Redfern-Waterloo Authority Annual Report 2011 by Tonic Connective

2010.11

Annual Report Redfern-Waterloo Authority

WELCOMING SPIRIT

Redfern-Waterloo Authority

REDFERN IS GROWING A decade ago, the NSW Government made a commitment to revitalise the Redfern and Waterloo area through a ‘partnership’ with the local community focused on delivering strategic urban renewal, improved human services and employment opportunities. This vision was realised with the creation of the Redfern-Waterloo Authority Act 2004 No.107 and, in January 2005, the Redfern-Waterloo Authority (RWA) was established.

Redfern-Waterloo is the traditional land of the Gadigal people of the Eora Nation and remains one of Australia’s most significant Indigenous communities. It is a thriving centre for culture, lifestyle and sporting excellence.

KEY OUTCOMES FOR REDFERN-WATERLOO IN 2010-11 INCLUDE:

• T he release of the Draft Built Environment Plan Stage 2 (BEP 2) outlining the proposed planning framework for the ongoing improvement of social housing in Redfern, Waterloo and South Eveleigh;

• A new Redfern “brand” to help change negative perceptions of the area and create a platform from which to promote the region over the long-term as an exciting destination for business and recreation;

• T he preparation of the Former Eveleigh Railway Workshops Interpretation Plan;

• A n improved commercial streetscape and enhanced sense of economic activity as a result of the Roll Up Redfern campaign; and

• T he establishment of the Sydney Metropolitan Development Authority (SMDA) by the NSW Government to continue the urban renewal initiatives of the RWA;

• F urther implementation of the Human Services Plan which focuses on improved service delivery for children and families, Aboriginal people, young people, older people, people with disabilities, migrant communities and the homeless.

2010-2011 Annual Report

VISION 3

The vision of the Redfern-Waterloo Authority (RWA) is to establish Redfern-Waterloo as an active, vibrant and sustainable community by promoting and supporting greater social cohesion and community safety, respect for the cultural heritage, and the orderly development of the area in consideration of social, economic, ecological and other sustainable development.

CONTENTS 04

Redfern Brand - â&#x20AC;&#x153;Welcoming Spiritâ&#x20AC;?

24 Human Services Plan

06 Sydney Metropolitan Development Authority

26 Employment and Enterprise Plan

To the Minister

28 A Community United Through Sport

Charter

29 Open For Business

Operational Area

30 Sponsorships/Grants provided by

10 Statement from the Chairperson and Chief Executive Officer

12 Aims and Objectives 13 Corporate Governance 14

Board Members

17 Redfern-Waterloo Plan 18 Built Environment Plan

the Redfern-Waterloo Authority

32 A Year of Recognition

Achievements and Awards for Redfern

34 Independent Auditors Report 36 Internal Audit and Risk Management Statement 37 Statement by Members of the Board 38

Financials

Appendices

Redfern-Waterloo Authority

WELCOMING The Redfern-Waterloo Authority was part of an exciting initiative in 2011 to relaunch Redfern and the surrounding areas of Waterloo, Darlington and Eveleigh as a great place for business and recreation.

“There are many fantastic initiatives in Redfern that we’re very proud of. A lot of people start out with one perception of what Redfern is all about and find it drastically different when they come here.” Roy Wakelin-King AM, CEO Redfern-Waterloo Authority

The new brand was launched at the iconic Return to Redfern event on 5 February 2011. The distinct smile-shaped logo was painted onto the grounds for the match which saw South Sydney Rabbitohs take on the Newtown Jets. The logo captures the “welcoming spirit” of the region and was created to change the perception of Redfern and surrounding areas by encouraging locals to become community ambassadors, attracting new people to the area and promoting the many business opportunities on offer. The brand is also designed to increase the profile of Redfern’s vibrant cultural precincts such as the National Centre for Indigenous Excellence, Redfern Park and Oval, Eveleigh Market, Australian Technology Park, CarriageWorks along with the area’s great mix of shops, galleries, retro furniture stores, cafes and restaurants. The new brand was an initiative of the Roll Up Redfern Group which consists of the Redfern-Waterloo Authority, City of Sydney, South Sydney Business Chamber (formerly Redfern Waterloo Chamber of Commerce), REDWatch and the South Sydney Rabbitohs.

2010-2011 Annual Report

Connect online To help promote the positive developments in Redfern, there are social networking sites available at: facebook.com/redfernwaterloo twitter.com/redfern

Redfern-Waterloo Authority

Sydney Metropolitan Development Authority (SMDA)

In September 2010, the NSW Government announced the establishment of the Sydney Metropolitan Development Authority (SMDA) to drive housing and employment opportunities in specific areas serviced by public transport and infrastructure, and to build economies of urban centres. Redfern-Waterloo remains a priority for the SMDA which assumes many of the functions of the RWA and will use its achievements as a model to benefit all of Sydney. CEO of the RWA, Roy Wakelin-King AM, is also CEO of the SMDA and sits on the SMDA Board. The work of the RWA will move forward as per the current plans and includes the upgrade to Redfern Train Station and the implementation of the Built Environment Plan 2.

The SMDA was approved and established by the NSW Government on Friday, 17 December 2010 under the NSW Growth Centres (Development Corporations) Act 1974, as a Development Corporation. Specifically, the role of the Sydney Metropolitan Development Authority includes: • Working with transport and planning departments to identify precincts for renewal; • Undertaking land use planning investigations and feasibility analyses; • Delivering an overarching precinct plan; • Coordinating transport and infrastructure planning; • Planning for open space in identified precincts; • Levying infrastructure contributions and entering into planning agreements; • Dealing with land as appropriate; • Borrowing and managing funds; and • Partnering with public agencies and private entities when necessary. Important initiatives already actioned by the RWA will be continued by the SMDA including administration of key precincts such as North Eveleigh and Australian Technology Park.

