)(ii) to The Greater (f) Equity Metropolitan Cemeteries Trust. When it was established (i) Property, Plant and Equipment Revaluation Surplus on 1 March 2010 the Trust recognised the assets and liabilities of the former trusts at the audited book values The revaluation surplus is used to record increments reported by those trusts as at 28 February 2010. and decrements in the revaluation of non-current physical assets. Crown land acquired remains the property of the (ii) Available-for-Sale Investment Revaluation Surplus Crown; however it is reported as an asset of the Trust because effective control has passed to the Trust, The available-for-sale revaluation surplus arises from together with a substantial benefit. See also Note 13 for the revaluation of available-for-sale financial assets. further details. Where a revalued financial asset is sold, that portion of the surplus which relates to that financial asset, and is (g) Events after the Reporting Period effectively realised, is recognised in the reported result. Assets, liabilities, income or expenses arise from past Where an available-for-sale financial asset is impaired, transactions or other past events. Adjustments are the cumulative loss that had been recognised in other made to amounts recognised in the financial statements comprehensive income is reclassified from equity to for events which occur after the reporting period and operating result. before the date the financial statements are authorised for issue, where those events provide information about (iii) Perpetual Maintenance Reserve conditions which existed in the reporting period. Note Under section 12B(2)(a) of the Cemeteries and disclosure is made about events between the end of the Crematoria Act, the Trust must have regard to its reporting period and the date the financial statements obligations in relation to funding of the perpetual are authorised for issue, where the events relate to maintenance of the public cemeteries for which it is conditions which arose after the end of the reporting responsible. period and which may have a material impact on the results of subsequent reporting periods. Fees received in respect of the memorial gardens, cemetery gardens and mausoleum crypts include (h) Commitments for Expenditure amounts for perpetual maintenance to be carried Commitments for expenditure are not recognised on out in future years in perpetuity. Such amounts are the balance sheet. Commitments for expenditure are transferred from the result for the period and into the disclosed at their nominal value and are inclusive of Perpetual Maintenance Reserve (Notes 6c and 12). the GST payable. In addition, where it is considered A review conducted by Trowbridge Deloitte in 2005 appropriate and provides additional relevant has suggested that 18% of interment sales would be information to users, the net present values of sufficient to ensure that future preservation liabilities significant individual projects are stated. of the Trust are met into perpetuity. The Trust has commissioned Deloitte Actuaries to undertake a review of the forecast costs of maintenance obligations in perpetuity, by site, to determine an appropriate funding approach. This review is not yet finalised. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

(i) Contingent Assets and Contingent Liabilities (j) New Accounting Standards and Interpretations Contingent assets and contingent liabilities are not As at 30 June 2011, the following standards and recognised in the balance sheet, but are disclosed Interpretations had been issued but application was by way of note and, if quantifiable, are measured not mandatory for the period ending 30 June 2011. at nominal value. Contingent assets and contingent The Trust has not and does not intend to adopt these liabilities are presented inclusive of GST receivable or standards early. payable respectively.

Standard / Interpretation Summary Applicable for annual Impact on public sector entity reporting periods financial statements beginning on or after AASB 9 Financial This standard simplifies 1 Jan 2013 Detail of impact is still being Instruments requirements for the classification assessed. and measurement of financial assets resulting from Phase 1 of the IASB’s project to replace IAS 39 Financial Instruments: Recognition and Measurement (AASB 139 Financial Instruments: Recognition and Measurement). AASB 124 Related Party Government related entities 1 Jan 2011 Preliminary assessment Disclosures (Dec 2009) have been granted partial suggests the impact is exemption with certain disclosure insignificant. requirements. However, GMCT is still assessing the detailed impact. AASB 1053 Application This Standard establishes a 1 July 2013 The Victorian Government of Tiers of Australian differential financial reporting is currently considering the Accounting Standards framework consisting of two impacts of Reduced Disclosure tiers of reporting requirements Requirements (RDRs) for for preparing general purpose certain public sector entities financial statements. and has not decided if RDRs will be implemented to the Victorian Public Sector. AASB 2009-11 This Standard gives effect to 1 Jan 2013 Detail of impact is still being Amendments to Australian consequential changes arising assessed. Accounting Standards from the issuance of AASB 9. arising from AASB 9 [AASB 1, 3, 4, 5, 7, 101, 102, 108, 112, 118, 121, 127, 128, 131, 132, 136, 139, 1023 and 1038 and Interpretations 10 and 12)

46 47

Standard / Interpretation Summary Applicable for annual Impact on public sector entity reporting periods financial statements beginning on or after AASB 2009-12 This standard amends AASB 8 1 Jan 2011 The amendments only apply Amendments to Australian to require an entity to exercise to those entities to whom Accounting Standards judgement in assessing whether AASB 8 applies, which are for- [AASB 5, 8, 108, 110, a government and entities known profit entities except for-profit 112, 119, 133, 137, 139, to be under the control of that government departments. 1023 and 1031 and government are considered a Detail of impact is still being Interpretations 2, 4, 16, single customer for purposes assessed. 1039 and 1052] of certain operating segment disclosures. This standard also makes numerous editorial amendments to other AASs.

