PORTFOLIO BUDGET STATEMENTS 2014-15 BUDGET RELATED PAPER NO. 1.11 IMMIGRATION AND BORDER PROTECTION PORTFOLIO BUDGET INITIATIVES AND EXPLANATIONS OF APPROPRIATIONS SPECIFIED BY OUTCOMES AND PROGRAMMES BY AGENCY © Commonwealth of Australia 2013 ISBN 978-1-920996-32-1 This publication is available for your use under a Creative Commons BY Attribution 3.0 Australia licence, with the exception of the Commonwealth Coat of Arms, the Department of Immigration and Border Protection logo, photographs, images, signatures and where otherwise stated. The full licence terms are available from http://creativecommons.org/licenses/by/3.0/au/legalcode. Use of Immigration and Border Protection Portfolio material under a Creative Commons BY Attribution 3.0 Australia licence requires you to attribute the work (but not in any way that suggests the Department endorses you or your use of the work): Immigration and Border Protection Portfolio material used 'as supplied' Provided you have not modified or transformed Immigration and Border Protection Portfolio material in any way including, for example, by changing the Immigration and Border Protection Portfolio text; calculating percentage changes; graphing or charting data; or deriving new statistics from published Immigration and Border Protection Portfolio statistics – then the Portfolio prefers the following attribution: Source: The Australian Government Immigration and Border Protection Portfolio Derivative material If you have modified or transformed Immigration and Border Protection Portfolio material, or derived new material from those of the Immigration and Border Protection Portfolio in any way, then Immigration and Border Protection Portfolio prefers the following attribution: Based on The Australian Government Immigration and Border Protection Portfolio data Use of the Coat of Arms The terms under which the Coat of Arms can be used are set out on the It’s an Honour website (see www.itsanhonour.gov.au) Other Uses Inquiries regarding this licence or any questions regarding this publication please contact Charlotte Tressler, Acting Chief Financial Officer in the Department of Immigration and Border Protection on (02) 6264 1235. A copy of this document can be located on the Australian Government Budget website at: http://www.budget.gov.au. The Hon Scott Morrison MP Minister for Immigration and Border Protection President of the Senate Australian Senate Parliament House CANBERRA ACT 2600 Speaker House of Representatives Parliament House CANBERRA ACT 2600 Dear Mr President Dear Madam Speaker I hereby submit Portfolio Budget Statements in support of the 2014-15 Budget for the Immigration and Border Protection portfolio. These statements have been developed, and are submitted to the Parliament, as a statement on the funding requirements being sought for the portfolio. I present these statements to provide accountability to the Parliament and, through it, the public. Yours sincerely The Hon Scott Morrison MP Minister for Immigration and Border Protection Parliament House Canberra ACT 2600 Telephone (02) 6277 7860 Fax (02) 6273 4144 Abbreviations and conventions The following notation may be used: NEC/nec not elsewhere classified - nil .. not zero, but rounded to zero na not applicable (unless otherwise specified) nfp not for publication $m $ million $b $ billion Figures in tables and in the text may be rounded. Figures in text are generally rounded to one decimal place, whereas figures in tables are generally rounded to the nearest thousand. Discrepancies in tables between totals and sums of components are due to rounding. iv USER GUIDE TO THE PORTFOLIO BUDGET STATEMENTS USER GUIDE The purpose of the 2014-15 Portfolio Budget Statements (PBS) is to inform Senators and Members of Parliament of the proposed allocation of resources to Government outcomes by agencies within the portfolio. Agencies receive resources from the annual appropriations acts, special appropriations (including standing appropriations and special accounts), and revenue from other sources. A key role of the PBS is to facilitate the understanding of proposed annual appropriations in Appropriation Bills No. 1 and No. 2 2014-15 (or Appropriation Bill [Parliamentary Departments] No. 1 2014-15 for the parliamentary departments). In this sense the PBS are Budget related papers and are declared by the Appropriation Acts to be ‘relevant documents’ to the interpretation of the Acts according to section 15AB of the Acts Interpretation Act 1901. The PBS provide information, explanation and justification to enable Parliament to understand the purpose of each outcome proposed in the Bills. As required under section 12 of the Charter of Budget Honesty Act 1998, non-general government sector entities are not consolidated into the Commonwealth general government sector fiscal estimates and accordingly, these entities are not reported in the PBS. vi CONTENTS Portfolio Overview......................................................................................................... 3 Immigration and Border Protection Portfolio Overview ................................................... 3 Agency Resources and Planned Performance .......................................................... 4 Department of Immigration and Border Protection ....................................................... 13 Migration Review Tribunal and Refugee Review Tribunal ............................................ 69 Australian Customs and Border Protection Service ...................................................... 89 Glossary ..................................................................................................................... 132 Acronyms ................................................................................................................... 134 vii PORTFOLIO OVERVIEW Portfolio Overview IMMIGRATION AND BORDER PROTECTION PORTFOLIO OVERVIEW Ministers and Portfolio Responsibilities The portfolio has two Ministers, the Hon Scott Morrison MP, the Minister for Immigration and Border Protection, and Senator, the Hon Michaelia Cash, Assistant Minister for Immigration and Border Protection. The portfolio agencies—all of which are Financial Management and Accountability Act 1997 (FMA Act) entities—are: the Department of Immigration and Border Protection (DIBP) the Australian Customs and Border Protection Service (ACBPS) the Migration Review Tribunal and Refugee Review Tribunal (MRT–RRT). During financial years 2014-15 and 2015-16, DIBP and the ACBPS will progressively transition into a single Department of Immigration and Border Protection. This includes the establishment of the Australian Border Force —a single frontline operational border agency with statutory responsibilities to enforce our customs and immigration laws— within the department. The Australian Border Force will draw together the operational border, investigations, compliance, detention and enforcement functions of the two existing agencies. Policy, regulatory and corporate functions will combine within the broader department. At a consolidated level the average staffing level is forecast to decrease from 14,304, including Locally Engaged Employees (LEEs), to 13,824, a reduction of approximately 480 full time positions. The reduction of 480 includes the effect of the Machinery of Government changes of 18 September 2013 for functions transferred out of both agencies. During 2014-15, the Migration Review Tribunal and Refugee Review Tribunal will work with other key Commonwealth external merits review agencies and relevant departments to implement the Government’s decision to amalgamate the Administrative Appeals Tribunal, Migration Review Tribunal, Refugee Review Tribunal, Social Security Appeals Tribunal and Classification Review Board with effect from 1 July 2015. 3 Portfolio Overview Department of Immigration and Border Protection DIBP’s purpose is: building Australia’s future through the well-managed entry and settlement of people. DIBP’s business is to: contribute to Australia’s future through managed migration contribute to Australia’s security through border management and traveler facilitation promote Australian citizenship protect refugees and contribute to humanitarian policy internationally make fair and reasonable decisions for people entering or leaving Australia, ensuring compliance with Australia’s immigration laws and integrity in decision making. Office of the Migration Agents Registration Authority The Office of the Migration Agents Registration Authority (OMARA), a discrete office attached to DIBP from 1 July 2009, regulates the activities of the Australian migration advice profession in order to provide consumers of migration advice services with appropriate protection and assurance. OMARA is supported by an Advisory Body comprising a diverse range of stakeholders. Planned performance information is included in the DIBP Budget Statements, Section 2 Contributions to Outcome 1. Australian Customs and Border Protection Service As the primary border agency, the ACBPS is responsible for protecting the safety, security and commercial interests of Australians through border protection designed to support legitimate trade and travel, and to ensure collection of border revenue and trade statistics. The ACBPS is also the lead agency for civil maritime security in detecting, reporting and responding to unlawful activity in Australia’s offshore maritime zone. The ACBPS undertakes its role with, and on behalf of, dozens of other agencies to protect the border, a strategic national asset fundamental to both national security and economic prosperity. Migration Review Tribunal and Refugee Review Tribunal The MRT-RRT provides an independent and final merits review of decisions made in relation to visas to travel to, enter or stay in Australia. MRT-RRT is established under the Migration Act 1958 (Migration Act), and their jurisdiction and powers are set out in the Migration Act and in the Migration Regulations 1994. Both tribunals operate as a single agency for the purposes of the FMA Act. 4 Portfolio Overview Figure 1: Immigration and Border Protection Portfolio Structure and Outcomes Minister for Immigration and Border Protection The Hon Scott Morrison MP Assistant Minister for Immigration and Border Protection Senator the Hon Michaelia Cash Department of Immigration and Border Protection Secretary: Mr Martin Bowles PSM Outcome 1 Support a prosperous and inclusive Australia through managing temporary and permanent migration, entry through Australia's borders, and Australian citizenship. Outcome 2 Support Australia's international and humanitarian obligations by providing protection, resettlement and assistance to refugees and those in humanitarian need, including through arrangements with other countries. Outcome 3 Support Australia's border protection through managing the stay and departure of all non-citizens. Office of the Migration Agents Registration Authority Chief Executive Officer: Mr Steve Ingram (Included in Outcome 1 above) Australian Customs and Border Protection Service Chief Executive Officer: Mr Michael Pezzullo Outcome 1 The protection of the safety, security and commercial interests of Australians through border protection designed to support legitimate trade and travel and ensure collection of border revenue and trade statistics. Migration Review Tribunal and Refugee Review Tribunal Principal Member: Ms Kay Ransome Outcome 1 To provide correct and preferable decisions for visa applicants and sponsors through independent, fair, just, economical, informal and quick merits reviews of migration and refugee decisions. 5 Portfolio Overview PORTFOLIO RESOURCES Table 1 reports the total new resources provided to the portfolio in the 2014-15 budget year, by agency. Table 1: Portfolio Resources 2014-15 Appropriation Bill No. 1 Bill No. 2 $m $m Departm ent of Im m igration and Border Protection Administered appropriations Departmental appropriations Total: Special $m Receipts Total $m $m 2,463 1,503 3,966 291 3 294 - 61 61 2,754 1,567 4,321 61 61 - - - 61 61 Australian Custom s and Border Protection Service Administered appropriations Departmental appropriations Total: 1 1,009 1,010 137 137 360 360 70 70 1 1,576 1,577 Portfolio total 5,037 431 360 131 5,959 - - - - - Migration Review Tribunal Refugee Review Tribunal Administered appropriations Departmental appropriations Total: Less amounts transferred w ithin portfolio Resources available w ithin portfolio: 6 5,959 AGENCY RESOURCES AND PLANNED PERFORMANCE Department of Immigration and Border Protection ................................................. 13 Migration Review Tribunal and Refugee Review Tribunal ...................................... 69 Australian Customs and Border Protection Service ............................................... 89 DEPARTMENT OF IMMIGRATION AND BORDER PROTECTION Agency Resources and Planned Performance DEPARTMENT OF IMMIGRATION AND BORDER PROTECTION Section 1: Agency Overview and Resources ........................................................... 13 1.1 Strategic Direction Statement ......................................................................... 13 1.2 Agency Resource Statement .......................................................................... 15 1.3 Budget Measures ............................................................................................ 17 1.4 Machinery of Government Changes ............................................................... 21 1.5 Transition From Six Outcomes To Three Outcomes ...................................... 21 Section 2: Outcomes and Planned Performance ..................................................... 23 2.1 Outcomes and Performance Information ........................................................ 24 Section 3: Explanatory Tables and Budgeted Financial Statements ..................... 49 3.1 Explanatory Tables ......................................................................................... 49 3.2 Budgeted Financial Statements ...................................................................... 50 DIBP Budget Statements DEPARTMENT OF IMMIGRATION AND BORDER PROTECTION Section 1: Agency Overview and Resources 1.1 STRATEGIC DIRECTION STATEMENT The Department of Immigration and Border Protection (DIBP) is a policy, programme and service delivery agency that supports a prosperous and inclusive Australia through the maintenance of strong borders, well-managed migration, refugee protection, and the promotion of Australian citizenship. DIBP makes a significant contribution to national security, the economy and Australian society. The functions of the department cover a range of government priorities including managing our borders in partnership with other agencies, meeting our obligations to help the world’s most vulnerable people, responding to the demand for skilled migrants to develop the Australian economy, and enhancing our global connections, particularly within our region. DIBP continues to work in a complex environment and provides a forward looking focus to respond to Australia’s future needs. Collaboration with other government agencies as well as the private sector and community groups is a priority for a department committed to the continuous improvement of its policies, programmes and services. DIBP continues to improve and streamline operations in the current fiscal environment and to position itself to respond innovatively to future challenges. The strategic priorities for the department in 2014-15 are to: work with the Australian Customs and Border Protection Service to position the department for fundamental changes to portfolio administrative arrangements, including the integration of functions through a multi-phased approach into one consolidated department. This will include additional investment in border, enforcement and intelligence capabilities with integration to be completed by 1 July, 2016 contribute to the protection of Australia’s borders and combat people smuggling in partnership with the Joint Agency Task Force and other agencies implementing Operation Sovereign Borders support and build the capability of regional partners to implement offshore processing arrangements resolve the status of the legacy cohort of Illegal Maritime Arrivals (IMAs) 13 DIBP Budget Statements review visa programme settings to ensure that migration continues to contribute to Australia’s productivity into the future build our capability to facilitate a significant increase in border crossings and trade whilst maintaining the integrity of the border and our programmes strengthen the protection status determination system simplify our business by contributing to decreasing the costs of excessive regulation and streamlining processes build more efficient and effective ways of delivering our services, including the use of digital channels as our default form of delivery strengthen our key relationships to leverage knowledge and experience in areas of mutual interest build leadership at all levels, and foster a culture of excellence, innovation and empowerment manage cost and invest in forward planning and long term sustainability to position the department well for the future. 14 DIBP Budget Statements 1.2 AGENCY RESOURCE STATEMENT The Agency Resource Statement details the resourcing for DIBP. Table 1.1 summarises the total resourcing available from all sources for the 2014-15 budget year, and outlines how resources will be applied by administered and departmental classification. Table 1.1: DIBP Resource Statement — Budget Estimates for 2014-15 as at Budget May 2014 Estimate of prior year amounts available in 2014-15 $'000 Ordinary annual services 1 Departm ental appropriation Prior year departmental appropriation2 Departmental appropriation3 s31 Relevant agency receipts 4 Total Adm inistered expenses Outcome 1 Outcome 2 Outcome 35 Outcome 5 and 66 Total Total ordinary annual services A B Total appropriations excluding Special Accounts 2014-15 $'000 = Total estimate Actual available appropriation 2014-15 $'000 2013-14 $'000 477,495 477,495- 1,503,467 60,807 1,564,274- 477,495 1,503,467 60,807 2,041,769- 1,591,372 57,471 1,648,843- -- 5,365 149,886 2,307,813 2,463,064 - 16,022 137,039 2,796,295 95,950 3,045,306- 477,495- 4,027,338- 5,365 149,886 2,307,813 2,463,064 4,504,833- 4,694,149- - 3,127 3,127 3,127 3,127 26,056 26,056 -- 291,359 291,359 294,486-- 291,359 291,359 294,486- 503,247 503,247- -- 529,303- - Total available annual appropriations Special appropriations Special appropriations lim ited by criteria/entitlem ent Migration Act 1958, section 332B Total special appropriations Proposed at Budget - Other services 7 Departm ental non-operating Equity injections Total Adm inistered non-operating Administered assets and liabilities Total Total other services + C 477,495- 4,321,824- 4,799,319- 5,223,452- -- -- -- -- 477,495 4,321,824 4,799,319 5,223,452 15 DIBP Budget Statements Table 1.1: DIBP Resource Statement — Budget Estimates for 2014-15 as at Budget May 2014 (continued) Estimate of prior year amounts available in 2014-15 $'000 Special Accounts Opening balance8 Appropriation receipts Non-appropriation receipts to Special Accounts Total Special Account D + Proposed at Budget 2014-15 $'000 = Total estimate Actual available appropriation 2014-15 $'000 2013-14 $'000 60 - - 60 - 187 - 60- -- 60- 187- Total resourcing A+B+C+D 477,555 4,321,824 4,799,379 5,223,639 Less appropriations draw n from annual or special appropriations above and credited to special accounts Total net resourcing for DIBP 477,555 4,321,824 4,799,379 5,223,639 1. Appropriation Bill (No. 1) 2014-15. 2. Estimated adjusted balance carried forward from previous year. 3. This item includes an amount of $85.9 million in 2014-15 for the Departmental Capital Budget (refer to table 3.2.5 for further details). For accounting purposes this amount has been designated as 'contributions by owners'. 4. Section 31 Relevant Agency receipts — estimate. 5. Includes an amount of $18.7 million in 2014-15 for the Administered Capital Budget (refer to table 3.2.10 for further details). For accounting purposes this amount has been designated as 'contributions by owners'. 6. For expenditure in 2013-14 for outcomes transferred in the Machinery of Government change to the Department of Industry and the Department of Social Services. 7. Appropriation Bill (No. 2) 2014-15. 8. Estimated opening balance for special accounts. For further information on Special Accounts see Table 3.1.1. Note: All figures are GST exclusive. 16 DIBP Budget Statements 1.3 BUDGET MEASURES Table 1.2 summarises new government measures taken since the 2013-14 Mid-Year Economic and Fiscal Outlook (MYEFO). The table is split into revenue, expense and capital measures, with the affected programme identified. Table 1.2: DIBP 2014-15 Budget measures Part 1: Measures announced since the 2013-14 MYEFO Program 2013-14 $'000 2014-15 $'000 2015-16 $'000 2016-17 $'000 2017-18 $'000 1,259 1,259 2,400 2,400 3,067 3,067 Revenue m easures Visa simplification to support the vocational education and training sector Administered revenues Departmental revenues Total Migration Programme - allocation of places for 2014-15 Administered revenues Departmental revenues Total Total revenue m easures Administered Departmental Total Expense m easures Reducing Access to the Immigration Advice and Application Assistance Scheme for Onshore Protection Visa Applicants Administered expenses Departmental expenses Total Unaccompanied Humanitarian Minors - additional funding Administered expenses Departmental expenses Total Regional Cooperation Arrangements - additional funding1 Administered expenses Departmental expenses Total 1.1 1.1 - - (2,850) (2,850) (613) (613) (629) (629) (2,850) (2,850) (613) (613) 630 630 (510) (510) (517) (517) (644) (644) 1,756 1,756 2,407 2,407 2.1 - 2.1 - 15,198 15,198 12,062 12,062 - - 2.3 2.4 1,277 1,277 21,979 21,979 49,028 49,028 - - 17 (518) (518) (660) (660) (526) (526) DIBP Budget Statements Part 1: Measures announced since the 2013-14 MYEFO (continued) Onshore Immigration Detention Netw ork - estate management plan Administered expenses Departmental expenses Total Education Services for Illegal Maritime Arrivals on Christmas Island Administered expenses Departmental expenses Total Managing the Legacy of Illegal Maritime Arrivals in Australia2 Administered expenses Departmental expenses Total Asylum Seeker Support additional funding Administered expenses Departmental expenses Total Support Services and Mutual Obligations Arrangements for Illegal Maritime Arrivals Administered expenses Departmental expenses Total Visa simplification to support the vocational education and training sector Administered expenses Departmental expenses Total Outreach Officer Programme cessation Administered expenses Departmental expenses Total Program 2013-14 $'000 2014-15 $'000 2015-16 $'000 2016-17 $'000 2017-18 $'000 3.3 3.4 (1,811) 274 (1,537) (2,246) 168 (2,078) (18,027) (1,724) (19,751) (48,751) 739 (48,012) (60,359) (60,359) 3.3 3.3 3.4 - (105,476) (12,057) (117,533) 2,640 2,640 (289,013) 897 (288,116) - 378,916 150,164 529,080 - (6,465) (481) (6,946) - (6,535) (484) (7,019) 2.1, 3.1 - 27,803 27,803 - - - 3.3 - 7,857 470 8,327 731 731 - - 1.3 - 60 60 240 240 425 425 535 535 1.3 - 18 (2,816) (2,816) (2,802) (2,802) (2,797) (2,797) (2,827) (2,827) DIBP Budget Statements Part 1: Measures announced since the 2013-14 MYEFO (continued) Program Offshore Biometrics Programme expansion Administered expenses Departmental expenses Total Supporting Rapid Transfers and Operation Sovereign Borders Administered expenses Departmental expenses Total Migration Programme - allocation of places for 2014-15 Administered expenses Departmental expenses Total Offshore Processing Centres renegotiating major service contract providers Administered expenses Departmental expenses Total Displaced Persons Programme cessation Administered expenses Departmental expenses Total Efficiency Dividend - a further temporary increase of 0.25 per cent Administered expenses Departmental expenses Total 2018 Gold Coast Commonw ealth Games - operational support Administered expenses Departmental expenses Total Total expense m easures Administered Departmental Total 2013-14 $'000 - 1.3 - 3.3 3.4 (766) 4,481 3,715 2014-15 $'000 2015-16 $'000 2016-17 $'000 2017-18 $'000 (4,817) (4,817) (4,740) (4,575) (4,740) (4,485) (4,485) 21,491 (1,410) 20,081 (28,308) (18,964) (47,272) (29,016) (19,438) (48,454) 255,420 5,791 261,211 (4,575) (1,075) (1,075) (1,278) (1,278) (1,493) (1,493) (1,497) (1,497) (1,530) (1,530) 3.5 6,777 6,777 (37,641) (37,641) (26,983) (26,983) (11,084) (11,084) (8,587) (8,587) 2.1 (9,410) (9,410) (7,024) (7,024) (7,355) (7,355) (7,386) (7,386) (7,215) (7,215) (3,517) (3,517) (6,772) (6,772) (10,001) (10,001) (10,376) (10,376) 1.3 All - -- 1.3 (109,409) (8,377) (117,786) 19 (5,537) (5,042) (10,579) -409,346 131,463 540,809 (102,512) (37,061) (139,573) -(112,238) (38,695) (150,933) DIBP Budget Statements Part 1: Measures announced since the 2013-14 MYEFO (continued) Program 2013-14 $'000 2014-15 $'000 2015-16 $'000 2016-17 $'000 2017-18 $'000 1.3 - 49 49 - - - - 36 36 - - 1.3 - - 1.3 - 1,478 1,478 515 515 - - Capital Measures Migration Programme - allocation of places for 2014-15 Administered capital Departmental capital Total Visa simplification to support the vocational education and training sector Administered capital Departmental capital Total Offshore Biometrics Programme expansion Administered capital Departmental capital Total Onshore Immigration Detention Network - estate management plan Administered capital Departmental capital Total Supporting Rapid Transfers and Operation Sovereign Borders 3.3 - 5,087 5,087 - - - Administered capital Departmental capital Total 3.3 (1,953) (1,953) 15,987 15,987 12,403 12,403 1,888 1,888 - (1,953) (1,953) 21,074 1,563 22,637 12,403 515 12,918 1,888 1,888 - - - - - - Total capital measures Administered Departmental Total Decisions taken but not yet announced 1. The funding DIBP will receive in 2013-14 for this measure is $15.5 million for administered and $0.3 million for departmental, a total of $15.8 million. The difference is due to decisions taken prior to Budget but not yet announced. 