Final Report
July 2008 – March 2009
Department of Tourism, Regional Development
and Industry
Contents
Letter of compliance ...................................................................................................2
1.0 Constitution, goals and functions .......................................................................... 3
1.1 Dates of establishment and abolishment ........................................................... 3
1.2 Objectives, functions and powers ...................................................................... 3
1.3 Departmental focus............................................................................................ 3
1.4 Departmental performance statement ................................................................ 3
2.0 The Department’s operations ................................................................................ 5
2.1 Corporate governance ........................................................................................ 5
2.2 Risk management.............................................................................................. 5
2.3 Risk and audit boards and committees .............................................................. 5
2.4 Planning cycle and benchmarking...................................................................... 5
2.5 Public Sector Ethics Act 1994………………………….…………………………………………..……5
2.6 Whistleblowers Protection Act 1994……………..……………………………………………..…..6
2.7 Queensland Government Privacy Policy…………………………………………..……………….6
2.8 Shared Services initiative…………………………….………………………………………..………..6
2.9 Recordkeeping……………………………………………………………………………………..…….……7
2.10 Workforce planning, attraction and retention………………………………………..…….….7
2.12 Interpreter Service Statement………………………………………..…….…………………………8
2.13 Public availability of the Final Report................................................................8
3.0 Queensland’s economic performance ...................................................................9
4.0 Organisational structure as at 26 March 2009 ..................................................... 10
5.0 Science, Technology and Innovation.....................................................................11
5.1 Science Infrastructure and Engagement............................................................ 12
5.2 Technology and Emerging Industries................................................................ 12
5.3 Science Policy and Commercialisation ............................................................. 14
6.0 Industry, Investment and Development ............................................................... 16
6.1 Commercial and Policy..................................................................................... 16
6.2 Manufacturing and Investment ........................................................................ 18
6.3 Migration and Skills Recruitment Queensland (MSRQ) ..................................... 19
6.4 Regional Development and Services ................................................................20
6.5 Tourism, Food and Wine Industry Development................................................20
7.0 Corporate Services ..............................................................................................22
7.1 Corporate Communications ..............................................................................22
7.2 Corporate Support ...........................................................................................22
7.3 Finance............................................................................................................ 23
7.4 Human Resources............................................................................................ 23
7.5 Legal Services.................................................................................................. 23
7.6 Media and Events ............................................................................................ 23
7.7 Technology and Information Management........................................................ 23
8.0 Statutory obligations and Acts administered .......................................................24
9.0 Overseas travel register....................................................................................... 25
10.0 Consultancy expenditure ...................................................................................26
11.0 Staffing policies.................................................................................................26
11.1 Management development .............................................................................26
11.2 Industrial development and safety..................................................................26
11.3 Special interest groups...................................................................................26
11.4 Voluntary Early Retirement and retrenchment .................................................26
11.5 Women's initiatives ........................................................................................26
12.0 Climate Smart initiatives.................................................................................... 27
13.0 Financial statements .........................................................................................29
14.0 Glossary of terms............................................................................................... 76
15.0 The Department’s principal place of business and regional offices.....................80
16.0 Copyright........................................................................................................... 81
17.0 Disclaimer………………………………………………………………………………………………………. .81
1
Letter of Compliance
30 June 2009
The Honourable Desley Boyle MP
Minister for Local Government and Aboriginal and Torres Strait Islander Partnerships
PO Box 15031
CITY EAST QLD, 4002
Dear Minister
I am pleased to present the Final Report 2008-09 for the former Department of Tourism,
Regional Development and Industry.
As a result of Machinery-of-Government changes on 26 March 2009, the Department of Tourism,
Regional Development and Industry was abolished, as advised by the Public Service
Departmental Arrangements Notice (No.2)2009. Under this notice, all operations and principal
activities of the Department of Tourism, Regional Development and Industry were transferred to
the Department of Employment, Economic Development and Innovation.
I certify that this Final Report complies with:


the prescribed requirements of the Financial Administration and Audit Act 1977 and the
Financial Management Standard 1997, and
the detailed requirements set out in the Annual Reporting Guidelines for Queensland
Government Agencies.
A checklist outlining the final reporting requirements can be accessed at www.dtrdi.qld.gov.au.
Yours sincerely
Bob McCarthy
Former Director-General
Department Tourism, Regional Development and Industry
2
1.0 Constitution, goals and functions

1.1 Dates of establishment and abolishment
The
former
Department
of
State
Development was significantly altered on 13
September 2007, when new administrative
arrangements were put in place following
machinery-of-Government changes. This led
to the creation of the Department of Tourism,
Regional Development and Industry.
The Department ceased to exist on 26 March
2009
when
new
administrative
arrangements were put in place to establish
the Department of Employment, Economic
Development and Innovation.
1.2 Objectives, functions and powers
The Department’s role was to maintain
Queensland’s economic performance and to
accelerate further growth opportunities.
The Department:
 fostered the growth of investment in
strategically important industries
 worked
with
businesses
and
industries to encourage innovative
and global competition
 increased commercialisation and use
of emerging technologies
 supported significant projects across
Queensland to build regional
economies.
The Department’s outputs included:
 improved uptake of innovative
practices and technologies in existing
industries to enhance productivity,
sustainability and export growth
 growth of emerging, globallyfocussed,
high-growth
and
knowledge-based industries
 enhanced collaboration between
governments, business, industry and
research organisations to grow
innovation-led
economic
development across the State
 increased investment and attraction
of new investment in strategic
industry sectors


optimised
regional
economic
potential through the fostering of
globally
competitive,
strategic
industries and the delivery of
targeted business services
improved the business skills of smallto-medium enterprises including
Indigenous enterprises
improved development of targeted
strategic industry sectors.
1.3 Departmental focus
The Department of Tourism, Regional
Development and Industry played a lead role
in capitalising on the State’s advantages to
grow regional economies and strengthen
industries.
The Department focused on:
 Industry,
Investment
and
Development – responsible for
driving an integrated approach to the
development of smart growth
industries and businesses which
deliver investment, job creation and
economic benefits to Queensland
 Science, Technology and Innovation
– responsible for delivering elements
of the Queensland Government’s
Smart State agenda to create
economic, social and environmental
outcomes for the benefit of the State

Tourism, Food and Wine Industry
Development – responsible for
coordinating,
developing
and
implementing a range of support and
business growth programs aimed at
promoting innovation, value-adding
and skills formation.
1.4 Departmental performance statement
The Department had a performance
management framework that was used to
monitor:
 efficient progress towards achieving
goals
 cost effectiveness of delivering its
outputs
 benchmarking and achieving best
practice.
Progress was measured against a range of
performance measures. The Department’s
performance against these measures is
reflected in the following table:
3
Measures
Notes
2008-09
Target to
31 March 2009
2008-09
Actual to
31 March 2009
Number of clients, businesses and economic 1
development organisations assisted through
industry development assistance
2,415
2,876
Estimated value of capital investment generated 2
as a result of targeted investment development
activities in strategic sectors and regions
$408 million
$637 million
Estimated value of new business secured, 3
including exports, and imports replaced as a
result of DTRDI activities in strategic sectors and
local content policy
$67 million
$504 million
Estimated value of expenditure on R&D resulting 4
from DTRDI activities (in private and public
sectors)
Annual Measure
Annual Measure
% of assisted firms reporting improved internal 4
performance due to targeted technology
diffusion activities
Annual Measure
Annual Measure
% of completed business and industry 5
transformation incentives applications assessed
within the specified evaluation period
100%
78%
459 (70%)
707 (73%)
5 (56%)
5 (63%)
7 (26%)
11 (38%)
4
5
Output name: Industry and Regional Development
Number of regional clients and businesses (and
% of total) assisted through:
 information and skills development 6
programs
 business and industry transformation 7
incentives
 innovation program funding
Number of
facilitated
significant
regional
projects
State contribution ($000)
143,308
143,308
8,829
28,879
Other revenue ($000)
150,699
170,232
Total cost ($000)
Notes:
1. The increase between the 2008-09 target and 2008-09 actual is due to some targets being met ahead of
schedule.
2. The increase between the 2008-09 target and 2008-09 actual relates to increased capital investment made in
the Dalby Biorefinery. There has also been an increase in the number of skilled migrants, which has resulted in
an increased capital investment.
3. The increase between the 2008-09 target and 2008-09 actual is primarily due to higher than anticipated Rail
Project Group exports. There was also an increased number of contract wins by Queensland Industry Capability
Network companies.
4. This measure is calculated annually.
5. The decrease between the 2008-09 target and 2008-09 actual relates to two applications being deferred due to
further information being required for decision making. Both were subsequently approved by the Minister.
6. The increase between the 2008-09 target and 2008-09 actual is due to additional one-off workshops being
conducted in the regions in response to the economic downturn.
7. The increase between the 2008-09 target and 2008-09 actual is due to a greater number of high quality
applications being received by the Innovation Skills Fund.
4

2.0 The Department’s operations
2.1 Corporate governance
The Department exhibited commitment to
effective corporate governance and put in
place a hierarchy of governance structures to
provide a framework for achieving corporate
outcomes. The Department took steps to
develop its governance bodies and internal
procedures to improve the organisation’s
culture of inclusiveness.
2.2 Risk management
The
Department’s
risk
management
framework included ongoing development of
a risk register identifying risks (broadly
categorised into three classes — strategic,
business and corporate) and documentation
of the proposed actions to manage those
risks.

The governance bodies described above
were supported by a number of internal
committees including the Consultative
Committee and the Workplace Health and
Safety Committee.
2.4 Planning cycle and benchmarking

The Department engaged in an
annual strategic planning cycle in
which its goals, strategies and
activities were reviewed and adjusted
as required. The activities undertaken
as part of the strategic planning cycle
translated the Department’s highlevel vision and strategies (as
outlined in its Strategic Plan) into the
performance of business units as
outlined in specific business plans.

The Department undertook a range of
benchmarking activities in areas
where this was practical and where
like functions exist in other
jurisdictions. The absence of like
functions in other jurisdictions made
the more widespread use of
benchmarking activities of limited
value.
The framework was incorporated into the
Department’s planning process so that
individual work areas could formally identify
their business risks.
2.3 Risk and audit boards and committees
Taking leadership from the strategic plan
and the Board of Management, a number of
governance bodies operated to develop
resource plans that, in turn, informed the
operational planning undertaken in the
Department.
These bodies included:
 Department Information Steering
Committee (DISC) – comprising
representatives from across the
Department, DISC was responsible for
the development and implementation
of the suite of information
management plans which created the
direction
for
information
management and technology systems
and policies to help staff achieve
outcomes
 Audit Committee – comprising four
senior executives and observers from
the Queensland Audit Office, the
Audit Committee reviewed internal
and external audit recommendations
and directed actions to be
undertaken
following
these
recommendations
Finance Committee – comprising
senior officers of the Department, the
Finance Committee was responsible
for financial governance, budgeting,
reporting and review
Risk Management Committee comprising senior officers of the
Department, the Committee was
responsible for monitoring the
continuing effectiveness of the
Department’s
risk
management
framework and the impact of changes
to its risk profile.
2.5 Public Sector Ethics Act 1994
Under the Public Sector Ethics Act 1994, the
Department was required to provide an
implementation statement giving details of
the actions taken to comply with the Act, in
particular:
 preparation of codes of conduct
 access to ethics principles and
obligations and codes of conduct
 inspection of codes of conduct
 education and training.
5
The Department’s Code of Conduct was
based on the five ethics principles outlined
in the Public Service Act 1994, namely:
1. respect for the law and the system of
government
2. respect for persons
3. integrity
4. diligence
5. economy and efficiency.
In particular, the code outlines appropriate
standards of official conduct and specific
work requirements.
The code of conduct is available to all staff
via the Department’s intranet, and
mandatory online training is conducted
annually.
The code applies to all departmental
employees, whether employed on a
permanent, temporary, casual and part-time
basis.
2.6 Whistleblowers Protection Act 1994
Under the Whistleblowers Protection Act
1994, the Department must report through
its annual report to Parliament on the
administration of the Act. The report is
required to contain reference to the number
of public interest disclosures received and
verified.
There were no public interest disclosures
received by the Department of Tourism,
Regional Development and Industry during
2008–09.
2.7 Queensland Government Privacy Policy
The Queensland Government has introduced
a privacy scheme for Queensland
Government agencies to protect the privacy
of individuals in the delivery of Government
services and conduct of Government
business. The scheme, approved by
Government on 10 September 2001, ensures
public sector agencies respect personal
information pertaining to individuals.
The Government’s policy on privacy is set
out in Information Standard 42 (IS 42) –
Information Privacy.
It gives specific guidelines about how
personal information is to be collected,
stored, used and disclosed by the public
sector. The aim is to protect both electronic
and printed information about individuals
from being misused or inappropriately
modified or disclosed.
The scheme, which is administrative rather
than legislative, is based on privacy
principles that apply to Commonwealth
Government agencies and the private sector
under the Privacy Act 1988 (Cwlth). To form
the basis of the Queensland scheme, 11
Information Privacy Principles have been
adapted
from
the
Commonwealth
legislation.
The Department of Tourism, Regional
Development and Industry’s privacy plan
detailed the Department’s compliance with
the principles and requirements of the 11
Information Privacy Principles.
The Department implemented strategies as
set out in the plan to ensure that efficient
systems and processes are in place to
manage personal information.
The Department’s privacy plan aimed to:
 assist members of the public to
understand how personal information is
managed in the Department and how
they can seek assurance that privacy of
their personal information is maintained
by the Department in its activities
 inform departmental staff who deal with
personal
information
on
the
requirements of Information Standard 42
 provide a strategic overview for achieving
compliance by the Department with the
Queensland
Government’s
administrative privacy regime.
2.8 Shared Services initiative
During 2008-09 the Shared Services Agency
provided finance, human resource, records
management
and
telecommunications
services to the Department of Tourism,
Regional Development and Industry.
The activities of the Shared Service Agency
and CorpTech are reported in the annual
report of the Department of Public Works.
6
2.9 Recordkeeping
The Department continues to sustain sound
recordkeeping practices and strategies
which underpin good corporate governance
and comply with the provisions of the Public
Records Act 2002 and implementation of
Information Standard 40:Recordkeeping.
These include:
 A Corporate Recordkeeping Policy in
place across the Department.
 Recordkeeping guidelines developed and
published to staff on secondary storage
of records, destruction of records, record
systems data entry standards and local
records management procedures.
 Recordkeeping responsibilities included
in all staff induction sessions.
 Training and guidance provided to staff
on:
o records management
o business classification scheme
o document and records management
o roles and responsibilities.
2.10 Workforce Planning, Attraction and
Retention
Key workforce policies







Workforce Profile
o 736 full-time
establishment
equivalent
(FTE)
staff
o 75% permanent retention rate
o 25% permanent separation rate
Workforce planning framework and key
strategies
o The Department continued with the
following programs in 2008-09:
 Management Development
 Practical People Management
 Managing with Confidence.
These programs targeted enhancing
frontline management skills and
workplace culture with officers in the
AO4 - AO8 classifications, and dealt
with issues and challenges facing
managers in the public sector.
These programs sit at the core of
management development skills for
frontline managers and are used as a
base preparation skill for officers
looking to advance within the
Department and wider public sector.

Review and subsequent development
of
contemporary
telecommuting
policy that encompassed formal and
informal arrangements
Developed
a
lactation
break
guideline
to
accommodate
employees returning to work from
maternity leave
Increased awareness of flexible work
arrangements through the whole of
department survey and implemented
pilots in work units
Continued to provide recruitment and
selection training and support to the
department to streamline processes
Reviewed
and
implemented
workplace health and safety policies
including a first aid attendant policy.
Workplace health and safety(WHS)
has continued to ensure safe work
practices through:
o WHS Committee
o Workplace audits
o Ergonomic
workstation
assessments
Activate corporate health program
provided free influenza vaccination
for all employees.
The Department continues to provide
advice and assistance to employees
and managers on industrial relations
matters and is participating in the
enterprise bargaining process with
employees and unions to negotiate a
new Queensland Government Core
Agreement.
2.11 Executive Management
Board of Management
The Board of Management comprised the
Director-General, the two Deputy DirectorsGeneral, the Assistant Director-General
(Corporate Services) and the Executive
Director,
Regional
Development
and
Services, and generally met weekly during
2008–09.
The role of the Board of Management was to
provide leadership and strategic direction to
the Department, with a specific focus on
ensuring consistency across the Department
in its dealings with all stakeholders.
7
The Board:
o reviewed
and
approved
the
Department’s:
 organisational structure
 strategic and operational plans
 policies and procedures
 delegations
 leadership development
 Code of Conduct
 annual budget
o monitored and reviewed:
 reports from committees
 the Department’s performance.
o Risk
Management
Committee
—
comprising senior officers of the
Department, the Risk Management
Committee
was
responsible
for
monitoring the continuing effectiveness
of the Department’s risk management
framework and the impact of changes to
its risk profile.
Extended board meetings were held on a
monthly basis to include all of the
Department’s senior executive officers.
These meetings facilitated a more strategic
level of communication among the
leadership of the Department.
2.12 Interpreter Service Statement
Governance bodies
Taking leadership from the strategic plan
and the Board of Management, a number of
governance bodies have operated to
develop resource plans that have, in turn,
informed
the
operational
planning
undertaken in the Department.
These bodies include:
o Department
Information
Steering
Committee
(DISC)
—
comprising
representatives
from
across
the
Department, DISC was responsible for
the development and implementation of
the suite of information management
plans which create the direction for
information management and technology
systems and policies to help staff
achieve outcomes
o Audit Committee — comprising four
senior executives and a representative of
the Queensland Audit Office, the Audit
Committee reviewed internal and
external audit recommendations and
directed actions to be undertaken
following these recommendations
o Finance Committee — comprising senior
officers of the Department, the Finance
Committee was responsible for financial
governance, budgeting, reporting and
review
The governance bodies described above are
supported by a number of internal
committees including the Consultative
Committee and the Workplace Health and
Safety Committee.
The
Queensland
Government
is
committed to providing accessible
services to Queenslanders from all
culturally and linguistically diverse
backgrounds. If you have difficulty in
understanding the final report, you can
contact us on (07) 3224 5786 and we will
arrange an interpreter to effectively
communicate the report to you.
2.13 Public availability of the Final Report
The Department of Tourism, Regional
Development and Industry’s 2008-2009
Final Report includes financial and nonfinancial performance and activities from
1 July 2008 to 31 March 2009.
The information contained in this
publication is intended to meet the needs of
the Department’s key stakeholders and
clients including Members of Parliament,
Government agencies, business and
industry, professional and community
associations and groups, and staff of the
former Department of Tourism, Regional
Development and Industry.
An electronic version of this Final Report can
be accessed online at www.dtrdi.qld.gov.au
8
3.0
Queensland’s
performance


economic
Queensland’s estimated resident
population increased by 2.5%
between September 2007 and 2008,
reaching 4.32 million people.
Population growth has traditionally
been a driver of economic growth for
Queensland.
Through most of 2008, record high
prices for mining commodities fuelled
Queensland’s economic growth. This
occurred not only in south-east
Queensland,
but
also
in
Queensland’s regions.