AASB 2009-14 Amendments to Interpretation 1 Jan 2011 Expected to have no Amendments to 14 arise from the issuance of significant impact. Australian Interpretation prepayments of a minimum – Prepayments of a funding requirement. Minimum Funding Requirement [AASB Interpretation 14] AASB 2010-2 Amendments This Standard makes 1 July 2013 Does not affect financial to Australian Accounting amendments to many Australian measurement or recognition, Standards arising from Accounting Standards, including so is not expected to have any Reduced Disclosure Interpretations, to introduce impact on financial result or Requirements reduced disclosure requirements position. May reduce some to the pronouncements for note disclosures in financial application by certain types of statements. entities. AASB 2010-4 Further This Standard makes numerous 1 Jan 2011 No significant impact on the Amendments to Australian improvements designed to financial statements. Accounting Standards enhance the clarity of standards. arising from the Annual Improvements Project [AASB 1, AASB 7, AASB 101 & AASB 134 and Interpretation 13] AASB 2010-5 Amendments This amendment contains 1 Jan 2011 No significant impact on the to Australian Accounting editorial corrections to a range of financial statements. Standards [AASB 1, 3, 4, 5, Australian Accounting Standards 101, 107, 112, 118, 119, and Interpretations, which 121, 132, 133, 134, 137, includes amendments to reflect 139, 140, 1023 & 1038 and changes made to the text of IFRSs Interpretations 112, 115, by the IASB. 127, 132 & 1042] THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Standard / Interpretation Summary Applicable for annual Impact on public sector entity reporting periods financial statements beginning on or after AASB 2010-6 Amendments This amendment adds and 1 July 2011 This may impact on to Australian Accounting changes disclosure requirements departments and public sector Standards – Disclosures about the transfer of financial entities as it creates additional on Transfers of Financial assets. This includes the nature disclosure for transfers of Assets [AASB 1 & AASB 7] and risk of the financial assets. financial assets. Detail of impact is still being assessed. AASB 2010-7 Amendments These amendments are in relation 1 Jan 2013 This amendment may have an to Australian Accounting to the introduction of AASB 9. impact on departments and Standards arising from public sector bodies as AASB AASB 9 (December 2010) 9 is a new standard and it [AASB 1, 3, 4, 5, 7, 101, changes the requirements of 102, 108, 112, 118, 120, numerous standards. 121, 127, 128, 131, 132, Detail of impact is still being 136, 137, 139, 1023 & assessed. 1038 and Interpretations 2, 5, 10, 12, 19 & 127] AASB 2010-8 Amendments This amendment provides a 1 Jan 2012 This amendment provides to Australian Accounting practical approach for measuring additional clarification through Standards – Deferred Tax: deferred tax assets and deferred practical guidance. Recovery of Underlying tax liabilities when measuring Assets [AASB 112] investment property by using the fair value model in AASB 140 Investment Property.

AASB 2010-9 Amendments This amendment provides 1 July 2011 Amendment unlikely to impact to Australian Accounting guidance for entities emerging on public sector entities. Standards – Severe from severe hyperinflation who Hyperinflation and Removal are going to resume presenting of Fixed Dates for First-time Australian Accounting Standards Adopters [AASB 1] financial statements or entities that are going to present Australian Accounting Standards financial statements for the first time. It provides relief for first- time adopters from having to reconstruct transactions that occurred before their date of transition to Australian Accounting Standards.

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Standard / Interpretation Summary Applicable for annual Impact on public sector entity reporting periods financial statements beginning on or after AASB 2011-1 Amendments This amendment affects multiple 1 July 2011 This amendment will have no to Australian Accounting Australian Accounting Standards significant impact on public Standards arising from the and AASB Interpretations for the sector bodies. Trans-Tasman Convergence objective of increased alignment Project [AASB 1, AASB 5, with IFRSs and achieving AASB 101, AASB 107, AASB harmonisation between both 108, AASB 121, AASB 128, Australian and New Zealand AASB 132 & AASB 134 and Standards. It achieves this Interpretations 2, 112 & by removing guidance and 113] definitions from some Australian Accounting Standards, without changing their requirements. AASB 2011-2 Amendments The objective of this amendment 1 July 2013 The Victorian Government to Australian Accounting is to include some additional is currently considering the Standards arising from the disclosure from the Trans-Tasman impacts of Reduced Disclosure Trans-Tasman Convergence Convergence Project and to Requirements (RDRs) and Project – Reduced reduce disclosure requirements has not decided if RDRs will Disclosure Requirements for entities preparing general be implemented to Victorian purpose financial statements Public Sector. [AASB 101 & AASB 1054] under Australian Accounting Standards – Reduced Disclosure Requirements. AASB 2011-3 Amendments This amends AASB 1049 to 1 July 2012 This amendment provides to Australian Accounting clarify the definition of the ABS clarification to users on the Standards – Orderly GFS Manual, and to facilitate version of the GFS Manual to Adoption of Changes to the adoption of changes to the be used and what to disclose the ABS GFS Manual and ABS GFS Manual and related if the latest GFS Manual is not Related Amendments disclosures. used. [AASB 1049] No impact on performance measurements will occur. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Note 2 – Income from Transactions 2011 $ 000

(a) Cemetery Operations Income Grave income 11,351 Mausoleum Income 26,675 Cremation Memorial Income 3,010 Interment Income 8,186

Cremation Income 5,381 Memorialisation Income 5,138

Other Operating Income Other Interment Services 1,898 Chapel Services 796 Rental Income 251 Other Operating Income 392 Total Other Operating Income 3,337 Total Cemetery Operations Income 63,078

(b) Resources Received Free of Charge Contributions from Former Trusts’ Perpetual Maintenance Reserves 47,397 47,397

On 1 March 2010 The Greater Metropolitan Cemeteries Trust was formed following amalgamation of the 8 constituent Trusts as described in note 1(a) (ii) as a result of machinery of government changes. Prior to the amalgamation, the eight former entities had established reserves for the purpose of setting aside funding for their perpetual maintenance obligations as required by section 12 of the Cemeteries and Crematoria Act 2003.