2010-2011 Annual Report

To the Minister

The Hon. Brad Hazzard MP Minister for Planning and Infrastructure, Minister assisting the Premier on Infrastructure NSW Governor Macquarie Tower Farrer Place Sydney

Dear Minister Hazzard It is with pleasure that I forward you the seventh Annual Report of the Redfern-Waterloo Authority for the year ending 30 June 2011. This report has been prepared in accordance with the NSW Annual Report (Statutory Bodies) Act 1984 No 87, the Annual Report (Statutory Bodies) Regulation 2000 and the Redfern-Waterloo Authority Act 2004 No 107.

Yours Sincerely

Roy Wakelin-King AM Chief Executive Officer Redfern-Waterloo Authority

Redfern-Waterloo Authority

Charter

Redfern and Waterloo are located just south of Sydney’s Central Business District. To the south-west are Sydney’s economic gateways, Port Botany and Sydney Airport. The Redfern-Waterloo Authority (RWA) was created by a NSW Government Act of Parliament in Oct 2004 (Redfern-Waterloo Authority Act 2004 No 107) and established on 17 January 2005. The RWA is responsible for revitalising Redfern, Waterloo, Eveleigh and Darlington through strategic urban renewal, job creation and improved human services in consideration of social, economic, ecological and other sustainable development, public spaces, Aboriginal community needs, social cohesion and community safety. Under the direction of the NSW Government’s urban renewal program for Redfern-Waterloo, the revitalisation of the area has instilled renewed confidence in the region and encouraged an influx of creative enterprise and private investment. With the amount of commercial, residential and community facilities being developed or refurbished as a direct result of RWA initiatives, Redfern-Waterloo is seeing the benefits of a commitment to reinvestment, jobs and sustainable economic prosperity. Since the inception of the RWA, the NSW Government has facilitated and delivered significant improvements in the Redfern-Waterloo area and for the local community through the development of housing and infrastructure, the provision of improved human services and employment opportunities including dedicated roles for Indigenous workers.

Under the direction of the NSW Government’s urban renewal program for Redfern-Waterloo, the revitalisation of the area has instilled renewed confidence in the region and encouraged an influx of creative enterprise and private investment.

2010-2011 Annual Report

Operational Area

Redfern-Waterloo Authority

Statement from the Chairperson and Chief Executive Officer

It gives us great pleasure to present the Redfern-Waterloo Authority’s Annual Report for 2010/2011. This was the sixth year of the Redfern-Waterloo Authority (RWA) since its establishment in 2005 under the Redfern-Waterloo Authority Act, 2004 (the Act). 2010/2011 has been a very successful year for the RWA with much of its earlier hard work coming to fruition. This has resulted in positive progress in the revitalisation of Redfern-Waterloo which will have direct and lasting benefits for the area. The RWA released the Draft Built Environment Plan Stage 2 (BEP 2) that was developed in close partnership with Housing NSW, for community feedback in January 2011. The Plan was publicly exhibited from 27 January to 28 February 2011 in a non statutory process. The Draft BEP 2 is the proposed planning framework supporting the renewal of Housing NSW sites in the Redfern and Waterloo area including South Eveleigh over a 20-25 year timeframe. The Draft BEP 2 could potentially see 3,500 additional dwellings in Redfern-Waterloo and will also result in improvements to current housing, parks and open spaces, community facilities and shops.

2010/2011 has been a very successful year for the Redfern-Waterloo Authority with much of its earlier hard work coming to fruition. This has resulted in positive progress in the revitalisation of Redfern-Waterloo which will have direct and lasting benefits for the area.

The RWA received extensive and constructive feedback in relation to the draft BEP 2 and this feedback will be used to inform the further development of this planning framework. The Roll Up Redfern group that was established in 2009 with the City of Sydney, RWA, South Sydney Business Chamber, REDWatch and the South Sydney Rabbitohs to help change negative perceptions about the area and to promote Redfern as a vibrant place to live, work and play, proudly launched the Redfern Brand at the Return to Redfern Souths Rabbitohs football game in February 2011. The Redfern Brand embraces the welcoming spirit of the Redfern community and is perfectly captured in a logo based on the shape of a smile. The Redfern smile logo has quickly gained a strong following throughout the local community and is being used by local schools, Indigenous groups, cultural bodies, and businesses as well as the City of Sydney and government organisations and can be seen throughout the area on street banners, signs, t-shirts, caps and stickers. The Human Services agencies continued to work together to help create a stronger and more cohesive community and to provide effective support to those members of the community that may require specialised services. This work included the RWA support of Weave (formerly South Sydney Youth Services) to provide an Art Centre for socially excluded people to express themselves and to create marketable art pieces. The Centre is staffed by professionally trained art therapists and counsellors and provides support for the target group to increase their artistic skills and to also create an income stream for this group. A $12 million, three year program which includes “concierge” front desk style staff, on the ground maintenance teams and extra security measures was also introduced by Housing NSW at the six Waterloo high-rise public housing buildings to improve safety for their 1,500 residents. This initiative will assist in the continuing decrease of crime statistics for the area.

2010-2011 Annual Report

The successful work of the Redfern-Waterloo Heritage Taskforce and the Eveleigh Steering Committee has culminated in the preparation of the former Eveleigh Railway Workshops Interpretation Plan, which was well received when it was publically exhibited in April 2011.

The Redfern smile logo has quickly gained a strong following throughout the local community and is being used by local schools, indigenous groups, cultural bodies, and businesses as well as the City of Sydney...