The global economic downturn has
exerted increasing pressure on the
Queensland economy since late
2008.

After peaking in October 2007, the
value
of
equity
stocks
of
Queensland’s trading partners had
halved by March 2009. The collapse
of asset prices contributed to raising
the cost of borrowing, leading to a
credit crunch, making the climate
less favourable to investments which
would normally fuel economic
growth.

The International Monetary Fund
projects world economic growth will
contract by 1.3% in 2009 – the lowest
rate since the World War II1.

Unemployment
in
Queensland
climbed from 3.7% in July 2008 to
4.7% in March 2009, in trend terms.

All of Queensland’s trading partners
have experienced severe downturns
in economic activity, which is
affecting demand for our major
exports. World prices for Queensland
export metal commodities have
dropped significantly since 2007-08.1

Falling global demand for minerals
has impacted Queensland’s resource
sector. Over 5,500 mining jobs have
been lost in regional Queensland
since October 2008.

Construction activity has been
decreasing, with the average number
of monthly dwelling construction
approvals going from nearly 3,800 in
2007-08 down to below 2,400 for the
first eight months of 2008-09, using
seasonally adjusted data.

Annual growth in the value of major
investment projects in Queensland
has slowed from 26.6% in March
2008 to 5.4% in March 2009.

Tourism has declined as Australian
and international visitors reduced
their travel, faced with employment
and
income
uncertainties.
International
visitors,
domestic
overnight visitors and day-trippers
have all declined in numbers in the
year to December 2008.
1
Source: Office of Economic and Statistical Research,
Queensland Treasury, Experimental Estimates of Gross
Regional Product, Real gross regional product, Chain volume
measures ($m, 2005–06), Queensland, 2000–01 and 2005–06.
1
Source: IMF, World Economic Outlook, 22 April 2009.
1
Source: ABARE, eMarketMonitor, 23 April 2009. Using
average prices for 2007-08 and year-to-date average prices for
2008-09.
9
4.0 Organisational structure as at 26 March 2009
10
5.0
Science,
Innovation
Technology
and
Profile
The Science and Technology Group
comprised:
 Science Infrastructure and Engagement
 Science Policy and Commercialisation
 Technology and Emerging Industries.
The Group aimed to influence the
transformation of the Queensland economy
by working with leaders in business, science
and
technology,
and
implementing
internationally-significant initiatives.
The Group delivered substantial initiatives
under the Queensland Government’s Smart
State and Towards Q2 strategies to maximise
economic,
environmental
and
social
performance including:

expanding
world-class
science,
technology and research capabilities
and aligning them to Queensland’s
economic, social and environmental
priorities

developing
new
and
emerging
knowledge-based industries

assisting Queenslanders to participate
in the knowledge economy

increasing community and industry
awareness of, and engagement with,
science and technology.
The Group’s responsibilities included
delivering:

strategic research, policy and program
development and facilitation to support
increased
productivity
and
competitiveness through research and
development, commercialisation and
business improvement

planning and development of new
infrastructure to grow Queensland’s
science capabilities and programs to
increase awareness of the importance
of science to the State’s future

transformation of the Queensland
economy, through investing in skills,
creativity and innovation, and research
alliances and partnerships; and working
with industry leaders to develop key
sectors for Queensland.
The Group also provided support to the
Queensland Chief Scientist, a position
established by the Queensland Government
to ensure that State’s investment in science
pays dividends in terms of social wellbeing,
economic growth and the protection of our
natural environment. This was until the
Queensland Chief Scientist role, branch and
functions were moved to the Department of
the Premier and Cabinet from 1 February
2009.
These outcomes were focused on creating
jobs in new industries, as well as sustaining
and growing employment and exports in
Queensland’s traditional industries.
The Group worked closely with other areas of
the Department, other Government agencies
and external stakeholders to develop
policies, plans and strategic initiatives to
ensure the Smart State and Towards Q2
economic development outcomes were
achieved.
11
Key Achievements
5.1 Science Infrastructure and Engagement
Science Infrastructure
 Progressed the development of the
Ecosciences Precinct and the Health
and Food Sciences Precinct from
planning to start of construction
 Supported the completion of planning
of the Smart State Medical Research
Centre and the Smart Therapies
Institute
in
preparation
for
subsequent construction
 Assisted Vision Australia to prepare
and
submit
a
development
application for its proposed new
Brisbane headquarters.
Science Precincts
 Progressed the development of the
Smart Community concept in several
locations including the Brisbane
Knowledge Corridor, Townsville Smart
Community and Griffith Smart
Community (Nathan).
Science Partnerships and Engagement

Launched the Talking Scientists
program and the 2009 Science on
Saturday programs.
Innovation Funds

Launched the $80 million Smart
Futures Fund:
o conducted
information
sessions around the State for
over
200
prospective
applicants
o attracted 187 applications
o completed scientific, economic
and other assessments.

Developed and launched the
following funding programs to
support
early
stage
commercialisation of ideas, as part
of the launch of the Smart Future
Funds:
o Proof of Concept
o Commercial Fellowships.

$3.3
million
allocated
for
International Fellowships as part of
the total package of Innovation
funds in the 2008-09 budget,
currently managed by International
Collaborations.
5.2 Technology and Emerging Industries
Office of Biotechnology and Therapeutic
Medicines and Devices

Attended NZBio 09 in Auckland,
New Zealand from 9 to 11 March
2009. Working in collaboration with
Queensland Clinical Trial Network
(QCTN), over 15 Queensland
businesses and research institutes
attended the conference seeking out
new
research
and
business
opportunities

Coordinated a successful visit to
Queensland by the North American
Biotechnology Delegation led by the
Trade
Commissioner
for
the
Americas the Honourable Peter
Beattie; and followed this success
by presenting a strong presence at
the AusBiotech National Conference
in Melbourne, in October 2008

Established the first QueenslandWashington Advisory Council webbased collaboration portal to help
accelerate the expansion of research
and development projects between
Queensland and Washington State,
USA

Facilitated:
o four
forums
in
the
biotechnology and medical
devices industry
o four
forums
in
the
pharmaceutical
and
nutraceutical industry
These forums promoted dialogue
and actions within the industries to
aid in the development of
Queensland’s life science sector.
12
Enabling Technologies
 ICT Sectoral Development
- Facilitated a range of industry
development events and seminars
aimed at building capability within
ICT firms and promoting the
uptake of ICT as an enabler across
all sectors of the economy. This
included:
 the highly successful Next
Generation
Mining
Technology Seminars which
attracted 1,120 participants
 monthly
Partners
in
Technology briefings
 CollabIT
business
skills
workshops
 regional
ICT
Factor
Conferences
in
Cairns,
Townsville, and Mackay.
- Ongoing support provided by the
Government’s investment in three
ICT research institutions including:
 Australian e-Health Research
Centre
(AeHRC),
which
conducts
high-quality,
applied research, aiming to
improve the quality and
safety of health care for
individuals and communities
 the Queensland node of
National
ICT
Australia
(NICTA), which carries out
research into anti-terrorism
and public safety through the
Smart
Applications
for
Emergencies (SAFE) program
–
particularly
wireless
communications
networks
and intelligent surveillance
 Queensland
Cyber
Infrastructure
Foundation
(QCIF) – high-performance
computing network, which
provides access to the highperformance
computing
infrastructure that is critical
to carrying out efficient and
timely
research
and
development
both
in
Queensland and nationally.
 Environmental Technologies and
Emerging Industries
- Commenced a nanotechnology
discovery program to highlight to
Queensland's
key
industry
sectors
and
the
broader
-
-
-
community the potential uses
and benefits of this enabling
technology
Highlighted
Queensland's
nanotechnology expertise and
achievements during the annual
Science in Parliament event on
28 August 2008 and at the
annual Nano Tech International
event in Tokyo, Japan from 18 to
20 February 2009
Produced
a
Queensland
nanotechnology
expertise
publication
Published
the
Queensland
Environment Industry Capability
Directory to profile the State’s
extensive
and
diverse
environmental industry
Implemented the environmental
technology and services action
plan, including delivery of the
Cleantech Enterprise Pipeline to
assist
clean
technology
companies to access capital and
resources for growth.
Creative Industries

Attended the Venice Architecture
Biennale September 2008 and
promoted HEAT, Queensland's new
wave of environmental architects.
Attendance at this highly-successful
international event led to significant
media coverage in Spain, France,
United Kingdom, Italy, United Arab
Emirates, Turkey, China, Romania
and Singapore, at an estimated
value of $600,000. HEAT is a major
initiative responding to international
demand
for
Queensland's
architectural services and aimed at
increasing
export
sales
of
Queensland's architectural and
related design services

Benchmarker - a unique business
analysis tool - captured previously
unknown business data about
Queensland's architectural sector.
This is the first time a government in
Australia has captured accurate,
timely data about the creative
industries

Developed a design capability
program to make Queensland
businesses
globally-competitive
through design to be delivered from
July 2009 to June 2012.
13
5.3 Science Policy and Commercialisation
Office of the Queensland Chief Scientist

Formed and chaired the first
meeting of R&D Queensland, a
whole-of-Government committee to
integrate
the
Government’s
investment in R&D with its Towards
Q2 ambitions and R&D priorities.
The committee aims to achieve
increased
collaboration
and
coordination of the R&D activities
across Government.

Coordinated the preparation of two
major Smart State Council Reports
to Government:
- Attracting
investment
into



Queensland’s knowledge-intensive
industries
- Queenslander’s tackling chronic
disease:
becoming
Australia’s
healthiest State
Chaired the Ministerial Advisory
Committee on Science, Technology,
Engineering
and
Mathematics
Training and Education (STEM) to
assist in the development of a 10year plan for STEM education
Provided
advice
in
the
establishment and funding of the
Government’s Q-Tropics initiative
and chaired the independent body,
TropLinks
Promoted Queensland science and
research in a range of public forums
and through other activities such as
Science in Parliament.
Research and Development

Held R&D forums and technology
clinics to increase uptake of R&D
technological innovation in regional
industry

Launched the $80 million Smart
Futures Fund:
o conducted eight information
sessions around the State to
more than 200 prospective
applicants
o attracted 187 applications by
28 November 2008

Conducted information sessions
through
regional
centres
on
Innovation Funds to more than 200
prospective
applicants.
This
resulted in regional business
gaining a better awareness of the
various funding programs available
to grow their business.
Science Strategy

Launched the Q-Tropics Strategy in
October 2008. The Q-Tropics
Strategy is now being implemented
and provides over $20 million, over
four years to develop and grow
Queensland’s expertise in tropical
science, design, agriculture and
managing the environment





Developed and launched the
following funding programs to
support
early
stage
commercialisation of ideas, as part
of the launch of the Smart Future
Funds:
o Proof of Concept
o Commercial Fellowships
Coordinated the engagement of a
Commercialisation
Manager
at
James Cook University to drive the
commercialisation
of
tropical
science and research
Leveraged
a
Commonwealth
Government investment of $9.44
million through the National
Collaborative
Research
Infrastructure
Strategy
into
Queensland R&D institutes
Coordinated and authored a wholeof-Government response to:
o the Australian Government
review
of
the
National
Collaborative
Research
Infrastructure
Strategy
Roadmap
o the Smart State Council Report
Fusion – Activating a Research
and Business Development
Culture in the Smart State
Prepared
the
Queensland
Government’s
submission
and
ongoing follow-up activities to the
National Innovation Systems Review
14

Developed and implemented the
Queensland
Innovation
Measurement Framework to assess
impacts of Queensland innovation
programs and activities.
o the National Researchers-inBusiness programs, totalling
approximately $330,000 per
annum, for one year with the
option to extend for an
additional two years.
Technology and Commercialisation

Launched
the
$1.4
million
Queensland-wide
Innovation
Network program including the
Innovation Toolbox. This program
provides coordination of the
network of innovation support
services,
innovation
coaches,
regional innovation support funding
and the online directory of programs
and services to support businesses
to uptake research, development,
technology and innovation

Coordinated the opening of the Gold
Coast Innovation Centre with five
initial clients receiving incubation
and support services, including two
virtual clients

Delivered commercialisation advice
and support to companies through
the services of i.lab, Innovation
Centre Sunshine Coast and Gold
Coast Innovation Centre

Assisted the Australian Institute for
Commercialisation to implement
commercialisation support through
market research, commercialisation
advice-based
services
and
education
programs
for
entrepreneurs and researchers

Provided support including funding
for the Australian Institute for
Commercialisation to implement
programs
for
the
research
community, Government and earlystage and established technologyfocussed businesses

Supported the Australian Institute
for Commercialisation to secure
contracts with:
o the Australian Government to
deliver
complementary
services for the National Clean
Energy Innovation Centre,
totalling approximately $2.145
million, over 2.25 years with
two options to extend a further
two years
15
6.0
Industry,
Development
Investment
and
Key Achievements
6.1 Commercial and Policy
Profile
The role of Industry, Investment and
Development Group was to drive an
integrated approach to developing smart
growth industries and businesses which
deliver investment, job creation and
economic benefits throughout Queensland.

Strategic Policy
-
The Group comprised:
 Commercial and Policy
 Manufacturing and Investment
 Migration and Skills Recruitment
Queensland
 Regional Development and Services
 Tourism, Food and Wine Industry
Development.
The Group helped to deliver the Department’s
strategic objectives by:
 providing specialist and high-quality
advice on industry development and
investment policy and projects
 driving programs and delivering services
to support targeted sectors, priority
industries and small business to
maximise
employment,
regional
development, investment and innovation
 fostering
the
development
of
internationally-competitive industries in
Queensland
through
investment
attraction, industry support initiatives
and business-related activities
 ensuring the Group’s outputs were
effective and relevant to Queensland
business and industry and other
stakeholders
through
continuous
improvement of systems and processes
 providing cross-Government leadership in
industry development and investment
and engaging effectively with all
stakeholders.
-
-
-
Initiated the Carbon Outlook project
to inform and prepare business,
industry and the regions for the
economic risks and opportunities of
climate change:
 Carbon Outlook is a joint project
between the Department, the
Department of Environment and
Resource Management and
KPMG
 The aim is to uncover real
information of the impact of the
Carbon Pollution Reduction
Scheme (CPRS) on Queensland
business through an on-theground carbon assessment of 51
firms from seven sectors
(manufacturing,
food
processing,
tourism,
retail,
building
and
construction,
transport and aviation) and
throughout Queensland regions
 This included an analysis of
potential
clean
technology
opportunities available to firms,
as well as an assessment of the
industry development barriers
and business opportunities for
Queensland’s cleantech industry
Coordinated the departmental input
to whole-of-Government initiatives
such as the State of the Environment
Report 2007, Smart Energy Savings
Program and Renewable Energy
Fund, reviews of the Integrated
Planning Act and environmental
legislation, ClimateSmart initiatives
and responses to issues papers
from the Garnaut Climate Change
Review
Opened a positive dialogue on
barriers to economic growth and
productivity
with
industry
associations
Produced
economic
and
demographic
profiles
of
Queensland's regions
16
-
Provided briefs and analysis on
economic and financial issues,
including the ongoing monitoring
and analysis of the impacts of the
economic
downturn
on
the
Queensland’s economy
Conducted analysis of Queensland’s
mining regions in the context of
falling commodity prices
Prepared and delivered a number of
presentations on the economic
outlook for Queensland and its
industry sectors
Produced briefs on State and
Federal budget impacts
Produced quarterly issues of
Strategic Highlights and monthly
issues of Queensland Key Economic
Indicators to inform the Department
of key strategic economic and
industry trends
Coordinated the Sector Managers’
Forum to support departmental
sector managers in identifying and
addressing issues of mutual interest
Conducted the consultation and
analysis for the Director-General’s
DTRDI strategic positioning project.
-
-
-
-

Commercial Advisory Services
-
Economic Advisory
Completed
14
economic
evaluations
under
the
Queensland Industry Investment
Scheme
 Completed
37
economic
assessments
of
Innovation
Project Fund proposals
 Completed eight BITI project
analyses
 Completed three economic and
financial evaluations for major
projects
 Completed 27 regional analyses
and reports
 Completed 25 sectoral/ industry
analysis projects
 Completed five Vital Signs
publications which analysed the
latest economic and social data
to provide evidence and analysis
to better manage and support
the regions’ future growth. Two
of these (Cairns and Mackay)
have already been released
 Completed
detailed
socioeconomic assessment reports:


to aid in long-term planning
around the development of
energy opportunities in the
Surat Basin

to assist the Springfield
Land
Corporation
in
developing the Greater
Springfield
Regional
Economic
Development
Plan.
- Commercial Assessment
 Completed and delivered:

127
internal
due
diligence/commercial
advice
activities
for
departmental
financial
assistance programs