2. DIBP funding in 2014-15 for this measure will reduce by $270.9 million in administered and increase by $0.9 million in departmental, and in 2015-16 increase by $401.3 million in administered and $150.2 million in departmental. This means a total reduction in 2014-15 of $270.0 million, and a total increase in 2015-16 of $551.5 million. The difference is due to decisions taken prior to Budget but not yet announced. Prepared on a Government Financial Statistics (fiscal) basis 20 DIBP Budget Statements 1.4 MACHINERY OF GOVERNMENT CHANGES The Administrative Arrangements Orders (AAO) of 18 September 2013 required the transfer of administrative responsibility of the Adult Migrant English Program (AMEP) functions to the Department of Industry (DOI), and Settlement and Multicultural Affairs functions to the Department of Social Services (DSS). DIBP has agreed with both DOI and DSS the funding transfers relating to these functions consistent with the AAO changes. Funding transfers have been executed in line with Section 32 of the Financial Management and Accountability Act 1997(FMA Act), and are reflected in the budget statements. 1.5 TRANSITION FROM SIX OUTCOMES TO THREE OUTCOMES As outlined in the portfolio overview, DIBP’s purpose is to ‘build Australia’s future through the well managed entry and settlement of people’. DIBP’s outcomes and programmes have been restructured to better align business functions, simplify our approach and provide greater transparency regarding programme costs. This revised structure incorporates the Machinery of Government changes outlined in Section 1.4 above. DIBP continues to deliver programmes that contribute to national security, the economy and Australian society. The revised outcomes reflect these key dimensions of our department’s business. Outcome 1 – Support a prosperous and inclusive Australia through managing temporary and permanent migration, entry through Australia’s borders, and Australian citizenship. Outcome 2 – Support Australia’s international and humanitarian obligations by providing protection, resettlement and assistance to refugees and those in humanitarian need, including through arrangements with other countries. Outcome 3 – Support Australia’s border protection through managing the stay and departure of all non-citizens. The number of outcomes has been revised from six to three and the number of supporting programmes has been reduced from 23 to 13. For reporting purposes, the new outcome and programme structure will apply from the 2014-15 financial year. The outcome statements have been updated accordingly and a transition map for each outcome is provided below. 21 DIBP Budget Statements Outcome 1: Transition Map The majority of the Settlement Services for Migrants and Refugees, and Multicultural Affairs programmes transferred to the Department of Industry and the Department of Social Services as a part of the Machinery of Government changes announced on 18 September, 2013. Citizenship testing and the Translating and Interpreting Service components remained with DIBP and have been included in Outcome 1. Outcome 2: Transition Map The Supervision and Care of Unaccompanied Humanitarian Minors and the Grant to Refugees Council of Australia components have remained with DIBP and have been included in Outcome 2. Note the Returns and Reintegration Assistance Packages component of the Regional Cooperation and Associated Activities programme is incorporated in Outcome 3. The remaining components are incorporated in Outcome 2 as shown above. 22 DIBP Budget Statements Outcome 3: Transition Map As noted previously, the Returns and Reintegration Assistance Package component of the former Regional Cooperation and Associated Activities programme has been mapped to this Outcome. 23 DIBP Budget Statements Section 2: Outcomes and Planned Performance 2.1 OUTCOMES AND PERFORMANCE INFORMATION Government outcomes are the intended results, impacts or consequences of actions by the government on the Australian community. Commonwealth programmes are the primary vehicle by which government agencies achieve the intended results of their outcome statements. Agencies are required to identify the programmes which contribute to government outcomes over the Budget and forward years. Each outcome is described below together with its related programmes, specifying the performance indicators and targets used to assess and monitor the performance of DIBP in achieving government outcomes. Outcome 1: Support a prosperous and inclusive Australia through managing temporary and permanent migration, entry through Australia's borders, and Australian citizenship. Outcome 1 Strategy Outcome 1 contributes to Australia’s economic and social prosperity through the provision of visa services, inclusive and secure policy, programme development in relation to permanent migration and temporary entry, as well as a strong and cohesive Australian society through the promotion of a unifying citizenship. This will be achieved through: a cohesive, inclusive and secure policy framework that supports the effective delivery of the government’s expectations a targeted deregulation agenda that reduces impost to industry, business and clients policy development and programme accountability in line with the government’s migration and visa reform agendas migration and temporary entry that contributes to economic and social growth with enhanced integrity measures effective delivery of client services through designated channels which meet reasonable client expectations implementation of government policy supportive of the objectives of Australia’s immigration and citizenship law maintaining the integrity of Australia’s citizenship programme while promoting the acquisition, and recognition within the community, of the importance of acquiring Australian citizenship enhanced ability to acquire and use identity information through the further development of international and inter-jurisdictional agreements and the wider use of biometric technology 24 DIBP Budget Statements support of law enforcement and security agencies in preventing the entry of people who are a direct or indirect threat to the Australian community and to national security, and a contribution to the government’s efforts in relation to counter terrorism activities through the use of information, intelligence and technology working with both national and international border agencies to develop new intelligence led, risk-based entry policies and procedures to detect and minimise identity and document fraud contribution to whole of government initiatives to counter identity fraud, transnational organised crime and offshore emergencies. DIBP’s progress is measured on the development and implementation of the government’s agenda including: effective skills-targeting within the permanent migration and temporary entry programme to support industry and businesses continued enhancement of the student programme ongoing development of the working holiday, visitor and specialist entry programmes a robust and sustainable family reunion programme a communication strategy that promotes the value and acquisition of Australian citizenship. DIBP’s performance will be measured by: effective deregulation of the current migration and temporary entry programmes delivery of the 2014-15 Migration Programme within the parameters and policy guidelines set by the Government evidence-based policy formation and decision making including relevant research and evaluation, stakeholder input and expert opinions. 25 DIBP Budget Statements Outcome 1 Expense Statement Table 2.1.1 provides an overview of the total expenses for Outcome 1, by programme. Table 2.1.1 Budgeted Expenses for Outcome 1 2013-14 Estimated actual expenses $'000 Program m e 1.1: Border Managem ent Administered expenses Ordinary annual services 1 Total for Program m e 1.1 Program m e 1.2: Visa and Citizenship Administered expenses Ordinary annual services 1 Total for Program m e 1.2 Program m e 1.3: Migration, Border Managem ent and Citizenship Departmental expenses Departmental appropriation 2 Expenses not requiring appropriation in the Budget year 3 Total for Program m e 1.3 Outcom e 1 Totals by appropriation type Administered expenses Ordinary annual services 1 Departmental expenses Departmental appropriation 2 Expenses not requiring appropriation in the Budget year 3 Total expenses for Outcom e 1 2014-15 Estimated expenses $'000 15,922 5,165 15,922 5,165 100 200 100 200 775,159 90,686 790,154 76,359 865,845 866,513 16,022 5,365 775,159 90,686 790,154 76,359 881,867 871,878 2013-14 5,383 2014-15 Average Staffing Level (num ber) 5,400 1. Appropriation Bill (No. 1) 2014-15. 2. Departmental Appropriation combines ‘Ordinary annual services (Appropriation Bill No. 1)’ and ‘Revenue from independent sources (s31)’. 3. Expenses not requiring appropriation in the budget year consist of Depreciation and Amortisation Expense. Contributions to Outcome 1 Programme Objectives for Programmes 1.1, 1.2 and 1.3 Permanent migration and temporary entry are key contributors to Australia’s economic, demographic, cultural and social needs. Targeted migration and citizenship programmes which facilitate the lawful and orderly entry and stay of people in Australia and that respond to Australia’s changing economic, cultural and social needs, will be achieved by: delivery of the migration and citizenship programmes within the parameters set by government 26 DIBP Budget Statements Programme Objective (continued) delivery of the permanent skilled migration programme that meets the needs of industry, businesses and employers implementation of strategies to strengthen the economic, budgetary, cultural and social benefits achieved from permanent migration and temporary entry delivery of the permanent family migration programme that supports immediate family reunification the protection of the Australian people and health system from potential health risks arising from migration promote the value of Australian citizenship. Office of the MARA (OMARA) OMARA works collaboratively with its stakeholders to achieve the following objectives: consumers understand their rights and agents understand their obligations under the regulatory framework only suitable persons are registered as migration agents, and unsuitable persons are refused registration or re-registration registered migration agents maintain appropriate knowledge and skills to enable them to provide accurate and timely advice to consumers registered migration agents are monitored to ensure the integrity of their conduct and quality of the immigration assistance provided to consumers consumers of the services of registered, or formerly registered, migration agents are provided with an efficient and effective complaints handling service. Table 2.2.1: Programme Expenses for Outcome 1 Annual Administered Expenses Annual Departmental Expenses Expenses not requiring appropriation in the Budget year 1 2013-14 Estimated actual $'000 16,022 775,159 90,686 2014-15 Budget $'000 5,365 790,154 2015-16 Forw ard Estimate $'000 4,346 845,458 2016-17 Forw ard Estimate $'000 200 846,066 2017-18 Forw ard Estimate $'000 200 861,603 76,359 74,265 74,265 74,265 Total program m e expenses 881,867 871,878 924,069 920,531 936,068 1. Expenses not requiring appropriation in the budget year consist of Depreciation and Amortisation Expense. 27 DIBP Budget Statements Table 2.3.1: Programme Component Expenses for Outcome 1 2013-14 Estimated actual $'000 2014-15 Budget $'000 2015-16 Forward Estimate $'000 2016-17 Forward Estimate $'000 2017-18 Forward Estimate $'000 Programme 1.1: Border Management Annual administered expenses Enhanced Border Management Total administered expenses Programme 1.1 15,922 5,165 4,146 - - Programme 1.2: Visa and Citizenship Annual administered expenses Citizenship Testing Total administered expenses Programme 1.2 15,922 - 5,165 - 4,146 - - - 100 200 200 200 200 100 - 200 - 200 - 200 - 200 - Programme 1.3: Migration, Border Management and Citizenship Annual departmental expenses Economic Migration Family Migration Resident Return Visas, Former Resident Visas, Australian Declaratory Visas and Certificates of Evidence of Resident Status Students Temporary Residents (Economic) Temporary Residents (Non–economic) Visitors and Working Holiday Makers Visitors and Working Holiday Makers - ETAs Regulation of migration agents Borders Identity Translating and Interpreting Service On-site Interpreting Translating and Interpreting Service Telephone Interpreting Decision on Citizenship Status Promoting the Value of Australian Citizenship Total departmental expenses Programme 1.3 Total administered expenses Total departmental expenses Total Programme expenses Outcome 1 118,738 121,039 115,435 121,876 122,013 132,572 122,321 136,256 133,063 136,040 25,228 85,982 85,443 18,608 114,154 28,255 6,140 106,885 50,301 24,298 86,056 86,349 16,931 118,453 26,996 6,040 108,402 47,426 25,153 94,935 90,592 17,484 121,094 28,252 5,996 111,963 53,469 25,237 95,470 90,956 17,495 121,594 28,274 6,015 104,113 53,838 25,138 95,478 90,654 17,881 121,516 28,033 6,076 105,581 54,066 33,078 36,263 39,814 41,775 43,906 6,578 61,234 7,019 61,048 7,588 64,220 7,948 64,446 8,334 65,425 4,182 3,921 4,578 4,594 4,678 865,845 16,022- 866,513 5,365- 919,723 4,346- 920,331 200- 935,868 200- 865,845 866,513 919,723 920,331 935,868 881,867 871,878 924,069 920,531 936,068 28 DIBP Budget Statements Programme Deliverables The Visa, Migration, Borders and Citizenship Programmes will: continue to develop and implement, through evidence-based permanent migration and temporary entry analysis, strategies to support government priorities, including social, economic, budgetary and international imperatives, to better meet the needs of business, education and tourism deliver the Migration Programme within government targets whilst maintaining programme integrity and intention finalise visa applications within standards and according to applicable priority processing directions ensure temporary entry and permanent migration do not increase health risks or costs to the Australian community increase the use of biometrics and identity management services to facilitate the entry of genuine travelers and to detect and deter those who pose a risk promote a high level of confidence in the accurate identification of people entering and departing Australia and those likely to threaten the national interest contribute to whole of government efforts to combat people smuggling continue to provide a communication strategy that promotes the value of Australian citizenship and encourages eligible non-citizens to become Australian citizens. Programme Deliverables - OMARA OMARA will: ensure only suitable persons are registered as migration agents, and unsuitable persons are refused registration or re-registration maintain a quality assistance and monitoring framework for registered migration agents and continuing professional development of providers ensure all complaints about service of registered, or formally registered migration agents are appropriately addressed in line with transparent complaint handling criteria including referral to other relevant agencies pursue improvements to communications that increase consumers’ understanding of their rights and agents’ understanding of their obligations under the regulatory framework. 29 DIBP Budget Statements Programme 1.1 Border Management Key Performance Indicators ensure less than 0.015% of total passenger and crew arrivals are refused immigration clearance at airports and seaports. Programme 1.2 Migration and Citizenship Key Performance Indicators migration programme supports the government’s social agenda and industry and business needs the student visa programme supports sustainable growth in the international education sector in line with government priorities visitor visa policy and services continue to support global tourism and the domestic economy Working Holiday Maker negotiations are targeted towards government priorities temporary visa programmes support the government’s international priorities and obligations finalise visa applications and deliver the permanent migration programmes within government targets and according to applicable priority processing directions data and analysis is regularly provided on the performance of visa programmes in order to support evidence based policy development and implementation temporary entry and permanent migration does not increase the incidence of health risks or costs to the Australian community policy development and deregulatory reform to visa programmes are implemented effectively and in a timely and cost-effective manner while supporting programme delivery and integrity provision of high quality and timely support to key stakeholders on migration programme policy advice our clients are able to access information about our products and services and are kept informed during the application process percentage of refusal decisions for Australian citizenship overturned through an appeal process is less than 1% percentage of client conferral applications decided within service delivery standards is 80% increased awareness of, and interest in, Australian citizenship – measured through visits to the Citizenship Wizard reach 300,000. 30 DIBP Budget Statements Programme Key Performance Indicators - OMARA new registration or re-registration applications finalised within service standards quality assurance and monitoring activities are conducted for registering migration agents and continuing professional development providers efficient resolution of complaints about registered or formerly registered migration agents information about the Authority and the use of registered migration agents is widely available to consumers. Programme Key Performance Indicators The permanent M igratio n P ro gram is delivered within go vernment targets 2012-13 Actual 2013-14 Revised 2014-15 Forw ard year 1 2015-16 Forw ard year 2 2016-17 Forw ard year 3 <190,000 <190,000 <190,000 <190,000 <190,000 Tempo rary and permanent migratio n Co ntribute to Co ntribute to Co ntribute to Co ntribute to Co ntribute to maintaining maintaining maintaining maintaining maintaining do es no t increase the incidence TB rates in TB rates in TB rates in TB rates in TB rates in o f health risks o r co sts to A ustralia at <6 A ustralia at <6 A ustralia at <6 A ustralia at <6 A ustralia at <6 the A ustralian co mmunity cases per cases per cases per cases per cases per 100,000 peo ple 100,000 peo ple 100,000 peo ple 100,000 peo ple 100,000 peo ple SkillSelect mo ves to beco ming the main so urce o f independent skilled migrants Register 100% Register 100% Register 100% Register 100% Register 100% o f applicatio ns o f applicatio ns o f applicatio ns o f applicatio ns o f applicatio ns under all under all under all under all under all catego ries catego ries catego ries catego ries catego ries 31 DIBP Budget Statements Outcome 2: Support Australia's international and humanitarian obligations by providing protection, resettlement and assistance to refugees and those in humanitarian need, including through arrangements with other countries. Outcome 2 Strategy To achieve this outcome, DIBP will work collaboratively with all levels of government, internationally and with stakeholders to: contribute to the resettlement of refugees and those in humanitarian need through the delivery of the Humanitarian Programme resettle humanitarian entrants living in protracted or refugee like situations who are in need of protection provide visa pathways to those seeking Australia’s protection, including through the use of temporary visas for those who sought protection in Australia after arriving in an illegal manner continue to develop policy, programme design and procedures to improve the efficiency, effectiveness, accountability and integrity of the Humanitarian Programme strengthen the migration and border management capabilities of governments in the Asia-Pacific region and parts of South Asia and the Middle East support international organisations providing services for irregular migrants intercepted en route to Australia. 32 DIBP Budget Statements Outcome 2 Expense Statement Table 2.1.2 provides an overview of the total expenses for Outcome 2, by programme. Table 2.1.2: Budgeted Expenses for Outcome 2 2013-14 Estimated actual expenses $'000 Program m e 2.1: Refugee and Hum anitarian Assistance Administered expenses Ordinary annual services 1 2014-15 Estimated expenses $'000 61,086 69,320 61,086 69,320 62,251 3,992 63,023 3,539 66,243 127,329 66,562 135,882 75,953 80,566 75,953 80,566 Program m e 2.4: Regional Cooperation Departmental expenses Departmental appropriation 2 18,100 13,156 Total for Program m e 2.4 Total Program m e Regional Cooperation 18,100 94,053 13,156 93,722 137,039 149,886 80,351 3,992 76,179 3,539 221,382 229,604 Total for Program m e 2.1 Program m e 2.2: Refugee and Hum anitarian Assistance Departmental expenses Departmental appropriation 2 Expenses not requiring appropriation in the Budget year 3 Total for Program m e 2.2 Total Program m e Refugee and Hum anitarian Assistance Program m e 2.3: Regional Cooperation Administered expenses Ordinary annual services 1 Total for Program m e 2.3 Outcom e 2 Totals by appropriation type Administered expenses Ordinary annual services 1 Departmental expenses Departmental appropriation 2 Expenses not requiring appropriation in the Budget year Total expenses for Outcom e 2 3 2013-14 754 2014-15 Average Staffing Level (num ber) 647 1. Appropriation Bill (No. 1) 2014-15. 2. Departmental Appropriation combines ‘Ordinary annual services (Appropriation Bill No.1)’ and ‘Revenue from independent sources (s31)’. 3. Expenses not requiring appropriation in the budget year consist of Depreciation and Amortisation Expense. 33 DIBP Budget Statements Contributions to Outcome 2 Programme 2.1 and 2.2: Refugee and Humanitarian Assistance – (administered and departmental) Programme Objective deliver programmes consistent with Australia's international protection obligations in relation to people claiming protection within Australia's jurisdiction contribute to the resettlement of humanitarian entrants through the delivery of the annual offshore component of the Humanitarian Programme manage an effective onshore protection framework that is consistent with government priorities and reflects Australia’s international protection obligations ensure that the visa pathway provided to persons requiring protection is in line with government priorities affirm Australia’s commitment to the resettlement of refugees and advance Australia’s interests on migration and refugee issues internationally support for Unaccompanied Humanitarian Minors (UHMs) through the UHM Programme support the Minister to fulfil his guardianship responsibilities under the Immigration Guardianship of Children Act 1946. Programme 2.3 and 2.4: Regional Cooperation – (administered and departmental) Programme Objective To strengthen the migration and border management capabilities of partner governments through regional cooperation and associated activities, which seek to: assist the facilitation of bona fide people movements while preventing and deterring irregular movements, including people smuggling and trafficking, in our region and in source and transit countries support the effective management and harmonisation of treatment of asylum seekers across the region support international organisations providing services for irregular migrants intercepted en route to Australia. 