In recognition that the assets comprising the perpetual maintenance reserves of the former trusts were in substance reserved for a specific purpose, the transfer of assets from the former trusts to the new Trust has been treated as a transfer of resources provided (received) free of charge, with the State of Victoria acting as a temporary custodian to facilitate the transfer. Accordingly, the Trust has recognised in these financial statements a non-cash transaction to record resources received free of charge, which has been set aside by the Trust as a reserve to meet its perpetual maintenance obligations. See Notes 1(b)(v) and 6(c).

(c) Investment Income Interest Income Interest from Cash and Cash Equivalents and Other Financial Assets 8,938 Dividends and Distributions 2,200 Total Investment Income 11,138

(d) Profit on Disposal of Property, Plant and Equipment Proceeds 207 Less Written Down Value of Property, Plant and Equipment disposed (72) Profit / (Loss) on Sale 135 50 51

NOTE 3 – Expenses 2011 $ 000

(a) Cost of Sales Rights of interment 7,584 Memorialisation 1,965 Other 1,316 10,865

(b) Expenses from transactions Employee Expenses 16,393 Depreciation and Amortisation Expense 3(a) 2,609 Maintenance and Operating Costs 7,045 Administrative Costs 1,015 External Audit Fees 173 Other Expenses Other Operating Costs 738 Loss on Onerous Contracts (1,571) Doubtful Debts Expense 45 Impairment Loss on Available for Sale Financial Assets 1,355 Realised Loss on Available for Sale Investment Assets 521 Total Other Expenses 1,088 Total Expenses 28,323

(c) Depreciation and Amortisation Depreciation Buildings, Infrastructure and Improvements 1,420 Motor Vehicles, Plant and Equipment 1,166 Amortisation Amortisation of Computer Software 23 Total Depreciation and Amortisation 2,609 THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Note 4 – Assets 2011 $ 000 (a) Cash and Cash Equivalents Cash on Hand 2 Cash at Bank 3,196 Interest-Bearing deposits 26,254 Total Cash and Cash Equivalents (1g) 29,452

For the purposes of the Cash Flow Statement, cash assets includes cash on hand and in banks, and short-term deposits which are readily convertible to cash on hand, and are subject to an insignificant risk of change in value.

(b) Receivables Current Trade Debtors 2,519 Accrued Interest and Dividends 1,656 Less Provision for doubtful debts (45) Total Receivables 4,130 The nature and extent of risk arising from receivables and ageing of receivables is contained in Note 9 (b)(iv).

(c) Available for Sale Investments Current Interest-Bearing Investments 82,008 Total Current Available for Sale Investments 82,008

Non Current Managed Share / Units Portfolio 26,719 Interest-Bearing Investments 8,234 Total Non-Current Available for Sale Investments 34,953 Total Available for Sale Investments 116,961

(d) Inventories Current Finished Goods Grave Foundations and Beams 2,989 Mausoleum Crypts 35,925 Interment Land 363 Work-in-Progress Interment Land Development Costs 278 Total Current 39,555

52 53

Note 4 – Assets continued 2011 $ 000

Non-Current Interment Land (undeveloped) 6,448 Total Non-Current 6,448

Total Inventories 46,003

Represented by Land: Interment Purposes 6,811 Grave Foundations and Beams 2,989 Mausoleum Crypts 35,925 Work in Progress 278 Other - 46,003

Land as Inventory assets were formally valued by Carl Cundall, Qualified Valuer, Value IT Pty Ltd and other valuers on behalf of the Valuer-General of Victoria, with effect at 1July 2008 in the financial statements of the former trusts.

Land as Inventory assets was taken up at that value in accordance with the requirements of FRD 102 and AASB 102. This valuation is treated as the appropriate cost of inventory. Inventories are valued at the lower of cost and net realisable value.

(e)(i) Property, Plant and Equipment Cemetery Land under Infrastructure – at Fair Value 2,112

Buildings, Infrastructure and Improvements at Fair Value 41,806 Less Accumulated depreciation (1,420) 40,386

Motor Vehicles, Plant and Equipment at Fair Value 4,741 Less Accumulated depreciation (1,166) 3,575

Capital Works in Progress at Cost 4,271

Total Property, Plant and Equipment 50,344

Property, Plant and Equipment assets were valued by the Trust, as at the date of its establishment and vesting of its assets from the former trusts (1 March 2010) using the written down value in the financial statements of the former trusts listed in Note 1 (a)(iii).

These assets were formally valued by Carl Cundall, Qualified Valuer, Value IT Pty Ltd and other valuers on behalf of the Valuer-General of Victoria, with effect at 30 June 2007 in the financial statements of the former trusts.

Subsequent fair value assessments from 1 March 2010 for the 16 month period were conducted using indices provided by the Valuer-General of Victoria in accordance with FRD 103D Non-Current Physical Assets have not resulted in a material movement in the fair value of land and buildings since inception of the Trust. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Note 4 – Assets continued (e)(ii) Reconciliation of Property, Plant and Equipment Reconciliation of Carrying Amounts of each class of Asset for The Greater Metropolitan Cemeteries Trust at beginning and end of current financial period is set out below.