82
external
due
diligence/commercial
advice
activities
for
external
Government
agencies
 Managed the Foreign Investment
Review Board (FIRB) secretariat
function
and
completed
assessments
of
48
FIRB
proposals
for
whole-ofGovernment.
- Agreement Advisory
 Proactively managed over 152
funding
agreements,
the
approved value of which is
almost $700 million, ranging
from
major
infrastructure
projects to innovative research
and development projects
 Provided
agreement
development
services
and
advice to departmental and
cross-Government
clients
regarding agreement formulation
 Contributed to the establishment
and management of the Airline
Incentives Scheme, totalling $1.5
million to support airline routes
that may replace visitors lost
because of route cuts.
17

Governance
-
Conducted a review of the BITI
scheme:
 after one year in operation the
scheme
was
operating
successfully
 grant processing times have
been halved
 private sector funding for each
taxpayer dollar granted was
double that of previous industry
schemes
- Processed in excess of 130
detailed data requests on the suite
of departmental funding programs
for critical Government responses.
6.2 Manufacturing and Investment










Engaged over 1,500 manufacturing firms
in technology diffusion and process
improvement programs which were
delivered through the Department’s
partnership with QMI Solutions, achieving
a benefit of $33.9 million for assisted
companies
In partnership with QMI Solutions,
established best practice syndicates in
the tooling and marine sectors, providing
targeted assistance to mitigate impacts of
the economic downturn
Supported Queensland firms through the
Industry Capability Network in winning
over $200 million of contestable
contracts on major projects under the
Local Industry Policy and $120 million
worth of contestable contracts on private
sector projects
Developed and commenced delivery of
workshops
on
manufacturing
improvement
and
major
project
opportunities for 12 centres Statewide,
and delivered tendering for Government
business seminars to over 700
businesses
Expanded delivery of Industry Pipeline
programs in priority sectors including
advanced
manufacturing,
biotech,
cleantech, ICT, creative industries and
tourism, and established mentoring
programs and networks in the Wide Bay
Burnett
region
and
a
business
development investment network in
Cairns
Partnered with the Australian Technology
Showcase and Trade Queensland to
support Queensland’s ImpediMed in
winning the 2009 Innovation Shoot Out in
San Francisco
Attracted Composites Australia’s National
Fibre
Composites
Conference
to
Queensland for the second successive
year
Assisted the superyacht industry in
working with the Australian Government
across a broad regulatory regime
including successful introduction of a
Sub-Class 488 superyacht visa
Invest Queensland continued to focus on
attracting investment and employment
opportunities to Queensland
In 2008-2009, six 1 companies entered
into performance-based agreements with
the Government which are estimated to
create and retain 1,050 existing
Queensland jobs 2 and involve over $70
million in proposed capital expenditure in
Queensland. The total amount of funding
committed under formal agreements
executed for these projects was $3.075
million. Recipient firms and associated
projects are identified below.
 Rio Tinto Aluminium Limited
In 2010, global aluminium producer Rio
Tinto Aluminium Limited will consolidate
the majority of its Australian bauxite and
alumina R&D activities to a single
Brisbane location. The decision by the
company to relocate its Primary Metals
Technology Centre from Victoria to
Brisbane has resulted in the retention of
15 existing Queensland jobs, and is
expected to create 44 new jobs.
 TextOre Australasia Pty Ltd
US-owned
IT
company
TextOre
Australasia has established a world-class
Information Refinery® in Queensland to
service Australia and the Asia Pacific
Region. The attraction of this company is
expected to create 74 new jobs.
Attracting TextOre to Queensland
supports the Queensland Government’s
Smart State and Invest Queensland
strategies and assists in building
Queensland’s competitive advantages in
the well-established ICT industry.
1
2
Up to 25 March 2009
Full-time equivalent jobs
18
 P&M Quality Smallgoods Pty Ltd
(trading as Primo Smallgoods)
Primo Smallgoods will establish an
integrated food processing plant at
Wacol. This project has resulted in the
retention of 253 existing Queensland jobs
and is expected to create 425 new jobs
and generate approximately $69 million
in capital investment. This significant
project is another important addition to
the key industry sector of processed
foods within Queensland.
 Tasman
Aviation
Enterprises
(Queensland) Pty Ltd
Tasman
Aviation,
an
aerospace
engineering services company, has
relocated its deeper engine maintenance
facility from New Zealand to Amberley.
The relocation of this facility to
Queensland has resulted in the retention
of 97 existing Queensland jobs and is
expected to create 73 new jobs. This
strategic project contributes to the
development of the growing aviation and
aerospace
industry
cluster
in
Queensland.
 Interturbine Advanced Composites
Pty Ltd
Interturbine Advanced Composites, an
importer of specialty composite materials
for the aircraft and composites industries,
has relocated its national headquarters
and logistics facility from Wollongong to
Brisbane’s northern suburbs. The
attraction of this company to Queensland
is expected to create 22 jobs and
approximately $570,000 in capital
investment. This project aligns with
strategic
Government
objectives,
including the Aviation Action Plan, and
further contributes to the development
and strengthening of the aviation and
composite
materials
sectors
in
Queensland.
 Tantalus Media Pty Ltd
Tantalus Media Pty Ltd, one of the world’s
leading independent electronic games
development studios, is establishing an
electronic games development studio in
Queensland. This project is expected to
create 47 new jobs. The attraction of this
operation to Queensland supports
several key Government priorities
including more jobs for Queenslanders
and Skilling Queensland.
6.3 Migration and
Queensland (MSRQ)










Skills
Recruitment
Sponsored 208 business migrants, who
are expected to invest up to $349 million
in Queensland and create more than 700
jobs. MSRQ also nominated 512 skilled
migrants for skilled sponsored visas to
target skill shortages
Updated Queensland’s Eligible Skills List
for the nomination of skilled migrants
using a Skills-in-Demand tool developed
in collaboration with the former
Department of Education, Training and
the Arts
Established
a
whole-of-Government
Strategic Skills Attraction Reference
Group to provide strategic direction for
skills
attraction
and
recruitment
initiatives
Developed a whole-of-Government policy
position on key migration issues and
temporary work visa issues, particularly
457 visa policies
Influenced national migration policy and
procedures through representation on the
Commonwealth State Working Party on
Skilled Migration, a working group of the
Ministerial Council for Immigration and
Multicultural Affairs
Enhanced the useability of the Work Live
Play website and developed a suite of
targeted migration marketing collateral to
strengthen Queensland’s reputation as a
leading business and skilled migration
destination
Participated in eight international
attraction activities including four
international
expos/events,
two
international teleconferences and one
international marketing campaign. These
activities gave direct access to over
35,000 business and skilled migrants and
attracted 749 expressions of interest to
migrate to Queensland
Took part in four intrastate activities and
one interstate attraction campaign
including information seminars, delivered
to newly-arrived business migrants
Conducted 12 discussion forums in
Southeast and regional Queensland to
research the needs of employers and the
settlement needs of skilled and business
migrants
Re-established the Department’s Skills
Network to coordinate skills-related
issues and activities.
19
6.4 Regional Development and Services



Regional Development and Services
Division coordinated the establishment
and implementation of 11 Rapid Response
Teams across the State to support
retrenched workers in sectors such as
mining, transport, manufacturing and
services in the transition to new
employment
Six regional Centres of Enterprise (CoE)
were established in key areas of industry
strength, to seize upon new opportunities
for economic growth unique to regional
Queensland. Twelve industry sectors
have been identified, and stakeholder
action plans have been developed and
implemented
The CoE initiative is delivering tangible
outcomes for business and industry, and
specific results across the reporting
period included:
 a business matching project in Cairns,
helping SMEs with tropical expertise to
establish consortia, bid for, and win
contracts in new international markets
 80 applications have been received for
the superyacht visa (multi-entry visa
scheme). It facilitates crew entry and reentry into Australian waters which was
difficult to achieve previously limiting
superyacht visitation
 Genalysis, an analytical mineral
laboratory service, has opened a
Townsville facility with 50 staff expected
in two years
 Mackay companies and Mackay Area
Industry Network are using a
consortium-based approach to capture
international procurement contracts for
design, construction and maintenance
of major mining equipment
 $2
million
in
capital/internal
investment has been generated in
Fitzroy as a result of the Central
Queensland Manufacturing Regional
Alliance
 Assisted Russell Mineral Equipment
from Toowoomba to win a $5 million
export contract to China.
 Wide Bay Burnett showcased its
potential as a testing and training
facility for unmanned aerial vehicles
(UAV) to domestic and international
visitors at the annual UAV Challenge:
Outback Rescue in Kingaroy




 Story Fresh Farms, a fresh lettuce
supplier, received a grant for technology
adoption to increase productivity and
improve quality and shelf-life of lettuce
Negotiated with regulatory authorities on
behalf of 12 major project proponents to
provide solutions and outcomes that
support sustainable development
Facilitated investment in the Dalby Bio
Refinery to the value of $130 million
Assisted over 110,000 clients through a
range
of
channels
with
skills
development,
business
planning,
business licensing and business start-up
and development
Delivered programs and services to
support
industry
and
business
development throughout the State to over
9,000 attendees, with 85 per cent
regional representation.
6.5 Tourism, Food and Wine Industry
Development





Continued implementation of the 10-year
Queensland Tourism Strategy (20062016) with one third of the 100 actions
completed, and over 70 per cent of the
remaining
actions
progressing
in
accordance with Strategy timelines
Finalised the external review of the
tourism network, undertaken by the
Stafford Group, which examined the
industry’s governance structures, roles
and
responsibilities,
coordination,
partnerships and relationships, skill gaps
and development opportunities. The
review presented a range of conclusions
and recommendations on Queensland’s
existing network
Launched the Queensland Processed
Food Sector Action Plan to emphasise the
Queensland Government’s focus on the
State’s largest manufacturing sector.
Implementation of the plan continues
Launched the Queensland Aquaculture
Industry Development Directions 20082012 document to improve sustainable
growth in the aquaculture industry
Facilitated approximately $1 million of
State Government-approved grants into
the food manufacturing industry, across
various sub-sectors and regions, through
the Department’s Business and Industry
Transformation Incentives scheme
20





Promoted
industry
innovation
by
sponsoring the national Food Innovation:
Emerging Science, Technologies and
Applications (FIESTA) Conference, in
Brisbane (17-18 September 2008)
Promoted Queensland food via a range of
sponsored events and promotional
activities:
 hosted a Queensland Government
display for 23 Queensland food
companies at the Good Food and
Wine Show in Brisbane on 9-11
November 2008
 produced and sold approximately
1,000 ‘Taste of Queensland’ bags
featuring
Queenslandmanufactured food at the 2008
Ekka
 sponsored the 2008 Australasian
Aquaculture
Conference
in
Brisbane, 3-6 August 2008
 hosted a value-adding industry
information session in Cairns on 8
August 2008
 hosted
three
eco-efficiency
workshops specifically for the food
industry in Brisbane, Toowoomba
and Stanthorpe.
Conducted the 2008 Wine Industry
Business Development Conference to
support wine industry business growth
Boosted the profile of the Queensland
wine industry through participating and
supporting industry involvement in
targeted wine events, exhibitions, trade
shows and festivals across Queensland
Successfully
negotiated
with
the
Department of Education, Employment
and Workplace Relations for an expanded
Indigenous
Economic
Development
Officer network to cover the areas of
Townsville, Mt Isa, Rockhampton,
Toowoomba,
Mackay,
Caboolture,
Bundaberg, Ipswich and Cairns.
21

7.0 Corporate Services
Profile
The Corporate Services Group supported the
Department on a range of corporate matters
including
administration,
corporate
governance, human resources, marketing
and communications, financial management,
media and events, technology and
information management and legal advice.
Branches that comprise the Corporate
Services Group are:
 Corporate Communications
 Corporate Support
 Finance
 Human Resources
 Legal Services
 Media and Events
 Technology
and
Information
Management.
7.2 Corporate Support







Key achievements
7.1 Corporate Communications







Developed over 30 communication
and marketing plans for business
units, projects and events
Made
706
updates
to
the
Department’s online content, which
was read by more than 2.6 million
website users
Designed 303 pieces of marketing and
communication material
Continued to utilise and develop ecommunication activities through the
Department’s Vision6 email marketing
technology, developing more than 120
pieces of electronic collateral. Use of
this technology is heightening the
standard
of
departmental
emarketing, resulting in accurate client
data and cost savings
Produced a number of externallyfocused publications including the
Annual Report and Budget Highlights
document
Assisted the Department to deliver
strategic advertising campaigns for
targeted industry sectors and major
initiatives
Updated communications procedures
to streamline workflow and design
process
Managed significant addition of new
images and further development of a
library of more than 17,000 images
specific to the Department’s regional
and industry client base.








Prepared the Department’s strategic
plan 2009 -2014
Facilitated the development of the
Department’s
2008-09
business
planning process
Coordinated
updates
to
the
Department’s election commitments
Reviewed and updated the corporate
risk register and the Department’s key
performance measures
Facilitated the development of nonfinancial reporting data
Reviewed, updated and implemented
the Department’s business recovery
plan
Provided input into the review of
whole-of-Government
project,
program and portfolio management
content
for
the
Queensland
Government Chief Information Office
Evaluated the Department’s 2007-08
multicultural
performance
and
developed the 2008-09 Multicultural
Action Plan and 2007-10 Disabilities
Services Plan
Developed the Department’s Influenza
Pandemic Plan
Developed the policy and guidelines
for the Department’s Complaints
Management System
Completed all scheduled audits on
the 2007-08 Audit Plan and reported
the results the Audit Committee
Completed a telecommunications
audit
Developed the Strategic Energy
Management Plan to reduce energy
consumption in specific departmental
accommodation
Continued to apply strategies under
the
Department’s
ClimateSmart
Implementation Plan to reduce vehicle
CO2 emissions. The December 2010
target of 13.2% has already been
achieved
Continued working closely with
suppliers and the Department’s
drivers to encourage the use of
ethanol-blended fuel
22


Commenced a project to enable the
implementation of the whole-ofGovernment
Travel
Management
System in the Department in July 2009
Ensured that the accommodation
needs of the Department in Brisbane
and the regions were met in a costeffective manner.




7.3 Finance




Continued to review budget processes
to
facilitate
improved
budget
forecasting
Refined the whole-of Government
financial system
Undertook enhancements to the
Grants Administration System to cater
for a new web-based reporting
program
Continued to refine financial reporting
processes in order to meet a tight
reporting timetable.
7.4 Human Resources






Reviewed
leadership
and
management development programs
Updated and implemented the
Workplace Health and Safety structure
and trained Workplace Health and
Safety Officers
Undertook
equal
employment
opportunity and workforce diversity
initiatives, which were well attended
Updated recruitment and selection
tools and processes and implemented
training offered
Reviewed the Graduate Development
Program
and
implemented
recommended changes
Implemented a reviewed mentoring
program.


Held two Download staff information
sessions
Produced nine issues of dNews, the
Department’s staff newsletter
Attracted five business events to
Queensland
Developed and maintained the
Promotional Opportunities Database
to record events and promotional
activities for the Department
Identified,
evaluated
and
implemented seven sponsorship
agreements
Leveraged and communicated 24 key
business events.
7.7 Technology and Information Management



Implemented an in-house, centralised
ICT service delivery model, from a
predominately out-sourced and decentralised
model,
achieving
significant cost savings for the
Department
Successfully
transitioned
departmental users, ICT servers and
network infrastructure from Mincom
into CITEC in accordance with the
whole-of-Government
technology
consolidation direction
Developed innovative, cost effective
business
applications
utilising
Microsoft SharePoint for Records
Management and Correspondence
Tracking.
7.5 Legal Services

Provided timely and accurate legal
advice to minimise legal risk to the
Department.
7.6 Media and Events