34 DIBP Budget Statements Table 2.2.2: Programme Expenses Outcome 2 Annual Administered Expenses Annual Departmental Expenses Expenses not requiring appropriation in the Budget year 1 2013-14 Estimated actual $'000 137,039 80,351 2014-15 Budget $'000 149,886 76,179 3,992 3,539 2015-16 Forw ard Estimate $'000 119,147 81,258 2016-17 Forw ard Estimate $'000 58,631 99,224 3,595 2017-18 Forw ard Estimate $'000 57,703 100,721 3,595 3,595 Total program m e expenses 221,382 229,604 204,000 161,450 162,019 1. Expenses not requiring appropriation in the budget year consist of Depreciation and Amortisation Expense. Table 2.3.2: Programme Component Expenses for Outcome 2 2013-14 Estimated actual $'000 Programme 2.1: Refugee and Humanitarian Assistance Annual administered expenses Allowances for persons granted temporary visas in the Humanitarian Programme Payments for the Asylum Seeker Assistance Scheme Application Assistance Scheme - onshore protection Initiatives to address the situation of displaced persons and promote sustainable returns International Organisation for Migration contribution Refugee and humanitarian passage, associated costs and related services Secretariat for Inter-Governmental Consultations on migration, asylum and refugees - membership contribution Grant to Refugees Council of Australia Supervision and welfare for Unaccompanied Humanitarian Minors Total administered expenses Programme 2.1 2014-15 Budget $'000 2015-16 Forward Estimate $'000 2016-17 Forward Estimate $'000 2017-18 Forward Estimate $'000 53 53 53 53 51 15,808 29,278 5,336 5,295 5,175 3,296 2,955 3,039 3,093 3,044 700 249 - - - 762 762 762 762 762 18,966 16,778 17,323 17,368 16,968 134 140 134 140 134 140 134 140 134 140 21,227 18,971 15,933 3,929 3,884 61,086 69,320 42,720 30,774 30,158 35 DIBP Budget Statements Table 2.3.2: Programme Component Expenses for Outcome 2 (continued) 2013-14 Estimated actual $'000 Program m e 2.2: Refugee and Hum anitarian Assistance Annual departm ental expenses Refugee and Humanitarian Assistance 34,896 Temporary Protection and Protection Visas on-shore 31,347 36,024 40,277 57,963 58,693 30,539 33,564 33,632 34,202 66,562 73,840 91,594 92,894 135,882 116,560 122,368 123,052 73,149 1,753 78,775 1,791 76,427 - 27,857 - 27,545 - 1,051 - - - - 75,953 80,566 76,427 27,857 27,545 18,100 13,156 11,013 11,225 11,422 18,100 94,053 13,156 93,722 11,013 87,440 11,225 39,082 11,422 38,967 137,039 149,886 119,147 58,631 57,703 Total departm ental expenses Program m e 2.2 66,243 Total Program m e Refugee and Hum anitarian Assistance 127,329 Program m e 2.3: Regional Cooperation Annual adm inistered expenses Regional Cooperation and Capacity Building Regional Support Office Combatting People Smuggling- Address irregular migration in region Total adm inistered expenses Program m e 2.3 Program m e 2.4: Regional Cooperation Annual departm ental expenses Regional Cooperation Total departm ental expenses Program m e 2.4 Total Program m e Regional Cooperation Total adm inistered expenses Total departm ental expenses Total Program m e expenses Outcom e 2 2014-15 2015-16 2016-17 2017-18 Budget Forw ard Forw ard Forw ard Estimate Estimate Estimate $'000 $'000 $'000 $'000 84,343 79,718 84,853 102,819 104,316 221,382 229,604 204,000 161,450 162,019 36 DIBP Budget Statements Programme 2.1 and 2.2 Deliverables deliver a Humanitarian Programme of 13,750 places deliver at least 1,000 visas through the Women at Risk subclass the onshore component of the Humanitarian Programme is delivered in line with agreed planning levels legislation and policy changes that strengthen the integrity of Australia’s onshore protection framework legislation to implement a Temporary Protection Visa for those requiring Australia’s protection who arrived in Australia illegally processing of the legacy cohort of persons who arrived in Australia as Illegal Maritime Arrivals (IMAs) legal services for decision makers, policy makers and government that ensure that the onshore protection framework is appropriately managed care and supervision services for eligible UHMs. Programme 2.1 and 2.2 Key Performance Indicators Australia continues to be a leading resettlement country in terms of numbers of people resettled Australia’s international protection obligations are reflected in an effective onshore protection framework including articulated policies and procedures relating to the assessment of protection claims productive working relations are maintained with international partner agencies with regard to Australia’s contribution to strengthening the international protection framework in countries other than Australia Australia's bilateral and multilateral activity in relation to migration and refugee issues has a positive effect on managed migration and refugee issues internationally, as evidenced by internal evaluation and review outcomes. 37 DIBP Budget Statements Programme 2.3 and 2.4 Deliverables work collaboratively with international organisations to enhance the migration, identity, immigration intelligence and border management capabilities of partner governments provide assistance, training and resources to support, manage and oversee agreed bilateral and multilateral arrangements under the Regional Cooperation Framework and other measures support for the Regional Support Office to implement a range of practical initiatives to combat people smuggling, human trafficking and transnational crime work collaboratively with international organisations to develop policy and services for irregular migrants intercepted en route to Australia. Programme 2.3 and 2.4 Key Performance Indicators the capacity of states to manage irregular migration through the region, including that of asylum seekers is enhanced the Regional Support Office is effectively acting as a key coordination point for migration management and increased protection capacity in the region. 38 DIBP Budget Statements Outcome 3: Support Australia's border protection through managing the stay and departure of all non-citizens. Outcome 3 Strategy To achieve this outcome, DIBP will work collaboratively with all levels of government, internationally and with stakeholders to: support Operation Sovereign Borders, the Joint Agency Task Force and Regional Processing Countries in the management of IMAs resolve the status of the legacy cohort of IMAs maximise cooperation and voluntary compliance with visa obligations and encourage timely resolution of immigration status support the management of Australia’s borders and the integrity of Australia’s migration, humanitarian and citizenship programmes by identifying and addressing breaches of immigration and citizenship law or other irregularities identify risks and address non-compliance through enforcement strategies including visa cancellation, detention of non-citizens and departure from Australia identify and apply enforcement action against serious and organised crime, and non-citizens who pose a risk to the Australian community. 39 DIBP Budget Statements Outcome 3 Expense Statement Table 2.1.3 provides an overview of the total expenses for Outcome 3, by programme. Table 2.1.3: Budgeted Expenses for Outcome 3 2013-14 Estimated actual expenses $'000 Program m e 3.1: Com pliance, Detention and Status Resolution Administered expenses Ordinary annual services 1 Expenses not requiring appropriation in the Budget year 75,297 3 Total for Program m e 3.1 Program m e 3.2: Com pliance, Detention and Status Resolution Departmental expenses Departmental appropriation 2 Expenses not requiring appropriation in the Budget year 3 Total for Program m e 3.2 Total Program m e Com pliance, Detention and Status Resolution 2014-15 Estimated expenses $'000 83,544 7,942 8,135 83,239 91,679 187,143 12,642 186,228 10,224 199,785 196,452 283,024 288,131 Program m e 3.3: IMA Onshore Managem ent Administered expenses Ordinary annual services 1 Expenses not requiring appropriation in the Budget year Total for Program m e 3.3 Program m e 3.4: IMA Onshore Managem ent Departmental expenses Departmental appropriation 2 Expenses not requiring appropriation in the Budget year 3 3 Total for Program m e 3.4 Total Program m e IMA Onshore Managem ent Program m e 3.5: IMA Offshore Managem ent Administered expenses Ordinary annual services 1 Expenses not requiring appropriation in the Budget year Total for Program m e 3.5 Program m e 3.6: IMA Offshore Managem ent Departmental expenses Departmental appropriation 2 Expenses not requiring appropriation in the Budget year Total for Program m e 3.6 Total Program m e IMA Offshore Managem ent 40 3 3 1,939,240 17,323 1,448,650 17,323 1,956,563 1,465,973 381,674 6,359 375,425 7,383 388,033 2,344,596 382,808 1,848,781 646,693 10,988 657,681 756,908 10,988 767,896 62,030 1,305 57,239 1,578 63,335 721,016 58,817 826,713 DIBP Budget Statements Table 2.1.3: Budgeted Expenses for Outcome 3 (continued) 2013-14 Estimated actual expenses $'000 Outcom e 3 Totals by appropriation type Administered expenses Ordinary annual services 1 Expenses not requiring appropriation in the Budget year Departmental expenses Departmental appropriation 2 Expenses not requiring appropriation in the Budget year Total expenses for Outcom e 3 3 3 2014-15 Estimated expenses $'000 2,661,230 36,253 2,289,102 36,446 630,847 20,306 618,892 19,185 3,348,636 2,963,625 2013-14 3,167 2014-15 Average Staffing Level (num ber) 2,857 1. Appropriation Bill (No. 1) 2014-15 2. Departmental Appropriation combines ‘Ordinary annual services (Appropriation Bill No. 1)’ and ‘Revenue from independent sources (s31)’. 3. Expenses not requiring appropriation in the budget year consist of Depreciation and Amortisation Expense. 41 DIBP Budget Statements Contributions to Outcome 3 Programme 3.1 and 3.2: Compliance, Detention and Status Resolution Programme Objective Actively resolve the status of non-citizens through mechanisms to facilitate voluntary and involuntary outcomes, including departures where appropriate. Administer an effective programme of prevention, deterrence and enforcement that maximises adherence to Australian entry and stay requirements and protects the public through: targeted education, information and engagement about visa obligations and requirements identification and response to suspected breaches of immigration and citizenship law in Australia detection and location of persons who have no lawful authority to be in Australia or are in breach of conditions that apply to their visa cancellation or refusal of visas to non-citizens who may present a public risk for reasons such as their involvement in serious criminal activity or matters that relate to national security facilitation of a substantive immigration outcome in a lawful, timely, fair and reasonable manner including through visa grant or departure from Australia. Administer programmes and services in community and detention environments in Australia that: support the management of risks to the integrity of the migration, humanitarian and citizenship programmes support the management of character and national security risks to the community presented by certain non-citizens treat unlawful non-citizens with dignity and respect meet the health and other care needs of unlawful non-citizens to an appropriate standard. 42 DIBP Budget Statements Programme 3.3 and 3.4: Illegal Maritime Arrival (IMA) Onshore Management Programme Objective Actively resolve the status of IMAs through appropriate mechanisms to facilitate voluntary and involuntary outcomes, including departures. Administer effective programmes and strategies that support the integrity of the Australian border and advance the objectives of Operation Sovereign Borders through: transfer of eligible IMAs to an Offshore Processing Centre (OPC) facilitation of a substantive immigration outcome for IMAs in a lawful, timely, fair and reasonable manner, including through departure from Australia. Administer programmes and services in community and detention environments in Australia that: manage health, identity and security risks to the Australian community relating to IMAs treat IMAs with dignity and respect provide advice to IMAs on their responsibilities under the Code of Behaviour meet the health and other care needs of IMAs to an appropriate standard. Programme 3.5 and 3.6: Illegal Maritime Arrival (IMA) Offshore Management Programme Objective Administer arrangements that assist Regional Processing Countries (RPCs) to implement the Memoranda of Understanding and Administrative Arrangements agreed with Australia, including building RPC capabilities to: manage IMAs transferred to an OPC determine the refugee status of transferees return and remove transferees settle refugees. 43 DIBP Budget Statements Table 2.2.3: Programme Expenses for Outcome 3 2013-14 2014-15 2015-16 2016-17 Estimated Budget Forw ard Forw ard actual Estimate Estimate $'000 $'000 $'000 $'000 2,661,230 2,289,102 1,787,354 1,146,692 630,847 618,892 607,581 482,964 2017-18 Forw ard Estimate $'000 878,527 406,266 Annual Administered Expenses Annual Departmental Expenses Expenses not requiring appropriation in the Budget year 1 56,559 55,631 54,816 54,815 54,815 Total program m e expenses 3,348,636 2,963,625 2,449,751 1,684,471 1,339,608 1. Expenses not requiring appropriation in the budget year consist of Depreciation and Amortisation Expense. Table 2.3.3: Programme Component Expenses for Outcome 3 2013-14 Estimated actual $'000 Program m e 3.1: Com pliance, Detention Status Resolution Annual adm inistered expenses Compliance Resolution Community Care and Assistance Community Placement and Detention Services Payments under section 33 (FMA Act ) Act of Grace Payments Recovery of Removal Charges and Detention Costs Foreign Fishers Total adm inistered expenses Program m e 3.1 2014-15 Budget $'000 2015-16 Forw ard Estimate $'000 2016-17 Forw ard Estimate $'000 2017-18 Forw ard Estimate $'000 9,448 13,815 10,242 10,393 10,277 60,163 63,351 65,003 66,009 69,187 100 100 100 100 100 3,849 9,679 - 4,042 10,371 - 4,042 10,636 - 4,042 10,790 - 4,042 10,672 - 83,239 91,679 90,023 91,334 94,278 74,578 74,984 75,281 76,595 25,580 51,117 42,432 2,745 27,748 53,093 38,721 2,715 27,845 51,694 38,981 2,722 28,281 58,150 39,817 2,815 196,452 197,261 196,523 205,658 288,131 287,284 287,857 299,936 Program m e 3.2: Com pliance, Detention Status Resolution Annual departm ental expenses Compliance 73,941 Community Placement and Detention Services 26,836 Status Resolution 52,647 Returns and Removals 43,642 Foreign Fishers 2,719 Total departm ental expenses Program m e 3.2 199,785 Total Program m e Com pliance, Detention and Status Resolution 283,024 44 DIBP Budget Statements Table 2.3.3: Programme Component Expenses for Outcome 3 (continued) 2013-14 Estimated actual $'000 Program m e 3.3: IMA Onshore Managem ent Annual adm inistered expenses Community Placements and Detention Services - Onshore Returns, Removals and Reintegration Assistance Packages - Onshore Total adm inistered expenses Program m e 3.3 Program m e 3.4: IMA Onshore Managem ent Annual departm ental expenses IMA Onshore Management Total departm ental expenses Program m e 3.4 Total Program m e IMA Onshore Managem ent Program m e 3.5: IMA Offshore Managem ent Annual adm inistered expenses Offshore Processing Services Returns, Removals and Reintegration Assistance Packages - offshore Total adm inistered expenses Program m e 3.5 Program m e 3.6: IMA Offshore Managem ent Annual departm ental expenses IMA Offshore Management Total departm ental expenses Program m e 3.6 Total Program m e IMA Offshore Managem ent 1,954,375 2,188 1,956,563 2014-15 Budget $'000 1,463,696 2,277 1,465,973 2015-16 Forw ard Estimate $'000 1,160,887 2,387 1,163,274 2016-17 Forw ard Estimate $'000 2017-18 Forw ard Estimate $'000 726,820 461,053 2,420 - 2,420 - 729,240 463,473 388,033 - 382,808 - 385,031 - 267,530 - 186,406 - 388,033 382,808 385,031 267,530 186,406 2,344,596 1,848,781 1,548,305 655,494 765,619 568,117 996,770 360,144 649,879 354,802 2,187 - 2,277 - 2,387 - 2,420 - 2,420 - 657,681 - 767,896 - 570,504 - 362,564 - 357,222 - 63,335 - 58,817 - 43,658 - 37,280 - 32,571 - 63,335 58,817 43,658 37,280 32,571 721,016 826,713 614,162 399,844 389,793 Total adm inistered expenses 2,697,483 2,325,548 1,823,801 1,183,138 914,973 Total departm ental expenses 651,153 638,077 625,950 501,333 424,635 Total Program m e expenses Outcom e 3 3,348,636 2,963,625 2,449,751 1,684,471 1,339,608 45 DIBP Budget Statements Programme 3.1 and 3.2 Deliverables targeted information and engagement activities that deter non-citizens from overstaying or breaching their visa conditions risk-based response to non-citizens who have breached immigration law or pose a character or national security risk, including through visa cancellations and refusal where appropriate health and other support services for unlawful non-citizens in immigration detention support services for non-citizens in the community services that facilitate status resolution for unlawful non-citizens, including voluntary return to the person’s country of origin and, where appropriate, reintegration assistance packages. Programme 3.1 and 3.2 Key Performance Indicators voluntary compliance is maintained as the primary approach to resolving the immigration status of non-citizens the management of lawful non-citizens and resolution of their immigration status while they are in the community, does not lead to an unacceptable increase in non-compliance the immigration status of the majority of non-citizens located in the Australian community for breach of immigration law is resolved in a timely way the immigration detention network meets operational requirements and is maintained to a standard that supports the health, safety and security of detainees and staff non-citizens in immigration detention have access to services consistent with relevant laws and standards eligible non-citizens have appropriate access to services that supports timely return to their country of origin. Programme 3.3 and 3.4 Deliverables transfer of eligible IMAs to an OPC) health and other support services for IMAs in immigration detention support services for IMAs in the community on Bridging Visas services that facilitate status resolution for IMAs, including voluntary return to the person’s country of origin and, where appropriate, reintegration assistance packages. 46 DIBP Budget Statements Programme 3.3 and 3.4 Key Performance Indicators eligible IMAs are transferred to an OPC in a safe and timely manner a network of immigration detention facilities that meets operational requirements is available and maintained to a standard that supports the health, safety and security of detainees and staff IMAs in immigration detention and in the community receive services consistent with relevant laws and government standards breaches of the Code of Behaviour by IMAs residing in the community are actioned in a timely manner IMAs have appropriate access to services that support timely return to their country of origin. Programme 3.5 and 3.6 Deliverables capability development support for RPCs in relation to matters covered by the Memorandum of Understanding and Administrative Arrangements agreed with Australia construction and maintenance of facilitates that support RPCs to manage and accommodate transferees services that support RPCs to manage the health and welfare of transferees services that support RPCs to ensure the safety and security of people accommodated and working within OPCs services that support RPCs to determine the refugee status of transferees services that assist RPCs to return or remove transferees to their country of origin services that assist RPCs to manage settlement of transferees found to be refugees. Programme 3.5 and 3.6 Key Performance Indicators services delivered are consistent with the Memorandum of Understanding and Administrative Arrangements agreed with Australia and relevant local standards OPCs facilities are constructed and maintained in a manner that meets operational requirements and relevant local standards. 47 DIBP Budget Statements Table 2.1.4: Budgeted Expenses for Programmes Transferred as part of Machinery of Government change1 2013-14 Estimated actual expenses $'0002 2014-15 Estimated expenses $'000 Program m e 5.1: Settlem ent Services for Migrants and Refugees Administered expenses Ordinary annual services 3 Expenses not requiring appropriation in the Budget year 4 Total for Program m e 5.1 - Adm inistered Program m e 5.1: Settlem ent Services for Migrants and Refugees Departmental expenses Departmental appropriation 5 Expenses not requiring appropriation in the Budget year 4 95,461 - - - 95,461 - 32,257 2,526 - 34,783 Total for Program m e 5.1 - Departm ental Total Program m e Settlem ent Services for Migrants and Refugees 130,244 - Program 6.1: Multicultural and Citizenship Services Administered expenses Ordinary annual services 3 489 - 489 - Program 6.1: Multicultural and Citizenship Services Departmental expenses Departmental appropriation 5 Expenses not requiring appropriation in the Budget year 4 Total for Program m e 6.1 - Adm inistered 7,693 353 - Total for Program m e 6.1 - Departm ental Total Program m e Multicultural and Citizenship Services 8,046 8,535 - 95,950 - - 39,950 2,879 - Totals by appropriation type Administered expenses Ordinary annual services 3 Expenses not requiring appropriation in the Budget year Departmental expenses Departmental appropriation 5 Expenses not requiring appropriation in the Budget year 4 4 Total expenses for Program m es Transferred 138,779 1. As a part of the Machinery of Government changes announced in September 2013, Settlement and Multicultural Affairs functions transferred from DIBP to Department of Social Services, and Adult Migrant English Program transferred to Department of Industry. 2. Values for 2013-14 represent the costs for DIBP of the transferred functions for part of 2013-14 until the finalisation of the transfer. 3. Ordinary annual services include Appropriation Act (No. 1) 2013-14 & Appropriation Bill (No. 3) 2013-14. 4. Departmental Appropriation combines ‘Ordinary annual services (Appropriation Act. 1 and Bill No. 3)’ and ‘Revenue from independent sources (s31)’. 5. Expenses not requiring appropriation in the budget year consist of Depreciation and Amortisation Expense. 48 DIBP Budget Statements Section 3: Explanatory Tables and Budgeted Financial Statements 3.1 EXPLANATORY TABLES 3.1.1 Movement of Administered Funds Between Years Administered funds can be provided for a specified period, for example under annual Appropriation Acts. Funds not used in the specified period with the agreement of the Finance Minister may be moved to a future year. Table 3.1.1 shows the movement of administered funds approved between years. Table 3.1.1: Movement of Administered Funds Between Years1 2013-14 $'000 Outcome 3.5: Offshore Processing for Illegal Maritime Arrivals Total Movem ent of Adm inistered Funds 1. 2014-15 $'000 2015-16 $'000 2016-17 $'000 2017-18 $'000 (115,000) 115,000 - - - (115,000) 115,000 - - - Figures displayed as a negative (-) represent a decrease in funds and a positive reflect an increase in funds. 3.1.2 Special Accounts Special Accounts provide a means to set aside and record amounts used for specified purposes. Special Accounts can be created by a Finance Minister’s Determination under the FMA Act or under separate enabling legislation. Table 3.1.2 shows the expected additions (receipts) and reductions (payments) for each account used by DIBP. Table 3.1.2: Estimates of Special Account Flows and Balances Opening Closing balance Receipts Payments Adjustments balance 2014-15 2014-15 2014-15 2014-15 2014-15 2013-14 2013-14 2013-14 2013-14 2013-14 Outcome $'000 $'000 $'000 $'000 $'000 Australian Population Multicultural and Immigration Research Program Account - Section 20 FMA Act (A) Total Special Accounts 2014-15 Budget estim ate Total Special Accounts 2013-14 estimated actual (A) = Administered (D) = Departmental 1 60 187 - 60 127 - 60 60 - 60 - - 187 - 127 - 60 3.1.3 Australian Government Indigenous Expenditure DIBP has no specific Australian Government Indigenous Expenditure in 2014-15. 