Section 1: Agency overview and resources
1.1 Strategic direction
There has been no significant change to the strategic direction of the Department of the Treasury (the Treasury) from that outlined in the Portfolio Budget Statements 2011-12 (pages 15-17).
As a result of Administrative Arrangements Orders of 14 December 2011, the housing supply policy function transferred from the Department of Sustainability, Environment, Water, Population and Communities to the Treasury.
The Treasury is seeking an additional $4.2 million in departmental outputs through Appropriation Bill (No. 3) 2011-12. This relates to an additional $2.7 million for the Clean Energy Finance Corporation and $1.2 million for the Clean Energy Future — Supporting Energy Markets — Energy Security Fund measures as outlined in the Mid-Year Economic and Fiscal Outlook 2011-12, and an additional $0.3 million for the Stronger Super — Superstream measure that was agreed after the 2011-12 Mid-Year Economic and Fiscal Outlook.
The Stronger Super — Superstream measure is designed to enhance the back office of the superannuation system and the make the process of everyday transactions easier, cheaper and faster.
The Treasury is also seeking an additional $2.0 million in administered items through Appropriation Bill (No. 4) 2011-12. This relates to the carryover of funds unspent from 2010-11 for the Education Tax Refund information campaign.
1.2 Agency resource statement
Table 1.1 shows the total resources from all origins. The table summarises how resources will be applied by outcome and departmental classification.
Table 1.1: Department of the Treasury resource statement — additional estimates
for 2011-12 as at Additional Estimates February 2012
1 Includes the transfer of $0.989 million under section 32 of the Financial Management and Accountability Act 1997 from the Department of Sustainability, Environment, Water, Population and Communities.
2 Includes $6.5 million in 2011-12 for the departmental capital budget (also refer to Table 3.2.5).
3 Appropriation Bill (No. 3) 2011-12.
Table 1.1: Department of the Treasury resource statement — additional
estimates for 2011-12 as at Additional Estimates February 2012 (continued)
1 Includes the transfer of $0.989 million under section 32 of the Financial Management and Accountability Act 1997 from the Department of Sustainability, Environment, Water, Population and Communities.
2 Includes $6.5 million in 2011-12 for the departmental capital budget (also refer to Table 3.2.5).
3 Appropriation Bill (No. 3) 2011-12.
1.3 Agency measures table
Table 1.2 summarises new Government measures taken since the 2011-12 Budget.
Table 1.2: Agency Measures since Budget
Note: Details of these measures are in the Mid-Year Economic and Fiscal Outlook 2011-12.
(a) Measure that impacts on Appropriation Bill No. 3 that was agreed after the Mid-Year Economic and Fiscal Outlook.
Table 1.2: Agency Measures since Budget (continued)
Note: Details of these measures are in the Mid-Year Economic and Fiscal Outlook 2011-12.
(a) Measure that impacts on Appropriation Bill No. 3 that was agreed after the Mid-Year Economic and Fiscal Outlook.
1.4 Additional estimates and variations
Table 1.3 details the additional estimates resulting from new measures since the 2011-12 Budget. Table 1.4 details the additional estimates resulting from other variations since the 2011-12 Budget.
Table 1.3: Additional estimates and variations to outcomes from measures since
2011-12 Budget
Note: These figures represent the fiscal balance impact.
Table 1.4: Additional estimates and variations to outcomes from other variations
Note: These figures represent the fiscal balance impact.
1.5 Breakdown of additional estimates by Appropriation Bill
The following table details the additional estimates sought for the Treasury through Appropriation Bill No. 3. The Treasury is not seeking funding through Appropriation Bill No. 4.
Table 1.5: Appropriation Bill (No. 3) 2011-12
Note: The 2011-12 budget figure for departmental items includes the transfer of $0.989 million under section 32 of the Financial Management and Accountability Act 1997 from the Department of Sustainability, Environment, Water, Population and Communities.