Drafted 430 media releases
Prepared 110 speeches
Prepared 55 Ministerial statements
Produced one issue of Growing
Queensland magazine
23
8.0 Statutory obligations and Acts
administered
Acts administered by the former Minister for
Tourism, Regional Development and Industry
on behalf of the former Department of
Tourism, Regional Development and Industry
were:
 Tourism Queensland Act 1979
 Traveller
Accommodation
Providers
(Liability) Act 2001
 Biodiscovery Act 2004
 Gene Technology Act 2001
Only certain aspects of the former
Department
of
Tourism,
Regional
Development and Industry’s operations were
covered by legislation.
Under the Tourism Queensland Act 1979,
Tourism Queensland was established as a
statutory authority to facilitate the
promotion, marketing and development of
tourism and travel to, and within
Queensland.
The specific functions of
Tourism Queensland include:
 promoting and marketing Queensland as
a tourism destination, both domestically
and internationally
 developing Queensland's tourist and
travel industry
 making tourism and travel arrangements
 the provision of tourism and travel
information services.
The Traveller Accommodation Providers
(Liability) Act 2001 was introduced to
mitigate some of the harsh consequences of
this outdated legal doctrine. Under an
ancient common law legal doctrine known as
‘innkeepers
liability’,
a
traveller
accommodation provider (innkeeper) is
strictly liable for the loss of a guests’
property, even if it is not their fault. The Act
does this through limiting the strict common
law liability of traveller accommodation
providers to $250 per room, or up to $50,000
if safe custody facilities are provided.
In encouraging growth of the State’s
biotechnology industry, the Queensland
Government has put in place legislative
frameworks to ensure that activities in the
sector occur within a strong and transparent
ethical regulatory environment.
The Biodiscovery Act 2004 aims to ensure
biodiscovery activities in the State are
undertaken in a sustainable manner whilst
returning a fair and equitable benefit to the
community. The latter is achieved through
contractual Benefit Sharing Agreements
which the Minister enters into with entities
using native biological resources for
biodiscovery where those resources have
been sourced from State land or Queensland
waters. Sustainable access to the State's rich
biodiversity is achieved through a permitting
regime administered by the Environmental
Protection Agency.
The Gene Technology Act 2001 is
Queensland's component of the national
regulatory scheme which has been put in
place to assess and manage any risks to
human health and the environment
associated
with
genetically
modified
organisms. The Queensland Act largely
mirrors the Commonwealth legislation and
increases the coverage of the national
scheme to include Queensland Government
agencies and higher education institutions. A
recent independent statutory review of the
Queensland
legislation
has
led
to
amendments introducing emergency powers,
giving the Minister the ability to expedite the
approval of a company dealing with a
genetically-modified
organism
in
an
emergency.
The achievement of statutory obligations was
reviewed by relevant business units within
the Department as part of the annual
strategic and business planning cycle.
The Act applies to every Queensland
business providing accommodation to
travellers including hotels, motels, resorts,
serviced
apartments,
guesthouses,
backpacker hostels and bed and breakfast
establishments.
24
9.0 Overseas travel register
Costs/Funding
$AUS (rounded)
Actual (A) or Estimate (E)
Name of Officer
Country/s
Visited
Reason for Travel
Lindy Johnson
Manager
Creative Industries
Ashley Bowen
Manager
Invest Queensland
Ray Kelly
Executive Director
Technology
and
Emerging
Industries
Melanie Lever
Principal Project Officer, Skills
Attraction
Migration
and
Skills
Recruitment Queensland
Dylan Moody
Principal Project Officer, Skills
Attraction
Migration
and
Skills
Recruitment Queensland
Melanie Anderson
Manager,
Aviation and Defence
Invest Queensland
John Strano
Executive Director
Manufacturing and Investment
Siobhan Ahern
Manager,
Skills Attraction
Migration
and
Skills
Recruitment Queensland
Jenny McLachlan
Principal Policy Officer
Migration
and
Skills
Recruitment Queensland
Diane Anstee
Export Advisor – Tradestart
Mackay
Joanne Freeman
Export Advisor – Tradestart
Sunshine Coast
Ryan Skehan
Principal Project Officer
Invest Queensland
Italy
United Arab
Emirates
Canada
United States
of America
United States
of America
Led a delegation to the Venice Architecture Biennale.
Met with the number of industrial biotechnology
companies about the potential to invest in Queensland.
Progressed and identified new leads in industry.
Met with the number of industrial biotechnology
companies about the potential to invest in Queensland.
Progressed and identified new leads in industry.
$22,001 (A)
New Zealand
Represented the Queensland Government at Your Career
Expo.
$2,331 (A)
New Zealand
Represented the Queensland Government at Your Career
Expo.
$2,331 (A)
United States
of America
Progressed investment attraction and industry
development activities in the aviation, aerospace and
defence sector.
$21,931 (A)
United States
of America
$21,259 (A)
United
Kingdom
Progressed investment attraction and industry
development activities in the aviation, aerospace and
defence sector.
Undertook skills attraction and migration activities in the
United Kingdom labour market.
United
Kingdom
Undertook skills attraction and migration activities in the
United Kingdom labour market.
$8,786 (A)
India
Led a delegation to the India Mining and Machinery Expo.
Determined market opportunities for Queensland.
$9,454 (A)
Saudi Arabia
United Arab
Emirates
Netherlands
Italy
United
Kingdom
Netherlands
Italy
United
Kingdom
United Arab
Emirates
Hong Kong
China
Singapore
Philippines
Attended the ‘Big 5 Building and Construction Trade
Show’ and formalised relations with international clients.
Identified new leads for clients.
Progressed a number of investment attraction leads.
Undertook a series of meetings with management
representatives of leading manufacturers, brokers, and
infrastructure and training providers.
Progressed a number of investment attraction leads.
Undertook a series of meetings with management
representatives of leading manufacturers, brokers, and
infrastructure and training providers.
Accompanied Minister and represented the Government
in meetings with the tourism, aviation and marine
industry.
$8,680 (A)
United States
of America
Attended Symantec technical conference.
Mark Fludder
Senior Business Advisor
Information Industries Bureau
Stewart MacIntyre
Manager
Advisory
and
Industry
Engagement
Office of Biotechnology and
Therapeutic Medicines and
Devices
United States
of America
Represented Queensland Government at the Game
Developers Conference 2009.
$5,467 (A)
New Zealand
Represented Queensland Government at the NZ Bio 2009
Conference.
$1,668 (A)
Tamlyn O’Connor
Senior Project Officer
Office of Biotechnology and
Therapeutic Medicines and
Devices
New Zealand
Represented Queensland Government at the NZ Bio 2009
Conference.
$1,540 (A)
Peter McCulkin
Manager
Manufacturing and Investment
Bob McCarthy
Director-General
Kathy Rankin
Principal Regional Development
Officer
Cairns
Matthew Williams
Senior Technical Architect
Corporate Management
Participated in a trade mission to the Asian Development
Bank.
Agency $
$11,003 (A)
Other $
$9,417 (A)
$8,330 (A)
$10,008 (A)
$11,220 (A)
$17,551 (A)
$3,108 (A)
$450 (A)
$3,078
(Symantec
Australia
Pty Ltd)
25
10.0 Consultancy expenditure
A consultancy is an organisation or
individual contracted to perform a specific
task or provide specific expert advice as an
independent contractor. A consultant
exercises his or her own skill and judgement
in the provision of their services.
Following is the expenditure and category
descriptions for consultancies for the period
1 July 2008 to 31 March 2009
Description
Management
Professional/Technical
Land Planning and Design
Total
expenditure
on
Consultants from 1 July 2008
to 31 March 2009
Expenditure
$104,500
$274,566
$34,393
$413,459.00
11.0 Staffing policies
The Department distributes relevant staffing
policies on the intranet which are available
to all employees.
11.1 Management development
Departmental
employees
in
managerial or supervisory roles were
provided with the opportunity to
participate in leadership and
management development courses.
This opportunity was promoted
internally on the intranet and
through the Department’s capability
development calendar.
11.4 Voluntary
retrenchment
retirement
and
There was one voluntary early retirement
offer made and accepted during 2008-09.
There were no redundancies during 20082009. Financial details are available on
page 53 of this report.
11.5 Women’s initiatives
Representation of women at salary levels
Representation 30 June 2008
 SES-SO 34%
 AO6-AO8 49%
Representation 31 March 2009
 SES-SO 35%
 AO6-AO8 52%
Percentage of women on boards/
statutory authorities
o
Women currently comprise 45 per
cent
of
departmental
board
members.
Activities that promoted the balance of
family and work responsibilities
o
o
o
11.2 Industrial development and safety
The Department has workplace
health and safety representatives in
each building who respond to an
incident and report it to relevant
parties. The Department also actively
promotes a safe workplace to all new
employees through the induction
program. Information is available on
the Department’s intranet for all
employees to access.
early
o
o
o
Developed lactation break guidelines
to
accommodate
employees
returning to work from maternity
leave
Increased awareness of flexible work
arrangements through the whole of
department survey and implemented
pilots in work units
Communication of flexible work
practices for women through the
departmental intranet.
Access to a carer’s room in the
Brisbane CBD.
Initiatives that support women’s
career development
Access for women to attend
capability development programs to
assist with career development.
11.3 Special interest groups
The Department currently has no
special interest groups.
26
12.0 Climate Smart initiatives
GREENHOUSE GAS EMISSIONS
The former Department of Tourism, Regional
Development and Industry was committed
to supporting the Queensland Government’s
Q2 target to cut Queensland’s greenhouse
gas emissions by one third by 2020. This
commitment included implementation of
the Government's climate change and other
environmental strategies.
Six gases have been identified under the
Kyoto Protocol as the main greenhouse gas
emissions that need to be reduced. The
gases
are
carbon
dioxide,
hydrofluorocarbons,
methane,
nitrous
oxides, perfluorocarbons and sulphur
hexafluoride. As part of standard emission
measurement practices these gases are
mainly reported as carbon dioxide
equivalent emissions (CO2-e).
The Queensland Government continues to
develop and improve whole-of-Government
data collection processes and systems to
standardise reporting of its greenhouse gas
emissions. The basis for this reporting is
consistent with acknowledged national and
international standards, including the
definitions outlined in the AS ISO 14064
standards and the Australian Government’s
National Greenhouse Accounts Factors
Workbook. These standards establish the
following different categories of emissions
that organisations (such as government
agencies) need to consider, taking into
account the particular organisation's
operational boundaries:
·Scope 1 – emissions that occur directly
from sources which are owned or
controlled by an organisation (e.g.
emissions from departmental vehicles, onsite diesel generators, gas boilers etc.);
·Scope 3 – emissions that occur indirectly
due to actions of the organisation, but
from sources which are not owned or
controlled by the organisation. Some
common examples of these sources
include employee business travel (in
vehicles or aircraft not owned or
controlled by the reporting organisation)
employees commuting to and from work;
out-sourced activities; and transportation
of products, materials and waste. Note:
inclusion of these emissions in any
reporting needs to be based on the
relevance to the operations of the
organisation.
For the former Department of Tourism,
Regional Development and Industry, the
key greenhouse emissions are those that
are linked to the following business
activities:
1.
vehicle usage
2. electricity consumption
3. air travel
It should be noted that comprehensive
reporting of greenhouse gas emissions by
agencies is sometimes limited due to the
complexity of the operational boundaries of
agencies within the public sector, especially
in situations where internal government
shared services providers are used.
While the best available data has been
used, in some instances estimates have
been reported due to the limitation of data
collection systems, for example in
government-owned buildings where there
are multiple tenants and the electricity
usage cannot be attributed to a single
agency, the Department of Public Works
(DPW) calculates the electricity usage by
tenanted agencies based on the percentage
of the leased floor area occupied.
·Scope 2 – emissions that occur indirectly
due
solely
to
an
organisation's
consumption of electricity or steam or
heating/cooling
(which
has
been
generated by the burning of fuels such as
coal, natural gas, etc. at power stations or
other facilities not controlled by the
organisation); and
27
The following table outlines the emissions
relating to the former Department of
Tourism, Regional Development and
Industry during the period 1 July 2008 to 31
March 2009.
Greenhouse
gas
emissions
(tonnes
of
CO2)
Explanatory
Notes
211
1
Governmentowned premises
873
2a
Premises leased
from the private
sector
555
2b
Activity
Scope 1 –
Vehicle usage
QFleet vehicles
Scope 2 –
Electricity
consumption
Scope 3 –
Air travel
Domestic
travel
commercial
airlines
International
travel
commercial
airlines
air
on
on
3.
139.6
3
46.4
3
6
4
Hired vehicles
Avis
associated with electricity consumption have
been apportioned 45% to the owner and 55% to
the tenants.
All electricity consumption has been converted
to carbon emissions using the Scope 2
conversion factor of 0.91 kg CO2-e/kWh as
recommended in the Australian Government’s
National
Greenhouse
Accounts
Factors
Workbook.
2b. Electricity – Premises leased from the private
sector. This figure is for emissions associated
with electricity use where the Department of
Public Works pays either the landlord or supply
authority directly and where the agency pays the
retailer directly.
This figure is based on actual electricity
consumption from currently available records of
electricity accounts received by the Department
of Public Works applicable to the period 1 July
2008 to 31 March 2009. Where full year records
were
not
available,
data
has
been
apportioned/extrapolated to provide an estimate
of electricity consumption up to 31 March 2009.
In 2007-2008 the Annual Report included
emissions
linked
to
actual
electricity
consumption plus an added component to take
account of the electricity consumption used by
the owner to provide central services. The added
component of electricity consumption is deemed
a Scope 3 emission for tenants and will no longer
be reported.
Notes:
1. The CO2-e emissions figure for the period 1 July
2008 to 31 March 2009 has been aggregated
using National Greenhouse Emissions Reporting
(NGER) guidelines and represents emissions for
four primary fuel types: unleaded petrol, diesel,
liquefied petroleum gas (LPG) and E10. In the
absence of comprehensive fuel consumption
records (emissions reported in the 2007-2008
Annual Report were calculated based on
kilometres travelled) both actual emissions
based on available records and total estimated
emissions are shown.
2a. Electricity – Government Owned Premises. This
figure is based on actual electricity consumption
records currently available to the Department of
Public Works for the period 1 July 2008 to 31
March 2009. Incomplete electricity consumption
records have been extrapolated to produce an
estimated electricity consumption figure up to 31
March 2009.
For major office premises owned by the
Department of Public Works where no separate
sub-metering exists the carbon emissions
Air travel includes all flights recorded by the
Queensland Government Chief Procurement
Office (QGCPO) during the period 1 July 2008 to
31 March 2009, specifically:
(a) International air travel on all airlines;
(b) Domestic air travel on both the mainline
'trunk' carriers (i.e. the Qantas Group and Virgin
Blue)
(c) Domestic air travel on smaller, regional
carriers.
For all air travel, with the exception noted at (b)
below, the following methodology is used:
1) From data provided the QGCPO calculates
the kilometres flown. The kilometre figure is
divided by 100 and multiplied by an industry
average number of litres of fuel burnt per
passenger, per 100 km's. A factor of 5 has
been used for all air travel. The use of this
method gives the average litres of fuel burnt
for a flight, per passenger. This figure is
subsequently converted from litres into
kilograms and then from kilograms into
tonnes, before being multiplied by 3.157
(which represents the amount of CO2 tonnes
produced by burning one tonne of aviation
fuel; sourced from the International Civil
aviation Organisation).
2) For
domestic
flights
with
Qantas,
QantasLink, Jetstar and Virgin Blue for the
period 01 July 2008 to 31 December 2008,
the number of passengers per sector was
calculated. This information was then
passed on to the respective airline for
calculation of carbon emissions.
4. The hire vehicle emissions show only emissions
for AVIS vehicles booked under Standing Offer
Arrangement managed by the Queensland
Government Chief Procurement Office.
28
13.0 Financial statements
Department of Tourism, Regional
Development and Industry Financial
Statements
for the financial period 1 July 2008 to 26
March 2009.
Contents