Cemetery Buildings, Motor Vehicles, Capital Work Total Infrastructure Infrastructure and Plant and in Progress Land Improvements Equipment

$ 000 $ 000 $ 000 $ 000 $ 000

Balance at beginning of the period - - - - - Property, Plant and Equipment Vested in 2,112 40,851 3,755 1,589 48,307 the Trust at 1 March 2010 Additions - - - 5,324 5,324 Transfers to Completed Assets and - 955 1,058 (2,642) (629) Inventories Disposals - - (72) - (72) Depreciation Expense - (1,420) (1,166) - (2,586) Reclassification of Asset Impairment - - - - - Balance at 30 June 2011 2,112 40,386 3,575 4,271 50,344

Note 2011 $ 000

(f) Prepayments Prepaid Insurance 34 34

(g) Intangible Assets Balance at beginning of period Vested from former Trusts at 1 March 2010 86 Additions - Disposals - Impairment - Accumulated Amortisation (23) Balance at end of the Period 63

54 55

Note 5 – Liabilities Note 2011 $ 000

(a) Payables Current Trade Creditors 608 Cemeteries Levy Accrued 2,225 Other Creditors and Accruals 773 Total Payables 3,606 (i) Ageing analysis of payables Please refer to Note 9 (c)(ii) for the ageing analysis of payables (ii) Nature and extent of risk arising from payables Please refer to Note 9 (c)(i) for nature and extent of credit risk arising from payables

(b) Unearned Income Current Pre-need Sales Liability 11,052 Deposits Received in Advance 81 Total Unearned Income 11,133

(c) Provision for Loss on Onerous Contracts Balance at beginning of period - Amount Vested from Previous Trusts 1,814 Amount Taken to Comprehensive Operating Statement (i) (1,571) Balance at end of the Period 243 (i) The onerous contract provision is estimated based on the current direct cost of the expenditure required to provide the goods and/or services, less the amount of revenue to be recognised. The methodology applied to derive the provision has changed from what was applied with previous legacy trusts’ to better reflect the current profile of the pre-need sales liability. (d) Employee Benefits and Related On-Cost Provisions Current Provisions Employee Benefits Annual Leave (Unconditional and expected to be settled within 12 months) 794 Long Service Leave (Unconditional and expected to be settled within 12 months) 229 Long Service Leave (Unconditional and expected to be settled after 12 months) 915 On-costs on Current Employee Provisions 349 Total Current Provisions 2,287

Non-Current Provisions Long Service Leave (Conditional and expected to be settled after 12 months) 114 On-costs on Non-Current Employee Provisions 20 Total Non-Current Provisions 134 Total Provision for Employee Benefits 2,421

Movements in Long Service Leave Balance at the beginning of the period - Liabilities vested from the former trusts 1,360 Provision made during the period - expense 153 Revaluation 206 Settlements made during the period (235) Balance at end of the Period 1,484 THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Note 6 – Equity 2011 $ 000 Composition of Equity Contributed Capital 6(a) 148,872 Accumulated Surplus / Deficit 6(b) 25,446 Perpetual Maintenance Reserve 6(c) 54,754 Available for Sale Investment Revaluation Surplus 6(d) 512 Total Equity 229,584

(a) Contributed Capital Balance at the beginning of the period - Capital Vested from former Trusts 148,872 Balance at the end of the Period 148,872

(b) Accumulated Surplus / (Deficit) Balance at the beginning of the Period - Net Result for the Period 80,200 Transfer to Perpetual Maintenance Reserve (54,754) Balance at the End of the Period 24,446

(c) Perpetual Maintenance Reserve Balance at the beginning of the Period - Transfer from Accumulated Surplus / (Deficit) 54,754 Balance at the End of the Period 54,754

(d) Available for Sale Investment Revaluation Surplus Balance at the beginning of the Period - Unrealised Loss Recognised for the Period (843) Realised Loss Recognised for the Period (521) Realised Loss taken to the Comprehensive Operating Statement 521 Impairment Loss taken to the Comprehensive Operating Statement 1,355 Balance at the End of the Period 512

56 57

Note 7 – Cash Flow Information 2011 $ 000

(a) Reconciliation of Net Cash Flow From Operating Activities to the Result for the Operating Period Result for the Reporting Period 80,200

Non-Cash Flows in the Operating Result Depreciation and Amortisation 2,609 (Profit) / Loss from Disposal of Property, Plant and Equipment (135) Resources Received Free of Charge (47,397) Impairment Loss on Available for Sale Financial Assets 1,355 Realised Loss on Available for Sale Financial Assets 521 (43,047) Changes in Assets and Liabilities (Increase) / decrease in Receivables (1,750) (Increase) / decrease in Inventories 4,533 (Increase) / decrease in Prepayments 123 (Increase) / decrease in Payables 2,166 Increase / (decrease) in Employee Benefits 136 Increase / (decrease) in Onerous Contracts (1,571) Increase / (decrease) in Unearned Income 592 4,229

Total Non-Cash Flows in Operating Result (38,818)

Net Cash flow from Operating Activities 41,382

(b) Reconciliation of Net Cash Flow from Financing Activities Contributed Capital Vested to Trust on Amalgamation 148,872 Resources Provided Free of Charge 47,397 196,269 Less Non Cash Flows of Contributed Capital Other Financial Assets 56,106 Receivables 2,380 Inventories 50,536 Prepayments 159 Property, Plant and Equipment 48,307 Intangible Assets 86 Payables (1,441) Provisions for Employee Benefits (2,285) Provision for Onerous Contracts (1,814) Unearned Income (10,541) Total Non-Cash Flows from Financing 141,493 Net Cash Flow from Financing Activities 54,776 THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Note 8 – Superannuation Employees of the Trust are entitled to receive superannuation contribution benefits and the Trust contributes to both defined benefit and defined contribution plans as outlined in Note 1(c) (ii).