49 DIBP Budget Statements 3.2 BUDGETED FINANCIAL STATEMENTS 3.2.1 Analysis of Budgeted Financial Statements An analysis of the primary source of movements between the financial statements published in the 2013-14 Portfolio Additional Estimates Statements (PAES) and the 2014-15 Portfolio Budget Statements is provided below. Budgeted departmental comprehensive income statement Department of Immigration and Border Protection (DIBP) is budgeting for a breakeven departmental operating result, adjusted for depreciation and amortisation expense, in 2014-15. This statement presents the expected financial result for DIBP and identifies expenses and revenues on a full accrual basis. Expenses In 2014-15, total departmental expenses are expected to increase from $1,465.5 million (as published in the 2013-14 PAES) to $1,584.3 million, an increase of $118.8 million. This movement reflects a decrease of $1.5 million due to the net impact of new measures in Budget and an increase of $121.2 million from other variations. Full details of the additional funding for 2014-15 for new measures and other variations are provided in the tables presented in Section 1 of this document. Income In 2014-15, total departmental revenue is expected to increase from $1,366.4 million (as published in the 2013-14 PAES) to $1,485.2 million. The movement is primarily due to an increase in Revenue from Government (appropriation revenue) of $119.7 million offset by a small decrease in DIBP’s own source revenue of $0.9 million. Budgeted departmental balance sheet This statement reports the financial position of the department, its assets, liabilities and equity. In 2014-15, total departmental assets are expected to decrease from $799.7 million (as published in the 2013-14 PAES) to $784.9 million. The decrease of $14.8 million is mainly due to trade and other receivables ($12.1 million) and expenditure on computer software ($5.2 million). This decrease is partially offset by an increase across a number of other asset categories ($2.5 million). Equity is also expected to decrease from $388.6 million (as published in the 2013-14 PAES) to $382.5 million. The decrease of $6.1 million in departmental equity mainly 50 DIBP Budget Statements reflects the change in the Accumulated Deficit in relation to the 2014-15 operating result. Budgeted departmental statement of cash flows The cash flow statement reports the extent and nature of cash flows, grouped according to operating, investing and financing activities. The budgeted cash flows largely mirror the trends and impacts of the measures reported above for the income statement and balance sheet. Capital budget statement—departmental This statement reports the forward plan for capital expenditure. Statement of asset movements This statement reports the budgeted movements by asset class of the department’s non-financial assets during the current financial year. Schedule of budgeted income and expenses administered on behalf of government This schedule identifies the main revenue and expense items administered by the department on behalf of the government. Expenses In 2014-15, administered expenses are expected to decrease from $3,122.3 million (as published in the 2013-14 PAES) to $2,480.8 million, a decrease of $641.5 million. The change in administered expenses reflects an increase in government decisions of $12.5 million and a decrease of $654.0 million in other adjustments across all outcomes. Income In 2014-15, the department will administer the collection of revenue on behalf of the Government of $1,684.2 million, which is an increase of $3.4 million in the administered revenue estimate published in the 2013-14 PAES. Schedule of budgeted assets and liabilities administered on behalf of government This schedule reports assets and liabilities administered by the department on behalf of the government. 51 DIBP Budget Statements Schedule of budgeted administered cash flows This schedule shows the cash flows administered on behalf of the government. The cash flows largely reflect the transactions of the schedule of income and expenses. Schedule for administered capital budget This statement reports the forward plan for capital expenditure. Statement of administered asset movements This statement reports the budgeted movements by asset class of Administered non-financial assets during the current financial year. 52 DIBP Budget Statements 3.2 BUDGETED FINANCIAL STATEMENTS TABLES Table 3.2.1 Comprehensive Income Statement (Showing Net Cost of Services) for the period ended 30 June Estimated actual 2013-14 $'000 EXPENSES Employee benefits 883,859 Supplier expenses 633,496 Depreciation and amortisation 124,436 Finance costs 3,424 Bad and Doubtful Debts 5,528 Write-dow n & impairment of assets Other Expenses Total expenses 1,650,743LESS: OWN-SOURCE INCOME Ow n-source revenue Sale of goods and rendering of services 42,448 Rental income 1,983 Other 20,900 Total ow n-source revenue 65,331Gains Sale of assets Foreign exchange gains Other Total gains Total ow n-source incom e Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 863,661 612,682 99,083 3,399 5,483 1,584,308 892,179 632,913 96,229 3,805 5,400 1,630,526- 783,526 635,835 96,229 3,662 5,231 1,524,483- 807,285 552,689 96,229 3,498 5,118 1,464,819- 46,502 1,684 17,377 65,563- 49,085 1,736 11,368 62,189- 51,400 1,798 11,459 64,657- 53,357 1,730 11,459 66,546- 40 2,058 2,098 67,429- 40 2,058 2,098 67,661- 40 2,058 2,098 64,287- 40 2,058 2,098 66,755- 40 2,058 2,098 68,644- 1,583,3141,458,878 1,516,6471,417,564 1,566,2391,470,010 1,457,7281,361,499 1,396,1751,299,946 Net cost of (contribution by) services Revenue from Government Surplus (Deficit) attributable to the Australian Governm ent Total com prehensive incom e (loss) OTHER COMPREHENSIVE INCOME Changes in asset revaluation surplus (124,436) - (99,083) - (96,229) - (96,229) - (96,229) - (124,436) (99,083) (96,229) (96,229) (96,229) -- Total other com prehensive incom e (loss) Total com prehensive incom e (loss) attributable to the Australian Governm ent (124,436) 53 -- -- -- -- - - - - (99,083) (96,229) (96,229) (96,229) Continued on the next page DIBP Budget Statements Table 3.2.1 Comprehensive Income Statement (Showing Net Cost of Services) for the period ended 30 June (continued) Note: Im pact of Net Cash Apppropriation Arrangem ents 2013-14 2014-15 $'000 $'000 Total Com prehensive Incom e (loss) less depreciation/am ortisation expenses previously funded through revenue appropriations less depreciation/amortisation expenses previously funded through revenue appropriations 124,436 99,083 2015-16 $'000 2017-18 $'000 - - - 96,229 96,229 96,229 (96,229) (96,229) Total Com prehensive Incom e (loss) - as per the Statem ent of Com prehensive Incom e (124,436) (99,083) (96,229) Prepared on Australian Accounting Standards basis. 54 2016-17 $'000 DIBP Budget Statements Table 3.2.2: Budgeted Departmental Balance Sheet (as at 30 June) Estimated actual 2013-14 $'000 Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 ASSETS Financial assets Cash and cash equivalents Trade and other receivables Other financial assets Total financial assets 55,709 316,335 5,137 377,181 55,709 323,493 5,137 384,339 55,709 332,328 5,137 393,174 55,709 332,328 5,137 393,174 55,709 332,328 5,137 393,174 Non-financial assets Land and buildings Property, plant and equipment Intangibles Other non-financial assets Total non-financial assets Total assets 58,500 99,579 237,394 15,191 410,664 787,845 58,240 110,424 216,749 15,191 400,604 784,943 62,217 118,051 195,878 15,191 391,337 784,511 71,459 111,367 181,810 15,191 379,827 773,001 77,618 106,866 174,511 15,191 374,186 767,360 LIABILITIES Payables Suppliers Other payables Total payables 20,935 84,350 105,285 20,935 103,940 124,875 20,934 99,949 120,883 20,935 112,325 133,260 20,935 105,604 126,539 1,893 1,893 1,893 1,893 1,893 1,893 1,893 1,893 1,893 1,893 Provisions Employee provisions Other Total provisions 262,559 32,706 295,265 242,963 32,706 275,669 246,955 32,706 279,661 234,579 32,706 267,285 241,300 32,706 274,006 Total liabilities 402,443 402,437 402,437 402,438 402,438 Net assets 385,402 382,506 382,074 370,563 364,922 685,543 116,322 774,569 116,325 861,530 116,325 946,248 116,325 1,036,836 116,325 (416,463) 385,402 (508,388) 382,506 (595,781) 382,074 (692,010) 370,563 (788,239) 364,922 370,563 364,922 Interest bearing liabilities Leases Total interest bearing liabilities EQUITY Parent entity interest Contributed equity Reserves Retained surplus (accumulated deficit) Total parent entity interest Total Equity 385,402 382,506 382,074 Prepared on Australian Accounting Standards basis 55 DIBP Budget Statements Table 3.2.3: Departmental Statement of Changes in Equity — Summary of Movement (Budget year 2014-15) Retained Asset Other Contributed earnings revaluation reserves equity/ reserve capital $'000 $'000 $'000 $'000 Opening balance as at 1 July 2014 Balance carried forw ard from previous period Adjustment for changes in accounting policies Adjusted opening balance Com prehensive incom e Other comprehensive income Surplus (deficit) for the period Other Total comprehensive income of w hich: Attributable to the Australian Government Transactions w ith ow ners Contributions by owners Equity Injection Equity Injection - Appropriation Departmental Capital Budget (DCBs) Sub-total transactions with owners Estim ated closing balance as at 30 June 2014 Closing balance attributable to the Australian Governm ent Total equity $'000 (416,463) 116,322 - 685,543 385,402 (416,463) 116,322 - 685,543 385,402 - - - - (99,083) 7,158 3 - (4) (99,083) 7,157 (91,925) 3 - (4) (91,926) (91,925) 3 - (4) (91,926) - - 3,127 85,903 89,030 3,127 85,903 89,030 (508,388) 116,325 - 774,569 382,506 (508,388) 116,325 - 774,569 382,506 - - Prepared on Australian Accounting Standards basis. 56 DIBP Budget Statements Table 3.2.4: Budgeted Departmental Statement of Cash Flows (for the period ended 30 June) Estimated actual 2013-14 $'000 Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 1,539,783 1,438,065 1,494,036 1,361,499 1,299,946 30,319 33,907 36,140 47,505 49,950 61,588 14,477 1,646,167 59,814 14,284 1,546,070 66,691 13,154 1,610,021 60,453 13,261 1,482,718 57,607 12,818 1,420,321 877,304 710,876 3,427 1,591,607 890,642 637,623 3,408 1,531,673 889,696 717,517 2,808 1,610,021 797,445 682,568 2,705 1,482,718 802,108 615,628 2,585 1,420,321 54,560 14,397 - - - 30 30 30 30 - - - 107,821 89,030 86,962 84,718 90,588 107,821 89,030 86,962 84,718 90,588 (107,791) (89,000) (86,962) (84,718) (90,588) FINANCING ACTIVITIES Cash received Contributed equity Total cash received 107,821 107,821 89,030 89,030 86,962 86,962 84,718 84,718 90,588 90,588 Net cash from (used by) financing activities 107,821 89,030 86,962 84,718 90,588 - - 55,709 55,709 55,709 55,709 OPERATING ACTIVITIES Cash received Appropriations Sale of goods and rendering of services Net GST received Other Total cash received Cash used Employees Suppliers Borrow ing costs Other Total cash used Net cash from (used by) operating activities INVESTING ACTIVITIES Cash received Proceeds from sales of property, plant and equipment Total cash received Cash used Purchase of property, plant, equipment and intangibles Total cash used Net cash from (used by) investing activities Net increase (decrease) in cash held 54,590 14,427 Cash and cash equivalents at the beginning of the reporting period 1,119 41,282 55,709 Cash and cash equivalents at the end of the reporting period 55,709 55,709 55,709 Prepared on Australian Accounting Standards basis. 57 DIBP Budget Statements Table 3.2.5: Departmental Capital Budget Statement Estimated actual 2013-14 $'000 Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 81,765 26,056 107,821 85,903 3,127 89,030 85,031 1,931 86,962 84,690 28 84,718 90,588 90,588 Provided for: Purchase of non-financial assets Annual finance lease costs Total Item s 107,821 107,821 89,030 89,030 86,962 86,962 84,718 84,718 90,588 90,588 PURCHASE OF NON-FINANCIAL ASSETS Funded by capital appropriations Funded by capital appropriation - DCB TOTAL AMOUNT SPENT 26,056 81,765 107,821 3,127 85,903 89,030 1,931 85,031 86,962 28 84,690 84,718 90,588 90,588 CAPITAL APPROPRIATIONS Capital budget - Act No. 1 (DCB) Equity injections - Act No. 2 Total new capital appropriations RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLE Total purchases 107,821 89,030 86,962 84,718 90,588 Total cash used to acquire assets 107,821 89,030 86,962 84,718 90,588 Consistent with information contained in the Statement of Asset Movements and the Budgeted Statement of Cash Flows. Prepared on Australian Accounting Standards basis. 58 DIBP Budget Statements Table 3.2.6: Statement of Asset Movements (2014-15) Asset Land $'000 As at 1 July 2014 Gross book value Accumulated depreciation/amortisation and impairment Opening net book balance Category (as appropriate) Buildings Other Computer property, softw are plant and and equipment Intangibles $'000 $'000 $'000 Total $'000 400 77,667 142,714 652,396 873,177 400- (19,567) 58,100- (43,135) 99,579- (415,002) 237,394- (477,704) 395,473- CAPITAL ASSET ADDITIONS Estim ated expenditure on new or replacem ent assets By purchase - appropriation equity By finance lease Total additions -- 16,314 16,314- 33,653 33,653- 39,063 39,063- 89,030 89,030- Other m ovem ents Depreciation/amortisation expense Other Movements Total other m ovem ents -- (16,574) (16,574) - (22,802) (6) (22,808) - (59,707) (1) (59,708) - (99,083) (7) (99,090) - 691,458 962,200 (474,709) 216,749 (576,787) 385,413 As at 30 June 2015 Gross book value 400 93,981 176,361 Accumulated depreciation/amortisation and impairment (36,141) (65,937) Closing net book balance 400 57,840 110,424 Prepared on Australian Accounting Standards basis. 59 DIBP Budget Statements Schedule of Administered Activity Table 3.2.7: Schedule of Budgeted Income and Expenses Administered on Behalf of Government (for the period ended 30 June) Estimated actual 2013-14 $'000 EXPENSES ADMINISTERED ON BEHALF OF GOVERNMENT Suppliers Subsidies Personal benefits Grants Depreciation and amortisation Write-dow n & impairment of assets Other expenses Total expenses adm inistered on behalf of Governm ent LESS: OWN-SOURCE INCOME Non-taxation revenue Sale of goods and rendering of services Fees and fines Other revenue Total non-taxation revenue Total ow n-source revenues adm inistered on behalf of Governm ent Gains Sale of assets Foreign exchange Reversal of previous asset w rite-dow ns and impairments Total gains adm inistered on behalf of Governm ent Total ow n-sourced incom e adm inistered on behalf of Governm ent Net Cost of (contribution by) services Surplus (Deficit) OTHER COMPREHENSIVE INCOME Changes in asset revaluation Total other com prehensive incom e Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 2,834,869 10,483 39,462 25,427 32,404 3,849 - 2,379,166 7,463 57,584 140 32,404 4,042 - 1,873,029 7,616 30,062 140 32,405 4,042 - 1,164,784 6,711 33,888 140 32,404 4,042 - 916,399 7,211 12,680 140 32,404 4,042 - 2,946,494 2,480,799 1,947,294 1,241,969 972,876 1,649,136 11,879 1,661,015 1,672,307 11,879 1,684,186 1,689,685 1,707,046 1,724,488 11,893 11,648 11,648 1,701,578 1,718,694 1,736,136 1,661,015 1,684,186 1,701,578 1,718,694 1,736,136 - - - - - - - - - - - - - - - 1,661,015 1,684,186 1,701,578 1,718,694 1,736,136 (1,285,479) (1,285,479) (796,613) (796,613) (245,716) (245,716) 476,725 476,725 763,260 763,260 - - - - - - - - - - 476,725 763,260 Total com prehensive incom e (1,285,479) (796,613) (245,716) (loss) Prepared on Australian Accounting Standards basis. 60 DIBP Budget Statements Table 3.2.8: Schedule of Budgeted Assets and Liabilities Administered on Behalf of Government (as at 30 June) Estimated actual 2013-14 $'000 ASSETS ADMINISTERED ON BEHALF OF GOVERNMENT Financial assets Cash and cash equivalents Trade and other receivables Other financial assets Total financial assets Non-financial assets Land and buildings Property, plant and equipment Intangibles Other non-financial assets Total non-financial assets Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 183,034 30,848 11,790 225,672 183,034 30,848 11,790 225,672 183,034 30,848 11,790 225,672 183,034 30,848 11,790 225,672 1,261,523 236,265 1,500 104,899 1,604,187 1,651,522 238,932 1,500 104,899 1,996,853 1,822,944 241,270 1,500 104,899 2,170,613 1,814,295 238,260 1,500 104,899 2,158,954 1,809,262 230,199 1,500 104,899 2,145,860 1,829,268 2,222,525 2,396,285 2,384,626 2,371,532 36,855 15,851 17,142 378,817 448,665 36,855 15,851 17,142 378,817 448,665 36,855 15,851 17,142 378,817 448,665 36,855 15,851 17,142 378,817 448,665 36,855 15,851 17,142 378,817 448,665 19,306 19,306 19,306 19,306 19,306 19,306 19,306 19,306 19,306 19,306 467,971 467,971 467,971 467,971 467,971 1,361,297 1,754,554 1,928,314 1,916,655 Prepared on Australian Accounting Standards basis. 1,903,561 Total assets adm inistered on behalf of Governm ent LIABILITIES ADMINISTERED ON BEHALF OF GOVERNMENT Payables Suppliers Personal benefits Grants Other payables Total payables Provisions Other provisions Total provisions Total liabilities adm inistered on behalf of Governm ent Net assets/(liabilities) 183,034 30,257 11,790 225,081 Budget estimate 2014-15 $'000 61 DIBP Budget Statements Table 3.2.9: Schedule of Budgeted Administered Cash Flows (for the period ended 30 June) Estimated actual 2013-14 $'000 OPERATING ACTIVITIES Cash received Sales of goods and rendering of services Net GST received Other Total cash received Cash used Grant Subsidies paid Personal benefits Suppliers Other Total cash used Net cash from (used by) operating activities Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 1,666,663 67,837 10,176 1,744,676 924,659 67,543 10,037 1,002,239 935,708 65,511 17,782 1,019,001 953,019 19,534 9,806 982,359 970,461 30,556 9,806 1,010,823 25,427 13,618 39,462 2,909,351 2,987,858 140 7,463 61,084 2,438,799 2,507,486 140 7,616 33,562 1,936,093 1,977,411 140 6,711 33,888 1,184,318 1,225,057 140 7,211 12,680 908,803 928,834 (1,243,182) (1,505,247) (958,410) (242,698) 81,989 INVESTING ACTIVITIES Cash used Purchase of property, plant and equipment Total cash used Net cash from (used by) investing activities FINANCING ACTIVITIES Cash received Capital injections Total cash received Net cash from (used by) financing activities 526,877 526,877 425,070 425,070 31,175 31,175 20,745 20,745 19,310 19,310 (526,877) (425,070) (31,175) (20,745) (19,310) 571,877 571,877 425,070 425,070 31,175 31,175 20,745 20,745 19,310 19,310 571,877 425,070 31,175 20,745 19,310 Net increase (decrease) in cash held (1,198,182) (1,505,247) (958,410) (242,698) Cash and cash equivalents at beginning of reporting period 6,379 176,655 183,034 183,034 Cash from Official Public Account for: - Appropriations 3,097,985 1,990,091 1,462,144 694,298 Total 3,104,364 2,166,746 1,645,178 877,332 Cash to Official Public Account for: - Appropriations 1,723,148 478,465 503,734 451,600 Total 1,723,148 478,465 503,734 451,600 Cash and cash equivalents at end of reporting period 183,034 183,034 183,034 183,034 Prepared on Australian Accounting Standards basis. 62 81,989 183,034 387,053 570,087 469,042 469,042 183,034 DIBP Budget Statements Table 3.2.10: Schedule of Administered Capital Budget Statement Estimated actual 2013-14 $'000 Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 18,630 18,711 18,772 18,857 19,310 503,247 521,877 291,359 310,070 12,403 31,175 1,888 20,745 19,310 Provided for: Purchase of non-financial assets Other Items Total Items 521,877 521,877 310,070 310,070 31,175 31,175 20,745 20,745 19,310 19,310 PURCHASE OF NON-FINANCIAL ASSETS Funded by capital appropriations 1 Funded by capital appropriation - ACB TOTAL AMOUNT SPENT 508,247 18,630 526,877 406,359 18,711 425,070 12,403 18,772 31,175 1,888 18,857 20,745 19,310 19,310 CAPITAL APPROPRIATIONS Capital budget - Act 1 (ACB) Administered assets and Liabilities - Act 2 Total new capital appropriations RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLE Total purchases 526,877 425,070 31,175 20,745 19,310 Total cash used to acquire assets 526,877 425,070 31,175 20,745 19,310 1. Includes a movement of funds from 2013-14 into 2014-15 of $115.0 million for Outcome 3.5. Prepared on Australian Accounting Standards basis. 63 DIBP Budget Statements Table 3.2.11: Statement of Administered Asset Movements (2014-15) Asset Category (as appropriate) Land Buildings Other Computer property, softw are plant and and equipment Intangibles $'000 $'000 $'000 $'000 As at 1 July 2014 Gross book value Accumulated depreciation/amortisation and impairment Opening net book balance Total $'000 71,322 1,226,864 246,942 1,500 1,546,628 71,322- (36,663) 1,190,201- (10,677) 236,265- 1,500- (47,340) 1,499,288- CAPITAL ASSET ADDITIONS Estim ated expenditure on new or replacem ent assets By purchase - appropriation equity Total additions 1,140 1,140- 412,237 412,237- 11,693 11,693- -- 425,070 425,070- Other m ovem ents Depreciation/amortisation expense Total other m ovem ents -- (23,378) (23,378) - (9,026) (9,026) - -- (32,404) (32,404) - As at 30 June 2015 Gross book value 72,462 1,639,101 258,635 Accumulated depreciation/amortisation and impairment (60,041) (19,703) Closing net book balance 72,462 1,579,060 238,932 Prepared on Australian Accounting Standards basis. 64 1,500 1,971,698 1,500 (79,744) 1,891,954 Migration Review Tribunal And Refugee Review Tribunal Agency resources and planned performance MIGRATION REVIEW TRIBUNAL AND REFUGEE REVIEW TRIBUNAL Section 1: Agency Overview and Resources ........................................................... 69 1.1 Strategic Direction Statement ......................................................................... 69 1.2 Agency Resource Statement .......................................................................... 70 1.3 Budget Measures ............................................................................................ 71 Section 2: Outcomes and Planned Performance ..................................................... 72 2.1 Outcomes and Performance Information ........................................................ 72 Section 3: Explanatory Tables and Budgeted Financial Statements ..................... 76 3.1 Explanatory Tables ......................................................................................... 76 3.2 Budgeted Financial Statements ...................................................................... 76 MRT-RRT Budget Statements MIGRATION REVIEW TRIBUNAL AND REFUGEE REVIEW TRIBUNAL Section 1: Agency Overview and Resources The Migration Review Tribunal (the MRT) and the Refugee Review Tribunal (the RRT) are statutory bodies providing a final, independent merits review of visa and visarelated decisions made by the Minister or delegates of the Minister for Immigration and Border Protection. The MRT and the RRT (the tribunals) are established and operate under the Migration Act 1958 (the Migration Act). The tribunals' jurisdictions, powers and procedures are set out in the Migration Act and the Migration Regulations 1994. The tribunals comprise members (appointed by the Governor-General under the Migration Act for fixed terms) and staff (appointed under the Migration Act and employed under the Public Service Act 1999). The tribunals operate as a single agency for the purposes of the Financial Management and Accountability Act 1997. 1.1 STRATEGIC DIRECTION STATEMENT The key strategic priorities for the tribunals are to deliver independent and timely reviews and lawful decisions. Each review has to be conducted in a way that ensures, as far as practicable, that an applicant understands the issues and has a fair opportunity to respond to any matters which might lead to an adverse outcome. The tribunals have published a Strategic Plan which sets out the tribunals’ strategic direction through to 2016. The plan outlines our commitment to providing independent, expert review of migration and refugee decisions that is efficient and accessible, and the strategies and actions which will support this. The number of reviews conducted during a year depends on the types of applications that are made, the availability of members, staff resources and impacts that case law and legislative changes may have on the conduct of reviews. The estimates are based on the tribunals conducting 18,000 reviews in 2014-15 with any adjustments based on actual demand to be proposed at additional estimates. . 69 MRT-RRT Budget Statements 1.2 AGENCY RESOURCE STATEMENT Table 1.1 shows the total resources from all sources. The table summarises how resources will be applied by outcome and by administered and departmental classification. Table 1.1: MRT-RRT Resource Statement — Budget Estimates for 2014-15 as at Budget May 2014 Estimate of prior year amounts available in 2014-15 $'000 Ordinary annual services 1 Departm ental appropriation Prior year departmental appropriation2 Departmental appropriation3 27,600 -- Total ordinary annual services 27,600- + Proposed at Budget Total estimate Actual available appropriation 2014-15 $'000 2014-15 $'000 2013-14 $'000 60,66060,660- 27,600 60,660 88,260- 84,06884,068- = - Other services Departm ental non-operating Equity injections Total -- Total other services -- -- 41 41- ----Total net resourcing for MRT-RRT 27,600 60,660 88,260 84,109 1. Appropriation Bill (No. 1) 2014-15. 2. Estimated adjusted balance carried from previous year for annual appropriations. 3. Includes an amount of $1.3 million in 2013-14 for the Departmental Capital Budget (refer to table 3.2.5 for further details). For accounting purposes this amount has been designated as 'contributions by owners'. Reader note: All figures are GST exclusive. 70 MRT-RRT Budget Statements 1.3 BUDGET MEASURES Table 1.2 summarises new government measures taken since the 2013-14 Mid-Year Economic and Fiscal Outlook (MYEFO). Table 1.2: MRT-RRT 2014-15 Budget measures Part 1: Measures announced since the 2013-14 MYEFO Programme 2013-14 2014-15 2015-16 2016-17 2017-18 $'000 $'000 $'000 $'000 $'000 - (152) (305) (458) (455) - (152) (305) (458) (455) (458) (455) Expense m easures Increased Efficiency Dividend Departmental expenses Total Total expense m easures (152) (305) Prepared on a Government Finance Statistics (fiscal) basis. 