The Interpretation Plan documents a vision for the Eveleigh Railway Workshops precinct that is intended to guide interpretation of the site’s heritage significance as a conservation process designed to sustain and present the site’s authenticity and character. It specifies a range of interpretive concepts that are conceived as independent elements that can be developed in isolation, in groups, or all together. The Plan is currently being revised to take account of submissions received during the exhibtition. The RWA’s Employment and Enterprise programs continued to deliver strong results for both Aboriginal and non-Aboriginal people in the area of training and employment during 2010/2011. During the financial year, 25 students graduated from the Yaama Dhiyaan Hospitality and Training Centre with a Certificate II in Hospitality Operations with 21 of these graduates going on to employment or higher education. The Koori Job Ready Course in Construction also had a very successful year with 45 students graduating and 39 of these graduates gaining either employment or going on to higher education. The RWA’s Aboriginal Employment Program has now brokered over 850 employment opportunities for Aboriginal people since its inception in 2006.

The RWA’s Yaama Dhiyaan also catered for the Koori Mail 20th Anniversary Dinner at CarriageWorks for 520 guests including the Governor, the NSW Minister for Aboriginal Affairs, Professor Mick Dodson and many other Aboriginal leaders from across Australia. The anniversary dinner was the largest gathering of Aboriginal people catered for by Aboriginal people since colonisation. The RWA once again supported a range of groups throughout the year through the Community Grants Program. This included support of sports, arts, cultural and educational activities and events in the community. The RWA greatly appreciates the support of the community organisations, government agencies and professional bodies who have worked closely with the RWA to continue to achieve positive results for the Redfern-Waterloo community.

Dr Col Gellatly AO

Roy Wakelin-King AM

Chairperson

Chief Executive Officer

Redfern-Waterloo Authority

Aims & Objectives

In order to achieve its aims and objectives, the RWA has maintained an undertaking to:

• To encourage the urban renewal of Redfern-Waterloo into an active, vibrant and sustainable community; • To promote, support and respect the Aboriginal community in Redfern-Waterloo with regards to the importance of the area to the Aboriginal people;

• Promote, facilitate, manage and secure social, economic, ecological and other sustainable development and use of the operational area, including the development and management of land, the provision of infrastructure and the establishment of public areas;

• To promote the orderly development of RedfernWaterloo whilst taking into consideration principles of social, economic, ecological and other sustainable development;

• Provide and promote housing choices in the operational area (including for Aboriginal residents);

• To provide and promote housing choices in the operational area;

• Provide and promote employment opportunities for local residents, commercial opportunities for local businesses and cultural development (including the needs of the Aboriginal community) in the operational area;

• To enable the establishment of public areas in Redfern-Waterloo; and • To promote greater social cohesion and community safety in Redfern-Waterloo.

• Enhance and manage public places in the operational area and to improve, maintain and regulate the use of those public places; • Promote, co-ordinate, organise, manage, undertake, secure, provide and conduct cultural, educational, commercial, recreational, entertainment and transport activities and facilities in the operational area; and • Do any other thing for the sustainable improvement of the operational area.

CEO

Business Administration

Human Services Community Relations

Training, Employment & Enterprise

Planning and Urban Renewal

2010-2011 Annual Report

Corporate Governance

The Minister for Planning and Infrastructure, Minister assisting the Premier for Infrastructure NSW, the Hon. Brad Hazzard, is responsible for the control and direction of the RWA. The Minister has established a Board of Governance and, while the Board establish the policies and directions for the RWA, its day to day management is the responsibility of the Chief Executive Officer.

Affordable Housing Committee

There are four Board Committees:

• To review the operation of the Affordable Housing Voluntary Planning Agreement for the CUB site; and

In accordance with RWA Board Procedures, the Affordable Housing Committee Terms of Reference are as follows: • To review the development and operation of the proposed affordable housing program for Redfern-Waterloo;

• To review the operation of the Affordable Housing Contributions Plan for Redfern-Waterloo.

Audit and Risk Management Committee The Audit and Risk Management Committee is the focal point for communication between the Board, the external auditors, the internal auditors and management, as their duties relate to the financial accounting, reporting and internal controls and compliance.

Membership: Ann Weldon (18/01/09 to 16/01/11) Warren Mundine (23/01/07 to 16/01/11) and Lucy Hughes Turnbull AO Urban Renewal Committee

The Audit and Risk Management Committee assists the Board in fulfilling its responsibilities as to accounting policies and reporting practices of the RWA. It is to be the Board’s principal agent in assuring the independence of RWA auditors, the integrity of management and the adequacy of the disclosures to the public.

The Urban Renewal Committee reviews and advises on proposed urban renewal strategies in accordance with the RWA’s Built Environment Plan. Membership: Richard Johnson (23/01/08 to 16/01/11) Michael Collins (18/01/09 to 16/01/11) Col Gellatly AO, and Lucy Hughes Turnbull AO.

Membership: John Mulally (23/01/08 to 16/01/11), Bonnie Boezman AO and Victoria Weekes

Human Services Committee The Human Services Committee advises on the implementation of the Human Services Plan Membership: Sam Mostyn (18/01/09 to 16/01/11), Ann Weldon (18/01/09 to 16/01/11) John Mulally (23/01/08 to 16/01/11), and Lucy Hughes Turnbull AO.