Income Statement

Balance Sheet

Statement of Changes in Equity

Cash Flow Statement

Notes To and Forming Part of the
Financial Statements

Management Certificate
General Information
These financial statements cover the former
Department
of
Tourism,
Regional
Development and Industry and its controlled
entities.
The former Department of Tourism, Regional
Development and Industry was a
Queensland
Government
Department
established under the Public Service Act
2008.
The Department was controlled by the State
of Queensland which is the ultimate parent.
The head office and principal place of
business of the Department is:
111 George Street
Brisbane Queensland 4000
A description of the nature of the
Department’s operations and its principal
activities is included in the notes to the
financial statements.
For information in relation to the
Department’s financial statements please
visit the departmental website at
www.dtrdi.qld.gov.au
Amounts shown in these financial
statements may not add to the correct subtotals or totals due to rounding.
29
Department of Tourism, Regional Development and Industry
Income statement
for the period 1 July 2008 to 26 March 2009
Error! Not a valid link.
The accompanying notes form part of these statements.
All department transactions relate to the Industry and Regional Development output, which is the
department’s only output.
30
Department of Tourism, Regional Development and Industry
Balance sheet
as at 26 March 2009
Error! Not a valid link.
The accompanying notes form part of these statements.
All department transactions relate to the Industry and Regional Development output, which is the
department’s only output.
31
Department of Tourism, Regional Development and Industry
Statement of changes in equity
for the period 1 July 2008 to 26 March 2009
Error! Not a valid link.
The accompanying notes form part of these statements.
32
Department of Tourism, Regional Development and Industry
Cash flow statement
for the period 1 July 2008 to 26 March 2009
Error! Not a valid link.
33
Department of Tourism, Regional Development and Industry
Income statement
for the period 1 July 2008 to 26 March 2009
Error! Not a valid link.The accompanying notes form part of these statements.
All administered transactions relate to Industry and Regional Development activities, which are the
department’s only major activities.
34
Department of Tourism, Regional Development and Industry
Balance sheet
as at 26 March 2009
Error! Not a valid link.
The accompanying notes form part of these statements.
All administered transactions relate to Industry and Regional Development activities, which are the
department’s only major activities.
35
Department of Tourism, Regional Development and Industry
Statement of changes in equity
for the period 1 July 2008 to 26 March 2009
Error! Not a valid link.
The accompanying notes form part of these statements.
36
Department of Tourism, Regional Development and Industry
Cash flow statement
for the period 1 July 2008 to 26 March 2009
Error! Not a valid link.
The accompanying notes form part of these statements.
37
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Objectives and Principal Activities of the Department
Note 1:
Summary of Significant Accounting Policies
Controlled Statement Notes
Note 2:
Note 3:
Note 4:
Note 5:
Note 6:
Note 7:
Note 8:
Note 9:
Note 10:
Note 11:
Note 12:
Note 13:
Note 14:
Note 15:
Note 16:
Note 17:
Note 18:
Note 19:
Note 20:
Note 21:
Note 22:
Note 23:
Note 24:
Note 25:
Note 26:
Note 27:
Note 28:
Reconciliation of Payments from Consolidated Fund
User Charges
Grants and Other Contributions
Other Revenues
Gains
Employee Expenses
Supplies and Services
Grants and Subsidies
Depreciation
Finance/Borrowing Costs
Other Expenses
Cash and Cash Equivalents
Receivables
Other Assets
Plant and Equipment
Payables
Other Financial Liabilities
Accrued Employee Benefits
Other Current Liabilities
Asset Revaluation Reserve by Class
Restructuring of Administrative Arrangements
Reconciliation of Operating Deficit to Net Cash Used in Operating Activities
Non-Cash Financing and Investing Activities
Commitments for Expenditure
Contingencies
Controlled Entities
Financial Instruments
Administered Statement Notes
Note 29:
Note 30:
Note 31:
Note 32:
Note 33:
Note 34:
Note 35:
Note 36:
Note 37:
Note 38:
Reconciliation of Payments from Consolidated Fund
Other Revenues
Grants and Subsidies
Other Expenses
Cash and Cash Equivalents
Receivables
Payables
Reconciliation of Operating Deficit to Net Cash Used in Operating Activities
Commitments
Financial Instruments
Note 39:
Note 40:
Agency Transactions and Balances
Events Occurring after Balance Date
38
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Final Financial Statements for the Department
The Department of Tourism, Regional Development and Industry was abolished as a result of
the Public Service Departmental Arrangements Notice (No.2) 2009. Under this notice, the
department was transferred to the Department of Employment, Economic Development and
Innovation (DEEDI). The effect of the transfer was from 27 March 2009. For further information
on the extent of the changes refer note 1(w).
1. Summary of Significant Accounting Policies
(a) Basis of Accounting
The financial statements have been prepared in accordance with Australian Accounting
Standards. In addition, the financial statements comply with the Treasurer’s Minimum
Reporting Requirements for the year ending 30 June 2009, and other authoritative
pronouncements.
These financial statements constitute a general purpose financial report.
Except where stated, the historical cost convention is used.
(b) The Reporting Entity
The financial statements include the value of all revenues, expenses, assets, liabilities and
equity of the department and the entities that it controls, where these entities are material.
Details of the department’s controlled entities are disclosed in note 27.
The outputs/major activities undertaken by the department are disclosed in note 1(w).
(c) Administered Transactions and Balances
The department administers, but does not control, certain resources on behalf of the
Government. In doing so, it has responsibility and is accountable for administering related
transactions and items, but does not have the discretion to deploy the resources for the
achievement of the department's objectives.
Administered transactions and balances relating to administered resources are identified
separately in shaded administered statements and notes.
(d) Agency Transactions and Balances
The department undertakes certain agency transactions on behalf of other departments.
As the department acts only in a custodial role in respect of these transactions and balances,
they are not recognised in the financial statements, but are disclosed in note 39.
(e) Output Revenue/Administered Revenue
Appropriations provided under the Annual Appropriation Act are recognised as revenue when
received. The department appropriations are also recognised as a receivable.
Amounts appropriated to the department for transfer to other entities in accordance with
legislative or other requirements are reported as ‘administered’ item appropriations.
39
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(f) User Charges, Taxes, Fees and Fines
User charges and fees controlled by the department are recognised as revenues when invoices
for the related services are issued. User charges and fees are controlled by the department
where they can be deployed for the achievement of departmental objectives.
Taxes, fees and fines collected, but not controlled, by the department, are reported as
administered revenue.
(g) Grants and Contributions
Grants, contributions, donations and gifts that are non-reciprocal in nature are recognised as
revenue in the year in which the department obtains control over them. Where grants are
received that are reciprocal in nature, revenue is accrued over the term of the funding
arrangements.
Contributed assets are recognised at their fair value. Contributions of services are recognised
only when a fair value can be determined reliably and the services would be purchased if they
had not been donated.
(h) Cash and Cash Equivalents
For the purposes of the Balance Sheet and the Cash Flow Statement, cash assets include all
cash and cheques receipted but not banked at 26 March as well as deposits at call with
financial institutions and imprest accounts. It also includes investments with short periods to
maturity that are readily convertible to cash on hand at the department’s or issuer’s option and
that are subject to a low risk of changes in value.
(i) Receivables
Trade debtors are recognised at the nominal amounts due at the time of sale or service delivery.
Settlement of these amounts is required within 30 days from invoice date.
The collectability of receivables is assessed periodically with provision being made for
impairment. All known bad debts were written-off as at 26 March – refer note 12.
Loans and advances are recorded as per the terms of the individual loan arrangements.
In accordance with the Smart State initiative, the department has provided interest-free loans.
These loans are initially recognised at fair value. The difference between the fair value of loans
and the amounts given (fair value adjustment on loans) is recorded in the Income Statement as
part of other expenses. Loans are subsequently measured at amortised cost, using the
effective interest rate method.
Effective interest is recorded in the Income Statement over the period of the loans and
recognises any difference between the fair value of loans at inception and the redemption
amount. As it is the intention of borrowers to hold the loans for their full term, the accumulated
effective interest recorded in the Income Statement will, over time, exactly offset the
accumulated fair value adjustment on loans.
The cost value of controlled loans at balance date is $17.647 million (2008: $9.85 million) and
the cost value of administered loans at balance date is $176.4 million (2008: $144.3 million).
40
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(j) Non-Current Assets Classified as Held for Sale
Non-current assets held for sale consists of Timber Mill assets which management has
determined are available for immediate sale in their present condition, and their sale is highly
probable within the next twelve months.
These assets are measured at the lower of the assets carrying amounts and their fair values less
costs to sell. The assets are not depreciated.
(k) Acquisitions of Assets
Actual cost is used for the initial recording of all non-current physical asset acquisitions. Cost is
determined as the value given as consideration plus costs incidental to the acquisition,
including all other costs incurred in getting the assets ready for use, including architects' fees
and engineering design fees. However, any training costs are expensed as incurred.
Where assets are received free of charge from another Queensland department (whether as a
result of a machinery-of-Government change or other involuntary transfer), the acquisition cost
is recognised as the gross carrying amount in the books of the transferor immediately prior to
the transfer together with any accumulated depreciation.
Assets acquired at no cost or for nominal consideration, other than from an involuntary transfer
from another Queensland department, are recognised at their fair value at date of acquisition in
accordance with AASB 116 Property, Plant and Equipment.
(l) Plant and Equipment
Items of plant and equipment with a cost or other value equal to or in excess of the following
thresholds are recognised for financial reporting purposes in the year of acquisition:
Infrastructure
Major plant and equipment
Plant and equipment
$10,000
$5,000
$5,000
Items with a lesser value are expensed in the year of acquisition.
41
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(m) Revaluations of Non-Current Physical Assets and Intangible Assets
Infrastructure and major plant and equipment are measured at fair value in accordance with
AASB 116 Property, Plant and Equipment and Queensland Treasury’s Non-Current Asset Policies
for the Queensland Public Sector.
Plant and equipment are measured at cost. The carrying amounts for plant and equipment at
cost should not materially differ from their fair value.
Non-current physical assets measured at fair value are comprehensively revalued at least once
every five years with interim valuations, using appropriate indices, being otherwise performed
on an annual basis where there has been a material variation in the index. Infrastructure and
major plant and equipment assets were revalued by management on 30 June 2008 and 26
March 2009, by the application of appropriate indices provided by Rushton AssetVal Pty Ltd. A
comprehensive revaluation will be conducted in the 2009-10 reporting period for the
Department of Employment, Economic Development and Innovation.
Any revaluation increment arising on the revaluation of an asset is credited to the asset
revaluation reserve of the appropriate class, except to the extent it reverses a revaluation
decrement for the class previously recognised as an expense. A decrease in the carrying
amount on revaluation is charged as an expense, to the extent it exceeds the balance, if any, in
the revaluation reserve relating to that class.
On revaluation, accumulated depreciation is restated proportionately with the change in the
carrying amount of the asset and any change in the estimate of remaining useful life.
Only those assets, the total values of which are material compared to the value of the class of
assets to which they belong, are comprehensively revalued.
Separately identified components of assets are measured on the same basis as the assets to
which they relate.
(n) Intangibles
Intangible assets with a cost or other value greater than $100,000 are recognised in the
financial statements, items with a lesser value being expensed. Each intangible asset is
amortised over its estimated useful life to the agency, less any anticipated residual value. The
residual value is zero for all the department's intangible assets.
It has been determined that there is not an active market for any of the department's intangible
assets. As such, the assets are recognised and carried at cost less accumulated amortisation.
42
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(o) Depreciation of Plant and Equipment
Plant and equipment is depreciated on a straight-line basis so as to allocate the net cost or
revalued amount of each asset, less its estimated residual value, progressively over its
estimated useful life to the department.
Assets under construction (work-in-progress) are not depreciated until they reach service
delivery capacity.
Where assets have separately identifiable components that are subject to regular replacement,
these components are assigned useful lives distinct from the asset to which they relate and are
depreciated accordingly.
Any expenditure that increases the originally assessed capacity or service potential of an asset
is capitalised and the new depreciable amount is depreciated over the remaining useful life of
the asset to the department.
The depreciable amount of improvements to or on leasehold land is allocated progressively
over the estimated useful lives of the improvements or the unexpired period of the lease,
whichever is the shorter. The unexpired period of leases includes any option period where
exercise of the option is probable.
For each class of depreciable asset the following depreciation rates are used:
Class
Infrastructure:
Wharf and jetty structures
Rail loop
Roads
Rate %
2
2.5
2
Major plant and equipment:
Unloaders and loaders
Jetty conveyors and transfer stations
Sea water supply equipment
3.3
3.3
5
Plant and equipment:
Motor vehicles
Office equipment
Other equipment (included leasehold improvements)
Computers
20
20
10
33.3
43
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(p) Impairment of Non-Current Assets
All non-current physical and intangible assets are assessed for indicators of impairment on an
annual basis. If an indicator of possible impairment exists, the department determines the
asset's recoverable amount. Any amount by which the asset's carrying amount exceeds the
recoverable amount is recorded as an impairment loss.
The asset's recoverable amount is determined as the higher of the asset's fair value less costs
to sell and depreciated replacement cost.
An impairment loss is recognised immediately in the Income Statement, unless the asset is
carried at a revalued amount. When the asset is measured at a revalued amount, the
impairment loss is offset against the asset revaluation reserve of the relevant class to the extent
available.
Where an impairment loss subsequently reverses, the carrying amount of the asset is increased
to the revised estimate of its recoverable amount, but so that the increased carrying amount
does not exceed the carrying amount that would have been determined had no impairment loss
been recognised for the asset in prior years. A reversal of an impairment loss is recognised as
income, unless the asset is carried at a revalued amount, in which case the reversal of the
impairment loss is treated as a revaluation increase. Refer also note 1(m).
(q) Leases
A distinction is made in the financial statements between finance leases that effectively transfer
from the lessor to the lessee substantially all risks and benefits incidental to ownership, and
operating leases, under which the lessor retains substantially all risks and benefits.
Where a non-current physical asset is acquired by means of a finance lease, the asset is
recognised at the lower of the fair value of the leased property and the present value of the
minimum lease payments. The lease liability is recognised at the same amount.
Lease payments are allocated between the principal component of the lease liability and the
interest expense.
Operating lease payments are representative of the pattern of benefits derived from the leased
assets and are expensed in the periods in which they are incurred.
(r) Payables
Trade creditors are recognised upon receipt of the goods or services ordered and are measured
at the agreed purchase/contract price, gross of applicable trade and other discounts. Amounts
owing are unsecured and are generally settled on 30 day terms.
(s) Other Financial Liabilities
Loans payable are recognised at the face value of the principal outstanding, interest being
expensed or otherwise recognised as it accrues. The fair value of these loans is disclosed in
note 18. No borrowing costs are capitalised.
44
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(t) Employee Benefits
Wages, Salaries and Sick Leave
Wages and salaries due but unpaid at reporting date are recognised in the Balance Sheet at the
nominal salary rates. Payroll tax and workers’ compensation insurance are a consequence of
employing employees, but are not counted in an employee’s total remuneration package. They
are not employee benefits and are recognised separately as employee related expenses.
Employer superannuation contributions, annual leave levies and long service leave levies are
regarded as employee benefits.
For unpaid entitlements expected to be paid within 12 months, the liabilities are recognised at
their undiscounted values. Entitlements not expected to be paid with 12 months are classified
as non-current liabilities and recognised at their present value, calculated using yields on Fixed
rate Commonwealth Government bonds of similar maturity, after projecting the remuneration
rates expected to apply at the time of likely settlement.
Prior history indicates that on average, sick leave taken each reporting period is less than the
entitlement accrued. This is expected to continue in future periods. Accordingly, it is unlikely
that existing accumulated entitlements will be used by employees and no liability for unused
sick leave entitlements is recognised.
As sick leave is non-vesting, an expense is recognised for this leave as it is taken.
Annual Leave
The Queensland Government’s Annual Leave Central Scheme (ALCS) became operational on 30
June 2008 for departments, commercialised business units and shared service providers. Under
this scheme, a levy is made on the department to cover the cost of employees’ annual leave
(including leave loading and on-costs). The levies are expensed in the period in which they are
payable. Amounts paid to employees for annual leave are claimed from the scheme quarterly in
arrears.
Effective from 30 June 2008, no provision for annual leave has been recognised in the
department’s financial statements, the liability being held on a whole-of-Government basis and
reported in those financial statements pursuant to AASB 1049 Whole of Government and
General Government Sector Financial Reporting. On 30 June 2008, the current portion of the
employees’ annual leave liabilities was extinguished by recognising a short-term payable to the
Crown (refer to note 17). The non-current portion of employees’ annual leave entitlements was
also extinguished on that date by the Crown making a non-appropriated equity injection to the
department (refer to the Statement of Changes in Equity).
Long Service Leave
Under the Queensland Government’s long service leave scheme, a levy is made on the
department to cover this cost. Levies are expensed in the period in which they are paid or
payable. Amounts paid to employees for long service leave are claimed from the scheme as and
when leave is taken.
No accrual for long service leave is recognised in the department’s financial statements, the
liability being held on a whole-of-Government basis and reported in the financial report
prepared pursuant to AASB 1049 Whole of government and General Government Sector
Financial Reporting.
45
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Superannuation
Employer superannuation contributions are paid to QSuper, the superannuation plan for
Queensland Government employees, at rates determined by the Treasurer on the advice of the
State Actuary. Contributions are expensed in the period in which they are paid or payable. The
department's obligation is limited to its contribution to QSuper.
Therefore, no liability is recognised for accruing superannuation benefits in the department’s
financial statements, the liability being held on a whole-of-Government basis and reported in
the financial report prepared pursuant to AASB 1049 Whole of government and General
Government Sector Financial Reporting.
Executive Remuneration
The executive remuneration disclosures in the employee expenses note (note 7) in the financial
statements include:

the aggregate remuneration of all senior executive officers (including the Chief Executive
Officer) whose remuneration for the financial period is $75,000 or more; and

the number of senior executives whose total remuneration for the financial period falls
within each successive $15,000 band, commencing at $75,000 (2008: $20,000 band,
commencing at $100,000).
The remuneration disclosed is all remuneration paid or payable, directly or indirectly, by the
department or any related party in connection with the management of the affairs of the
department or any of its subsidiaries, whether as an executive or otherwise. For this purpose,
remuneration includes:
 wages and salaries;
 accrued leave (that is, the increase/decrease in the amount of annual and long service leave
owed to an executive, inclusive of any increase in the value of leave balances as a result of
salary rate increases or the like);
 performance pay paid or due and payable in relation to the financial period, provided that a
liability exists (namely a determination has been made prior to the financial statements
being signed), and can be reliably measured even though the payment may not have been
made during the financial period;
 accrued superannuation (being the value of all employer superannuation contributions
during the financial period, both paid and payable as at 26 March);
 car parking benefits and the cost of motor vehicles, such as lease payments, fuel costs,
registration/insurance, repairs/maintenance and fringe benefits tax on motor vehicles
incurred by the agency during the financial period, both paid and payable as at 26 March,
net of any amounts subsequently reimbursed by the executives;
 housing, being the market value of the rent or rental subsidy – where rent is part-paid by the
executive – during the financial period, both paid and payable as at 26 March;
 allowances (which are included in remuneration agreements of executives, such as airfares
or other travel costs paid to/for executives whose principal place of residence is situated in
a location other than the location they work in); and
 fringe benefits tax included in remuneration agreements.
The disclosures apply to all senior executives appointed under the Public Service Act 2008 and
classified as SES1 and above, with remuneration above $75,000 in the financial period.
'Remuneration' means any money, consideration or benefit, but excludes amounts:

paid to an executive by the department or any of its subsidiaries where the person worked
during the financial period wholly or mainly outside Australia during the time the person
was so employed; or

in payment or reimbursement of out-of-pocket expenses incurred for the benefit of the entity
or any of its subsidiaries.
46
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
In addition, separate disclosure of separation and redundancy/termination benefit payments is
included.
(u) Financing/Borrowing Costs
Finance costs are recognised as an expense in the period in which they are incurred.
Finance costs include:
 Interest on short-term and long-term borrowings; and
 Ancillary administration charges.
No borrowing costs are capitalised into qualifying assets.
(v) Allocation of Revenues and Expenses from Ordinary Activities to Corporate Services
The Income Statement includes revenues of $15,393,006 and expenses of $15,393,006
attributable to corporate services.
(w) Outputs/Major Activities of the Department
The Department of Tourism, Regional Development and Industry was abolished as a result of
the Public Service Departmental Arrangements Notice (No.2) 2009. Under this notice, the
department was transferred to the Department of Employment, Economic Development and
Innovation (DEEDI). The effect of the transfer was from 27 March 2009.
Total assets valued at $404.366 million, and total liabilities valued at $162.982 million were
also transferred (refer note 22 ‘Restructuring of Administrative Arrangements’).
The expenses and revenues of the department for the period 1 July 2008 to 26 March 2009 are
reflected in the department’s final financial statements. The prior period statements reflect the
full 2007-08 financial year transactions and balances.
Appropriation revenue of $81.044 million was transferred to the Department of Employment,
Economic Development and Innovation.
The identity and purpose of each major output/activity undertaken by the Department during
the period is summarised below:
47
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Industry and Regional Development
The Department provides services aimed at improving the business environment, enhancing
business efficiency and assisting businesses start up, development and growth. Its objective is
to attract major domestic and international firms to Queensland through providing information
and intelligence on emerging markets and opportunities, and on accurately representing
Queensland’s competitive advantage across a range of industry growth sectors and regional
strengths.
The development of Queensland’s industries is pursued through the promotion of traditional
and emerging growth industries, sectoral strategies, regional development and targeted
industry support programs. It also aims to:

Support the empowerment of regional, rural and remote communities to identify and realise
sustainable economic development opportunities;

Support the development and capacity of indigenous business;

Assist Queensland companies to access venture capital and encourage and facilitate
reinvestment in both traditional and emerging industries; and