71 MRT-RRT Budget Statements Section 2: Outcomes and Planned Performance 2.1 OUTCOMES AND PERFORMANCE INFORMATION Outcome 1: To provide correct and preferable decisions for visa applicants and sponsors through independent, fair, just, economical, informal and quick merits reviews of migration and refugee decisions. Outcome 1 Strategy The tribunals operate in a high-volume decision-making environment where the case law and legislation are complex and technical. In this context, fair and lawful reviews are dependent on a number of factors, including adequate numbers of skilled member and staff resources, and the success of strategies to respond to a substantial growth in caseloads. Programme Objective The MRT and the RRT are established and operate under the Migration Act. Sections 353 and 420 respectively state: The tribunals shall, in carrying out its functions under this Act, pursue the objective of providing a mechanism of review that is fair, just, economical, informal and quick. Program Expenses The tribunals’ expenses are directly related to the conduct of reviews. The tribunals’ caseload is determined by the level and outcome of visa and related decisions made within DIBP. Changes in visa criteria, the demand for visas and to the tribunals’ jurisdictions may affect the number of persons who may apply to the tribunals for a review of a decision. 72 MRT-RRT Budget Statements Programme 1.1 Deliverables Merits review is an administrative reconsideration of a case. The principal objective of merits review is to ensure that the correct or preferable decision is reached in each case on the facts before the review body. The decisions of the review body should also improve the general quality and consistency of decision-making, and enhance openness and accountability. The program deliverables are essentially the decisions that the tribunals make on individual applications for review. The tribunals may set aside or vary decisions under review, substitute another decision, or remit cases to DIBP for consideration with directions. The tribunals are required to provide written statements of decision, which must set out the reasons for the decision, set out the findings on any material questions of fact, and refer to the evidence or any other material on which findings of fact were based. The tribunals are required by law to conduct hearings at which applicants can give oral evidence and present arguments, and where other persons can give oral evidence. The tribunals are required by law to invite an applicant to comment on or respond to information or issues that may lead to a decision under review being affirmed. The tribunals publish decisions of particular interest. Programme 1.1 Deliverables Cases Decided 2013-14 Estimated actual $'000 2014-15 Budget 18,000 18,000 $'000 73 2015-16 Forw ard estimate $'000 2016-17 Forw ard estimate $'000 2017-18 Forw ard estimate $'000 18,000 18,000 18,000 MRT-RRT Budget Statements Programme 1.1 Key Performance Indicators Tribunal decisions set aside by judicial review Bridging visa (detention cases) decided w ithin 7 w orking days RRT cases decided w ithin 90 calendar days MRT visa cancellation cases decided w ithin 150 calendar days All over MRT cases decided w ithin 350 days Complaints received per 1,000 cases Decisions published 2013-14 Estimated actual $'000 <5% 2014-15 Budget $'000 <5% 2015-16 Forw ard estimate $'000 <5% 2016-17 Forw ard estimate $'000 <5% 2017-18 Forw ard estimate $'000 <5% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% 70% <5 <5 <5 <5 <5 4,500 3,000 3,000 3,000 3,000 Note: The key performance indicator for the for the publications of decisions has been revised from 4,500 to 3,000 for 2014-15 and subsequent years. The tribunals are required under the Migration Act to publish decisions of particular interest. 74 MRT-RRT Budget Statements Outcome 1 Expense Statement Table 2.1 provides an overview of the total expenses for Outcome 1. Table 2.1 Budgeted Expenses for Outcome 1 Program m e 1.1: Final independent m erits review of decisions concerning refugee status and the refusal or cancellation of m igration and refugee visas. Administered expenses Write-dow n of assets - bad debts Refund of application fees Departmental expenses Departmental appropriation 1 Total for Program m e 1.1 2013-14 Estimated actual expenses $'000 2014-15 Estimated expenses 2,600 5,700 2,600 5,700 84,068 60,660 92,368 68,960 $'000 2013-14 2014-15 Average Staffing Level (num ber) 420 420 1. Departmental Appropriation consists of ‘Ordinary annual services (Appropriation Bill No. 1) 75 MRT-RRT Budget Statements Section 3: Explanatory Tables and Budgeted Financial Statements Section 3 presents explanatory tables and budgeted financial statements which provide a comprehensive snapshot of agency finances for the 2014-15 budget year. It explains how budget plans are incorporated into the financial statements and provides further details of the reconciliation between appropriations and programme expenses, movements in administered funds, special accounts and government indigenous expenditure. 3.1 EXPLANATORY TABLES 3.1.1 Movement of Administered Funds Between Years There was no movement of administered funds between years. 3.1.2 Special Accounts The tribunals have no special accounts. 3.1.3 Australian Government Indigenous Expenditure The tribunals has no indigenous expenditure. 3.2 BUDGETED FINANCIAL STATEMENTS 3.2.1 Analysis of Budgeted Financial Statements There are no significant movements in the tribunals financial statements between budget periods. 76 MRT-RRT Budget Statements 3.2 BUDGETED FINANCIAL STATEMENTS TABLES Table 3.2.1 Comprehensive Income Statement (Showing Net Cost of Services) (for the period ended 30 June) 2013-14 Estimated actual $'000 2014-15 Budget EXPENSES Employee benefits Supplier expenses Depreciation and amortisation Finance costs Total expenses 72,718 8,956 1,231 80 82,985- LESS: OWN-SOURCE INCOME Gains Other Total gains Total ow n-source incom e 60 60 60 Net cost of (contribution by) services 2015-16 Forw ard estimate $'000 2016-17 Forw ard estimate $'000 2017-18 Forw ard estimate $'000 50,753 8,683 1,231 60,667- 50,640 8,785 1,231 60,656- 50,512 8,875 1,850 61,237- 49,854 9,193 1,850 60,897- 56 56 56 60 60 60 60 60 60 42 42 42 $'000 Revenue from Government 82,92581,694- 60,61159,380-* 60,59659,365-* 61,17759,327-* 60,85559,005-* Surplus (Deficit) attributable to the Australian Governm ent (1,231) (1,231) (1,231) (1,850) (1,850) 2015-16 $'000 2016-17 $'000 2017-18 $'000 (1,231) - (1,850) - (1,850) - 1,231- 1,850- 1,850- - - Note: Im pact of Net Cash Apppropriation Arrangem ents 2013-14 2014-15 $'000 $'000 Total Com prehensive Incom e (loss) excluding depreciation/ am ortisation expenses previously funded through revenue appropriations. (1,231) (1,231) less depreciation/amortisation expenses previously funded through revenue appropriations 1,231- 1,231- Total Com prehensive Incom e (loss) - as per the Statem ent of Com prehensive Incom e Prepared on Australian Accounting Standards basis. 77 MRT-RRT Budget Statements Table 3.2.2: Budgeted Departmental Balance Sheet (as at 30 June) 2013-14 Estimated actual $'000 2014-15 Budget $'000 2015-16 Forw ard estimate $'000 2016-17 Forw ard estimate $'000 2017-18 Forw ard estimate $'000 ASSETS Financial assets Cash and cash equivalents Trade and other receivables Total financial assets 229 39,188 39,417 252 39,088 39,340 (1,373) 39,088 37,715 (1,373) 39,088 37,715 (1,373) 39,088 37,715 Non-financial assets Land and buildings Property, plant and equipment Intangibles Other Total non-financial assets 5,213 2,424 2,490 53 10,180 5,142 2,950 2,085 53 10,230 5,442 3,125 1,878 53 10,498 5,592 3,563 1,178 53 10,386 5,342 3,077 2,229 53 10,701 Total assets 49,597 49,570 48,213 48,101 48,416 6,088 6,088 6,088 6,088 6,088 6,088 6,088 6,088 6,088 6,088 101 25 25 25 25 101 25 25 25 25 Provisions Employee provisions Other provisions Total provisions 11,335 1,678 13,013 11,335 1,678 13,013 11,335 1,678 13,013 11,335 1,678 13,013 11,335 1,678 13,013 Total liabilities 19,202 19,126 19,126 19,126 19,126 Net assets 30,395 30,444 29,087 28,975 29,290 25,183 384 26,463 384 26,337 384 28,075 384 30,240 384 516 28,975 (1,334) 29,290 LIABILITIES Payables Suppliers Total payables Interest bearing liabilities Leases Total interest bearing liabilities EQUITY Parent entity interest Contributed equity Reserves Retained surplus (accumulated deficit) Total equity 4,828 3,597 2,366 30,395 30,444 29,087 Prepared on Australian Accounting Standards basis. 78 MRT-RRT Budget Statements Table 3.2.3: Departmental Statement of Changes in Equity — Summary of Movement (Budget year 2014-15) Retained earnings Opening balance as at 1 July 2014 Surplus (deficit) for the period Total comprehensive income recognised directly in equity $'000 4,828 (1,231) 3,597 Asset revaluation reserve $'000 384 384 Contributed equity/ capital $'000 25,183 - Total equity $'000 30,395 (1,231) 25,183 29,164 1,280 26,463 1,280 30,444 Estim ated closing balance as at 30 June 2015 3,597 384 26,463 Prepared on Australian Accounting Standards basis. 30,444 Transactions w ith ow ners Contributions by owners Appropriation (departmental capital budget) Sub-total transactions with owners 3,597 79 384 MRT-RRT Budget Statements Table 3.2.4: Budgeted Departmental Statement of Cash Flows (for the period ended 30 June) 2013-14 Estimated actual $'000 2014-15 Budget OPERATING ACTIVITIES Cash received Appropriations Total cash received Cash used Employees Suppliers Borrow ing costs Total cash used Net cash from (used by) operating activities INVESTING ACTIVITIES Cash used Purchase of property, plant and equipment Total cash used $'000 2015-16 Forw ard estimate $'000 2016-17 Forw ard estimate $'000 2017-18 Forw ard estimate $'000 81,726 81,726 59,480 59,480 59,365 59,365 59,327 59,327 59,005 59,005 72,718 8,896 50,753 8,617 50,640 8,725 50,512 8,815 49,854 9,151 - - - - 81,694 59,370 59,365 59,327 59,005 32 90 - - - 1,974 1,974 1,271 1,271 1,509 1,509 1,738 1,738 2,165 2,165 (1,974) (1,271) (1,509) (1,738) (2,165) 2,056 2,056 1,280 1,280 (116) (116) 1,738 1,738 2,165 2,165 162 162 76 76 1,894 1,204 80 Net cash from (used by) investing activities FINANCING ACTIVITIES Cash received Contributed equity Total cash received Cash used Repayments of borrow ings Total cash used Net cash from (used by) financing activities (116) Net increase (decrease) in cash held (48) 23 (1,625) Cash and cash equivalents at the beginning of the reporting period 277 229 252 Cash and cash equivalents at the end of the reporting period 229 252 (1,373) Prepared on Australian Accounting Standards basis. 80 1,738 2,165 - - (1,373) (1,373) (1,373) (1,373) MRT-RRT Budget Statements Table 3.2.5: Departmental Capital Budget Statement 2013-14 Estimated actual $'000 CAPITAL APPROPRIATIONS Capital budget - Bill 1 (DCB) Total capital appropriations 2014-15 Budget $'000 2015-16 Forw ard estimate $'000 2016-17 Forw ard estimate $'000 2017-18 Forw ard estimate $'000 2,367 2,367- 1,280 1,280- 1,844 1,844- 2,238 2,238- 2,269 2,269- 2,367 2,367- 1,280 1,280- 1,844 1,844- 2,238 2,238- 2,269 2,269- 2,367 1,280 1,844 2,238 2,269 2,3670 1,280- 1,8440 2,2380 2,2690 2,367 1,280 1,844 2,238 2,269 2,367 1,280 1,844 Prepared on Australian Accounting Standards basis. 2,238 2,269 Total new capital appropriations Represented by: Purchase of non-financial assets Total Item s PURCHASE OF NON-FINANCIAL ASSETS Funded by capital appropriation - DCB TOTAL RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLE Total purchases Total cash used to acquire assets 81 MRT-RRT Budget Statements Table 3.2.6: Statement of Asset Movements (2014-15) Asset Category (as appropriate) Buildings Other property, Computer plant and software and equipment intangibles $'000 $'000 $'000 As at 1 July 2014 Gross book value Accumulated depreciation/amortisation and impairment Opening net book balance Total $'000 7,836 3,256 8,049 19,141 (2,623) 5,213 (832) 2,424 (5,559) 2,490 (9,014) 10,127 CAPITAL ASSET ADDITIONS Estimated expenditure on new or replacement assets By purchase - appropriation ordinary annual services Total additions 30 30 955 955 295 295 1,280 1,280 Other movements Assets held for sale or in a disposal group held for sale Depreciation/amortisation expense Total other movements 102 102 429 429 700 700 1,231 1,231 7,867 4,211 8,344 20,422 (2,725) 5,142 (1,261) 2,950 (6,259) 2,085 (10,245) 10,177 As at 30 June 2015 Gross book value Accumulated depreciation/amortisation and impairment Closing net book balance Prepared on Australian Accounting Standards basis. 82 MRT-RRT Budget Statements Schedule of Administered Activity Table 3.2.7: Schedule of Budgeted Income and Expenses Administered on Behalf of Government (for the period ended 30 June) 2013-14 Estimated actual $'000 2014-15 Budget $'000 2015-16 Forw ard estimate $'000 2016-17 Forw ard estimate $'000 2017-18 Forw ard estimate $'000 Non-taxation revenue Fees Total non-taxation revenue 28,431 28,431 26,431 26,431 26,431 26,431 26,400 26,400 26,400 26,400 Total incom e adm inistered on behalf of Governm ent 28,431 26,431 26,431 26,400 26,400 2,600 5,700 2,600 5,700 8,300 8,300 INCOME ADMINISTERED ON BEHALF OF GOVERNMENT Revenue EXPENSES ADMINISTERED ON BEHALF OF GOVERNMENT Bad Debts - RRT Post Decision Fees 2,600 2,600 2,600 Refunds - MRT Application Fees 5,700 5,700 5,700 Total expenses adm inistered on behalf of Governm ent 8,300 8,300 8,300 Prepared on Australian Accounting Standards basis. Table 3.2.8: Schedule of Budgeted Assets and Liabilities Administered on Behalf of Government (as at 30 June) 2013-14 Estimated actual $'000 2014-15 Budget $'000 2015-16 Forw ard estimate $'000 2016-17 Forw ard estimate $'000 2017-18 Forw ard estimate $'000 ASSETS ADMINISTERED ON BEHALF OF GOVERNMENT Financial assets Cash and cash equivalents Receivables Total financial assets 123 2,058 2,181 123 2,058 2,181 123 2,058 2,181 123 2,058 2,181 123 2,058 2,181 Total assets adm inistered on behalf of Governm ent 2,181 2,181 2,181 2,181 2,181 LIABILITIES ADMINISTERED ON BEHALF OF GOVERNMENT Total liabilities adm inistered on behalf of Governm ent Prepared on Australian Accounting Standards basis. 83 - - MRT-RRT Budget Statements Table 3.2.9: Schedule of Budgeted Administered Cash Flows (for the period ended 30 June) OPERATING ACTIVITIES Cash received Rendering of services Total cash received Cash used Refunds Total cash used Net cash from (used by) operating activities 2013-14 Estimated actual $'000 2014-15 Budget $'000 2015-16 Forw ard estimate $'000 2016-17 Forw ard estimate $'000 2017-18 Forw ard estimate $'000 25,831 25,831 23,831 23,831 23,831 23,831 23,800 23,800 23,800 23,800 5,700 5,700 5,700 5,700 5,700 5,700 5,700 5,700 5,700 5,700 20,131 18,131 18,131 18,100 18,100 18,100 18,100 123 123 123 123 18,100 18,100 18,100 18,100 Net increase (decrease) in cash held 20,131 18,131 18,131 Cash and cash equivalents at beginning of reporting period 123 123 123 Total 123 123 123 Cash to Official Public Account for: - Appropriations 20,131 18,131 18,131 Total 20,131 18,131 18,131 Cash and cash equivalents at end of reporting period 123 123 123 Prepared on Australian Accounting Standards basis. 123 Table 3.2.10: Schedule of Administered Capital Budget Statement The tribunals do not have an administered capital budget. Table 3.2.11: Statement of Administered Asset Movements (2014-15) The tribunals do not have an administered capital budget. 84 123 AUSTRALIAN CUSTOMS AND BORDER PROTECTION SERVICE Agency resources and planned performance AUSTRALIAN CUSTOMS AND BORDER PROTECTION SERVICE Section 1: Agency Overview and Resources ........................................................... 89 1.1 Strategic Direction Statement ......................................................................... 89 1.2 Agency Resource Statement .......................................................................... 89 1.3 Budget Measures ............................................................................................ 93 Section 2: Outcomes and Planned Performance ..................................................... 95 2.1 Outcomes and Performance Information ........................................................ 95 Section 3: Explanatory Tables and Budgeted Financial Statements ................... 117 3.1 Explanatory Tables ....................................................................................... 117 3.2 Budgeted Financial Statements .................................................................... 120 ACBPS Budget Statements AUSTRALIAN CUSTOMS AND BORDER PROTECTION SERVICE Section 1: Agency Overview and Resources 1.1 STRATEGIC DIRECTION STATEMENT How borders are managed can foster or impede lawful trade and travel. Border control points, systems and processes sit astride supply chains and travel pathways for both licit and illicit trade and travel. The very design of these points, systems and processes can add to economic competitiveness and productivity, by fostering rapid movement and border entry or exit. Alternatively, they can detract from competitiveness and productivity by impeding entry and exit for legitimate traders and travellers thereby diminishing the efficiency of our national infrastructure. Managed poorly they can increase national security risk and lessen community safety. The Australian border is a national asset, possessing both economic and strategic value. The border is a complex continuum, stretching onshore and offshore. The Australian Customs and Border Protection Service (ACBPS or the Service) is responsible for protecting the safety, security and commercial interests of Australians by delivering effective border protection. The increasing integration of the Australian economy into the global economy continues to place pressure on facilitation and intervention at the border. The illicit economy is driven towards globalisation by the same factors as the legitimate economy. Organised crime groups are growing and diversifying their interests as access to illicit markets expands and opportunities to disguise illicit movements increase. The increasing volume and complexity of international trade and travel can mask attempts to circumvent the rules of legitimate trade and travel and avoid revenue obligations. The Service’s core functions are to target and prevent criminality whilst fostering legitimate travel and trade and collecting border revenue and trade statistics. The Service’s capabilities have been challenged by the pace of these changes in the global environment. The Government has decided that from 1 July 2015 the Australian Border Force will come into existence as a single operational frontline border protection agency undertaking a range of operations and tasks including daily border control operations; investigations, compliance and enforcement activities; and immigration detention and removal tasks. This will create a single investigations, compliance and enforcement capability that will deal with immigration and customs infringements. The Australian Border Force will be positioned within the Department of Immigration and Border Protection performing the corporate, regulatory and policy functions. 89 ACBPS Budget Statements In 2014-15 ACBPS will begin work to deliver reforms towards a more flexible and mobile resource deployment model. ACBPS will create the vocational streams of the future Australian Border Force, upgrade critical intelligence and analytical capabilities and improve enforcement capabilities. This will ensure that interventions at the border are intelligence-led and the future Australian Border Force can become a disciplined, uniformed and when required, armed front-line service. In 2014-15 the Service will meet the current and emerging challenges at the border through: - establishing a Strategic Border Command to institute formal command and control of the border and improve the supporting capability to ensure systematic, informed and deliberate deployment of effort against risk - establishing the National Border Targeting Centre to enable the participating agencies to use shared systems and information to provide a nationally coordinated approach to managing the risk posed by travellers and goods and inform better operational responses - enhancing intelligence systems and analytical capability required to support better intelligence threat and risk assessments and the needs of the NBTC and partners - designing a stable, scalable traveller processing platform capable of supporting next generation gates - designing a Trusted Trader programme to foster legitimate trade - enhancing technology systems including improvements to computing power to process massive data holdings - increasing remote area patrols and procuring three vessels - establishing a College to deliver the professional, technical and operational training Border Force officers will need to work effectively within the future border environment. To implement these initiatives will require finalisation of workforce planning which commenced in 2013-14. This will see a slight drop of approximately 80 ASL over 2014-15 which reflects 2013-14 Machinery of Government changes resulting in the transfer of the Anti-Dumping Commission to the Department of Industry as well as aligning officers’ skills to deliver the future Australian Border Force. In addition, the ACBPS has been provided funding of $3.7 million in 2014-15 only for the Combating people smuggling –international engagement measure. This measure provides for the continuation of effort in engagement and capacity building activity in the short to medium term to sustain the drop in Illegal Maritime Arrivals. The funding will also provide for locally engaged staff to assist with the ongoing engagement effort which remains crucial to permanently breaking people smuggling business models. From 2014-15 the government will provide $480.5 million over four years ($711.9 million over six years, including $438.7 million in capital funding). The cost of this measure will be met from within the existing resources of both the Service and the Department of Immigration and Border Protection and improved revenue collection of $208.2 million over four years ($346.6 million over six years) through the use of analytics and detailed data modelling, new processes for revenue collection and a targeted campaign to improve compliance. 90 ACBPS Budget Statements 1.2 AGENCY RESOURCE STATEMENT Table 1.1 shows the total resources from all sources. The table summarises how resources will be applied by outcome and by administered and departmental classification. Table 1.1: ACBPS Resource Statement — Budget Estimates for 2014-15 as at Budget May 2014 Estimate of prior year amounts available in 2014-15 $'000 Ordinary annual services 1 Departm ental appropriation Prior year departmental appropriation2 Departmental appropriation3 s31 Relevant agency receipts 4 Total Adm inistered expenses Outcome 15 Total Total ordinary annual services A Other services Departm ental non-operating Equity injections Total Total other services B Total available annual appropriations Special appropriations Special appropriations lim ited by criteria/entitlem ent Customs duty and other repayments Total special appropriations C Total appropriations excluding Special Accounts + Proposed at Budget 2014-15 $'000 = Total estimate Actual available appropriation 2014-15 $'000 2013-14 $'000 191,078 191,078 1,008,946 70,208 1,079,154 191,078 1,008,946 70,208 1,270,232 173,500 1,052,989 72,666 1,299,155 191,078 934 934 1,080,088 934 934 1,271,166 928 928 1,300,083 - 136,905 136,905 136,905 136,905 136,905 136,905 68,534 68,534 68,534 191,078 1,216,993 1,408,071 1,368,617 - 360,000 360,000 360,000 360,000 360,000 360,000 191,078 1,576,993 1,768,071 1,728,617 91 ACBPS Budget Statements Table 1.1: ACBPS Resource Statement — Budget Estimates for 2014-15 as at Budget May 2014 (continued) Estimate of prior year amounts available in 2014-15 $'000 Special Accounts Opening balance6 Appropriation receipts Total Special Account D -- + Proposed at Budget 2014-15 $'000 -- = Total estimate Actual available appropriation 2014-15 $'000 2013-14 $'000 -- -- Total resourcing A+B+C+D 191,078 1,576,993 1,768,071 1,728,617 Less appropriations draw n from annual or special appropriations above and credited to special accounts and/or CAC Act bodies through annual appropriations Total net resourcing for agency 191,078 1,576,993 1,768,071 1,728,617 1. Appropriation Bill (No.1) 2014-15. 2. Estimated adjusted balance carried forward from previous year. 3. Includes an amount of $32.6 million in 2014-15 for the Departmental Capital Budget (refer to table 3.2.5 for further details). For accounting purposes this amount has been designated as 'contributions by owners'. 4. s31 Relevant Agency receipts — estimate. 5. Appropriation Bill (No.2) 2014-15. 