Minister for Planning and Infrastructure

RWA Board

Audit and Risk Management Committee

Affordable Housing Committee

Urban Renewal Committee

Human Services Committee

Redfern-Waterloo Authority

Board Members

Board members are appointed in accordance with Section 9 Schedule 2 of the Redfern-Waterloo Authority Act 2004. On the 16 January 2011 the appointments of the eight members of the RWA Board expired. Of those eight members, two were reappointed and a new member appointed so that, as of 16 January 2011, the RWA Board consisted of three appointed members and the Chief Executive Officer of the RWA as an ex-officio member. Dr Col Gellatly AO B Ag Ec 9 (Hons) UNE, M Comm (Hons) UNSW, Ph D NC State, FIPAA Term of appointment 23/01/08 to 16/01/11 - Reappointed 16/01/11 Dr Col Gellatly AO was Chairperson of the Redfern-Waterloo Authority and Australian Technology Park as of 1 July 2007. Dr Gellatly is the former Director-General of the Premierâ&#x20AC;&#x2122;s Department, a role which he held since being appointed in 1994. He has held a number of senior management positions within the NSW public service, including as Director General of the Department of Land and Water Conservation. He is also Chair of Pillar Corporation, a member of the Board of State Water Corporation, a member of the UNE Council, member of Board of the NSW Rugby League and an Administrator of Wollongong City Council. Dr Gellatly has a degree in Agricultural Economics from the University of New England, a Master of Commerce from the University of NSW and a PhD from North Carolina State University.

Mr Michael Collins FRICS Term of appointment 18/02/09 to 16/01/11 Mike Collins is a Sydney property practitioner. He has been involved in property economics, real estate valuation, property consultancy and asset management for over 35 years, and is professionally qualified in property economics and valuation. He runs his own property advisory company based in the Sydney CBD, and was the Chairman of the Sydney Harbour Foreshore Authority and the Barangaroo Delivery Authority. He is a Board Member of Australian Technology Park, a former Chairman of the Heritage Council of NSW and a former National and NSW President of the Australian Property Institute.

Mr Richard Johnson MBE M Phil (UCL) B.Arch Hons 1 (UNSW) FRAIA Term of appointment 23/01/08 to 16/01/11 Richard Johnson is an award winning architect and 2008 Gold Medallist. He is a Visiting Professor of Architecture at the University of New South Wales and a Director of Johnson Pilton Walker Architects. He is also a Fellow of the Australian Institute of Architects, an Associate of the Japan Institute of Architects, and a Member of the Design Institute of Australia. Mr Johnson was involved in the design of the Australian embassies in Beijing and Tokyo. He is the Chief Architect for the Sydney Opera House and is also currently working on projects including the Australian War Memorial, the Hilton Hotel and the Asian Wing of the Art Gallery of New South Wales. He also serves on the Board of the Australian Technology Park and the Australian Architects Association. Mr Johnson has a Bachelor of Architecture (1st Class Honours) from the University of NSW and a Master of Philosophy (Town Planning) from University College, London. In 1976 he was made a Member of the Order of the British Empire for services to Architecture.

Ms Samantha Mostyn BA LLB Term of appointment 18/02/09 to 16/01/11 Sam Mostyn has an extensive background in business, management, law and sustainability. She recently left Insurance Australia Group (IAG) after six years as Group Executive, Culture & Reputation, a role in which she was responsible for Human Resources, Organisational Effectiveness, Corporate & Government Affairs and Corporate Sustainability functions. Prior to joining IAG in 2002, Sam held senior executive roles at Optus and spent two years in London as Group Director, Human Resources for Cable and Wireless plc. She serves on the Boards of the Sydney Theatre Company, the Australian Museum Reconciliation Australia, Australian Volunteers International and the AFL. She also serves on the NSW and QLD Climate Change Councils and Chairs the Advisory Council of CSIROâ&#x20AC;&#x2122;s Climate Adaptation Flagship Project.

2010-2011 Annual Report

Mr Warren Mundine CEO & Company Secretary - NTSCORP Limited Term of appointment 23/01/07 to 16/01/11 Warren Mundine is the CEO of NTSCORP Ltd and an advocate for empowering Indigenous people to break the poverty cycle and build a strong Indigenous economy. A Doctor of the University (honoris causa) (Southern Cross University), Mr Mundine is a member of the Australian Institute of Management and the Australian Institute of Company Directors. He is also Chairman of the Australian Indigenous Chamber of Commerce and Chair of NSW Labor’s Indigenous Policy Committee. He is an Executive Member of the National Native Title Council; a Director of the Australian Indigenous Education Foundation; a member of Southern Cross University Foundation; a Board member of NAISDA Limited; and Ambassador for the Song Room and Indigenous Ambassador for the Australian Football Federation. Warren has been appointed by the Prime Minister to the Australian Government’s National Policy Commission - Indigenous Housing Committee. Mr Mundine has been involved in the development of the Australian Employment Covenant (AEC) as an executive of the steering committee and has had considerable involvement in local government.

Ms Ann Weldon Term of appointment 18/02/09 to 16/01/11 Ann Weldon is a proud member of the Wiradjuri Nation and was one of the founding members of the NSW Aboriginal Children’s Service and Inner West Aboriginal Community Company to name just two. For the past 35 years, Ann has held executive positions and was a member of a number of committees including the Metropolitan Local Aboriginal Land Council, Marrickville Aboriginal Consultative Committee and Aboriginal Legal Service. She was elected to the Sydney ATSIC Regional Council for three consecutive terms as Councillor and as the Chairperson and Deputy Chairperson. Ann was appointed to the inaugural NSW Aboriginal Housing Board in 1998 as an ATSIC nominee and was then appointed the first female Chairperson of the NSW Housing Board from 2000-2007. Ann is also a Board Member of the Australian Technology Park.

Ms Lucy Hughes Turnbull AO LLB MBA Term of appointment 18/02/09 to 16/01/11 - Reappointed 16/01/11 Lucy Hughes Turnbull AO is a Director of the Board of Melbourne IT, an Australian publiclylisted company with operations in North America, Europe and Asia. She is also a Board Member of the Australian Technology Park, the Centre for Independent Studies, the Redfern Foundation Limited, the Turnbull Foundation and the NSW Cancer Institute. Lucy was Sydney’s first female Lord Mayor (2003-2004) andDeputy Lord Mayor (1999-2003). She served as a Councillor on the City of Sydney from 1999-2004 and chaired many council committees. Lucy has also been active in the not for profit sector and is currently Chair of the Salvation Army’s City of Sydney Red Shield Appeal and Deputy Chair of the Committee for Sydney.

