Note 9: Other Operating Expenses
| Forecast | Actual | |||
|---|---|---|---|---|
|
Original Budget $m |
Estimated Actuals $m |
30 June 2009 $m |
30 June 2008 $m |
|
By type |
||||
| - | 26 | Retail deposit guarantee scheme - expenses accrued for entities in default (net of expected recoveries) |
35 | - |
| - | - | Retail deposit guarantee scheme - provision for future retail deposit scheme payments (refer note 30) |
816 | - |
| 3,240 | 3,415 | Donations and ex-gratia payments | 3,477 | 3,190 |
| 6 | 5 | Fees paid to audit firms (refer below) | 4 | 3 |
| - | - | Inventory expenses | 486 | 300 |
| 1,028 | 1,487 | Impairment of financial assets | 2,778 | 1,189 |
| 213 | 228 | Impairment of inventory | 12 | 2 |
| 434 | 427 | Lottery prize payments | 504 | 432 |
| 956 | 1,139 | Rental and leasing costs | 1,175 | 952 |
| 667 | 718 | Write-down on initial recognition of financial assets | 630 | 559 |
| 25,509 | 25,160 | Other operating expenses | 24,199 | 24,029 |
| 32,053 | 32,605 | Total other operating expenses | 34,116 | 30,656 |
By source |
||||
| 32,663 | 31,924 | Core Crown | 33,647 | 29,219 |
| 14,381 | 15,206 | Crown entities | 15,859 | 14,391 |
| 8,824 | 9,542 | State-owned enterprises | 8,914 | 9,853 |
| (23,815) | (24,067) | Inter-segment eliminations | (24,304) | (22,807) |
| 32,053 | 32,605 | Total operating expenses | 34,116 | 30,656 |
Operating expenses relate to those expenses incurred in the course of undertaking the functions and activities of entities included in the financial statements of the Government, excluding those expenses separately identified in the statement of financial performance and other notes. Items disclosed separately are those required by Financial Reporting Standards.
Other operating costs is the large residual item. Most of these costs represent payments made for services provided by third parties (road maintenance for example) or for raw materials (fuel, medicines or inventory for example). They also include other day-to-day operating costs.
| Actual | ||
|---|---|---|
|
30 June 2009 $m |
30 June 2008 $m |
|
Audit and related expenses |
||
| Auditor-General fees for the audit of financial statements1 | 34 | 30 |
| Auditor-General fees for assurance and related services | 1 | 1 |
| Fees for other services | - | 2 |
| 35 | 33 | |
| Inter-segment eliminations | (35) | (33) |
| - | - | |
Fees for other work2 |
||
| Fees for assurance and related services | 2 | 1 |
| Fees for tax services | 1 | 1 |
| Fees for other services | 1 | 1 |
| Fees paid to audit firms | 4 | 3 |
1. The audit of financial statements are those of the Government reporting entity and its sub-entities. Audit fees are eliminated because the Office of the Auditor-General is consolidated into these financial statements.
2. External auditing firms carry out other work for entities that they audit on behalf of the Auditor-General.