6. At 30 June 2013 the balance in Special Accounts was transferred to Administered Revenue. There have been no transactions in the Special Accounts in 2013-14. It is anticipated that Special Accounts will be revoked as at 30 June 2014. For further details on special accounts see Table 3.1.2. All figures are GST exclusive. 92 ACBPS Budget Statements 1.3 BUDGET MEASURES Budget measures in Part 1 relating to the ACBPS are detailed in Budget Paper No. 2 and are summarised below. Table 1.2: ACBPS 2014-15 Budget measures Part 1: Measures announced since the 2013-14 MYEFO Programme Revenue m easures Taxation treatment of Biodiesel modification Administered revenue Smaller Government - strengthen and enhance Australia's border protection services Administered revenues Reintroduction of fuel excise indexation Administered Revenue Korea-Australia Free Trade Agreement Administered revenues Product Stew ardship for Oil Scheme - modification to the levy Administered revenues Total revenue m easures Administered Total 2013-14 $'000 2014-15 $'000 2015-16 $'000 2016-17 $'000 2017-18 $'000 (300) (300) (300) Admin - - - 17,000 52,800 69,200 69,200 - 10,000 20,000 30,000 50,000 Admin Admin Admin - (100,000) (165,000) (180,000) (190,000) Admin - 8,000 7,000 8,000 9,000 - (65,000) (65,000) (85,500) (85,500) (73,100) (73,100) (62,100) (62,100) 93 ACBPS Budget Statements Part 1: Measures announced since the 2013-14 MYEFO (continued) Programme Expense m easures Combating people smuggling international engagement Departmental expenses Donation of Bay Class vessels Malaysia Departmental expenses Southern ocean flights - monitoring of w haling and protest fleets Departmental expenses Efficiency dividend - a further temporary increase of 0.25 per cent Administered expenses Departmental expenses Operation Sovereign Borders Special Envoy Departmental expenses Smaller Government - strengthen and enhance Australia's border protection services Departmental expenses 2014-15 2015-16 2016-17 2017-18 $'000 $'000 $'000 $'000 $'000 1.2 - 3,660 - - - - - - - - - - - - - 1.1 1.1 All - (2) (1,712) (5) (3,141) (7) (4,723) (7) (4,567) 1.1 486 515 - - - - 30,185 33,735 9,107 15,482 486 486 (2) 32,648 32,646 (5) 30,594 30,589 (7) 4,384 4,377 (7) 10,915 10,908 - (161) (324) (494) (449) - (2,672) 43,018 43,480 36,463 - (2,833) (2,833) 42,694 42,694 42,986 42,986 36,014 36,014 - - All Total expense m easures Administered Departmental Total Capital m easures Efficiency dividend - a further temporary increase of 0.25 per cent Departmental Capital Smaller Government - strengthen and enhance Australia's border protection services Departmental Capital 2013-14 All All Total capital m easures Departmental Total Decisions taken but not yet announced Prepared on a Government Financial Statistics (fiscal) basis 94 ACBPS Budget Statements Section 2: Outcomes and Planned Performance 2.1 OUTCOMES AND PERFORMANCE INFORMATION Government outcomes are the intended results, impacts or consequences of actions by the government on the Australian community. Commonwealth programmes are the primary vehicle by which government agencies achieve the intended results of their outcome statements. Agencies are required to identify the programmes that contribute to government outcomes over the budget and forward years. The Service’s outcome is described below together with its related programmes, specifying the performance indicators and targets used to assess and monitor the performance of the ACBPS in achieving government outcomes. Outcome 1: The protection of the safety, security and commercial interests of Australians through border protection designed to support legitimate trade and travel and ensure collection of border revenue and trade statistics Outcome 1 Strategy The Service’s key strategies towards achieving Outcome 1 are: Programme 1.1 Border Enforcement manage border risks through intelligence-led interventions that enable targeted inspection and examination of people and goods at the border, whilst streamlining border processes for legitimate trade and travel support collaborative cross-agency civil maritime security activities including intelligence analysis, coordinated surveillance and on-water response, and working ahead of the border with international partners to provide controls for maritime security threats continue to develop highly sophisticated and effective intelligence and targeting capabilities partner with law enforcement agencies to address risks and vulnerabilities at the border through joint operations and sharing of intelligence. Programme 1.2 Border Management develop and coordinate border management policies, in conjunction with partner agencies, to deliver Australia’s customs, trade and industry policy facilitate legitimate trade and travel by co-designing the ACBPS’s services in a way that streamlines the trade and travel experience, identifying and enhancing new business systems to maximise service delivery support an open economy by ensuring compliance with the rules of trade so that competition occurs on a level playing field and the benefits of competition flow through to the Australian economy. 95 ACBPS Budget Statements Programme 1.3 Border-Revenue Collection maintain border-related revenue collection capabilities improve the Service’s understanding of economic risk assess, report, collect and pay border-related revenue, including the application of refunds, concessions and exceptions undertake an effective risk-based compliance programme, utilising pre- and post-clearance monitoring and intervention activities to promote observance of Australian border laws as they relate to revenue reporting and payment obligations effectively administer the Tourist Refund Scheme. Cross-Programme strategies: foster collaboration with domestic and international partners to enable the Service to operate across the entire border continuum be proactive and responsive to the challenges of the border environment through the Reform Programme, transitioning to a new business model, modernising business processes and systems, augmenting workforce capability and strengthening the Service’s integrity culture and layered anti-corruption measures operate efficiently and effectively to achieve a sustainable four-year budget across a number of diverse operational requirements by continuing to develop priority settings to align with resource allocation maintain investment in key capital infrastructure that supports the Service’s intelligence-led approaches as well as capability to support the Service’s operations across a diverse range of activities protecting Australia’s border. 96 ACBPS Budget Statements Outcome 1 Expense Statement Table 2.1 provides an overview of the total expenses for outcome 1, by programme. Table 2.1: Budgeted Expenses for Outcome 1 Program m e 1.1: Border Enforcem ent Departmental expenses Departmental appropriation 1 Expenses not requiring appropriation in the Budget year 2 Total for Program m e 1.1 Program m e 1.2: Border Managem ent Departmental expenses Departmental appropriation 1 Expenses not requiring appropriation in the Budget year 2 Total for Program m e 1.2 Program m e 1.3: Border Revenue Departmental expenses Departmental appropriation 1 Expenses not requiring appropriation in the Budget year 2 Total for Program m e 1.3 Program : Other Adm inistered Departmental expenses Ordinary annual services (Appropriation Act No. 1 and Bill No. 3) Expenses not requiring appropriation in the Budget year 2 Total for Program m e 1.1 2013-14 Estimated actual expenses $'000 2014-15 Estimated expenses 888,823 70,394 878,909 79,034 959,217 957,943 122,504 18,150 106,562 19,993 140,654 126,555 63,887 8,648 69,572 9,503 72,535 79,075 928 2,500 934 2,500 3,428 3,434 $'000 Outcom e 1 Totals by appropriation type Administered Expenses Ordinary annual services (Appropriation Act No. 1 and Bill No. 3) Expenses not requiring appropriation in the Budget year 2 Departmental expenses Departmental appropriation 1 Expenses not requiring appropriation in the Budget year 2 928 2,500 934 2,500 1,075,214 97,192 1,055,043 108,530 Total expenses for Outcom e 1 1,175,834 1,167,007 2013-14 2014-15 Average Staffing Level (num ber) 3 5,000 4,920 1. Departmental Appropriation combines ‘Ordinary annual services (Appropriation Bill No. 1)’ and ‘Revenue from independent sources (s31)’. 2. Expenses not requiring appropriation in the budget year is made up of Depreciation Expense, Amortisation Expense, Makegood Expense and Audit Fees. 3. The finalisation of workforce planning which commenced in 2013-14 will see a slight drop of approximately 80 ASL over 2014-15 which reflects 2013-14 Machinery of Government changes resulting in the transfer of the Anti-Dumping Commission to the Department of Industry as well as aligning officers’ skills to deliver the future Australian Border Force. Note: Departmental appropriation splits and totals are indicative estimates and may change in the course of the budget year as government priorities change. 97 ACBPS Budget Statements Contributions to Outcome 1 Programme 1.1: Border Enforcement Programme Objective Protection of Australia’s border through: undertaking border activities that streamline processes for legitimate trade and travel and prevent the illegal movement of people and goods across the border generating awareness of activity in Australia’s maritime domain and coordinating whole-of-government efforts to mitigate, or eliminate, the risks posed by civil maritime security threats (including illegal activity in protected areas; illegal exploitation of natural resources; marine pollution; prohibited imports and exports; illegal maritime arrivals; compromise to biosecurity; piracy, robbery or violence at sea; and maritime terrorism). This includes support to the whole-of-government effort to respond to people smuggling supporting whole-of-government delivery of integrated regulatory, transactional and physical security measures that safeguard people, goods, vessels and aircraft against border-related threats supporting cross-jurisdictional efforts at both domestic and international levels to prevent, detect and disrupt the activities of organised crime syndicates. Supports the following functions of partner agencies: Attorney-General’s Department — policy development and advice on law enforcement matters/provision of information of national security value, firearms and weapons, counter-terrorism, IP infringement under the Copyright Act, prohibited and restricted goods, illegal drug interdiction, money laundering and regional operations Australian Competition and Consumer Commission — prohibited and restricted goods (e.g. cosmetic products) Australian Crime Commission — detection of harmful or illegal goods, intelligence relating to prohibited goods and associated investigations Australian Federal Police — Crimes Act — illicit drugs, counterfeit credit cards, detection of harmful or illegal goods, unlawful movement of currency and associated investigations Australian Fisheries Management Authority — responsible for the administration of legislation with respect to illegal foreign fishers Australian Maritime Safety Authority — aviation security operations/port security, vessel operations and national search and rescue services provided by the Rescue Coordination Centre Australian Transaction Reports and Analysis Centre (AUSTRAC) — declarations for carrying greater than $10,000 in currency, BNI (Bearer Negotiable Instruments) Department of Agriculture — detection of prohibited and restricted goods (e.g. quarantine and bio-diversity), industry assistance schemes and illegal foreign fishing operations 98 ACBPS Budget Statements Department of Communications — imports /exports through the international postal stream Department of Defence — counter-proliferation, prohibited and restricted goods (e.g. strategic weapons), concessions Department of Employment — prohibited and restricted goods (e.g. asbestos) Department of Environment — prohibited and restricted goods (e.g. Convention on International Trade in Endangered Species of Wild Fauna and Flora) Department of Foreign Affairs and Trade — security of Australian passport data, preferential and non-preferential trade schemes and agreements, prohibited and restricted goods (e.g. counter-proliferation goods) Department of Health — referral of travellers who meet certain criteria, prohibited and restricted goods (e.g. Pharmaceutical Benefits Scheme (PBS) medicines), concessions, pandemic response and regional operations Department of Immigration and Border Protection — immigration functions, illegal maritime arrivals operations and illegal foreign fishers Department of Industry — prohibited and restricted goods (e.g. diamonds) Department of Infrastructure and Regional Development — aviation security operations, maritime security operations including offshore oil and gas security, imported vehicles, port security and vessel and regional operations Department of the Prime Minister and Cabinet (Office of National Assessments) — counter-terrorism Therapeutic Goods Administration — therapeutic drugs and substances (PBS). 99 ACBPS Budget Statements Programme Expenses programme 1.1 is budgeted to incur total expenses of $957.9 million in 2014-15, an overall decrease of $1.3 million when compared to total expenses provided in 2013-14. The decrease is a function of a reduction in annual departmental expenses of $9.9 million offset by an increase in expenses not requiring appropriation in the budget year of $8.6 million. the reduction in funding for the departmental expenses between 2013-14 and 2014-15 and the forward estimates is the result of previous decisions of government and the net impact of new government decisions, including new funding agreed for the 2014-15 budget year for the Smaller Government strengthen and enhance Australia’s border protection services measure ($20.1 million) offset by the reduction in funding of $1.4 million due to the Efficiency dividend – a further temporary increase of 0.25 per cent measure. The reduction between 2014-15 and 2015-16 is primarily due to the cessation of funding for the ACV Ocean Protector in June 2015 ($53.2 million).The 2014-15 budget year and forward estimates are also impacted by other minor movements in the estimates arising from parameter adjustments and whole of government savings. the increase in expenses not requiring appropriation for Programme 1.1 from 2014-15 to 2016-17 reflects the increase in depreciation associated with the recognition of a number of maritime assets that become fully operational across these years including the Long Term Ashmore Capability (LTAC) and Cape Class Fleet and other assets funded by the Smaller Government - strengthen and enhance Australia’s border protection services measure. Programme 1.1 expenses Annual departmental expenses: Expenses not requiring appropriation in the Budget year 1 Total program m e expenses 2013-14 2014-15 2015-16 2016-17 2017-18 Estimated Budget Forw ard Forw ard Forw ard actual2 estimate estimate estimate $'000 $'000 $'000 $'000 $'000 888,823 878,909 838,426 839,597 831,344 70,394 959,217 79,034 957,943 87,378 925,804 91,947 931,544 109,606 940,950 1. Expenses not requiring appropriation in the budget year is made up of Depreciation Expense, Amortisation Expense, Makegood Expense, and Audit Fees. 2. $9.2 million attributed in 2013-14 relates to the 2013-14 MYEFO measures, Funding for pre-existing measures affecting the public sector (2013-14 MYEFO pge 147 ). 100 ACBPS Budget Statements Programme 1.1 deliverables Process international air and sea passengers and crew by: undertaking pre-arrival and pre-departure risk assessments based on advance traveller data, information and intelligence to identify potential persons of interest assessing traveller information to provide advice about regulatory requirements performing primary interventions on arrival and departure for identity verification, for legislative entry and exit processing and to activate secondary assessment of persons of interests assessing travellers on arrival, including real-time officer assessment and response activities and deployment of detector dogs performing secondary interventions on arrival and pre-departure for the assessment of persons of interest (questioning, baggage examination and personal search) and undertaking or referring for related follow-on activities. Provide eligible travellers with the option for self-processing and clearance through automated border control at a range of Australian international airports and seaports. Undertake inspection and examination activity in the international mail, air cargo and sea cargo environments, to detect and prevent the import or export of prohibited items and control the movement of restricted items. Process vessels crossing the border by: assessing the risk of all reported vessels including performing whole-ofgovernment arrival and departure vessel processing functions; conducting targeted operational response1 against vessels assessed as high risk; targeting interventions2 with reported vessels to: – identify and deter non-compliance – inform and strengthen intelligence holdings – test intervention and targeting parameters – strengthen capabilities to deal with serious and organised crime. Conduct land-based patrol and surveillance of the waterfront, remote areas and regional ports, including through the deployment of mobile teams. Formally investigate and potentially prosecute breaches of Australian border laws. Evaluate and deploy a range of detection technologies. Coordinate whole-of-government efforts to mitigate, or eliminate, the risks posed by civil maritime security threats by detecting, reporting and responding to potential or actual non-compliance with relevant laws in the Australian maritime jurisdiction, including: the control and coordination of maritime domain awareness conducting aerial and commercial satellite surveillance coordinating surface response vessels appropriate threat and risk assessment processing of apprehended illegal foreign fishers onshore responding to and initial processing of mainland illegal maritime arrivals. 101 ACBPS Budget Statements Targeted operational response means co-ordinated operational activity against an identified target (may include joint agency response). 2 Interventions may include one or more of: response to a request for activity on behalf of another border / intelligence agency physical verification / identification of travellers planned directed overt or covert patrol activity vessel search covert monitoring of crew and vessel movement - intelligence collection - CCTV monitoring. 102 ACBPS Budget Statements Programme 1.1 Deliverables Deliverables Processing of international passengers (air and sea): arrivals departures Processing of international crew (air and sea): arrivals departures Total number of arriving travellers w ho successfully cleared automated border control systems Total number of departing travellers w ho successfully cleared automated border control systems 1 Number of international vessel movements 1 Number of reported vessel arrivals 1 Number of vessels assessed as high risk1 Number of patrols conducted1 Number of referrals for formal investigation received1,13 Volume of cargo subject to inspection and examination2 Sea Cargo: number of TEU inspected number of TEU examined11 Air Cargo: number of consignments inspected 11 number of consignments examined 1 Mail: number of mail items inspected3,11,12 number of mail items examined1,4 Aerial surveillance coverage (square nautical miles): ACBPS contracted aircraft and RAAF assets (square nautical miles) 5 Commercial contracted satellite (square nautical miles) 7 Southern Ocean vessel surveillance (patrol days) 6,7 Northern w aters surveillance ACV Triton (patrol days) 6,8 Ashmore Vessel (station and steaming days) 9 ACBPS Marine Unit (patrol days) 10 2013-14 Estimated actual 2014-15 Budget 2015-16 Forw ard year 1 2016-17 Forw ard year 2 2017-18 Forw ard year 3 16.848m 16.626m 17.973m 17.760m 18.952m 18.728m 19.878m 19.644m 20.849m 20.603m 1.479m 1.473m 1.566m 1.561m 1.644m 1.640m 1.714m 1.710m 1.787m 1.784m 5.20m 5.52m 5.82m 6.12m 6.44m - - - - - - - - - - - - - - - 101,500 14,200 101,500 15,500 101,500 15,500 101,500 15,500 101,500 15,500 1.54m - 2.0m - 2.0m - 2.0m - 2.0m - 41.7m - 50.0m - 50.0m - 50.0m - 50.0m - 144.5m 146.0m 136.0m 136.0m 129.0m 9.6m 9.6m 9.6m 9.6m 9.6m 180 172 80 80 80 308 154 - - - 191 320 320 320 320 2,400 2,400 2,400 2,400 2,400 Note: Targets relating to deliverables across the forward estimates have been developed on the basis of the operational risks and environment that existed when the 2014-15 Portfolio Budget Statements were developed. Due to the dynamic nature of the operational environment, future targets may need to be varied depending on the risks faced at that time. TEU = twenty-foot equivalent unit. 1. Performance cannot be forecast reliably. Actual results will be reported in the Annual Report. 103 ACBPS Budget Statements 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. All cargo is risk assessed. Inspection may include the use of technologies (including x-ray), detector dogs. Examination means physically opened by the ACBPS. The targets are based on the contribution made by both ACBPS and Defence Force assets. The reduction in 2015-16 and 2016-17 reflects the cessation of funding for 2,000 aerial surveillance hours delivered by Reims aircraft in 2014-15. The targets for 2014-15 onwards are based on the premise that funding for increased surveillance hours will be fully allocated to the Dash-8 aircraft with the reduction in 2017-18 reflecting the cessation of this additional funding. Deliverable for 2014-15 comprises 92 patrol days for the ACV Ocean Protector and 80 days for the ADV Ocean Shield. Funding for ACV Ocean Protector will terminate 31 December 2014. Funding for the ongoing programme will be considered at a future date. Programme will terminate in December 2014. Ashmore Guardian was deployed near-permanently at the Ashmore Reef National Nature Reserve and Cartier Island Marine Reserve until December 2013. The vessel will be replaced by a long-term capability expected to be operational in mid-2014. In addition to the ACBPS Marine Unit assets, on any given day, the Australian Navy provides seven of the fourteen Armidale Class Patrol Boats in support of Operation Resolute. Another two boats can also be made available on request. The increase in targets for the budget and forward years reflects the additional deliverables / appropriation for the Tackling Crime - increased cargo and mail screening at the border measure. The amalgamation of previous measures (number of parcels / EMS / registered items inspected and number of letter class mail items inspected) will enable a more flexible response to shifts in risk between mail classes and more effective management of increasing volumes. Formal investigation is conducted by the Investigations, Compliance and Enforcement (ICE) and Special Investigations and Programmes (SIP) branches. 104 ACBPS Budget Statements Programme 1.1 Key Performance Indicators Key Performance Indicator Percentage of passengers processed w ithin 30 minutes of joining the inw ards queue 2013-14 Estimated actual 2014-15 Budget 2015-16 Forw ard year 1 2016-17 Forw ard year 2 2017-18 Forw ard year 3 92% 92% 92% 92% 92% - - - - - 95% 95% 95% 95% 95% 30% 30% 30% 30% 30% - - - - - - - - - - - - - - - - - - - - Number of arriving international air passenger referrals to the Department of Immigration and Border Protection1 Traveller satisfaction w ith primary line services Percentage of arriving travellers w ho successfully cleared automated border control systems Percentage of departing travellers w ho successfully cleared automated border control systems 1 Number of detections and interceptions of suspected illegal entry vessels 1 Number of illegal maritime arrivals intercepted at sea (including ship’s crew ) 1,6 Number of mainland illegal maritime arrivals responded to and processed1 Number of apprehensions of illegal foreign fishing vessels 3 Number of illegal foreign fishers apprehended and processed Percentage of reported vessels risk assessed at first port Percentage of high risk vessels w here targeted operational responses w ere performed Number of reported vessels subject to targeted intervention activities 1 Number and w eight of illicit tobacco and cigarette detections in the sea cargo stream1 Number of undeclared detections of conventional firearms, parts and accessories and magazines 1,7 Value of undeclared currency 1 Number and w eight of illicit drug detections 1 Percentage of referrals accepted for formal investigation4 Percentage of high-priority cases accepted for formal investigation4 Percentage of prosecution briefs completed as the result of a formal investigation that resulted in a conviction5 45 45 45 45 45 400 400 400 400 400 100% 100% 100% 100% 100% 100% 85-100% 85-100% 85-100% 85-100% - - - - - - - - - - - - - - - - - - - - 18-25% 18-25% 18-25% 18-25% 18-25% 80-90% 80-90% 80-90% 80-90% 80-90% 85-95% 85-95% 85-95% 85-95% 85-95% 105 ACBPS Budget Statements Programme 1.1 Key Performance Indicators (continued) Key Performance Indicator 2013-14 Estimated actual 2014-15 Budget 2015-16 Forw ard year 1 2016-17 Forw ard year 2 2017-18 Forw ard year 3 - - - - - Number of potential irregular, unregulated and unreported vessels detected in Australia’s Exclusive Economic Zone in the Southern Ocean1 Number of irregular, unregulated and unreported vessels boarded in the Southern Ocean1 Number of irregular, unregulated and unreported vessels apprehended in the Southern Ocean1 Number of sightings of potentially illegal foreign fishing vessels in Australian northern w aters 2 Note: Targets relating to key performance indicators across the forward estimates have been developed on the basis of the operational risks and environment that existed when the 2014-15 Portfolio Budget Statements were developed. Due to the dynamic nature of the operational environment, future targets may need to be varied depending on the risks faced at that time. 1. Performance cannot be forecast reliably. Actual results will be included in the Annual Report. 