John Mulally BA LLB (Hons) Term of appointment 23/01/08 to 16/01/11 John is a lawyer specialising in major property and infrastructure projects. He has acted for major Australian and off-shore developers and investors, Australian and State Government instrumentalities and off-shore Governments. This has included the acquisition, development and sale of major projects in all capital cities of Australia as well as in Vanuatu, Jakarta, Bangkok, Singapore, Tokyo, London, Paris, St Petersburg, Kiev, Moscow and New York. He has also advised on major energy projects in Australia and off-shore including infrastructure and renewable energy projects in China and Africa. John is also a Board Member of the Australian Technology Park.

Redfern-Waterloo Authority

Board Members

Continued

Shane Phillips Appointed 16/01/11 Shane Phillips is an outstanding community leader and respected spokesperson for Aboriginal Australians with cultural connections to the Bundjalung, Wonnarua, and Eora peoples. Prior to his appointment as CEO of the Tribal Warrior Association, Shane’s career included roles working in child protection, juvenile justice and the law. He has also worked as a community liaison officer with the Royal Commission into Aboriginal Deaths in Custody and established the Redfern Aboriginal Corporation (RAC). Shane’s community service achievements were recognised in 2008 when he was an invited participant in Prime Minister Rudd’s 2020 Summit and shared his vision in the “Options for the Future of Indigenous Australia” stream. He has been a spokesperson for the Aboriginal Rights Coalition, a Life Member and Coach of the Redfern All Blacks Under 19’s rugby league team, a Member of the National Indigenous Chamber of Commerce, the Gilbert & Tobin Reconciliation Planning Team, the National Aboriginal Alliance, and the Quarantine Station Community Committee, and is a founding Director of the Australian Indigenous Chamber of Commerce.

CEO - Mr Roy Wakelin-King AM BPS (UNE) GDP Bus (UTS) Roy Wakelin-King was appointed the Chief Executive Officer of the Sydney Metropolitan Development Authority in December 2010. Roy is also Chief Executive Officer of the Redfern-Waterloo Authority and Managing Director of Australian Technology Park, a position he has held since 16 February 2009. Roy was also CEO of the World Youth Day Coordination Authority which coordinated the delivery of Government services for the highly successful World Youth Day 2008. Roy has been an Executive Director within the NSW Ministry of Transport in the position of Director- Transport Operations Division. Roy has extensive experience in both operations and project leadership, particularly in the fields of transport and logistics. His experience includes a short Army career as a commissioned officer followed by a series of senior project and operational appointments within the NSW Government.

MINISTERIAL ADVISORY COMMITTEES Invited residents of Redfern, Waterloo, Eveleigh and Darlington are also amongst members of three Ministerial Advisory Committees established to advise on matters relating to the development and implementation of the RWA’s Built Environment, Human Services and Employment and Enterprise Plans. These committees also include representatives from Federal, State and Local Government and the area’s Indigenous communities. DISCLOSURES The RWA has no related party disclosures to declare.

RWA BOARD ATTENDANCE FYR 10/11 Directors

Board Meetings A 1

July - December 2010

Directors

Board Meetings A1

January - June 2011

Colin Gellatly AO

Roy Wakelin-King AM

Richard Johnson

Lucy Turnbull AO

Shane Phillips

Warren Mundine

John Mulally

Michael Collins

Sam Mostyn

Ann Weldon

Number of meetings attended

Number of meetings held

2010-2011 Annual Report

Redfern-Waterloo Plan

Significant improvements to the local community have been delivered by the RWA through the implementation of the Redfern-Waterloo Plan. The three-part plan is a whole of Government strategy for urban renewal, improved human services and job creation and comprises the following: â&#x20AC;˘ Built Environment Plan (BEP): Identifies and develops sites within the area for commercial, residential and community uses; â&#x20AC;˘ Human Services Plan (HSP): Delivers better coordination of health, youth and social services between non-Government and Government organisations in the area; and â&#x20AC;˘ Employment and Enterprise Plan (EEP): Creates business development and job opportunities in Redfern, focusing on the Indigenous community and local enterprise.

Redfern-Waterloo Authority

Built Environment Plan

The Built Environment Plan Stage 1 released in August 2006 established a framework for the social and economic renewal of the Redfern-Waterloo area and has resulted in over $300m of investment and the creation of new employment opportunities through the following developments:

• The $123 (+) million Channel 7 office and studio complex at Australian Technology Park which opened in January 2010; • The $53 million National Centre of Indigenous Excellence which opened in February 2010; • The establishment of the $10 million Redfern Community Health Centre at Redfern Street on the site of the former Redfern Court House and Police Station which opened in April 2010; • The establishment of affordable housing initiatives including the Affordable Housing Agreement with Frasers Property from the development of the former Carlton United Breweries site in Chippendale. The Agreement will generate around $32 million in affordable housing funds over the next five years which will fund the provision of affordable housing within the Redfern-Waterloo Area; • The approval of a Concept Plan for the future development of the North Eveleigh site; • The $47 million NICTA Building at Australian Technology Park; • The redevelopment of the Redfern RSL Club and Gibbons Street car park into a mixed used modern residential, retail and commercial complex; • The development of the Draft Built Environment Plan Stage 2 (BEP 2) in close consultation with Housing NSW to support the renewal of Housing NSW sites in the Redfern and Waterloo area including South Eveleigh over a 20-25 year timeframe with a mix of social, private and affordable housing. This plan, once finalised, will result in the delivery of approximately 3,500 new dwellings and an additional 700 affordable housing units;

