DownloadFinancials
In terms of ASADA’s 2005–06 financial performance the result is for the reporting period of 14 March 2006 to 30 June 2006. Resulting from increased cost control during the transition from ASDA, the result of a $1.494m surplus versus a budget surplus of $0.434m was a good outcome.
The resulting surplus was due to an increase in the user-pays income and lower than expected operating costs. This result reflects not just a positive operating environment but was the consequence of tightening the financial management of the Authority and improvements in each of the areas.
With the changing functions from ASDA to ASADA there has been an increased focus on determining the cost structures of the new organisation. To sustain the ability to meet the levels of testing established by the Government and the growing levels of investigation and enforcement, there will need to be a continuing focus on the financial management of ASADA and the investment required.
Total revenue for the period ended 30 June 2006 was $6.252m, which is $1.364m above the budget of $4.888m. Total expenditure for the period was $4.776m which is over the budget of $4.454m. Accounts receivable are high for the end of the year due primarily to the appropriation from Government not being drawn down for the period. This was due to the savings experienced in expenditure. The appropriation balance has been reviewed and a portion will be set aside to cover leave provisions and for purchases of capital replacement.
There was significant capital expenditure of $0.359m for the period on in-house developed software named the ‘Athletes Whereabouts System’. This is still recognised as work in progress until later in the new financial year when it becomes operational.
With the additional roles and functions of ASADA, work has been undertaken to ensure that the Authority is robust and capable of responding flexibly to unpredictable events and increases in requirements.
The above commentary relates to the ASADA transactions only. From a consolidated perspective (ASDA and ASADA) for the period 1 July 2005 to 30 June 2006, the revenue was $13.962m versus a budget of $13.681m. The variance is due to an increase in user-pays revenue. Expenditure for the same period was $12.487m versus a budget of $13.670m. This was due to a focus on managing expenditures through the transition of ASDA to ASADA.
Discretionary grants
Discretionary grants are payments where the Minister or paying agency has discretion in determining whether or not a particular applicant receives funding and the conditions that apply in return for the grant.
ASADA did not administer any discretionary grants in 2005–06.
Asset management
ASADA’s non-financial assets are predominantly the computer hardware and software needed to deliver ASADA’s outputs. ASADA’s asset replacement strategy ensures that adequate budget and planning is in place for replacing assets as they come to the end of their useful lives.
Section 3C.1 of the Finance Minister’s Orders for reporting periods ending on or after 30 June 2006 requires ASADA to value non-financial assets (excluding intangible assets) on a fair value basis. In addition, Section 3C.3 requires that these assets be subject to a formal valuation at least once every five years.
ASADA’s buildings, plant and equipment were revalued to fair value at 30 June 2006 by an external valuer. The value of these assets is identified in Note 7 of the 2005–06 Financial Statements, on page 102–103.
Purchasing
In 2005–06 the Finance and Business Improvement section of ASADA implemented business rules and systems that enhance the efficiency and integrity of ASADA’s procurement processes. The section ensures that ASADA meets its external reporting obligations concerning procurement. This section also manages ASADA’s main corporate contracts.
ASADA seeks to achieve value for money in all procurement processes and ensures these are consistent with the requirements of the Commonwealth Procurement Guidelines issued by the Department of Finance and Administration as amended from time to time.
ASADA had no purchaser/provider arrangements in the 2005–06 financial year.
In 2006–07 the focus will be on establishing a new procurement framework for goods and services that includes a new suite of Request for Tender and draft contract templates (with user guides), guidance documents (including a Tender Evaluation Plan template) and the ASADA Procurement Procedures Manual.