2. Sightings of Type 3 and Type 4 fishing vessels are generated from reports by Border Protection Command surveillance units, including ACBPS and Defence Force. The number of sightings cannot be forecast through any reliable statistical or other method. Actual sightings and the associated historical trends will be reported in the annual report. 3. The total number of apprehensions by ACBPS and Defence Force assets. 4. Formal investigations are conducted by the ICE and SIP Branches and refer to suspected breaches of Australia’s border controls. 5. This indicator refers to prosecution briefs prepared in response to a formal investigation and dealt with by the courts. Formal investigations are conducted by the ICE and SIP Branches. ‘Conviction’ includes guilty verdicts where no conviction is recorded. 6. This includes IMA’s transferred to Australian Government authorities in Australian territory. 7. The term ‘Conventional Firearms’ does not include firearm categories such as imitation, airguns, BB Guns and paintball guns, but includes all other firearms. 106 ACBPS Budget Statements Programme 1.2: Border Management Programme Objective The Border Management programme provides the legislative and policy framework that underpins our Border Enforcement activities. Deliver effective border management by regulating and facilitating legitimate trade through: strategy, legislation and policy that supports the movement of travellers and trade across the border, enables the collection of duties and taxes and supports Australian industry improving economic competitiveness and productivity by fostering rapid movement and border entry or exit undertaking domestic and international engagement to support the development and delivery of customs and trade strategy, policy and systems and delivery of border management services ensuring compliance with border controls and the requirements of systems and processes. Supports the following functions of partner agencies: Attorney-General’s Department—information of national security value, counterterrorism, firearms and weapons, IP infringement under the Copyright Act, illegal drug interdiction, money laundering, and other prohibited and restricted goods, policy development and advice on law enforcement matters/ provision of intelligence (ASIO) Australian Bureau of Statistics—statistics Australian Competition and Consumer Commission—prohibited and restricted goods (e.g. cosmetic products) Department of Agriculture—prohibited and restricted goods (e.g. quarantine and bio-diversity), industry assistance schemes Department of Defence—counter-proliferation, prohibited and restricted goods (e.g. strategic weapons), concessions Department of Employment —prohibited and restricted goods (e.g. asbestos) Department of Environment—prohibited and restricted goods (e.g. Convention on International Trade in Endangered Species of Wild Fauna and Flora) 107 ACBPS Budget Statements Department of Foreign Affairs and Trade—preferential and non-preferential trade schemes and agreements, prohibited and restricted goods (e.g. counterproliferation goods) Department of Health —prohibited and restricted goods (e.g. PBS medicines), concessions and pandemic response Department of Industry—intellectual property rights, trademarks, anti-dumping, preferential and non-preferential trade schemes, regulated, prohibited and restricted goods (e.g. diamonds), Industry assistance (e.g. Schedule 4 manufacturing concessions, TCS, Drawbacks) Department of Infrastructure and Regional Development—imported vehicles and port security Therapeutic Goods Administration—therapeutic drugs and substances (PBS). Programme Expenses programme 1.2 is budgeted to incur total expenses of $126.6 million in 2014-15, an overall decrease of $14.1 million when compared to total expenses provided in 2013-14. The decrease is a function of a reduction in annual departmental expenses of $15.9 million offset by an increase in expenses not requiring appropriation in the budget year of $1.8 million. the reduction in funding for the departmental expenses between 2013-14 and 2014-15 and the forward estimates is the result of previous decisions of government and the net impact of new government decisions including a reduction in funding due to the transfer of the Anti-Dumping Commission function to the Department of Industry and the termination of funding for the measure Combatting people smuggling – prevention and disruption activities and Reducing inbound duty free allowances for tobacco, including changes to the by-law adjustment. The reduction in funding is offset by additional funding in 2014-15 for the Smaller Government - strengthen and enhance Australia’s border protection services and Combating people smuggling - international engagement measures. The 2014-15 budget year and forward estimates are also impacted by other minor movements in the estimates arising from parameter movements and whole of government savings. the increase in expenses not requiring appropriation from 2014-15 to 2016-17 reflects the increase in depreciation associated with the assets funded by the Smaller Government - strengthen and enhance Australia’s border protection services measure. 108 ACBPS Budget Statements Programme 1.2 expenses Annual departmental expenses: 2013-14 2014-15 2015-16 2016-17 2017-18 Estimated Budget Forw ard Forw ard Forw ard actual2 estimate estimate estimate $'000 $'000 $'000 $'000 $'000 122,504 106,562 104,190 105,356 100,504 Expenses not requiring appropriation in the Budget year 1 Total program m e expenses 18,150 140,654 19,993 126,555 21,631 125,821 22,655 128,011 27,218 127,722 1. Expenses not requiring appropriation in the budget year is made up of Depreciation Expense, Amortisation Expense, Makegood Expense, and Audit Fees. 2. $1.1 million attributed in 2013-14 relates to the 2013-14 MYEFO measures, Funding for pre-existing measures affecting the public sector (2013-14 MYEFO page 147). Programme 1.2 deliverables Regulate and facilitate legitimate trade through: development and delivery of customs and trade strategy, legislation and policy, including: – provision of tariff classification, valuation and rules of origin advice services to importers and exporters – issuing broker, depot and warehouse licences effective management of traveller and cargo management processes and information systems provision of import and export data and statistics. Undertake effective risk-based compliance activities to promote observance of Australian border laws as they relate to the movement of cargo. 109 ACBPS Budget Statements Programme 1.2 deliverables Deliverables Customs broker licences:1 number of applications received2 number issued2 Customs depot licences:1 number of applications received2 number issued2 Customs w arehouse licences:1 number of applications received2 number issued2 Number of tariff classification, valuation and rules of origin advices completed2 Compliance activities:1 number of customs cargo control checks 2,3 targeted import/export declarations assessed pre-clearance2 import/export declarations assessed pre-clearance through general monitoring program import/export declaration lines assessed as a result of voluntary disclosures 2 Number of customs import declarations finalised 2013-14 Estimated actual 2014-15 Budget 2015-16 Forw ard year 1 2016-17 Forw ard year 2 2017-18 Forw ard year 3 - - - - - - - - - - - - - - - - - - - - - - - - - 7,000 7,000 7,000 7,000 7,000 - - - - - 3.7m 3.7m 3.8m 4.0m 4.1m Number of export declarations finalised 1.37m 1.41m 1.45m 1.50m 1.55m Number of imported air cargo consignments reported 33.3m 40.0m 46.7m 52.4m 58.1m 2.8m 3.0m 3.1m 3.2m 3.4m Number of imported sea cargo reports 4 Note: Targets relating to deliverables across the forward estimates have been developed on the basis of the operational risks and environment that existed when the 2014-15 Portfolio Budget Statements were developed. Due to the dynamic nature of the operational environment, future targets may need to be varied depending on the risks faced at that time. 1. These measures appear in both programmes 1.2 and 1.3 as they support both programmes. 2. Performance cannot be forecast reliably. Actual results will be included in the Annual Report. 3. Customs cargo control and compliance activity conducted at wharves, airports, depots, warehouses and cargo terminal operators. 4. This measure was previously described as “Number of Imported Sea Cargo Manifest Lines Reported”. The description of the measure has been refined to reflect more accurately the statistic while maintaining the historical series. ACBPS will review key workload statistics for continuing relevance and completeness as part of the 2015-16 PBS. 110 ACBPS Budget Statements Programme 1.2 Key Performance Indicators Key Performance Indicator Proportion of customs broker licence applications processed in accordance w ith client service standards 2 Proportion of depot licence applications processed in accordance w ith client service standards 2 Proportion of w arehouse licence applications processed in accordance w ith client service standards 2 Proportion of tariff classification, valuation and rules of origin advices completed in accordance w ith client service standards Number of external merit and judicial review applications on matters, including tariff classification under Schedule 4 of the Customs Tariff Act, valuation or rules of origin finalised during the performance period w here the duty w as paid under protest under section 167 of the Customs Act 1901 1 2013-14 Estimated actual 2014-15 Budget 2015-16 Forw ard year 1 2016-17 Forw ard year 2 2017-18 Forw ard year 3 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 85% 85% 85% 85% 85% - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 99.7% 99.7% 99.7% 99.7% 99.7% 98% 98% 98% 98% 98% Number of external merit and judicial review applications finalised that overturned an ACBPS administrative review decision w here the duty w as paid under protest 1 Proportion of compliance activities identifying a significant control breach: 2 customs cargo control checks 1,3 targeted import/export declarations assessed pre-clearance1 Proportion of cargo (total bills) reported in line w ith legislated timeframes: sea cargo1 1 air cargo Sanctions other than prosecutions: number of infringement notices served 1,2 number of licences cancelled 1 Availability of electronic cargo systems to ACBPS clients (excluding scheduled outages) Proportion of electronically lodged cargo documents w here a response message is transmitted w ithin client service standards 4 111 ACBPS Budget Statements Programme 1.2 Key Performance Indicators (continued) Note: Targets relating to key performance indicators across the forward estimates have been developed on the basis of the operational risks and environment that existed when the 2014-15 Portfolio Budget Statements were developed. Due to the dynamic nature of the operational environment, future targets may need to be varied depending on the risks faced at that time. 1. Performance cannot be forecast reliably. Actual results will be included in the Annual Report. 2. These measures appear in both programmes 1.2 and 1.3 as they support both programmes. 3. Customs cargo control and compliance activity conducted at wharves, airports, depots, warehouses and cargo terminal operators. 4. Client Service Standard for non-batched (regular) flow of industry messages is maintained at 5 minutes. Client Service Standard for batched flow of industry messages is set at 15 minutes. Programme 1.3: Border Revenue Collection Programme Objective Effective collection of revenue at the border by: providing assurance that the customs duty, indirect taxes and charges payable on imported goods are correctly assessed, reported and paid, and that revenue concessions, exemptions and refunds are correctly applied administering the Tourist Refund Scheme and collecting the Passenger Movement Charge ensuring compliance with border revenue requirements. Supports the following functions of partner agencies: Australian Bureau of Statistics—statistics Australian Taxation Office—Goods and Services Tax, Wine Equalisation Tax, Tourist Refund Scheme, Luxury Car Tax and other revenue Department of Agriculture– Cheese and Curd Quota Department of Industry—all concessions Department of the Treasury—excise-equivalent goods and drawbacks. 112 ACBPS Budget Statements Programme Expenses programme 1.3 is budgeted to incur total expenses of $79.1 million in 2014-15, an increase of $6.5 million when compared to funding provided in 2013-14. The increase is a function of an increase in annual departmental expenses of $5.7 million and expenses not requiring appropriation in the budget year of $0.9 million. the increase in annual departmental expenses between 2013-14 and 2014-15 and subsequent movements across the forward estimates is primarily due to the funding associated with the Smaller Government - strengthen and enhance Australia’s border protection services measure. The 2014-15 Budget and forward estimate years are also impacted by adjustments resulting from parameter movements and whole of government savings. the movement between years across the forward estimates for expenses not requiring appropriation is due to the profiling of capital that has been agreed for the Smaller Government - strengthen and enhance Australia’s border protection services measure. 113 ACBPS Budget Statements Programme 1.3 expenses 2013-14 Estimated actual2 $'000 Annual departmental expenses: Expenses not requiring appropriation in 63,887 2014-15 2015-16 2016-17 2017-18 Budget Forw ard Forw ard Forw ard estimate estimate estimate $'000 $'000 $'000 $'000 69,572 69,734 66,322 65,610 the Budget year 1 8,648 9,503 10,242 10,732 2,876 Total program m e expenses 72,535 79,075 79,976 77,054 68,486 1. Expenses not requiring appropriation in the budget year is made up of Depreciation Expense, Amortisation Expense, Makegood Expense, and Audit Fees. 2. $0.2 million attributed in 2013-14 relates to the 2013-14 MYEFO measures, Funding for pre-existing measures affecting the public sector (2013-14 MYEFO page 147). Programme 1.3 deliverables Effectively manage revenue collection by: providing assurance that border revenue administered by the ACBPS and revenue collected on behalf of other agencies is correctly assessed, reported and paid providing assurance revenue is protected by checking the correct application of refunds, concessions and exemptions undertaking effective risk-based investigations and compliance activities, to promote observance of Australian border laws as they relate to the revenue reporting and payment obligations collecting and administering the Passenger Movement Charge and the Tourist Refund Scheme. 114 ACBPS Budget Statements Programme 1.3 deliverables Deliverables Collection of revenue associated w ith passenger movements Significant revenues collected (including Customs Duty, Passenger Movement Charge, Import Processing Charge and GST collected) Duty concessions: Tariff Concessions System (range) all other concessions schemes (range) Administration of the Tourist Refund Scheme:1 number of assessed refund declarations number of approved refund declarations value of approved refund declarations Administration of the Refund Scheme: 1 number of assessed refund declarations number of approved refund declarations value of approved refund declarations Administration of the duty draw back number of draw back claims lodged value of draw backs paid Customs broker licences: 2 number of applications received 1 number issued1 Customs depot licences:2 number of applications received 1 number issued1 Customs w arehouse licences: 2 number of applications received 1 number issued1 Compliance activities:2 number of customs cargo control checks 1,3 targeted import/export declarations assessed pre-clearance1 import/export declarations assessed preclearance through general monitoring program import/export declaration lines assessed as a result of voluntary disclosures 1 2013-14 Estimated actual 2014-15 2015-16 2016-17 2017-18 Budget Forw ard Forw ard Forw ard year 1 year 2 year 3 $850.0m $907.9m $957.4m$1,007.9m$1,059.9m $13,464m $14,086m $14,385m $15,507m $16,240m $1,868m $2,028m $2,187m $2,370m $2,540m to to to to to $2,064m $2,241m $2,417m $2,620m $2,807m $296m to $331m to $291m to $262m to $252m to $327m $366m $322m $289m $279m - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 7,000 - 7,000 - 7,000 - 7,000 - 7,000 - Note: Targets relating to deliverables across the forward estimates have been developed on the basis of the operational risks and environment that existed when the 2014-15 Portfolio Budget Statements were developed. Due to the dynamic nature of the operational environment, future targets may need to be varied depending on the risks faced at that time. 1. Performance or volume cannot be forecast reliably. Actual results will be included in the Annual Report. 2. These measures appear in both programmes 1.2 and 1.3 as they support both programmes. 3. Customs cargo control and compliance activity conducted at wharves, airports, depots, warehouses and cargo terminal operators. 115 ACBPS Budget Statements Programme 1.3 Key Performance Indicators Key Performance Indicator Proportion of refunds under the Refund Scheme delivered in accordance w ith client service standards Proportion of draw backs delivered in accordance w ith client service standards Number of external merit and judicial review applications on refund and draw back claims finalised during the performance period 1 Number of external merit and judicial review applications finalised that overturned an ACBPS decision on refund or draw back claims 1 Number of external merit and judicial review applications finalised during the performance period on an ACBPS decision made under Part XVA of the Customs Act 1901 1 Number of external merit and judicial review applications finalised that overturned an ACBPS decision under Part XVA of the Customs Act 1901 1 Proportion of customs broker licence applications processed in accordance w ith client service standards 2 Proportion of depot licence applications processed in accordance w ith client service standards 2 Proportion of w arehouse licence applications processed in accordance w ith client service standards 2 Proportion of compliance activities identifying a significant control breach:2 customs cargo control checks 1,3 targeted import/export declarations assessed pre-clearance 1 Sanctions other than prosecutions: 2,4 number of infringement notices served 1 number of licences cancelled 1 Value of revenue understatements identified from investigation and compliance activities 1,5 2013-14 Estimated actual 2014-15 2015-16 2016-17 2017-18 Budget Forw ard Forw ard Forw ard year 1 year 2 year 3 90% 90% 90% 90% 90% 90% 90% 90% 90% 90% - - - - - - - - - - - - - - - - - - - - 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% - - - - - - - - - - - - - - - - - - - - Note: Targets relating to key performance indicators across the forward estimates have been developed on the basis of the operational risks and environment that existed when the 2014-15 Portfolio Budget Statements were developed. Due to the dynamic nature of the operational environment, future targets may need to be varied depending on the risks faced at that time. 1. Performance or volume cannot be forecast reliably. Actual results will be included in the Annual Report. 2. These measures appear in both programmes 1.2 and 1.3 as they support both programmes. 3. Customs cargo control and compliance activity conducted at wharves, airports, depots, warehouses and cargo terminal operators. 4. Prosecution activity related to fraud reported under programme 1.1. 5. Previously this KPI recorded net revenue adjustments from investigation and compliance activities. As the ACBPS investigation and compliance effort is focussed on detecting revenue understatements rather than revenue overstatements, the indicator has been adjusted accordingly. 116 ACBPS Budget Statements Section 3: Explanatory Tables and Budgeted Financial Statements 3.1 EXPLANATORY TABLES Section 3 presents explanatory tables and budgeted financial statements which provide a comprehensive snapshot of agency finances for the 2014-15 budget year. It explains how budget plans are incorporated into the financial statements and provides further details of the reconciliation between appropriations and programme expenses, movements in administered funds, special accounts and government indigenous expenditure. 3.1.1: Movement of Administered Funds Between Years The ACBPS has not moved any administered funds between years. 3.1.2 Special Accounts Special Accounts provide a means to set aside and record amounts used for specified purposes. Special Accounts can be created by a Finance Minister’s Determination under the FMA Act or under separate enabling legislation. Table 3.1.2 shows the expected additions (receipts) and reductions (payments) for each account used by ACBPS. Table 3.1.2: Estimates of Special Account Flows and Balances Other Trust Moneys-FMA Act s20 (A) Security Deposits-FMA Act s20 (A) Services for Other Entities and Trust Moneys SpecialFMA Act s20 (A) Total Special Accounts 2014-15 Budget estim ate 1 Opening balance 2014-15 2013-14 Outcome $'000 1 1 1 1 1 1 Closing Receipts Payments Adjustments balance 2014-15 2014-15 2014-15 2014-15 2013-14 2013-14 2013-14 2013-14 $'000 $'000 $'000 $'000 - - - - - - - - - - - Total Special Accounts 2013-14 estimated actual 1 (A) = Administered 1. The estimates have been revised to reflect the expected cessation on 30 June 2014 of the Financial Management and Accountability Act 1997 (FMA Act) which is being replaced by the Public Governance, Performance and Accountability Act 2013 (PGPA Act) from 1 July 2014. All legislative instruments, including Special Account determinations, made under the authority of the FMA Act automatically lose their legal effect once the FMA Act ceases. The current Special Accounts are not expected to be re-established under the PGPA Act. 117 ACBPS Budget Statements 3.1.3 Australian Government Indigenous Expenditure The ACBPS has three internally funded Indigenous programs: National Indigenous Programs—Indigenous Cadets and Indigenous Graduates (funded separately) Indigenous Mariner Program – this program engages and trains Torres Strait Islanders as Marine Crew to serve in the Torres Strait and Indigenous Ranger Program - to improve ACBPS capacity for inshore surveillance and response to illegal foreign fishing. National Indigenous Programs The ACBPS participates, where suitable candidates can be identified, in the Australian Public Service Indigenous Employment Project by recruiting into the National Indigenous Cadetship and Graduate Programs, thereby contributing to the overall increase in numbers of Indigenous employees. In 2015 ACBPS intends to have one Indigenous Graduate commencing in 2015. However, there is currently no intention to recruit any Indigenous Cadets. Graduate trainees participate in a 12-month program which offers the following: three workplace rotations a Diploma of Government and further personal skill development workshops, and a permanent Customs Level 2 (APS 5) position on successful completion of the program. Currently the ACBPS is not able to access the Indigenous Traineeship program as applicants for this program are assessed against the APS 1 classification level, where the entry level for ACBPS officers at the border are at the APS 3 level. Indigenous Mariner Program This an entry-level recruitment program specifically for Torres Strait Islanders to join the Customs Marine Unit for twelve months as sea-going crew. In addition to on-board marine duties, trainees are given the opportunity to attend training courses to obtain qualifications in first aid, shipboard safety and radio operation. Once the program is completed trainees can apply as part of the Level 1 recruitment rounds for ongoing positions. It is proposed to commence a recruitment campaign to engage cadets during the 2014-15 financial year. Indigenous Ranger Program ACBPS has formal and informal arrangements with many Indigenous Rangers group throughout Northern Australia. The informal arrangements include Officers from Enforcement Operations visiting many of these communities on an ad hoc basis throughout the year while conducting remote patrols (both vehicle and inshore vessel patrols). The intention of these patrols is to encourage the communities to watch out for potential illegal border landings and to report to ACBPS. ACBPS has formal arrangements with the Djelk Rangers in Maningrida and key islands in the Torres Strait to assist with the reporting of potential border breaches. 