• The establishment of the Redfern-Waterloo Heritage Taskforce and Interpretation Plan in late 2009 to enhance the understanding of the extent of local heritage in Redfern-Waterloo and its significance to residents, workers and visitors. The Taskforce works on a project basis and includes two Indigenous representatives; • The impending redevelopment of the former Rachel Forster Hospital into a new private residential complex, following approval of a Concept Plan; and • Enabling the Aboriginal Housing Company (AHC) to commence the process of the redevelopment of the Block, known as the Pemulwuy Project. Redfern Town Centre urban design principles Following the exhibition of the Redfern Centre Urban Design Guidelines in 2010, the draft Design Guidelines are being finalised and have been endorsed by the Minister for Planning and Infrastructure, Minister assisting the Premier on Infrastructure. The draft guidelines can be downloaded from the Redfern-Waterloo Authority Website: www.redfernwaterloo.nsw.gov.au

2010-2011 Annual Report

DRAFT BUILT ENVIRONMENT PLAN STAGE 2

In partnership with Housing NSW, the RWA released the Draft Built Environment Plan Stage 2 (BEP 2) for community feedback in January 2011. The Plan was publicly exhibited from 27 January to 28 February 2011. The Draft BEP 2 is a proposed planning framework supporting the renewal of Housing NSW sites in the Redfern and Waterloo area including South Eveleigh over a 20-25 year timeframe. The Draft BEP 2 could potentially see 3,500 additional dwellings in Redfern-Waterloo and will also result in improvements to current housing, parks and open spaces, community facilities and shops with a mix of housing. The planning framework outlined in the Draft BEP 2 includes: • Urban design guiding principles; • Land use zones; • Draft building height controls; • Draft floor space ratio controls; • Preliminary public domain strategy; • Design excellence provision; and • Preliminary transport and movement strategy The key objectives of the Draft BEP 2 planning framework are to: • Create a more sustainable community within Redfern and Waterloo social housing sites; • Recognise the importance of social housing in contributing to a diverse community;

• Meet the needs of a growing Sydney as outlined in the Metropolitan Plan; • Create high quality residential development and surrounding space; • Promote environmental sustainability; • Achieve an enhanced public domain; • Provide a sound urban design and planning framework; and • Help provide additional social infrastructure to support the community. The aim is to create a socially sustainable community through a mix of 60% private and affordable dwellings and 40% social housing. There is also proposed provision of 700 affordable housing dwellings. Work has also commenced on the Housing NSW Preliminary Master Plan which will test building form and land use mix and provide the framework for the improvement of public areas, the provision of community facilities and incorporation of environment initiatives. The preliminary Master Plan will also set out proposed staging for renewal - which areas will be developed first and in what order. An independent specialist consultancy firm was engaged to review and collate all feedback received on draft BEP 2. A Stakeholder Engagement Report was released by the RWA in July 2011. Feedback was constructive and the SMDA will review feedback and undertake further work prior to further community engagement.

Redfern-Waterloo Authority

Built Environment Plan

Continued

DEVELOPMENT ASSESSMENT

During the 2010-2011 financial year, there were twenty-one (21) development applications and one (1) S96 application determined, with a value of $4,856,048. The average processing time was 90 days (gross), largely affected by a development application for 1 Lawson Square, Redfern, which involved complications related to a Fire Safety Order. Excluding this development application, the average processing time was 60 days. It should be noted these days are gross days and have not been reduced by “stop the clock” days (which would exclude the first two days of processing and the time applicants take to provide requested additional information).

DA No.

Address

Applicant

DA Description

Value $

Status

DA 080-04-11

Biomedical Building, 1 Central Av, ATP, Eveleigh

Bandwidth Foundry International Ltd

Installation of new exhaust fan and chiller unit on the roof of the Biomedical Building

95,000

Consent granted 04 May 2011

DA 079-04-11

Clothing Store, 231 Wilson St, North Eveleigh

Pronto Productions

Temporary use of the Former Clothing Store for a fashion event on 3 May 2011

2,500

Consent granted 02 May 2011

DA 078-04-11

ATP-7, 8 Central Av, ATP, Eveleigh

Department of Education & Training

Installation of a small satellite dish on the roof of the ATP-7 Building

10,000

Consent granted 04 May 2011

DA 076-03-11

Area bounded by Eveleigh, Vine Louis & Caroline Sts, Redfern

UB Razor Pty Ltd

Use of the area bounded by Eveleigh, Vine, Louis and Caroline Streets, Redfern for temporary filming between April and late July 2011 & associated construction of production set

150,000

Consent granted 22 March 2011

DA 075-02-11

Clothing Store, 231 Wilson St, North Eveleigh

South Sydney Youth services

Use of Former Clothing Store Building for counselling support services, art workshops and exhibitions

Nil

Consent granted 07 March 2011

DA 074-02-11

Biomedical Building, 1 Central Av, ATP, Eveleigh

The University of Sydney

Internal fit out of Suites 101 & 301 with teaching and laboratory spaces and the installation of five (5) new flues on the roof of the Biomedical Building

2,794,306

Consent granted 23 March 2011

DA 073-12-10

Off Central Av, ATP, Eveleigh

ATPPML

Construction of new Gardener’s Shed and associated landscaping works on land located between the Central Av roundabout and Henderson Rd

290,000

Application was withdrawn on 13 April 2011

DA 072-11-10

13 Garden St, ATP, Eveleigh

ATPPML

Installation of solar power system on the roof of the NICTA Building with peak capacity of up to 69 kilowatts.

450,000

Consent granted 16 February 2011

DA 071-11-10

25 Garden St, ATP, Eveleigh

Roads & Traffic Authority

Installation of new signage to replace existing signage on the external walls of the RTA Transport Management Centre.