The name and details of the major superannuation funds and contributions made by the Trust are as follows:

Contributions for the Period Ending Contributions Outstanding at the Period End 30 June 2011 2011 $ 000 $ 000

Defined Benefits Vision Super 571 53 Defined Contributions Vision Super 856 27 Other 281 - Total 1,708 80

Note 9 – Financial Instruments Details of the significant accounting policies and methods adopted, including the criteria for recognition, (a) Financial Management Objectives and Policies the basis of measurement and the basis on which The Trust’s principal financial instruments comprise: income and expenses are recognised, with respect to - Cash Assets each class of financial asset and financial liability are disclosed in Note 1 to the financial statements. - Receivables (excluding statutory receivables) - Available for Sale Investments The main purpose of holding financial instruments is to prudentially manage the Trust’s financial risks within - Payables (excluding statutory payables) the Government’s policy parameters. Carrying Amount (i) Categorisation of Financial Instruments 2011 Account Balance Note Category $000

Financial Assets Cash and Cash Equivalents 4(a) Cash 29,452 Available for Sale Investments - Current 4(c) Available for Sale Investments 82,008 (at Fair Value through Equity) Receivables 4(b) Receivables (at Amortised Cost) 4,130 Available for Sale Investments - Non-Current 4(c) Available for Sale Investments 34,953 (at Fair Value through Equity) Total Financial Assets 150,543

Financial liabilities Payables Financial Liabilities Measured at 3,018 Amortised Cost Total Financial Liabilities 3,018

The total amount of financial assets disclosed here The total amount of financial liabilities disclosed excludes statutory amounts (i.e. GST input tax credits here excludes statutory payables (i.e. taxes payable, recoverable). mandatory Superannuation Guarantee Charges and WorkCover levies). 58 59

(ii) Net Holding gain / (loss) on financial instruments by category Carrying Amount 2011 Note $ 000

Financial Assets Cash and Cash Equivalents and Other Financial Assets - Interest Revenue 2(c) 8,938

Receivables - Available for Sale Investments - Impairment 3(b) (1,355) Available for Sale Investments - Realised Loss 3(b) (521 ) Available for Sale Investments - Unrealised Gain in Reserve 6(d) 512 Available for Sale Investments - Dividends and Distributions 2(c) 2,200 Total Net Holding Gain/Loss 9,774

Financial Liabilities At amortised cost - Total Financial Liabilities -

(b) Credit Risk Management has assessed the credit risk associated with the cash and cash equivalents as minimal and Credit risk arises from the financial assets of the Trust reported to the Trust. The amounts are allocated to which comprise cash and cash equivalents, trade and reputable financial institutions which have high other receivables and available for sale investments. credit ratings. The exposure to credit risk arises from the potential default of counter party on their contractual obligations Investments are managed in accordance with the Trust’s resulting in financial loss to the Trust. investment policy, which stipulates, where applicable minimum credit ratings. Credit risk is measured at fair value and is monitored on a regular basis. The investment policy is reviewed regularly by management in conjunction with independent (i) Policy on Managing Credit Risk investment advisors. The Trust does not have any material credit risk The Trust uses external advisers to manage most of the exposure to a single debtor or group of debtors. funds allocated as available-for-sale financial assets. In respect of receivables, the Trust minimises The total funds invested are spread between two concentrations of credit risk by undertaking reputable and experienced external managers and a transactions with a large number of customers. Trade range of financial institutions. This mitigates the credit debtors are normally paid within thirty days of the risk on this class of financial assets, due to the nature of end of the month. Sundry debtors terms range up to a the effects of diversification. maximum of six months. In addition, management reviews on an ongoing basis the aged analysis of receivables to assess the quality of them and apply any action required to ensure the collectability of the debts. Based on successful past experience in managing the credit risk on receivables, the Trust has assessed this risk as low. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

(ii) Maximum Exposure to Credit Risk The Trust’s maximum exposure to credit risk at balance date in relation to each class of financial asset is represented below. Carrying Amount 2011 Note $ 000

Financial Assets Cash and Cash Equivalents 4(a) 29,452 Available for Sale Investments - Current 4(c) 82,008 Receivables 4(b) 4,130 Available for Sale Investments - Non-Current 4(c) 34,953 Total Financial Assets 150,543

(iii) Credit Quality of Contracted Financial Assets that are Neither Past Due, nor Impaired at 30 June 2011

Financial Financial Other Total I n s ti t u ti o ns I n s ti t u ti o ns (Not Rated) ( A A A t o A A (A Credit Rating) Credit Rating) $ 000 $ 000 $ 000 $ 000

Cash and Cash Equivalents Cash on Hand - - 2 2 Cash at Bank 29,450 - - 29,450

Receivables - - 4,130 4,130

Other Financial Assets Interest Bearing Investments 90,242 - - 90,242 Managed Share/Units Portfolio - 26,719 - 26,719 119,692 26,719 4,132 150,543

The total amount of financial assets disclosed here excludes statutory amounts (i.e. GST input tax credits recoverable).

60 61

(iv) Ageing Analysis of Financial Assets as at 30 June 2011

Not Past Past Due But Not Impaired Due Impaired Carrying and Not L e s s t h a n 1-3 3 Months Financial Amount Impaired 1 Month Months -1 Year 1-5 Years Assets Financial Assets $ 000 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000

Cash and Cash Equivalents Cash on Hand 2 2 - - - - - Cash at Bank 3,196 3,196 - - - - -

Receivables 4,130 3,148 469 112 356 - 45 Other Financial Assets Interest Bearing Investments 116,496 116,496 - - - - - Manager Share / Units Portfolio 26,719 26,719 - - - - - Total 150,543 149,561 469 112 356 - 45

Currently The Greater Metropolitan Cemeteries Trust does not hold any collateral as security nor credit enhancements relating to any of its financial assets.