118 ACBPS Budget Statements Table 3.1.3: Australian Government Indigenous Expenditure (AGIE) Bill No. 1 $'000 (A) Appropriations Bill Special Total No. 2 approp approp $'000 $'000 $'000 (B) (C) (D) Total Programme $'000 (E)=(D) (F) Australian Custom s and Border Protection Service Outcom e 1 Departmental 2014-15 Departmental 2013-14 Total outcome 2014-15 Total outcome 2013-14 529 757 529 757 - - 529 757 529 757 529 1.1, 1.4 757 1.1, 1.2 529 757 - Total AGIE 2014-15 Total AGIE 2013-14 529 757 - - 529 757 529 757 - 119 ACBPS Budget Statements 3.2 BUDGETED FINANCIAL STATEMENTS 3.2.1 Differences in Agency Resourcing and Financial Statements There is no material difference between the agency resourcing and financial statements. 3.2.2 Analysis of Budgeted Financial Statements Departmental Income statement The movement in appropriation revenue between 2013–14 and 2014–15 is due to the net impact of the transfer of the Anti-Dumping Commission to the Department of Industry ($60.4 million) on 27 March 2014 which implemented the government’s machinery of government changes and the impact of funding that terminates in June 2014. The reduction is offset by additional funding received in 2014–15 as part of government decisions. The net additional funding received in 2014-15 is also impacted by both savings and efficiencies agreed by government across a number of budget years and the impact of wage and price adjustments. The decrease in the revenue from government (appropriations) of $23.0 million between 2013–14 and 2014–15 is primarily due to the net impact of additional funding for the following: - an increase of $3.7 million for the Combating people smuggling – international engagement measure impacting on 2014-15 only - an increase of $30.2 million for the Smaller Government - strengthen and enhance Australia’s Border protection services measure. offset by decreases in funding in 2014–15 for the following: - $1.7 million for the Efficiency dividend – a further temporary increase of 0.25 per cent measure - $10.5 million in funding for 2013-14 reflecting an adjustment for Funding for pre-existing measures affecting the public sector - a net reduction in funding of $10.6 million for the transfer of the AntiDumping Commission from ACBPS to the Department of Industry; and - a net reduction in funding of $1.4 million for the Revised Occupational Density Target [PRODAC] measure. The balance of the decrease in funding between 2013–14 and 2014–15 is due to previous decisions of government and the cumulative effect of the changes in wage and price indices adjustments from both the current and prior periods. The decrease in revenue from government across the forward estimates from 2014-15 to 2015-16 is a function of the impacts of terminating measures, with the most noticeable being the cessation of the measures that provide funding for the leases for ACV Triton ($16.8 million) and ACV Ocean Protector ($25.0 million). In addition, the revenue from government across the forward estimates is also impacted by the change in growth of passenger volumes resulting in decreased 120 ACBPS Budget Statements funding received through the Passenger Workload Growth Model offset by the impact of adjustments to wage and price indices adjustments. Revenue estimated to be received from the sale of goods and services remains relatively stable between 2013–14 and 2014–15. Balance sheet The ACBPS’s net asset (equity) position for 2014-15 is estimated to be $588.5 million, representing an increase of $61.7 million from the 2013-14 revised budget position ($526.8 million). The net increase in the Service’s net equity position is due to additional funding agreed for capital investment. There is the potential for the asset and equity levels to change from budgeted levels as a result of a range of adjustments being made to the ACBPS’s balance sheet as part of the finalisation of the 2013-14 financial statements. Administered Income statement In 2014–15 the ACBPS is estimated to collect $9,269.3 million in customs duty, an increase of $240.7 million (or 2.8%) over the 2013–14 estimate. This increase is due primarily to the expected increase in revenue collections in 2014–15 across all duty categories with the exception of textiles, clothing and footwear (TCF) due to a TCF Tariff rate cut from 1 January 2015. The ACBPS will also administer the collection of $1,254.4 million in other taxes, fines and fees revenue in 2014–15. Revenue collected as other taxes, fines and fees comprises $907.9 million for the passenger movement charge and $346.5 million for the import processing charge in 2014–15. The collection of the passenger movement charge is estimated to increase by $58.0 million in 2014–15 due to the estimated growth in international passenger movements. Collections of the import processing charge in 2014–15 are estimated to be $346.5 million, an increase of $103.2 million compared to the revised budget estimate for 2013–14. The increase in revenue generated from the import processing charge reflects the full-year impact of the increase to the rate for this charge combined with the growth in imports. The ACBPS has estimated that $360.0 million will be required to be paid as customs duty refunds and drawbacks. Schedule of budgeted assets and liabilities The budgeted total administered assets position for the ACBPS in 2014-15 is $240.6 million, compared to $238.1 million in 2013-14, which is due primarily to an increase in other receivables related to customs duty. Total liabilities administered by the ACBPS remain steady between 2013-14 and 2014-15 and the forward years. 121 ACBPS Budget Statements 3.2 BUDGETED FINANCIAL STATEMENTS TABLES Departmental Table 3.2.1: Comprehensive Income Statement (Showing Net Cost of Services) for the period ended 30 June Estimated actual 2013-14 $'000 EXPENSES Employee benefits Suppliers Depreciation and amortisation Total expenses Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 548,352 544,726 544,954 553,260 549,269 527,611 511,057 468,134 458,753 448,927 96,443 107,790 118,513 124,596 138,962 1,172,406 1,163,573 1,131,601 1,136,609 1,137,158 LESS: OWN-SOURCE INCOME Ow n-source revenue Sale of goods and rendering of services Other Total ow n-source revenue 72,666 4,047 76,713 74,654 4,047 78,701 74,576 4,047 78,623 71,204 4,047 75,251 71,204 5,000 76,204 Gains Other gains Total gains Total ow n-source incom e 749 749 77,462 740 740 79,441 738 738 79,361 738 738 75,989 738 738 76,942 Net cost of (contribution by) services 1,094,944 1,084,132 1,052,240 1,060,620 1,060,216 Revenue from Government 999,383 976,342 933,727 936,024 921,254 Surplus (Deficit) before incom e tax Income tax expense Surplus (Deficit) after incom e tax OTHER COMPREHENSIVE INCOME Item s not subject to subsequent reclassification to profit or loss Changes in asset revaluation surplus (95,561) (107,790) (118,513) (124,596) (138,962) (95,561) (107,790) (118,513) (124,596) (138,962) Total other com prehensive incom e after incom e tax Total com prehensive incom e (loss) attributable to the Australian Governm ent - - - - - - - - - - (95,561) 122 (107,790) (118,513) (124,596) (138,962) ACBPS Budget Statements Table 3.2.1: Comprehensive Income Statement (Showing Net Cost of Services) for the period ended 30 June (continued) Note: Im pact of Net Cash Apppropriation Arrangem ents 2013-14 2014-15 $'000 $'000 Total Com prehensive Incom e (loss) excluding depreciation/ am ortisation expenses previously funded through revenue appropriations. 882 less depreciation/amortisation expenses previously funded through revenue appropriations Total Com prehensive Incom e (loss) - as per the Statem ent of Com prehensive Incom e 2015-16 $'000 2016-17 $'000 2017-18 $'000 - - - 96,443 107,790 118,513 124,596 138,962 (95,561) (107,790) (118,513) (124,596) (138,962) Prepared on Australian Accounting Standards basis 123 ACBPS Budget Statements Table 3.2.2: Budgeted Departmental Balance Sheet (as at 30 June) Estimated actual 2013-14 $'000 ASSETS Financial assets Cash and cash equivalents Trade and other receivables Other financial assets Total financial assets Non-financial assets Land and buildings Property, plant and equipment Intangibles Inventories Other non-financial assets Total non-financial assets Assets held for sale Total assets LIABILITIES Payables Suppliers Other payables Total payables Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 8,265 191,078 855 200,198 8,265 191,078 855 200,198 8,265 191,078 855 200,198 8,265 191,078 855 200,198 8,265 191,078 855 200,198 150,580 288,900 178,674 2,474 13,214 633,842 152,367 364,082 163,424 2,474 13,214 695,561 161,765 430,377 172,780 2,474 13,214 780,610 153,806 404,320 189,818 2,474 13,214 763,632 123,059 362,846 202,930 2,474 13,214 704,523 834,040 895,759 980,808 963,830 904,721 38,144 50,474 88,618 38,144 50,474 88,618 38,144 50,474 88,618 38,144 50,474 88,618 38,144 50,474 88,618 Provisions Employee provisions 191,645 191,646 191,645 191,644 191,643 Other provisions 27,017 27,017 27,017 27,017 27,017 Total provisions 218,662 218,663 218,662 218,661 218,660 Total liabilities 307,280 307,281 307,280 307,279 307,278 Net assets 526,760 588,478 673,528 656,551 597,443 EQUITY Parent entity interest Contributed equity 829,705 999,212 1,202,773 1,310,391 1,390,244 Reserves 78,074 78,074 78,074 78,074 78,074 Retained surplus (accumulated deficit) (381,019) (488,808) (607,319) (731,914) (870,875) Total parent entity interest 526,760 588,478 673,528 656,551 597,443 Total Equity 526,760 588,478 673,528 656,551 597,443 Prepared on Australian Accounting Standards basis 124 ACBPS Budget Statements Table 3.2.3: Departmental Statement of Changes in Equity—Summary of Movement (Budget Year 2014-15) Retained Asset Contributed earnings revaluation equity/ reserve capital $'000 $'000 $'000 Total equity $'000 Opening balance as at 1 July 2013 Balance carried forw ard from previous period Adjustment for changes in accounting policies Adjusted opening balance (381,019) 78,074 829,705 526,760 (381,019) 78,074 829,705 526,760 Com prehensive incom e Surplus (deficit) for the period (107,790) - Total comprehensive income (107,790) of w hich: Attributable to the Australian Government (488,808) 78,074 Transactions w ith ow ners Contributions by owners Equity Injection Departmental Capital Budget (DCBs) Sub-total transactions with owners Estim ated closing balance as at 30 June 2014 (488,808) 78,074 Closing balance attributable to the Australian Governm ent (488,808) 78,074 Prepared on Australian Accounting Standards basis 125 - (107,790) - (107,790) 829,705 418,970 136,905 32,604 169,509 136,905 32,604 169,509 999,212 588,478 999,212 588,478 ACBPS Budget Statements Table 3.2.4: Budgeted Departmental Statement of Cash Flows (for the period ended 30 June) Estimated actual 2013-14 $'000 OPERATING ACTIVITIES Cash received Sale of Goods and Services Appropriations Net GST received Other Total cash received Cash used Employees Suppliers Net GST paid Taxes paid Total cash used Net cash from (used by) operating activities INVESTING ACTIVITIES Cash received Proceeds from sales of property, plant and equipment Total cash received Cash used Purchase of property, plant, equipment and intangibles Total cash used Net cash from (used by) investing activities Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 71,203 992,363 46,147 685 1,110,398 72,708 975,389 46,147 685 1,094,929 72,630 932,714 46,147 685 1,052,176 69,258 935,011 46,147 685 1,051,101 69,258 921,254 46,147 685 1,037,344 537,693 530,573 46,147 1,114,413 544,721 504,061 46,147 1,094,929 544,953 461,076 46,147 1,052,176 553,262 451,692 46,147 1,051,101 549,271 441,926 46,147 1,037,344 - - - - - - - - - 124,229 124,229 169,509 169,509 203,562 203,562 107,618 107,618 79,853 79,853 (124,229) (169,509) (203,562) (107,618) (79,853) (4,015) FINANCING ACTIVITIES Cash received Contributed equity 129,126 169,509 203,562 107,618 Total cash received 129,126 169,509 203,562 107,618 Net cash used by financing activities 129,126 169,509 203,562 107,618 Net increase (decrease) in cash held 1 882 Cash and cash equivalents at the beginning of the reporting period 7,383 8,265 8,265 8,265 Cash and cash equivalents at the end of the reporting period 8,265 8,265 8,265 8,265 1. The estimated actual result for 2013-14 includes a surplus of $0.9 million. Prepared on Australian Accounting Standards basis 126 79,853 79,853 79,853 8,265 8,265 ACBPS Budget Statements Table 3.2.5: Departmental Capital Budget Statement NEW CAPITAL APPROPRIATIONS Capital budget - Act No. 1 (DCB) Equity injections - Act No. 2 Total new capital appropriations Provided for: Purchase of non-financial assets Total Item s Estimated actual 2013-14 $'000 Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 60,592 68,534 129,126 32,604 136,905 169,509 28,068 175,494 203,562 29,138 78,480 107,618 13,390 66,463 79,853 129,126 129,126 169,509 169,509 203,562 203,562 107,618 107,618 79,853 79,853 63,637 136,905 175,494 78,480 66,463 60,592 124,229 32,604 169,509 28,068 203,562 29,138 107,618 13,390 79,853 124,229 169,509 203,562 107,618 79,853 PURCHASE OF NON-FINANCIAL ASSETS Funded by capital appropriations 1 Funded by capital appropriation - DCB 2 TOTAL AMOUNT SPENT RECONCILIATION OF CASH USED TO ACQUIRE ASSETS TO ASSET MOVEMENT TABLE Total purchases Total cash used to acquire assets 124,229 169,509 203,562 107,618 79,853 1. Includes both current Bill 2 and prior year Act 2, 4 and 6 appropriations and special capital appropriations. 2. Does not include annual finance lease costs. Includes purchases from current and previous years’ departmental capital budgets. Prepared on Australian Accounting Standards basis. Table 3.2.6: Statement of Asset Movements (2014-15) Asset Category (as appropriate) Land Buildings Other property, Computer plant and softw are and equipment intangibles $'000 $'000 $'000 $'000 As at 1 July 2014 Gross book value Accumulated depreciation/amortisation and impairment Opening net book balance Total $'000 27,975 165,432 361,840 27,975 (42,827) 122,605 (72,940) 288,900 CAPITAL ASSET ADDITIONS Estim ated expenditure on new or replacem ent assets By purchase - appropriation equity Total additions 1,454 1,454 18,689 18,689 117,264 117,264 32,102 32,102 169,509 169,509 Other m ovem ents Depreciation/amortisation expense Total other m ovem ents - (18,356) (18,356) (42,082) (42,082) (47,352) (47,352) (107,790) (107,790) 29,429 184,121 479,104 527,768 1,220,422 29,429 (61,183) 122,938 (115,022) 364,082 As at 30 June 2015 Gross book value Accumulated depreciation/amortisation and impairment Closing net book balance Prepared on Australian Accounting Standards basis. 127 495,666 1,050,913 (316,992) 178,674 (364,344) 163,424 (432,759) 618,154- (540,549) 679,873 ACBPS Budget Statements Schedule of Administered Activity Table 3.2.7: Schedule of Budgeted Income and Expenses Administered on Behalf of Government (for the period ended 30 June) Estimated actual 2013-14 $'000 EXPENSES ADMINISTERED ON BEHALF OF GOVERNMENT Suppliers Write-dow n and impairment of assets Total expenses adm inistered on behalf of Governm ent LESS: OWN-SOURCE INCOME Ow n-source revenue Taxation revenue Customs duty Other taxes, fines and fees Total taxation revenue Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 928 934 927 915 924 2,500 2,500 2,500 2,500 2,500 3,428 3,434 3,427 3,415 3,424 9,018,600 1,093,171 10,111,771 9,269,250 1,254,390 10,523,640 9,429,450 1,312,682 10,742,132 10,229,450 1,374,629 11,604,079 10,679,450 1,437,614 12,117,064 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 10,526,140 10,744,632 11,606,579 12,119,564 Non-taxation revenue Sale of goods and rendering of services 2,500 Total non-taxation revenue 2,500 Total ow n-source revenues adm inistered on behalf of Governm ent 10,114,271 Total ow n-sourced incom e adm inistered on behalf of Governm ent 10,114,271 10,526,140 10,744,632 11,606,579 Net Cost of (contribution by) services (10,110,843) (10,522,706) (10,741,205) (11,603,164) Surplus (Deficit) 10,110,843 10,522,706 10,741,205 11,603,164 Total com prehensive incom e (loss) 10,110,843 10,522,706 10,741,205 11,603,164 Prepared on Australian Accounting Standards basis. 128 12,119,564 (12,116,140) 12,116,140 12,116,140 ACBPS Budget Statements Table 3.2.8: Schedule of Budgeted Assets and Liabilities Administered on Behalf of Government (as at 30 June) Estimated actual 2013-14 $'000 ASSETS ADMINISTERED ON BEHALF OF GOVERNMENT Financial assets Cash and cash equivalents Taxation receivables Other receivables Total financial assets Total assets adm inistered on behalf of Governm ent LIABILITIES ADMINISTERED ON BEHALF OF GOVERNMENT Payables Other payables Total payables Interest bearing liabilities Security deposits Total interest bearing liabilities Total liabilities adm inistered on behalf of Governm ent Net assets/(liabilities) Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 891 232,401 4,856 238,148 891 232,401 7,356 240,648 891 232,401 9,856 243,148 891 232,401 9,856 243,148 891 232,401 9,856 243,148 238,148 240,648 243,148 243,148 243,148 11,452 11,452 11,452 11,452 11,452 11,452 11,452 11,452 11,452 11,452 2,304 2,304 2,304 2,304 2,304 2,304 2,304 2,304 2,304 2,304 13,756 13,756 13,756 224,392 226,892 229,392 Prepared on Australian Accounting Standards basis. 129 13,756 13,756 229,392 229,392 ACBPS Budget Statements Table 3.2.9: Schedule of Budgeted Administered Cash Flows (for the period ended 30 June) Estimated actual 2013-14 $'000 Budget estimate 2014-15 $'000 Forw ard estimate 2015-16 $'000 Forw ard estimate 2016-17 $'000 Forw ard estimate 2017-18 $'000 OPERATING ACTIVITIES Cash received Sales of goods and rendering of services 2,500 2,500 2,500 2,500 2,500 Cash from the Official Public 360,000 360,000 360,000 360,000 360,000 Account Taxes 10,460,871 10,881,890 11,100,182 11,962,129 12,475,114 Appropriation Receipts 827 834 827 815 824 Total cash received 10,824,198 11,245,224 11,463,509 12,325,444 12,838,438 Cash used Cash to the Official Public Account Suppliers Cash used - Other Total cash used Net cash used by operating activities 10,463,270 10,884,290 11,102,582 11,964,529 12,477,514 928 934 927 915 924 360,000 360,000 360,000 360,000 360,000 10,824,198 11,245,224 11,463,509 12,325,444 12,838,438 INVESTING ACTIVITIES Cash received Deposits taken / (paid) Total cash received Net cash from investing activities Net increase (decrease) in cash held Cash and cash equivalents at beginning of reporting period Cash and cash equivalents at end of reporting period - - - - - - - - - - - - - - - - - - - - 891 891 891 891 891 891 891 891 891 891 Prepared on Australian Accounting Standards basis 130 ACBPS Budget Statements 3.2.4 Notes to the financial statements Basis of accounting The budgeted financial statements have been prepared on an accrual accounting basis, having regard to Statements of Accounting Concepts, and in accordance with the Finance Minister’s Orders, Australian Accounting Standards and other authoritative pronouncements of the Australian Accounting Standards Board. Departmental Revenue from government Amounts appropriated for programmes are recognised as revenue, except for certain amounts that relate to activities that are reciprocal in nature, in which case revenue is recognised only when it has been earned. Appropriations receivable are recognised at their nominal amounts. Employee expenses Employee expenses consist of salaries, leave entitlements, redundancy expenses, superannuation and non-salary benefits. Supplier expenses Supplier expenses consist of administrative costs, consultants’ costs, travel expenses and property operating expenses. Cash Cash includes notes and coins held and any deposits held at call with a bank or other financial institution. Assets Assets are made up of cash, receivables, leasehold improvements and plant and equipment. All assets are held at fair value. Liabilities Liabilities are made up of employee salary and leave entitlements, property lease make-good provisions and amounts owed to creditors. Administered Revenues All administered revenues relate to the core operating activities performed by the ACBPS on behalf of the Australian Government, including the collection of customs duty, revenue associated with the Tourist Refund Scheme and revenue associated with the passenger movement charge. 131 Glossary GLOSSARY Term Meaning Administered items Expenses, revenues, assets or liabilities managed by agencies on behalf of the Commonwealth. Agencies do not control administered items. Administered expenses include grants, subsidies and benefits. In many case, administered expenses fund the delivery of third party agencies. Additional estimates Where amounts appropriated at Budget time are insufficient, Parliament may appropriate more funds to portfolios through the Additional Estimates Acts. Appropriation An authorisation by Parliament to spend monies from the Consolidated Revenue Fund, for a particular purpose. Annual appropriation Two appropriation Bills are introduced into Parliament in May and comprise the Budget for the financial year beginning 1 July. Further Bills are introduced later in the financial year as part of the Additional Estimates. Parliamentary Departments have their own appropriations. Consolidated Revenue Fund Section 81 of the Constitution stipulates that all revenue raised or money received by the Commonwealth forms the one Consolidated Revenue Fund (CRF). The CRF is not a bank account. The Official Public Accounts reflects most of the operations of the CRF. Departmental items Assets, liabilities, revenues and expenses that are controlled by the agency in providing programme outputs. Departmental items would generally include computers, plant and equipment assets used by agencies in providing goods and services and most employee expenses, supplier costs and other administrative expenses incurred. Depreciation Apportionment of an asset’s capital value as an expense over its estimated useful life to take account of normal usage, obsolescence, or the passage of time. Equity or net assets Residual interest in the assets of an entity after deduction of its liabilities. Expense Total value of all of the resources consumed in producing goods and services or the loss of future economic benefits in the form of reductions in assets or increases in liabilities of an entity. FMA Act Financial Management and Accountability Act 1997. Migration Act Migration Act 1958. 132 Glossary Special account Balances existing within the CRF that are supported by standing appropriations (FMA Act section 20 and 21). Special Accounts allow money in the CRF to be acknowledged as set-aside (hypothecated) for a particular purpose. Amounts credited to a Special Account may only be spent for the purposes of the Special Account. Special Accounts can only be established by a written determination of the Finance Minister (section 20 FMA Act) or through an Act of Parliament (referred to in section 21 of the FMA Act). 133 Acronyms ACRONYMS Acronym Description ACBPS Australian Customs and Border Protection Service AMEP Adult Migrant English Programme CRF Consolidated Revenue Fund DCB Departmental Capital Budget DIBP Department of Immigration and Border Protection FECCA Federation of Ethnic Communities’ Councils of Australia FMA Act Financial Management and Accountability Act 1997 GST Goods and Services Tax HSS Humanitarian Settlement Services ICT Information and Communication Technology IDC Immigration Detention Centre IGC Inter-Governmental Consultations on migration, asylum and refugees IMA Illegal Maritime Arrival IOM International Organisation for Migration KPI Key Performance Indicator MARA Migration Agents Registration Authority Migration Act Migration Act 1958 MP Member of Parliament MRT-RRT Migration Review Tribunal and Refugee Review Tribunal NAATI National Accreditation Interpreters Ltd PBS Pharmaceutical Benefits Scheme RCOA Refugee Council of Australia SGP Settlement Grants Programme TIS Translating and Interpreting Service UHM Unaccompanied Humanitarian Minor UNHCR United Nations High Commissioner for Refugees VEVO Visa Entitlement Verification Online. 134 Authority for Translators and
© Copyright 2026 Paperzz