Promote knowledge, creativity, and innovation to generate opportunities and investment in
both traditional industries and those within the science and technology sectors.
The output facilitates sustainable economic development of Queensland through the provision
of leadership and coordination in economic development policy and strategic planning matters.
The output is delivered through its central divisional structure and statewide network of
Regional Centres.
(x) Insurance
The department’s non-current physical assets and other risks are insured through the
Queensland Government Insurance Fund (QGIF), premiums being paid on a risk assessment
basis. In addition, the department pays premiums to WorkCover Queensland in respect of its
obligations for employee compensation.
(y) Services Received Free of Charge or for Nominal Value
Contributions of services are recognised only if the services would have been purchased if they had not
been donated and their fair value can be measured reliably. Where this is the case, an equal amount is
recognised as revenue and an expense.
(z) Contributed Equity
Non-reciprocal transfers of assets and liabilities between wholly-owned Queensland State Public Sector
entities as a result of machinery-of-Government changes are adjusted to Contributed Equity in
accordance with Interpretation 1038 Contributions by Owners Made to Wholly-Owned Public Sector
Entities. Appropriations for equity adjustments are similarly designated.
48
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(aa) Taxation
The department is a State body as defined under the Income Tax Assessment Act 1936 and is exempt
from Commonwealth taxation with the exception of Fringe Benefits Tax and Goods and Services Tax
(GST). FBT and GST are the only taxes accounted for by the department. GST credits receivable from,
and GST payable to the Australian Taxation Office (ATO) are recognised (refer to note 14).
(ab) Issuance of Financial Statements
The financial statements are authorised for issue by the former Director-General and former Director of
Finance at the date of signing the Management Certificate.
(ac)
Judgements and Assumptions
The preparation of financial statements necessarily requires the determination and use of certain critical
accounting estimates, assumptions and management judgements that have potential to cause a
material adjustment to the carrying amounts of assets and liabilities within the next financial year. Such
estimates, judgements and underlying assumptions are reviewed on an on-going basis. Revisions to
accounting estimates are recognised in the period in which the estimate is revised and in future periods
as relevant.
The department has made no judgements or assessments which may cause a material adjustment to the
carrying amounts of assets and liabilities within the next reporting period.
Ledger balances as at 31 March 2009 were used in the preparation of the statements and adjusted for
material transactions relating to the 27 March 2009 to 31 March 2009 period.
(ad) Rounding and Comparatives
Amounts included in the financial statements are in Australian dollars and have been rounded to the
nearest $1,000 or, where that amount is $500 or less, to zero, unless disclosure of the full amount is
specifically required.
Comparative information has been restated where necessary to be consistent with disclosures in the
current reporting period.
The reporting period covered by these financial statements is 1 July 2008 to 26 March 2009. The prior
period presented in these final financial statements reflect the full 2007-08 financial year transactions
and balances.
49
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(ae) New and Revised Accounting Standards
The department did not voluntarily change any of its accounting policies during 2008-09. The
significance of those new and amended Australian accounting standards that were applicable for the
first time in 2008-09 financial year and have had a significant impact on the department’s financial
statements is as follows.
A review has been undertaken of revised accounting standard AASB 1004 Contributions, and it is
considered the financial statements adequately reflect the matters required to be disclosed, given the
department’s present operating circumstances.
Note 31 now confirms the broad identity of the recipients of transfer payments classified as administered
expenses, consistent with the disclosure requirement of AASB 1050 Administered Items.
New accounting standard AASB 1052 Disaggregated Disclosures now requires disclosure of the amounts
of controlled assets and liabilities attributable to each department output. As the department has only
one output the Balance Sheet fulfils this requirement.
The department is not permitted to early adopt a new accounting standard ahead of the specified
commencement date unless approval is obtained from the Treasury Department. Consequently, the
department has not applied any Australian accounting standards and interpretations that have been
issued but are not yet effective. The department will apply these standards and interpretations in
accordance with their respective commencement dates.
At the date of authorisation of the financial report, a number of new or amended Australian accounting
standards with future commencement dates will have a significant impact on the department. Details of
such impacts are set out below.
The new department will need to comply with a revised version of AASB 101 Presentation of Financial
This revised standard does not have measurement or recognition
implications. However, in line with the new concept of ‘comprehensive income’ in the revised AASB
1010, there will be significant changes to the presentation of the department’s income and expenses
that are currently presented in the Income Statement and the Statement of Changes in Equity. Ignoring
other potential changes on the operating result, if the revised AASB 101 was applied by the department
for the 2008-09 reporting, it would have reported comprehensive income of $13 million for the year. The
increase in the asset revaluation reserve for 2008-09 (approximately $11 million) would not therefore be
included in the Statement of Changes in Equity. In addition, where there have been retrospective
accounting policy changes, retrospective re-statement of items in the financial statements or reclassifications of financial statement items during the current reporting period, the revised AASB 101 will
require a statement of financial position to be presented as at the beginning of the earliest comparative
period included in the financial statements.
Statements as from 2009-10.
All other Australian accounting standards and interpretations with future commencement dates are
either not applicable to the department, or have no material impact on the department.
(af)
Correction of Prior Period Error
In the controlled financial statements for the years ended 30 June 2001 to 30 June 2008, a loan was
recorded in receivables at a fair value of $5 million. Fair value was determined by the amount paid by
the department to the borrower.
A review of AASB 139 Financial Instruments : Recognition and Measurement has resulted in changing
the recognition of fair value. Fair value has been estimated to equal the Net Present Value (NPV) of
expected future cash payments to be received, discounted by using the yield on a Treasury Fixed Coupon
Bond.
The change in the method used to estimate the fair value of the financial assets has resulted in an
increase in other revenue of $0.268 million, a reduction in non-current assets of $0.343 million, and a
decrease in equity of $0.343 million in 2007-08.
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50
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
In preparing this note, the department has relied on advice from the Treasury Department in relation to
the 2009 transfers to departments made in accordance with section 23A of the Financial Administration
and Audit Act 1977. These transfer amounts are expected to be approved by Governor in Council before
30 June 2009.
3. User Charges
Sales of goods and services
Timber sales
Total
2,690
2,690
3,854
6,267
10,121
51
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
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4. Grants and Other Contributions
Grants
Contributions
Services received below fair value
Total
24,758
790
25,548
9,553
3,675
68
13,296
Grant and contribution revenues represent payments from other departments and the Commonwealth for
projects controlled by the department. Amounts not fully expended as at balance date are reported as
unearned revenue - note 20. Grants includes $1.111 million refunded on sale of teQstart - refer note 27.
5. Other Revenues
Interest
Proceeds from sales of minor equipment
Assets found at stocktake
Joint projects
Traineeship incentives
Regulatory fees
Other
Total
303
175
53
38
26
46
641
307
13
6
37
84
33
15
495
6. Gains
Gain of sale of property, plant and equipment
Total
-
2
2
7. Employee Expenses
Employee Benefits
Wages and salaries
Annual leave expense - refer to note 1(t)
Employer superannuation contributions*
Long service leave levy*
Annual leave levy*
Employee Related Expenses
Workers' compensation premium**
Payroll tax**
Other employee related expenses
Total
39,005
4,507
720
4,273
50,260
5,465
6,590
972
-
63
1,967
421
123
2,875
1,131
50,956
67,416
* Employer superannuation contributions, the annual leave levy and the long service leave levy are regarded
as employee benefits.
** Costs of workers' compensation insurance and payroll tax are a consequence of employing employees,
but are not counted in employees' total remuneration package. Ther are not employee benefits, but rather
employee related expenses.
The number of employees including both full-time employees and part-time employees measured on a fulltime equivalent basis is:
Number of Employees:
736
741
52
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Executive Remuneration
2009
2008
The number of senior executives who received or were due to receive total remuneration of $75,000 (2008:
$100,000) or more:
$75,000 to $89,999
$90,000 to $104,999
$105,000 to $119,999
$120,000 to $134,999
$135,000 to $149,999
$150,000 to $164,999
$165,000 to $179,999
$180,000 to $194,999
$300,000 to $314,999
Total
(2008: $100,000 to $119,999)
(2008: $120,000 to $139,999)
(2008: $140,000 to $159,999)
(2008: $160,000 to $179,999)
(2008: $180,000 to $199,999)
(2008: $200,000 to $219,999)
(2008: $220,000 to $239,999)
(2008: $240,000 to $259,999)
(2008: $360,000 to $379,999)
1
0
0
2
8
2
3
4
1
21
The total remuneration of executives shown above *
1
1
1
4
5
5
1
1
1
20
$3,353,877
$3,936,147
Nil
$91,297
* The amount calculated as executive remuneration in these financial
statements includes the direct remuneration received, as well as items
not directly received by senior executives, such as the movement in
leave accruals and fringe benefits tax paid on motor vehicles. This
amount will therefore differ from advertised executive remuneration
packages which do not include those latter items.
The total separation and redundancy/termination benefit payments
during the year to executives shown above was:
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Not
link.
a
valid
8. Supplies and Services
Consultants and contractors
Motor vehicle operating costs
Building services
Maintenance
Telecommunications
Share Services Provider fee
Travel and hospitality
Production and promotions
External computer charges
Access faciliation charge
Postage, freight and cartage
Advertising and displays
Other administrative expenses
Total
5,205
790
6,078
820
1,089
1,804
1,562
685
1,204
451
180
274
1,740
21,882
8,340
1,241
7,744
2,888
1,839
3,504
2,763
1,333
1,290
602
342
983
1,467
34,336
53
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
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9. Grants and Subsidies
Recurrent
Grants to private enterprise
Grants to universities
Grants to charities/community groups
Grants to Commonwealth agencies
Grants to Qld Government and Local Government
Contributions
26,447
25,738
37
1,456
3,799
3,450
27,315
33,463
281
1,935
4,951
7,404
Capital
Grants to private enterprise
Grants to universities
Grants to charities/community groups
Grants to Qld Government and Local Government
Total
622
4,000
2,599
5,700
73,848
1,669
7,440
1,617
86,075
Grant payments are dependent on recipients meeting performance criteria. Grants and subsidies
includes payments, during 2008-09, of $10.324 million (2007-08: $7.285 million) made under the
Queensland Investment Incentives Scheme in respect of agreements signed in 2008-2009 and prior
years.
10. Depreciation
Depreciation was incurred in respect of:
Infrastructure
Major plant and equipment
Plant and equipment
Total
1,784
3,293
493
5,570
2,084
3,793
723
6,600
6,187
6,187
9,278
9,278
11. Finance/Borrowing Costs
Interest
Total
The department does not capitalise finance/borrowing costs.
54
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
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12. Other Expenses
Sponsorships
External audit fees*
Insurance premiums QGIF**
Bank charges
Bad and impaired debts
Hardwood buyback
Losses from disposal of plant & equipment and inventory
Loans - fair value adjustments
Cost of goods sold - timber
Ex-gratia payments
Services provided below fair value
Other
Total
364
23
32
13
6,030
1,681
3,273
48
325
11,789
727
174
38
20
14
9,197
2,291
6,649
90
10
161
19,371
* Total external audit fees relating to the 2008-09 financial year are estimated to be $132,400 (2008:
$108,300). There are no non-audit services included in this amount.
** Certain losses of public property are insured by the Queensland Government Insurance Fund (QGIF).
No claims were made upon QGIF during the period 26 March 2009.
13. Cash and Cash Equivalents
Imprest accounts
Cash at bank
Total
11
44,946
44,957
12
34,446
34,458
14. Receivables
Current
Trade debtors
Grants and contributions receivable
Loan/advances receivable
6,786
7,449
4,871
19,106
4,731
1,697
2
6,430
GST receivable
GST Payable
1,817
(749)
1,068
4,548
(229)
4,319
Output revenue
Other
Total
23,355
40
43,569
12,408
116
23,273
Non-Current
Loan receivable*
Total
2,996
2,996
5,637
5,637
* The cost value of non-current loans at balance date is $12.647 million (2008: $9.85 million).
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55
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
15. Other Assets
Current
Prepayments
Access faciliation charge
Total
60
602
662
84
602
686
Non-Current Assets
Access facilitation charge
14,592
15,044
Total
14,592
15,044
113,968
(9,252)
104,716
109,124
(7,080)
102,044
135,855
(17,421)
118,434
128,196
(13,150)
115,046
3,746
(2,808)
938
5,552
(4,192)
1,360
73,282
73,282
15,345
15,345
297,370
233,795
16. Plant and Equipment
Infrastructure
At management valuation
Less: Accumulated depreciation
Major plant and equipment:
At management valuation
Less: Accumulated depreciation
Plant and equipment:
At cost
Less: Accumulated depreciation
Work in progress
At cost
Total
Management valuation of infrastructure and major plant and equipment refers to interim valuations on
26 March 2009, using the indices as per Note 1(m).
Plant and equipment is valued at cost in accordance with Queensland Treasury’s Non-Current Asset
Accounting Policies for the Queensland Public Sector.
The department has plant and equipment with an original cost of $1.271 million and a written down
value of zero still being used in the provision of services. This comprises $0.409 million for office fitouts
and $0.862 million in other plant and equipment. The other plant and equipment assets are expected to
be replaced in the 2009-10 capital rollover plan.
Infrastructure and major plant and equipment are under a 25 year lease arrangement to industry, which
commenced in 2005 with a nominal lease payment.
56
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Plant and Equipment Reconciliation
Infrastructure
Carrying amount at 1 July 2008
Acquisitions
Transfer to/from other departments
Disposals
Revaluation increment
Depreciation
Carrying amount at 26 March 2009
Carrying amount at 1 July 2007
Acquisitions
Post capitalisation
Transfer to/from other departments
Disposals
Revaluation increment
Depreciation
Carrying amount at 30 June 2008
Error!
link.
2009
$000
Major Plant
and Equip
2009
$000
Plant and
Equip
2009
$000
Work in
Progress
2009
$000
102,044
4,456
(1,784)
104,716
115,046
6,681
(3,293)
118,434
1,360
81
(10)
(493)
938
15,345
58,321
(384)
73,282
233,795
58,402
(384)
(10)
11,137
(5,570)
297,370
2008
$000
2008
$000
2008
$000
2008
$000
2008
$000
91,177
12,952
(2,085)
102,044
102,838
16,001
(3,793)
115,046
1,268
363
16
479
(43)
(723)
1,360
3,252
12,093
15,345
198,535
12,456
16
479
(43)
28,953
(6,601)
233,795
Not
a
Total
2009
$000
valid
17. Payables
Current
Trade creditors
Grants and contributions creditors
Taxes payable