20,155

Consent granted 25 December 10

DA 070-12-10

ATP-7, 8 Central Av, ATP, Eveleigh

PABS Pty Ltd

Extension of trading hours of Sette Espresso Eatery Bar located on the ground floor of the ATP-7 Building

Nil

Consent granted 24 February 2011

DA 069-11-10

1 Lawson Sq, Redfern

Group Colleges Australia

Demolish wall between existing plaza ramp and Tower 1 and install steps from plaza level to lower level.

11,087

Consent granted 15 December 10

DA 068-09-10

245 Wilson St North Eveleigh

Performance Space Ltd

Temporary installation of an outdoor art/video exhibition adjacent to the Carriage Workshop building, for presentation from 8:00pm11:30pm, 04-14 Nov 2010

Nil

Consent granted 02 November 10

2010-2011 Annual Report

DA No.

Address

Applicant

DA Description

Value $

Status

DA 067-09-10

152 Abercrombie St, Redfern

Anthony Yuen

Modification of ground level shopfront, construction of internal mezzanine floor and alterations associated with use for a home office

30,000

Consent granted 10 November 10

DA 066-08-10

1 Lawson Sq Redfern

Lawson Square Pty Ltd

Subdivision of 1 Lawson Square, Redfern, being Lot 18 Section C in DP7328, to create two allotments

Nil

Consent granted 15 November 10

DA 065-08-10

Bay 15 Locomotive Workshop, ATP, Eveleigh

ATP Precinct Management

Internal fit out to existing office suites within Level 3 Bay 15 of the Locomotive Workshop

380,000

Consent granted 29 October 10

DA Shop 1, 064-07-10 70 Regent St, Redfern (Amended)

Voltronics Pty Ltd

Fit out including façade works and signage, for the use of the ground floor premises as an ‘art bar’, operating from 12pm to midnight Monday to Saturday and 12pm to 10pm Sunday.

55,000

Consent granted 31 May 2011

DA 063-07-10

ATP-7 Building, 8 Central Av, ATP, Eveleigh

PABS Pty Ltd

Temporary café on the ground floor of the ATP-7 Building

15,000

Consent granted 27 August 10

DA 062-07-10

ATP-7 Building, 8 Central Av, ATP, Eveleigh

Turner Hughes Architects Pty Ltd

Installation of 4 a/c condenser units on lower podium at Level 5 of the ATP-7 Building

10,000

Consent granted 13 August 10

DA 061-07-10

112 Lawson St, Redfern

Elias Ibrahim

Change of use from shop to dwelling & associated building works

18,000

Consent granted 12 August 10

DA 060-06-10

ATP-7 Building, 8 Central Av, ATP, Eveleigh

Global Television

Modification of 1 previously approved identification sign on the south side, the addition of 3 new identification signs on the north side and the removal of 1 previously approved sign on the west side of the ATP-7 Building

150,000

Consent granted 27 August 10

DA 059-05-10

ATP-7 Building, 8 Central Av, ATP, Eveleigh

PABS Pty Ltd

Café fitout, signage & outdoor seating on the ground floor of the ATP-7 Building

350,000

Consent granted 07 July 10

DA 045-06-09

Level 10, Tower 2, 1 Lawson Sq, Redfern Draft assessment report prepared. Awaiting details of BCA upgrade undertaken for building.

Group Colleges Australia

Change of use from commercial office to educational use and associated fitout.

25,000

Deferred Commencement Consent granted 24 June 11

MOD 040-1208 (01)

ATP-7 Building, 8 Central Av, ATP, Eveleigh

SDH & Associates Pty Ltd

Modification to approved DA for installation of satellite dishes

Consent granted 27 August 10

MOD 011-0906 (02)

Garden St, ATP, Eveleigh

ATPPML

Extend use of Temporary Gardener’s Compound

Nil

Application was withdrawn on 13 April 2011

Redfern-Waterloo Authority

Built Environment Plan

Continued

THE REDFERN-WATERLOO HERITAGE TASKFORCE & EVELEIGH STEERING COMMITTEE

The Redfern-Waterloo Heritage Taskforce (RWHT) was established in 2009 to identify opportunities for the conservation, interpretation and, where appropriate, adaptive reuse of the cultural, natural and archeological heritage of the Redfern-Waterloo area.

A number of successful heritage projects have been overseen by the RWHT and ESC, including the development of the D’harawal Calendar Mural Project at Alexandria Park Community School and the establishment of the Eveleigh and International Railway Film Festival.

Meanwhile, the Eveleigh Steering Committee (ESC) was set up in recognition of the significant cultural and social significance of the former Eveleigh Locomotive Workshop specifically and comprises a broad range of community representatives as well as representatives of Australian Technology Park (ATP) and the RWA.

The conservation of Bays 1 and 2, the refurbishment of the Pump Room, the upgrade of the water tower and other works at the former Workshop at ATP are among the heritage works invested in by the RWA.

The Taskforce and ESC seek to increase community awareness, understanding, appreciation and enjoyment of existing heritage and stimulate greater community involvement in conservation efforts.

Heritage Taskforce Members •

Office of Rail Heritage - Sarah Jane Brazil

• Housing NSW - Anthony Mitchell • Heritage Branch, Department of Planning - Rajeev Maini • Community - Geoff Turnbull • Community - Mary Lynne Pidcock •

City of Sydney - Anthony Smith

• City of Sydney - David Beaumont •

Independent Heritage Advisor - Peter Phillips

•

Tourism NSW - Elisbeth Allen

• NSW Government Architects Office - Dillion Kombumerri •

RWA - Roy Wakelin-King AM

•

RWA - Juliet Suich

The Taskforce and ESC seek to increase community awareness, understanding, appreciation and enjoyment of existing heritage and stimulate greater community involvement in conservation efforts.