(c) Liquidity Risk (ii) Maximum Exposure to Liquidity Risk Liquidity risk arises if the Trust is unable to meet The maximum exposure to liquidity risk is the carrying obligations associated with its financial liabilities when amounts of financial liabilities as follows: they fall due. Carrying Amount (i) Policy on Managing Liquidity Risk 2011 The Trust’s objectives in managing liquidity risk are Financial Liabilities $ 000 to ensure that all obligations will be met as they fall due, while ensuring maximum funds are available for investment to meet longer term perpetual maintenance Payables 3,018 requirements. Total 3,018 The Trust manages liquidity risk by monitoring cash flows to ensure sufficient funds are maintained in its operating bank account to meet liabilities as they fall due. This is done whilst ensuring that surplus funds are invested. Daily monitoring occurs, with monthly reports delivered to management regarding the cash flow position and cash flow forecasts. The Trust believes that this policy ensures sufficient funds are held to allow for the proper administration of the Trust’s responsibilities. The Trust has assessed this risk as minimal considering the positive current position of current assets compared with its current liabilities and its cash flow generated from operations. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Interest Rate Exposure and Maturity Analysis of Financial Liabilities The following table sets out the contractual maturity analysis for financial liabilities at the first reporting date.

Maturity Dates Less Carrying Nominal Than 1 1-3 3 Months Financial Liabilities Amount Amount Month Month - 1 year 1-5 Years 2011 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000

Payables 3,018 3,018 3,018 - - - Total 3,018 3,018 3,018 - - -

The amounts disclosed above are the contractual, undiscounted cash flows for each class of financial liabilities.

(d) Market Risk Exposure (i) Currency Risk and Policy on Managing Currency Risk The Trust has diversified investments across a range The Trust’s exposure to foreign currency risk arises of markets and sectors, including investments in the mainly from our investments held in overseas shares Australian and international share markets, in order and listed property trusts. to fund redemption of pre-paid fees and long-term The Trust manages its currency risk by appointing perpetual maintenance obligations. experienced external managers to manage these These markets are subject to volatility. investments on its behalf and diversifying the allocation of the investment in shares of overseas It is accepted that the share market is cyclical and that companies, which operate in economies throughout there is inherent volatility. Europe, the United States of America and Asia. The Trust has appointed external investment advisors To minimize volatility in overseas investments due to manage its investment portfolio. Investments are to fluctuations in foreign currency exchange rates, managed in accordance with our investment policy, our investment managers hedge a proportion of which stipulates asset allocation ranges to diversify the exposure to overseas investments back to the and mitigate risk. Australian dollar. Currency hedging is implemented The investment policy is reviewed regularly by through the use of forward foreign exchange contracts. management in conjunction with our independent (ii) Interest Rate Risk and Policy on Managing investment advisors. Interest Risk The performance of investments and the investment Available for Sale Investments managers is monitored regularly by management. The objective of managing interest rate risk is to The Trust’s exposure to market risk is through currency minimise and control the risks of losses due to interest risk, interest rate risk, and other price related risks. rate changes and to take advantage of potential Objectives, policies and processes used to manage profits. each of these risks are as follows: Interest risk is managed by diversifying investments in a range of securities including investments with fixed interest rates, floating interest rates and CPI linked bonds. 62 63

Financial Liabilities Exposure to interest rate risk is zero as the Trust does not hold any interest-bearing liabilities.

Weighted Carrying Interest Rate Exposure Average Amount Fixed Variable Non- Effective Interest Interest Interest I nte re st R ate Rate Rate bearing Financial Assets % $ 000 $ 000 $ 000 $ 000

Cash and Cash Equivalents Cash on Hand 0.0 2 - - 2 Cash at Bank 4.0 3,196 - 3,196 -

Receivables 0.0 4,130 - - 4,130 Other Financial Assets Interest Bearing Investments 5.9 116,496 116,496 - - Managed Share/Units Portfolio 6.4 26,719 1,500 416 24,803

Total 150,543 117,996 3,612 28,395

(iii) Other Market Risk and Policy on Managing Other (iv) Sensitivity Analysis on Other Price Risk Market Risk Taking into account past performance, future Exposure to other price risk arises due to the inherent expectations, economic forecasts, and management’s risk associated with the possibility of a fall in the knowledge and experience of the financial markets, market value of available for sale financial assets. the Trust has estimated that the movements presented below are reasonably possible in the forthcoming The Trust’s objective in managing other price (primarily twelve months. equity market) risk is to minimise negative impacts on investment value due to the volatility of the stock This sensitivity analysis has been prepared for the markets. next twelve months. Management does not consider that it is possible to reasonably estimate the variables The Trust has appointed external, independent used over a period longer than for 12 months. The investment managers to monitor the value and sensitivities presented are: volatility of our stock market investments. The investment managers are expected to manage this – A shift of -0.5% and +1.5% in market interest rates risk, through the appropriate diversification of specific (AUD) from year-end rates of 6% stocks and diversification through different sectors – A parallel shift of -5% and +10% in the price from within the market in accordance with our investment year-end rates of 2%. parameters (including ethical guidelines). The following table describes the impact on net operating result and equity for each category of financial instrument held by the Trust at year end if changes in the relevant risk occur. THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

(iv) Sensitivity Analysis on Other Price Risk continued

Interest Rate Risk Other Price Risk Carrying –0.50% +1.5% –5% +10% Amount Net Result Equity Net Result Equity Net Result Equity Net Result Equity 2010-11 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000

Financial Assets Cash and Cash Equivalents 3,198 (16) (16) 48 48 - - - - Receivables 4,130 ------Other Financial Assets I n te re st B e a r i n g I nv e st m e n t s @ 4% p.a.* 116,496 (582) (582) 1,747 1,747 - - - - Managed Share / Units Portfolio 26,719 - - - - (1,336) (1,336) 2,672 2,672

Financial Liabilities Payables (3,018) ------Total 147,525 (598) (598) 1,795 1,795 (1,336) (1,336) 2,672 2,672

* Nominal interest rate of 6% less inflation of 2% per annum.