Equity withdrawal payable
Annual leave balance payable to Crown
Other expenses
Total
6,014
11,241
351
5,077
1
22,684
11,435
17,190
126
4,133
1
32,885
Current
Queensland Treasury Corporation borrowings
Total
9,011
9,011
8,628
8,628
Non-Current
Queensland Treasury Corporation borrowings
128,328
135,134
Total
128,328
135,134
18. Other Financial Liabilities
57
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
The market value of the department's borrowings at 31 March, as notified by the Queensland Treasury
Corporation, was $141.793 million (30 June 2008: $134.853 million). All borrowings are in Australian
dollars ($A) denominated amounts and are carried at amortised cost, interest being expensed as it
accrues. No interest has been capitalised during the current or comparative reporting period.
Repayment dates vary from December 2012 to March 2015.
This represents the value of the debt if the department repaid in full at balance date.
Principal and interest repayments are made quarterly in arrears at rates ranging from 5.7% to 5.74%
(2008: 5.84% to 5.85%).
As it is the intention of the department to hold its borrowings for the full term, no fair value adjustment
is made to the carrying value of the borrowings.
E
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19. Accrued Employee Benefits
Current
Salaries
Leave levy payable
Total
452
44
496
1,318
1,318
2,463
2,463
1,990
1,990
Major Plant
&
Equipment
Total
$000
48,608
6,681
55,289
$000
83,187
11,136
94,323
Major Plant
&
Equipment
Total
$000
32,607
16,001
48,608
$000
54,234
28,953
83,187
20. Other Current Liabilities
Current
Unearned revenue
Total
21. Asset Revaluation Reserve by Class
Infrastructure
Balance 1 July 2008
Revaluation increments 2008-09
Balance 26 March 2009
$000
34,579
4,456
39,035
Infrastructure
Balance 1 July 2007
Revaluation increments 2007-08
Balance 30 June 2008
$000
21,627
12,952
34,579
The asset revaluation reserve represents the net efffect of upwards and downwards revaluations of
assets to fair value.
58
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
22. Restructuring of Administrative Arrangements
As a result of the Public Service Departmental Arrangements Notice (No. 2) 2009 , dated 26 March
2009, the department was transferred to the Department of Employment, Economic Development and
Innovation.
As a result of these changes, the following assets and liabilities were transferred:
Total
$000
Assets
Cash
Receivables
Non-current assets held for sale
Other current assets
Non-current receivables
Plant and Equipment
Other non-current assets
Total Assets
44,957
43,569
220
662
2,996
297,370
14,592
404,366
Liabilities
Payables
Other current financial liabilities
Accrued employee benefits
Other current liabilities
Other non-current financial liabilities
Total Liabilities
22,684
9,011
496
2,463
128,328
162,982
Net Assets
241,384
Administered on a whole-of-Government basis
Assets
Cash
Receivables
Non-current receiavables
Total Assets
Liabilities
Payables
Total Liabilities
Net Assets
(10,124)
12,252
47,236
49,364
1,100
1,100
48,264
59
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
2009
$000
2008
$000
Operating surplus/(deficit)
1,955
(203)
Depreciation expense
Gain on sale of plant and equipment
Loss on sale of plant and equipment
Loss on sale of assets held for sale
Post capitalised assets
Notional interest on loans receivable
Fair value adjustment on loans receivable
5,570
6
1,675
(303)
3,273
6,600
(2)
1
7,731
(16)
(307)
2,291
(10,947)
(2,040)
(5,752)
2,731
76
476
(5,421)
(822)
471
(6,202)
31
(1,289)
4,374
(2,357)
(29)
596
(1,143)
(3,563)
(108)
(5,949)
8,030
520
(3,908)
117
4,134
(18,389)
18,686
23. Reconciliation of Operating
Surplus/(Deficit) to Net Cash Provided by
(Used in) Operating Activities
Change in assets and liabilities:
(Increase)/decrease in output revenue receivable
(Increase)/decrease in receivables
(Increase)/decrease in grant receivables
(Increase)/decrease in inventories
(Increase)/decrease in GST input tax credits receivable
(Increase)/decrease in other assets
(Increase)/decrease in prepayments
Increase/(decrease) in accounts payable
Increase/(decrease) in employee provisions
Increase/(decrease) in unearned revenue
Increase/(decrease) in grants and subsidies
payable
Increase/(decrease) in GST payable
Increase/(decrease) in sundry payables
Net cash provided by (used in) operating activities
24.
Non-Cash Financing and Investing Activities
Assets and liabilities received or donated/transferred by the department and recognised as revenues
and expenses are set out in notes 4 and 12 respectively.
Assets and liabilities received or transferred by the department as a result of machinery-of-Government
changes are set out in note 22.
60
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
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25. Commitments for Expenditure
(a) Non-Cancellable Operating Lease
Commitments under operating leases at reporting date are
inclusive of anticipated GST and are payable as follows:
· Not later than one year
· Later than one year and not later than five years
Total
1,979
1,096
3,075
1,575
1,721
3,296
Infrastructure
Total capital expenditure commitments
336,179
336,179
399,911
399,911
Payable:
· Not later than one year
· Later than one year and not later than five years
Total capital expenditure commitments
166,680
169,499
336,179
146,740
253,171
399,911
127,124
90,744
437
218,305
95,008
76,240
1,408
172,656
(b) Capital Expenditure Commitments
Material classes of capital expenditure commitments inclusive of
anticipated GST, contracted for at reporting date but not recognised
in the accounts are payable as follows:
(c) Grants and Contributions Commitments
As at 26 March 2009, the department had formal agreements for
grants whose payment depended on prospective recipients
meeting performance criteria:
· Not later than one year
· Later than one year and not later than five years
· Later than five years
Total Grants and Contributions Commitments
26.
Contingencies
(a)
Guarantees Held
The department holds banks guarantees in relation to Queensland Investment Incentive Scheme (QIIS)
grants and other financial support provided to private sector proponents.
All QIIS funds are underwritten by performance undertakings and in the case of cash grants, secured by
bank guarantees or equivalent securities from the grantee for the full term of the agreement.
The total value of bank guarantees held for 23 QIIS projects as at 26 March 2009 is $37.069 million
(2008 : 30 QIIS projects $38.848 million).
Other bank guarantees are held for financial support provided on 7 projects. The total value of bank
guarantees held for these 7 projects as at 26 March 2009 is $24.569 million (2008: 8 projects $25.569
million).
61
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
(b)
Litigation in Progress
As at 26 March 2009, the department had no litigation in progress.
27. Controlled Entities
The following entities are not consolidated with the department's financial statements as the
transactions and balances are not material to the department's operations. The department owns
100% of the shares of each of the following entities, which is the basis for these entites being
controlled.
Australian Institute for Commercialisation Ltd (AIC)
The Australian Institute for Commercialisation Ltd (AIC) is a world-class commercialisation facility that
combines technology, entrepreneurship and education to accelerate wealth creation across Australia
though a process of network development, research, training and education, national leadership and
financial services. The aim of the AIC is to enhance the competitive position of all Australian industry
sectors and firms through the rapid diffusion and uptake of research. The AIC’s financial operations
are audited by the Auditor-General of Queensland.
Revenues
Expenses
Net Surplus
2009
$000
2,417
2,715
(298)
2008
$000
4,100
4,672
(572)
Assets
Liabilities
Net Assets
2,017
678
1,339
2,764
1,127
1,637
BioPharmaceuticals Australia (Network) Pty Ltd
BioPharmaceuticals Australia (Network) Pty Ltd was established to oversee the staged development of
a contract biopharmaceutical manufacturing facility and undertake business development activities to
support the operations of the facility. It forms part of the Queensland Government's 10 year
biotechnology strategic plan, creating synergy with Australia's world-class biomedical research
activity. Biopharmaceuticals Australia's financial operations are audited by the Auditor-General of
Queensland.
Revenues
Expenses
Net Surplus
2009
$000
877
443
434
2008
$000
306
197
109
Assets
Liabilities
Net Assets
1,664
1,121
543
216
107
109
62
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
iLAB Incubator Pty Ltd
The Brisbane based iLAB Incubator Pty Ltd is a technology incubator, providing innovative new
companies with office space facilities, development programs, and mentoring for up to two years so
they can focus on developing and commercialising their ideas and inventions. iLAB Incubator Pty Ltd's
financial operations are audited by the Auditor-General of Queensland.
2009
2008
$000
$000
Revenues
899
1,871
Expenses
1,410
2,014
Net Surplus
(511)
(143)
Assets
Liabilities
Net Assets
1,060
85
975
1,637
151
1,486
teQstart Pty Ltd
teQstart Pty Ltd was launched in 2001 as the BioStart Investment Fund to stimulate the growth of the
Queensland biotechnology industry and bring intellectual property development in research activities
to an investment ready position. teQstart Pty Ltd's financial operations are audited by the AuditorGeneral of Queensland.
2009
2008
$000
$000
Revenues
58
628
Expenses
176
551
Net Surplus
(118)
77
Assets
Liabilities
Net Assets
5,690
1
5,689
6,943
24
6,919
teQstart Pty Ltd was sold on 2 March 2009. Cash representing unspent grant revenue from
Government was returned to the department, refer note 4. Assets include investments valued at cost,
the proceeds of sale were $150,000.
28. Financial Instruments
Categorisation of Financial Instruments
The department has the following categories of financial assets and financial liabilities:
Category
Financial Assets
Cash
Receivables
Note
13
14
Total
Financial Liabilities
Payables
Queensland Treasury Corporation borrowings
Total
17
18
2009
$000
2008
$000
44,957
46,565
34,458
28,910
91,522
63,368
22,684
137,339
32,885
143,762
160,023
176,647
63
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Financial Risk Management
The department’s activities expose it to a variety of financial risks – interest rate risk, credit risk, liquidity
risk and market risk.
Financial risk management is implemented pursuant to Government and departmental policy. These
policies focus on the unpredictability of financial markets and seek to minimise potential adverse
effects on the financial performance of the department.
All financial risk is managed by the Finance section under policies approved by the department. The
department provides written principles for overall risk management, as well as policies covering specific
areas.
The department measures risk exposure using a variety of methods as follows:Risk Exposure
Credit risk
Liquidity risk
Market risk
Measurement Method
Ageing analysis, earnings at risk
Sensitivity analysis
Interest rate sensitivity analysis
Credit Risk Exposure
Credit risk exposure refers to the situation where the department may incur financial loss as a result of
another party to a financial instrument failing to discharge their obligation.
The maximum exposure to credit risk at balance date in relation to each class of recognised financial
assets is the gross carrying amount of those assets inclusive of any provisions for impairment.
The following table represents the department’s maximum exposure to credit risk based on contractual
amounts net of any allowances:
Maximum Exposure to Credit Risk
Category
Financial Assets
Cash
Receivables
Total
Note
13
14
2009
$000
44,957
46,565
2008
$000
34,458
28,910
91,522
63,368
No collateral is held as security relating to the financial assets held by the department. No credit
enhancements relate to the financial assets held by the department.
The department manages credit risk through the use of a credit management strategy. This strategy
aims to reduce the exposure to credit default by ensuring that the department invests in secure assets
and monitors all funds owed on a timely basis. Exposure to credit risk is monitored on an ongoing basis.
No financial assets and financial liabilities have been offset and presented net in the Balance Sheet.
No financial assets have had their terms renegotiated so as to prevent them from being past due or
impaired, and are stated at the carrying amounts as indicated.
Aging of past due or impaired financial instruments are disclosed in the following tables:
64
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
2009
Financial Assets Past Due But Not Impaired
Maturity Date:
Overdue
$000
$000
$000
$000
$000
$000
Total
Financial
Assets
$000
Financial Assets
Receivables
42,685
1,028
640
9
2,203
3,880
46,565
Total
42,685
1,028
640
9
2,203
3,880
46,565
Less than
More than
30- 60 Days 61 - 90 Days
30 Days
90 Days
Total
Not
Overdue
2008
Total
Financial Assets Past Due But Not Impaired
Maturity Date:
Overdue
$000
$000
$000
$000
$000
$000
Total
Financial
Assets
$000
27,708
27,708
1,034
1,034
44
44
3
3
121
121
1,202
1,202
28,910
28,910
Not
Overdue
Financial Assets
Receivables
Total
Less than
More than
30- 60 Days 61 - 90 Days
30 Days
90 Days
Liquidity Risk
Liquidity risk refers to the situation where the department may encounter difficulty in meeting
obligations associated with financial liabilities.
The department is exposed to liquidity risk through its trading in the normal course of business and
borrowings from Queensland Treasury Corporation. The borrowings are based on the Queensland
Government gazetted floating rate.
The department minimises its exposure to liquidity risks by ensuring the department has sufficient funds
available to meet employee and supplier obligations as they fall due. This is achieved by ensuring that
minimum levels of cash held within the bank account so as to match the expected duration of the
various employee and supplier liabilities.
The following table sets out the liquidity risk of financial liabilities held by the department. It represents
the contractual maturity of financial liabilities, disclosed as the undiscounted cash flows, except for
payables which are shown at their carrying value.
2009
Financial Liabilities
Payables
QTC Borrowings
Total
2008
Financial Liabilities
Payables
QTC Borrowings
Total
Note
17
18
< 1 Year 1 - 5 Years
> 5 Years
$000
$000
$000
22,684
9,011
43,909
84,419
31,695
43,909
84,419
Total
$000
22,684
137,339
160,023
Note
17
18
< 1 Year 1 - 5 Years
> 5 Years
$000
$000
$000
32,885
16,812
65,623
105,626
49,697
65,623
105,626
Total
$000
32,885
188,061
220,946
Market Risk
The department does not trade in foreign currency and is not materially exposed to commodity price
changes. The department is exposed to interest rate risk through it’s borrowings from Queensland
Treasury Corporation. The department does not undertake any hedging in relation to interest risk and
manages its risk as per the liquidity risk note above.
65
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Interest Rate Sensitivity Analysis
The department’s QTC borrowings are held at fixed rate and variable rate for the terms of the borrowings.
For it’s fixed rate borrowings the department is not impacted by movement in interest rates for the terms
of the borrowings. Similarly as all interest on cash held is consolidated at a whole-of-government level
and not received as revenue by the department, the department is not impacted by interest rate
movements in it’s cash balances.
For the department’s variable rate borrowings from Queensland Treasury Corporation, the following
interest rate sensitivity analysis is based on a report similar to that which would be provided to
management, depicting the outcome to profit and loss if interest rates would change by +/- 1% from the
year-end rates applicable to the department’s financial assets and liabilities. With all other variables
held constant, the department would have a surplus and equity increase/(decrease) of $109,000 (2008:
$128,000).
Financial Instruments
QTC Borrowings at variable rates
Overall effect on profit and equity
Carrying
Amount
$000
10,928
2009 Interest Rate Risk
-1%
+1%
Profit
Equity
Profit
$000
$000
$000
109
109
(109)
109
109
(109)
Equity
$000
(109)
(109)
The department’s sensitivity to interest has decreased in the current period due to repayment of
borrowings.
Financial Instruments
QTC Borrowings at variable rates
Overall effect on profit and equity
Carrying
Amount
$000
12,840
2008 Interest Rate Risk
-1%
+1%
Profit
Equity
Profit
$000
$000
$000
128
128
(128)
128
128
(128)
Equity
$000
(128)
(128)
Fair Value
The fair value of financial assets and liabilities is determined as follows:

The carrying amounts of all financial assets and most financial liabilities, except borrowings from
Queensland Treasury Corporation are representative of their fair values. The fair value of borrowings
is calculated using discounted cash flow analysis and the effective interest rate (refer note 18) is
disclosed below. Fair value of the Smart State Initiative loans have been calculated at the
discounted Net Present Value of expected future cash payments receivable.
Financial Instruments
Financial Assets
Loans receivable
Total
Total Carrying Amount
2009
2008
$000
$000
Net Fair Value
2009
2008
$000
$000
7,866
7,866
5,637
5,637
7,866
7,866
5,637
5,637
Financial Liabilities
Queensland Treasury Corporation borrowings
137,339
143,762
141,793
134,853
Total
137,339
143,762
141,793
134,853
66
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
2009
$000
2008
$000
49,276
(23,586)
25,690
11,151
36,841
1,915
48,288
613
50,816
(12,072)
38,744
13,470
13,470
(1,100)
12,370
61,009
(29,719)
31,290
31,290
29. Reconciliation of Payments from Consolidated Fund
Administered item revenue
Administered item revenue
Transfers from/(to) other departments
Lapsed administered item revenue
Total administered receipts
Less: Opening balance of administered item revenue receivable - MOG
Plus: Closing balance of administered item revenue receivable
Administered item revenue recognised in Income Statement
Equity adjustments
Budgeted equity adjustment appropriation
Lapsed equity adjustment
Equity adjustment receipts (payments)
Less: Closing balance of equity withdrawal payable
Equity adjustment recognised in Contributed Equity
In preparing this note, the department has relied on advice from the Treasury Department in relation to the 2009
transfers to departments made in accordance with section 23A of the Financial Administration and Audit Act
1977 . These transfer amounts are expected to be approved by Governor in Council before 30 June 2009.
30. Other Revenues
Administered on a whole-of-Government basis
Interest earned on loans
Taxes, fees and fines
Royalties
Total
1,491
9
1,500
1,555
5
1,560
33,889
2,988
320
11,181
48,378
36,216
2,528
337
8,147
47,228
14,156
14,156
12,141
12,141
31. Grants and Subsidies
Administered on a whole-of-Government basis
Grants to statutory bodies - recurrent
Grants to not-for-profit bodies - recurrent
Grants to not-for-profit bodies - capital
Grants to universities - capital
Total
32. Other Expenses
Administered on a whole-of-Government basis
Loans - fair value adjustments
Total
67
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Error! Not a valid link.
33. Cash and Cash Equivalents
Administered on a whole-of-Government basis
Cash at bank and on hand
Total
(10,124)
(10,124)
20,987
20,987
1
1
11,151
1,100
12,252
1
1
1,100
1,101
47,236
47,236
39,291
39,291
34. Receivables
Administered in a whole-of-Government basis
Current
Trade debtors
Appropriation receivable
Current loans
Total
Non-Current
Loans*
Total
*Non-current loans are at fair value, the cost value of these loans at balance date are $175.266 million (2008:
$143.155 million)
35. Payables
Administered in a whole-of-Government basis
Current
Trade creditors
Equity withdrawal payable
Total
1,100
1,100
1,292
1,292
68
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Error! Not a valid link.
36. Reconciliation of Operating Surplus/(Deficit) to Net Cash Provided by
(Used in) Operating Activities
Administered on a whole-of-Government basis
Net operating result
(24,193)
(19,070)
(1,491)
14,156
(1,555)
12,141
(11,151)
-
(22,679)
(8,484)
Notional interest on loans
Fair value adjustment on loans
Changes in Assets and Liabilities
(Increase)/decrease in net receivables
Net cash provided by (used in) operating
activities
37. Commitments for Expenditure
Grants and Contributions Commitments
As at 26 March 2009, the department had a formal agreement for on-going grant payments in the order of $1.9
million annually.
38. Financial Instruments
Categorisation of Financial Instruments
The department has the following categories of financial assets and financial liablilities:
Category
Financial Assets
Cash
Receivables
Total
Financial Liabilites
Payables
Total
2009
$000
2008
$000
33
34
(10,124)
59,488
49,364
20,987
40,392
61,379
35
1,100
1,100
1,292
1,292
Note
69
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Credit Risk Exposure
Credit risk exposure refers to the situation where the department may incur financial loss as a result of another
party to a financial instrument failing to discharge their obligation.
The maximum exposure to credit risk at balance date in relation to each class of recognised financial assets is
the gross carrying amount of those assets inclusive of any provisions for impairment. The following table
represents the department’s maximum exposure to credit risk based on contractual amounts net of any
allowances:
Maximum Exposure to Risk
2009
2008
Note
$000
$000
Financial Assets
Cash
33
(10,124)
20,987
40,392
34
59,488
Receivables
Total
49,364
61,379
No collateral is held as security and no credit enhancements relate to financial assets held by the department.
No financial assets and financial liabilities have been offset and presented net in the Balance Sheet.
The department manages credit risk through the use of a credit management strategy. This strategy aims to
reduce the exposure to credit default by ensuring the department invests in secure assets and monitors all
funds owed on a timely basis. Exposure to credit risk is monitored on an ongoing basis.
No financial assetshave had their terms renegotiated so as to prevent them from being past due or impaired,
and are stated at the carrying amounts as indicated.
Aging of past due or impaired financial instruments are disclosed in the following tables:
Financial Assets Past Due But Not Impaired
Maturity Date:
Overdue
2009
Not Less than
Overdue 30 Days
$000
Financial Assets
Receivables
Total
59,488
59,488
$000
-
61 - 90
Days
More than
90 Days
Total
$000
$000
$000
$000
-
-
-
-
Total
Financial
Assets
$000
59,488
59,488
Financial Assets Past Due But Not Impaired
Maturity Date:
Overdue
2008
Not Less than
Overdue 30 Days
$000
Financial Assets
Receivables
Total
30 - 60
Days
40,392
40,392
$000
-
30 - 60
Days
61 - 90
Days
More than
90 Days
Total
$000
$000
$000
$000
-
-
-
-
Total
Financial
Assets
$000
40,392
40,392
70
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
Liquidity Risk
The department is exposed to liquidity risk through its payables.
The department minimises its exposure to liquidity risks by ensuring the department has sufficient funds
available to meet its obligations as they fall due. This is achieved by ensuring that minimum levels of cash are
held within the bank account so as to match the expected duration of the various supplier liabilities.
The following table sets out the liquidity risk of financial liabilities held by the department. It represents the
contractual maturity of financial liabilities, calculated based on cash flows relating to the repayment of the
amount outstanding at balance date.
2009
Note
Financial Liabilities
Payables
Total
35
2008
Note
Financial Liabilities
Payables
Total
35
< 1 year
$'000
1,100
1,100
1 - 5 years
$'000
-
> 5 years
$000
-
< 1 year 1 - 5 years > 5 years
$000
$000
$000
1,292
1,292
-
-
Total
$000
1,100
1,100
Total
$000
1,292
1,292
Market Risk
The department does not trade in foreign currency and is not materially exposed to commodity price changes.
The department is not exposed to interest rate risk. The department does not undertake any hedging in
relation to interest risk and manages its risk as per the liquidity risk note above.
Interest Rate Sensitivity Analysis
The department’s loans are interst-free loans and the department is not impacted by movement in interest
rates for the terms of the loans. Similarly as all interest on cash held is consolidated at a whole-of-government
level and not received as revenue by the department, the department is not impacted by interest rate
movements in its cash balances.
Fair Value
The carrying amounts of all financial assets and financial liabilities are representative of their fair values.
71
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
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39.
Agency Transactions and Balances
The department acts as an agent in the collection and distribution of charges and levies for various
public sector agencies and local governments. A reconciliation of amounts collected and distributed
follows:
Balance 1 July
Collections during reporting period
Distributions to principals during reporting period
Balance 26 March*
1,494
1,464
30
15,399
2,564
17,963
-
* Held in the department's collection account. Cleared after 26 March. These transactions and
balances are not recognised in the department's financial statements. No fees are received by the
department for providing agency services.
40.
Events Occurring after Balance Date
The department has no events occurring after balance date that would affect the financial statements at
26 March 2009.
72
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
CERTIFICATE OF THE DEPARTMENT OF TOURISM, REGIONAL DEVELOPMENT AND INDUSTRY
These general purpose financial statements have been prepared pursuant to section 105M(1) of
the Financial Administration and Audit Act 1977 (the Act), and other prescribed requirements. In
accordance with section 105M(2) of the Act we certify that in our opinion:
a) the prescribed requirements for establishing and keeping the accounts have been complied
with in all material respects; and
b) the statements have been drawn up to present a true and fair view, in accordance with
prescribed accounting standards, of the transactions of the Department of Tourism,
Regional Development and Industry for the financial period 1 July 2008 to 26 March 2009
and of the financial position of the department at the end of that period.
73
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
INDEPENDENT AUDITOR’S REPORT
To the former Accountable Officer of the Department of Tourism, Regional Development and
Industry
Report on the Final Financial Report
I have audited the accompanying final financial report of the former Department of Tourism,
Regional Development and Industry, which comprises the balance sheet as at 26 March 2009,
and the income statement, statement of changes in equity and cash flow statement for the final
period ended on that date, a summary of significant accounting policies, other explanatory
notes and the certificates given by the former Accountable Officer and former Director, Finance.
The Former Accountable Officer’s Responsibility for the Final Financial Report
The former Accountable Officer is responsible for the preparation and fair presentation of the
final financial report in accordance with prescribed accounting requirements identified in the
Financial Administration and Audit Act 1977 and the Financial Management Standard 1997,
including compliance with applicable Australian Accounting Standards (including the Australian
Accounting Interpretations). This responsibility includes establishing and maintaining internal
controls relevant to the preparation and fair presentation of the final financial report that is free
from material misstatement, whether due to fraud or error, selecting and applying appropriate
accounting policies; and making accounting estimates that are reasonable in the
circumstances.
Auditor’s Responsibility
My responsibility is to express an opinion on the final financial report based on the audit. The
audit was conducted in accordance with the Auditor-General of Queensland Auditing
Standards, which incorporate the Australian Auditing Standards. These Auditing Standards
require compliance with relevant ethical requirements relating to audit engagements and that
the audit is planned and performed to obtain reasonable assurance whether the final financial
report is free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the final financial report. The procedures selected depend on the auditor’s
judgement, including the assessment of risks of material misstatement in the final financial
report, whether due to fraud or error. In making those risk assessments, the auditor considers
internal control relevant to the entity’s preparation and fair presentation of the final financial
report in order to design audit procedures that are appropriate in the circumstances, but not for
the purpose of expressing an opinion on the effectiveness of the entity’s internal control, other
than in expressing an opinion on compliance with prescribed requirements. An audit also
includes evaluating the appropriateness of accounting policies and the reasonableness of
accounting estimates made by the former Accountable Officer, as well as evaluating the overall
presentation of the final financial report and any mandatory financial reporting requirements as
approved by the Treasurer for application in Queensland.
I believe that the audit evidence obtained is sufficient and appropriate to provide a basis for my
audit opinion.
Independence
The Financial Administration and Audit Act 1977 promotes the independence of the AuditorGeneral and QAO authorised auditors. The Auditor-General is the auditor of all Queensland
public sector entities and can only be removed by Parliament.
74
Department of Tourism, Regional Development and Industry
Notes to and forming part of the Financial Statements
for the period 1 July 2008 to 26 March 2009
The Auditor-General may conduct an audit in any way considered appropriate and is not subject
to direction by any person about the way in which audit powers are to be exercised. The AuditorGeneral has for the purposes of conducting an audit, access to all documents and property and
can report to Parliament matters which in the Auditor-General’s opinion are significant.
Auditor’s Opinion
In accordance with s.105M of the Financial Administration and Audit Act 1977—
(a)
I have received all the information and explanations which I have required; and
(b)
in my opinion —
(i)
(ii)
the prescribed requirements in respect of the establishment and keeping of
accounts have been complied with in all material respects; and
the final financial report has been drawn up so as to present a true and fair view,
in accordance with the prescribed accounting standards of the transactions of the
former Department of Tourism, Regional Development and Industry for the final
period 1 July 2008 to 26 March 2009 and of the financial position as at the end of
that final period.
Emphasis of Matter — Abolishment of Department of Tourism, Regional Development and
Industry
Without qualification to my opinion, attention is drawn to Note 1(w) in the final financial report
which identifies that pursuant to The Public Service Departmental Arrangements Notice (No.2)
2009, the former Department of Tourism, Regional Development and Industry was abolished on
26 March 2009. In accordance with the requirements of the Notice, all assets and liabilities of
the former Department as at the date of abolition were transferred to the Department of
Employment, Economic Development and Innovation, immediately after the abolishment at the
values reported in the balance sheet (refer Note 22). Accordingly this final financial report has
been prepared on a basis that is consistent with a going concern basis.
75
14.0 Glossary of Terms
Accountable Officer
The chief executive of a department of Government declared under the
Public Service Act 2008, section 14(1), is the accountable officer of the
department. (Financial Administration and Audit Act 1977, S 34(1)).
activity
Any work performed on a project or as part of a program. It may be a
task or a set of tasks to be completed. An activity has a finite duration
and will result in one or more deliverables. An activity will generally
have cost and resource requirements. Some activities are operational
in nature and are often ongoing.
agency objective
The effects or impacts that an agency seeks to have on its clients,
stakeholders, or the broader community.
ambitions
Represent the desired effects on, or consequences of, Government
services on the community. Ambitions are more specific goals for
change and should be strategic, high-level and measurable.
annual report
A written report on the operations of the agency during the financial
year, as prescribed by the Financial Administration and Audit Act 1977,
S 39.
Budget
An outline of Government’s priorities and plans for the coming year,
expressed in terms of financial and non-financial performance
information.
Budget submission
Each agency prepares a submission to the Cabinet Budget Review
Committee each year highlighting how it plans to apply its Budget, and,
where necessary, seeking CBRC’s consideration of changes to its
Budget allocation to address new or emerging demands.
Cabinet
Budget The CBRC has a primary role of considering matters with financial or
Review Committee budgetary implications for the Government. Initiatives or proposals
(CBRC)
with a material impact on government services or resourcing must be
directed to CBRC in the first instance for consideration. At the direction
of the Premier or Cabinet, CBRC may also consider other issues that
require dedicated or longer-term scrutiny or otherwise might best be
considered in the Committee environment.
CBRC has a membership of four Ministers, with the Premier and
Treasurer as standing members along with two rotational senior
Ministers occupying the positions for generally one year.
CEO
performance Departmental chief executive officers (CEOs) are required to enter into a
agreement
performance agreement with the Premier at their substantive
appointment and annually thereafter.
The performance agreement is drafted by the CEO using a pro-forma
provided by the Public Service Commission.
collaborative
agreements
Outline the specific contributions that individual agencies will make to
the achievement of Government targets.
collaborative
agreement process
The process through which whole-of-Government targets are
disaggregated into the specific contributions that each agency will
deliver in order to achieve the target.
76
co-signatory
agencies
The Department of the Premier and Cabinet will nominate ‘co-signatory
agencies’ for each collaborative agreement – those agencies whose
services make a significant or material contribution to the achievement
of whole-of-Government targets.
DTRDI
Department of Tourism, Regional Development and Industry
fiscal objectives
Detail the Government’s commitment to maintaining a strong fiscal
position for the State, and that the State’s asset base supports the
current and future service delivery needs.
Government
objectives for
community
The Government is required to prepare and table a statement of the
the Government’s broad objectives for the community including details of
arrangements for regular reporting to the community about the
outcomes the Government has achieved against its objectives for the
community.
Toward Q2: Tomorrow’s Queensland currently addresses this
requirement. The Government’s vision for Queensland is framed around
five ambitions and within each of these areas, the Government has
identified measurable targets for 2020.
Government targets
Set specific, observable and measurable goals for improvement in key
policy areas. Achievement of Government targets is likely to require
collaboration between multiple government agencies.
Toward Q2: Tomorrow’s Queensland is the Government's blueprint for
the state to the year 2020. Toward Q2 includes 10 specific
whole-of-Government targets.
GST
Goods and Services Tax
initiative
‘Initiatives’ could occur at any level within the performance
management framework as ways that an agency intends to enhance,
expand, or change its objectives or the way that it achieves them. An
‘initiative’ could relate to a small process improvement within the
agency, or a major policy shift.
lead agency
Cabinet has appointed a lead agency for each Government target. The
lead agency is the agency with the most significant contribution to a
target. The lead agency will lead the development of collaborative
agreements, including coordinating the process and drafting the
resulting collaborative agreement.
Machinery
–of- From time to time, the Premier will re-align responsibilities across
Government (MOG) government agencies. These re-alignments are known as Machinery-ofchange
Government (or MoG) changes.
operational plan
An agency’s operational plan provides for the services the agency
intends to deliver during the plan’s timeframe. It also includes details
about performance information that allows the accountable officer to
assess the agency’s performance in delivering services. (Financial
Management Standard 1997, S21)
output
Services that are provided by agencies for clients (including policy
advice provided to Ministers). Output details are provided in the
Budget documentation (Service Delivery Statements).
77
output performance Units of measurement used to determine and assess the delivery of
measure
outputs (services). They measure the quantity, quality, cost, timeliness
and location of services. Full details of each agency’s performance are
provided in the Budget documentation (Service Delivery Statements).
performance
improvement
strategy
A strategy established where risks or opportunities relating to the
achievement of whole-of-Government targets are identified.
performance
indicator
Measure the extent to which agencies are achieving their objectives.
performance
information
A generic term used to describe information about the performance of
an agency or Government at any level of the performance management
framework.
performance
management
Considered to be the system, which integrates organisational strategic
management, performance information, evaluation, performance
measurement, monitoring, assessment and reporting.
Performance
Management
Framework
The Performance Management Framework is designed to improve the
analysis and application of performance information to identify and
address risks and opportunities for agencies, Government and the
community.
The Queensland Government approved that the Managing for
Outcomes framework be replaced with a new Performance
Management Framework in August 2008.
Performance
The group, consisting of the Director-General of the Department of the
Leadership
Group Premier and Cabinet, the Under Treasurer, and the Commission Chief
(PLG)
Executive of the Public Service Commission, that provides governance
and oversight over performance across Government.
portfolio
A group of departments for which a Minister is responsible.
Portfolio
Contact Officer of the Department of the Premier and Cabinet with responsibility
Officer (PCO)
for briefing the Premier on Cabinet and CBRC submissions to ensure
that they are consistent with policy.
program
A temporary structure created to coordinate, direct and oversee the
implementation of a set of related projects and activities in order to
deliver outcomes and benefits related to an organisation's strategic
objectives. A program produces an end-state and is finite (albeit often
years in duration).
public service office
An entity stated as a public service office in Schedule 1 to the Public
Service Act 2008, or subject to section 23, another designated entity, or
part of a designated entity, declared under a regulation to be a public
service office.
Service
Delivery Budget papers prepared on a portfolio basis by agencies reporting to
Statement (SDS)
each Minister and the Speaker. The SDS set out the priorities, plans
and financial statements of agencies.
78
service standard
Describes the standards of efficiency and effectiveness to which the
agency will deliver services within its fiscal limit. Standards are set with
the aim of defining a level of performance that is appropriate for the
service and is expected to be achieved.
Standards of Efficiency - reflect how resources (inputs) are used to
produce services and objectives, expressed as a ratio of resources
(inputs) to services - technical efficiency, or resources (inputs) to
objectives - cost efficiency.
Standards of Effectiveness - reflect how well a service achieves its
stated objectives through meeting service delivery standards operational effectiveness, or achieving desired objectives - policy
effectiveness.
services
Services are the deliverables that will help the agency to achieve its
objectives. They describe the areas in which an agency delivers
services to its clients at a level appropriate to the agency.
SES
performance Departmental Senior Executive Service (SES) are required to enter into
agreement
a performance agreement with departmental chief executive officers
(CEOs) at their substantive appointment and annually thereafter.
The SES process mirrors the CEO performance agreement process. The
SES performance agreement will reflect aspects of their CEOs
performance agreement.
strategic plan
Each accountable officer and statutory body must develop a strategic
plan for the agency to cover a period of at least 4 years.
strategy
The way in which an agency intends to pursue its objectives and deliver
its services, and assist in achieving the Government’s objectives for the
community.
Strategies can occur at various levels within an agency.
Strategies included in an agency’s strategic plan would generally be
longer term ‘strategic’ strategies that are pursued over a number of
years
Strategies included in an agency’s operational plan would generally be
shorter term ‘operational’ strategies that are pursued over a year or less
timeframe.
Treasury Analyst (TA) Officer within Queensland Treasury with responsibility for briefing the
Treasurer on agencies’ Cabinet and CBRC submissions to ensure that
they reflect sound fiscal management and offer good value for money.
79
15.0 The Department’s principal place of business and regional offices
Principal place for business – 111 George Street, Brisbane QLD 4001.
A Statewide network of regional centres are located as follows:
Office Location
Street Address
Postal Address
Brisbane (Spring Hill)
SmartLicence
PO Box 974
SPRING HILL QLD 4004
Brisbane Northside
(Aspley)
Brisbane Southside
(Springwood)
Bundaberg
Caboolture
Cairns
Gladstone
Gold Coast (Southport)
Hervey Bay
Ipswich
Mackay
Maryborough
Mount Isa
Rockhampton
Roma
Springfield
Sunshine Coast
Toowoomba
Townsville
Ground Floor, 400 Boundary Street
SPRING HILL QLD 4000
Level 2 Homemaker City
825 Zillmere Road
Cnr Zillmere & Gympie Roads
ASPLEY QLD 4034
6 Paxton Street
SPRINGWOOD QLD 4127
205 Bourbong Street
BUNDABERG QLD 4670
Level 4, 33 King Street
CABOOLTURE QLD 4510
Ground Floor, Cairns Port Authority
Building
Cnr Hartley & Grafton Streets
CAIRNS QLD 4870
33 Goondoon Street
The Old Gladstone Post Office
GLADSTONE QLD 4680
26 Marine Parade
SOUTHPORT QLD 4215
Brendan Hansen Building
50-54 Main Street
PIALBA QLD 4655
26 East Street
IPSWICH QLD 4305
Floor 2 , Post Office Square
67-69 Sydney Street
MACKAY QLD 4740
319-325 Kent Street
MARYBOROUGH QLD 4650
75 Camooweal Street
MOUNT ISA QLD 4825
Level 1, 149 Bolsover Street
ROCKHAMPTON QLD 4700
NRW Building
1/3 Alfred Street
ROMA QLD 4455
Level 5, World Knowledge Centre
Education City, Sinnathamby Boulevard
SPRINGFIELD QLD 4300
Lvl 2, 12 Innovation Park Way
BIRTINYA QLD 4575
Downs Business Centre
4 Little Street
TOOWOOMBA QLD 4350
1st Floor Enterprise House
Cnr The Strand & Sir Leslie Thiess Drive
TOWNSVILLE QLD 4810
PO Box 356
ASPLEY QLD 4034
PO Box 1030
SPRINGWOOD QLD 4127
PO Box 1719
BUNDABERG QLD 4670
PO Box 1519
CABOOLTURE QLD 4510
PO Box 2358
CAIRNS QLD 4870
PO Box 539
GLADSTONE QLD 4680
PO Box 3290 Australia Fair
SOUTHPORT QLD 4215
PO Box 537
MARYBOROUGH QLD 4650
PO Box 280
IPSWICH 4305
PO Box 710
MACKAY QLD 4740
PO Box 537
MARYBOROUGH QLD 4650
PO Box 2221
MOUNT ISA QLD 4825
PO Box 947
ROCKHAMPTON QLD 4700
PO Box 350
ROMA QLD 4455
PO BOX 280
IPSWICH QLD 4305
PO Box 3942
CALOUNDRA DC QLD 4551
PO Box 3036 Village Fair
TOOWOOMBA QLD 4350
PO Box 1732
TOWNSVILLE QLD 4810
80
16.0 Copyright
© The State of Queensland (Department of
Tourism, Regional Development and
Industry) 2009. Copyright protects this
publication. The State of Queensland has no
objection to this material being reproduced
but asserts its right to be recognised as
author of its original material and the right
to have its material remain unaltered.
Inquiries should be addressed to
[email protected]
HU
UH
17.0 Disclaimer
This publication has been prepared by the
State of Queensland as an information
source only.
The State of Queensland makes no
statements, representations, or warranties
about the accuracy or completeness of, and
you and all other persons should not rely
on, any information contained in this
publication. Any reference to any specific
organisation, product or service does not
constitute or imply its endorsement or
recommendation by the State of
Queensland.
The Queensland Government disclaims all
responsibility and all liability (including
without limitations, liability in negligence)
for all expenses, losses, damages and costs
you might incur as a result of the
information being inaccurate or incomplete
in any way, and for any reason.
81
SD5617 07/09
Department of Tourism, Regional Development and Industry
Final Report July 2008 – March 2009
www.dtrdi.qld.gov.au