Section 2: Revisions to agency outcomes and planned performance
2.1 Resources and performance information
There has been no change to outcomes or the outcome strategy for the Treasury from that included in the Portfolio Budget Statements 2011-12 (pages 23-24).
There has been no change to the program objective, expenses, deliverables or key performance indicators for programs 1.2 to 1.10 that affect Appropriation Bills No. 3 and No. 4.
Programs 1.4 to 1.10 relate to Australia's Federal Relations. Further details of Australia's Federal Relations are on pages 64 to 142 of the Mid-Year Economic and Fiscal Outlook 2011-12.
Table 2.1: Budgeted expenses and resources for Outcome 1
Program 1.1: Department of the Treasury
There has been no change to the program objective, deliverables or key performance indicators from that included in the Portfolio Budget Statements 2011-12.
As a result of Administrative Arrangements Orders of 14 December 2011, the housing supply policy function transferred from the Department of Sustainability, Environment, Water, Population and Communities to the Treasury.
Table 2.2: Program expenses
Section 3: Explanatory tables and budgeted financial statements
3.1 Explanatory tables
3.1.1 Estimates of special account flows
Special accounts provide a means to set aside and record amounts used for specific purposes. Table 3.1.1 shows the expected additions (receipts) and reductions (payments) for each account used by the Treasury.
Table 3.1.1: Estimates of special account cash flows and balances
(A) Administered.
(D) Departmental.
3.2 Budgeted financial statements
3.2.1 Analysis of budgeted financial statements
The Department of the Treasury is budgeting for a departmental breakeven operating result for 2011-12.
The Department of the Treasury has a sound financial position and currently has sufficient cash reserves to fund provisions and payables, and asset replacement, as they fall due.
3.2.2 Budgeted financial statements
Table 3.2.1: Budgeted departmental comprehensive income statement
(for the period ended 30 June)
Prepared on Australian Accounting Standards basis.
Table 3.2.2: Budgeted departmental balance sheet
(as at 30 June)
Prepared on Australian Accounting Standards basis.
Table 3.2.3: Budgeted departmental statement of cash flows
(for the period ended 30 June)
Prepared on Australian Accounting Standards basis.
Table 3.2.4: Departmental statement of changes in equity — summary
of movement (budget year 2011-12)
Prepared on Australian Accounting Standards basis.
Table 3.2.5: Departmental capital budget statement
Prepared on Australian Accounting Standards basis.
Table 3.2.6: Statement of asset movements — Departmental (2011-12)
Prepared on Australian Accounting Standards basis.
Table 3.2.7: Schedule of budgeted income and expenses administered on behalf of
Government (for the period ended 30 June)
Prepared on Australian Accounting Standards basis.
Table 3.2.8: Schedule of budgeted assets and liabilities administered on behalf of
Government (as at 30 June)
Prepared on Australian Accounting Standards basis.
Table 3.2.9: Schedule of budgeted administered cash flows
(for the period ended 30 June)
Prepared on Australian Accounting Standards basis.
Table 3.2.10: Schedule of Administered Capital Budget
Prepared on Australian Accounting Standards basis.
Notes to the financial statements
The Treasury's budgeted statements are prepared on an accrual basis in accordance with:
- the Government's financial budgeting and reporting framework; and
- Australian Accounting Standards and Interpretations issued by the Australian Accounting Standards Board.
Under the Government's accrual budgeting framework, and consistent with Australian Accounting Standards, transactions that departments control (departmental transactions) are separately budgeted for, and reported on, from transactions departments do not have control over (administered transactions). This ensures that departments are only held accountable for the transactions over which they have control.
Departmental assets, liabilities, revenues and expenses are controlled by the department. Departmental expenses include employee and supplier expenses and other administrative costs, which are incurred by the department in providing goods and services.
Administered items are revenues, expenses, assets or liabilities which are managed by the department on behalf of the Government according to set government directions. Administered expenses include subsidies, grants and personal benefit payments, and administered revenues include taxes, fines and excises.