(e) Fair Value Comparison between carrying amount and fair value: The fair values and net fair values of financial Carrying Fair Value instrument assets and liabilities are determined Amount 2011 as follows: $ 000 – Level 1 – the fair value of financial instruments with standard terms and conditions and traded Financial Assets in active liquid markets are determined with Cash & Cash Equivalents 29,452 29,452 reference to quoted market prices; Receivable 4,130 4,130 – Level 2 – the fair value is determined using inputs Available for Sale 116,961 116,961 other than quoted prices that are observable for Investments the Financial asset or liability, either directly or Total Financial Assets 150,543 150,543 indirectly; and – Level 3 – the fair value is determined in Financial Liabilities accordance with generally accepted pricing Payables 3,018 3,018 models based on discounted cash flow analysis using unobservable market inputs. Total Financial Liabilities 3,018 3,018

Financial assets measured at fair value: Fa i r Va l u e M e a s u r e m e n t a t Carrying Amount End of Reporting Period Using: Level 1* Level 2* Level 3 2011 $ 000 $ 000 $ 000 Other Financial Assets Interest Bearing Investments 90,242 90,242 - - Managed Share / Units Portfolio 26,719 24,990 1,729 - Total Financial Assets 116,961 115,232 1,729 - 64 65

Note 10 – Commitments 2011 $ 000

Capital Expenditure Commitments At 30 June 2011 no contracts for capital commitments had been signed with operation for the forthcoming year.

Operating Expenditure Commitments Not longer than 1 year 46 Longer than 1 year and not longer than 5 years 34 Longer Than 5 years - Total Operating Expenditure Commitments 80

Operating Leases The operating lease rental is for photocopiers and computers. Finance Leases The Trust did not have any finance lease commitments as at 30 June 2011.

Note 11 – Contingent Assets and Contingent Liabilities There were no quantifiable or non-quantifiable contingent assets or contingent liabilities at the reporting date.

Note 12 – Perpetual Maintenance The Trust has an obligation under the Cemeteries and Crematoria Act 2003 to manage and maintain each public cemetery for which it is responsible. As stated in Section 12 of the Act, in exercising its functions, the Trust must have regard to its obligations in relation to the funding of the perpetual maintenance of each public cemetery. At this time, the Trust is aware that there will be significant ongoing cash outflows for future expenditure on perpetual maintenance of each public cemetery but is unable to calculate a sufficiently reliable estimate of any related present obligation which may arise under the accounting standards and accordingly has not recognised a value for this obligation in these financial statements. The Trust has, nevertheless, created a reserve, which is cash and investment-backed, as a source of future contributions towards its perpetual maintenance obligations, which is disclosed as a Perpetual Maintenance Reserve in Note 6(c). THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Note 13 – Net Assets Acquired from Former Trusts at 1 March 2010 As stated in Note 1, on 1 March 2010 the Trust acquired the net assets of the former cemetery trusts listed in this note at their audited carrying values at 28 February 2010. The net assets comprised:

Total Fawkner Altona Anderson’s Creek Keilor Lilydale Preston Templestowe Wyndham $ 000 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000 $ 000

Financial Assets Cash and Cash Equivalents 54,776 34,849 1,042 109 565 4,395 10,099 169 3,548 Receivables 2,380 877 466 52 380 275 137 152 41 Other Financial Assets 56,106 24,179 9,283 3,568 12,045 1,269 5,762 - 113,262 59,905 10,791 3,729 12,990 5,939 10,236 6,083 3,589

Non -Financial assts Prepayments 159 45 32 3 26 48 5 - Inventories 50,536 14,654 5,706 87 5,702 2,381 21,804 58 152 Capital Wip 1,589 206 1,304 - - 79 - - - Buildings and Infrastructure 40,851 16,406 5,556 856 2,459 9,221 2,569 1,868 1,916 Plant and Equipment 3,755 1,406 648 128 392 910 201 50 20 Land - Cemetery Infrastructure 2,112 1,297 271 76 97 182 50 90 49 Intangible Assets 86 - 24 7 16 31 - 8 - 99,088 34,006 13,541 1,157 8,692 12,852 24,624 2,079 2,137

Total Assets 212,350 93,911 24,332 4,886 21,682 18,791 34,860 8,162 5,726

Liabilities Payables 1,403 419 357 24 143 87 178 64 131 Provision for Employee Benefits 2,285 1,386 451 58 153 228 - 9 - Provision for Onerous Contracts 1,814 1,814 ------Unearned Income 10,541 6,777 2,343 32 116 1,273 - - - Other Liabilities 38 - - 3 - 26 - 9 - 16,081 10,396 3,151 117 412 1,614 178 82 131

Net Assets 196,269 83,515 21,181 4,769 21,270 17,177 34,682 8,080 5,595

It should be noted that the former trusts ceased to operate simultaneously with the establishment of this Trust. The operations of the former trusts ceased on 28 February 2010 and had no impact on this Trust therafter. Each of the cemetery sites now manged by the Trust is a branch of the Trust.

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Note 14a – Responsible Persons Disclosure In accordance with the Ministerial Direction issued by the Minister for Finance under the Financial Management Act 1994, the following disclosures are made regarding responsible persons for the reporting period. Remuneration of Ministers is disclosed in the financial report of the Department of Premier and Cabinet.

Responsible Minister The following people were the responsible Ministers during the reporting period:

The Honourable Daniel Andrews, MLA, Minister for Health: 01/03/2010 - 01/12/2010 The Honourable David Davis, MLA, Minister for Health: 02/12/2010 - 30/06/2011

Governing Board The following were Trust members during the entire reporting period: Catherine Brown (Chair) Neil Greenaway Barbara McLure David Cleland Gary Jungwirth Graeme Shaw Janice Penney Jennifer Kearney

Accountable Officer Elizabeth Riley (Chief Executive Officer): 1/03/2010 - 30/06/2011

Remuneration of Responsible Persons The number of Responsible Persons is shown in the relevant income bands.

Income Band (16 months) Total Remuneration Base Remuneration

$10,000 – $19,999 7 7 $20,000 – $29,999 - - $30,000 – $39,999 1 1 $280,000 – $289,999 - 1 $300,000 – $309,999 1 - 9 9 Total remuneration received or due and received by Responsible Persons for the 16 months from the reporting entity amounted to: $468,401 $446,202 THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 notes to the financials:

Note 14B – Executive Officer Disclosures

Executive Officers’ Remuneration The number of executive officers, other than Ministers and Accountable Officers, and their total remuneration during the reporting period are shown in the first two columns in the table below in their relevant income bands. The base remuneration of executive officers is shown in the right hand column. Base remuneration is exclusive of bonus payments, long-service leave payments, redundancy payments and retirement benefits. Total Remuneration Base Remuneration 2011 2011 Income Band (16 months) No. No. $80,000 – $89,999 - 1 $100,000 – $109,999 1 - $110,000 - $ 119,999 - 1 $160,000 - $ 169,999 1 - $170,000 – $179,999 - 1 $180,000 – $189,999 1 1 $190,000 – $190,999 1 - Total Numbers 4 4 Total Remuneration for the 16 months $661,002 $563,924

Note 15 – Related Party Transactions Note 17 – Events Occurring after the Reporting Period Related party transactions during the reporting period ended 30 June 2011 were $nil. Other than those events described below, there have been no events that have occurred subsequent to Related party balances payable/receivable as at 30 30 June 2011 which would, in the absences of disclosure, June 2011 were $nil. cause the financial statements to become misleading. Global Economic Volatility and Investment Note 16 – Ex-Gratia Payments Valuations During the reporting period ex-gratia payments Subsequent to the reporting date there has been amounted to nil. significant global economic volatility, which has a material impact on the fair valuation of Available for Sale Investments. As at 31 May 2012, this volatility has resulted in the fair value of our Managed Share / Unit Portfolio decreasing by approximately $417,000 (1.5%). The Trust’s investment policy is designed to mitigate these risks as outlined in Note 9. Chief Executive Officer’s Resignation Elizabeth Riley resigned from the role of Chief Executive Officer effective from 10 October 2011. An interim Chief Executive Officer was appointed for the period 10 October 2011 to 13 January 2012, with a permanent appointment, Jacqui Briggs-Weatherill, 68 becoming effective from 13 January 2012. 69

d i s c l o s u re index: THE GREATER METROPOLITAN CEMETERIES TRUST Annual REPORT 1 March 2010 – 30 June 2011 disclosure index:

The Annual Report of the Greater Metropolitan Cemetery Trust is prepared in accordance with all relevant Victorian legislation. This index has been prepared to facilitate identification of our compliance with statutory disclosure requirements.

Legislation Requirement Page Ref Ministerial Directions and Financial Directions (FRD) Charter & Purpose FRD 22B Manner of establishment and the relevant Ministers 6, 37, 67 FRD 22B Objectives, functions, powers and duties 37, 38 FRD 22B Nature and range of services provided 6 Management & Structure FRD 22B Organisational structure 10

Financial & Other Information FRD 10 Disclosure Index 70 FRD 11 Disclosure of ex-gratia payments 68 FRD 21A Responsible person and executive officer disclosures 67 FRD 22B Operational and budgetary objectives and performance against objectives 9 FRD 22B Workforce Data Disclosures 12 FRD 22B Occupational health and safety 21 FRD 22B Summary of the financial results for the year 23 FRD 22B Significant changes in financial position during the year 23 FRD 22B Major changes or factors affecting performance 23 FRD 22B Subsequent events 68 FRD 22B Application and operation of Freedom of Information Act 1982 24 FRD 22B Compliance with building and maintenance provisions of Building Act 1993 24 FRD 22B Statement on National Competition Policy 24 FRD 22B Application and operation of the Whistleblowers Protection Act 2001 24 FRD 22B Details of consultancies over $100,000 24 FRD 22B Details of consultancies under $100,000 24 FRD 22B Statement of availability of other information 24 FRD 25 Victorian Industry Participation Policy disclosures 24

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Legislation Requirement Page Ref Financial Statements – FRD Guidance Financial Statements required under Part 7 of the FMA SD 4.2(b) Operating Statement 32 SD 4.2(b) Balance Sheet 33 SD 4.2(a) Statement of changes in Equity 34 SD 4.2(b) Cash Flow Statement 35 SD 4.2(c) Accountable officer’s declaration 29 SD 4.2(c) Compliance with Australian accounting standards and other 37 authoritative pronouncements SD 4.2(c) Compliance with Ministerial Directions 37 SD 4.2(d) Rounding of amounts 38 SD 4.2(j) Accountable officer, signed off report of operations 29 SD 4.5.5 Risk management compliance attestation 26 Legislation Audit Act 1994 30-31 Freedom of Information Act 1982 24 Whistleblowers Protection Act 2001 24 Victorian Industry Participation Policy Act 2003 24 Building Act 1993 24 Financial Management Act 1994 29 Information Privacy Act 2000 24 For further information regarding The GMCT please contact us at: Address: 1187 Sydney Road Fawkner VIC 3060 Mail: pO Box 42 Fawkner VIC 3060 Email: [email protected] Web: www.gmct.com.au