2010-2011 Annual Report

FORMER EVELEIGH RAILWAY WORKSHOPS INTERPRETATION PLAN

3D Projects in association with Artscape and Only Human were engaged by the RWA in 2010 to prepare an Interpretation Plan for the former Eveleigh Rail Yards Precinct. The specific aims of the Plan are to: • Guide and facilitate interpretation of the site’s heritage significance as a conservation process designed to sustain the site’s authenticity and character; • Identify existing audiences and visitor experiences on the Eveleigh site, including workers, neighbours resident in the district, railway tourists and school groups as well as quantify opportunities to enhance visitor numbers and experiences in each of these categories;

• Ensure interpretive devices and their content have the potential to engage and provoke public interest, are accessible, sustainable (in relation to maintenance, evaluation and review) reversible (in relation to heritage fabric) and compatible with the sites for which they are chosen As part of the preparation of the Interpretation Plan, a community consultation Field Day was held on 30 October 2010 at Innovation Plaza, Australian Technology Park. The Draft Interpretation Plan was completed in February 2011 and publicly exhibited from 9 March to 6 April 2011.

• Achieve enhanced public understanding of the history of the area and its significance to residents, workers and visitors by fostering active links with the community, as well as with tourism, education and recreation activities; and

Built Environment Ministerial Advisory Committee •

NSW Department of State & Regional Development - Reg Fisk

•

Community - Alex Kibble

•

Community - Geoff Turnbull

•

Housing NSW - Kathy Roil

•

Community - Norah McGuire

•

NSW Roads & Traffic Authority - Peter Collins

•

Community - Steve Tamas

•

NSW Department of Planning - Josephine Wing

•

Community - Denny Powell

•

Railcorp - Ivan Glavinic

•

Community - Mary Lynne Pidcock

•

City of Sydney - Andrew Thomas •

RWA - Roy Wakelin-King AM (Chair)

• RWA - Joanne McGuiness •

RWA - Jason Perica

•

RWA - Julie Parsons (Secretariat)

Redfern-Waterloo Authority

Human Services Plan

The RWA’s Human Services Plan was developed in two phases. Phase 1 focused on improving services to children and families, Aboriginal people and young people and was endorsed by NSW Government in December 2005. Phase 2 centred on enhanced services for older people, people with disabilities, migrant communities and the homeless and was endorsed by NSW Government in May 2008. The implementation of both phases of the Human Services Plan have been overseen by the RWA in collaboration with government and non-government agencies and these partnerships continued this work in 2010/11. Key outcomes of the Human Services Plan in 2010/11: • The RWA established the Case Coordination Project in 2006 which is a process whereby government and non-government human services agencies work together to plan and implement appropriate interventions and strategies to address the needs of at risk children and young people in the area. This project is being extended and has received funding from the Australian Government to provide case coordination support to a Post Release Pilot Project to integrate Aboriginal people who have been released from prison back into the Redfern-Waterloo community;

• On 21 September 2010 the RWA provided $500,000 to the National Centre for Indigenous Excellence to assist in increasing services for all young people in the area and in particular to provide career pathways for Aboriginal people across all levels of the centres operations; • The Redfern-Waterloo Family Violence Taskforce held a forum focussing on improving service access for culturally and linguistically diverse (CALD) women who are victims of domestic violence in October 2010; • The December 2010 Eveleigh Market Christmas Banner Competition for local schools and youth services was won by Alexandria Park Community School and the People’s Choice Award went to Darlington Primary School; • The Redfern Community Drug Action Team (CDAT) hosted the “A night off the Grog” Forum at Redfern Town Hall on 15 March 2011 to provide the opportunity for residents and service providers to have a say on the affects of alcohol on the local Redfern-Waterloo community and what can be done to improve the current issues; • The RWA assisted Weave (formerly South Sydney Youth Services) to establish the Weave Arts Centre at North Eveleigh in May 2011 which is a social enterprise program that provides an area to produce art and to exhibit and sell work to create an income for people who are marginalised or experiencing a range of issues related to mental health, drug or alcohol issues, social exclusion, unemployment or domestic violence; • The RWA in conjunction with The Factory Community Centre submitted a successful application for funding of $138,000 for an Outreach Worker Project to reduce antisocial behaviour and criminal activity by activating the spaces where this occurs, through community events and activities and engagement with street drinkers in the area throughout Redfern and Waterloo; and • The RWA provided $35,892 in local community grants to help develop community capacity and to support events and services that enhance local human services.

2010-2011 Annual Report

‘WATERLOO GREEN’ NEIGHBOURHOOD PROJECT

Security for residents of the six high-rise buildings in ‘Waterloo Green’ increased in the latter part of 2010 with the implementation of a Neighbourhood Link service in each of the buildings as part of the $12m Waterloo Green Neighbourhood Project. The Neighbourhood Link service includes a foyer installation which provides information about local services and community activities. These installations are also a control point for visitors and contractors wishing to enter the building and operate 24 hours a day with either Neighbourhood Link staff or security personnel. New CCTV cameras with 24/7 monitoring, internal security doors for control of access to lifts and common areas and an improved photo identification system are also in place along with the provision for routine maintenance by tenants in partnership with the maintenance contractor for the area.

The three-year pilot project is part of a broader renewal project in which Housing NSW has partnered with other agencies including the RWA to improve the lives of public housing residents in Redfern and Waterloo, particularly the elderly and those living on their own. The project was modelled on similar programs run in Melbourne and New York which have successfully reduced vandalism and anti-social behaviour in public housing developments.

Human Services Ministerial Advisory Committee • NSW Department of Community Services - Kerri Scott/Peter Christie

•

Community - Alison Peters

•

Community - Mabel Chang

•

Housing NSW - Meghan Hibbert

•

Community - Michael Shreenan

•

NSW Police - Luke Freudenstein

•

Community - Robert Perry

•

NSW Department of Education - Phil Lambert/Paul Parks

•

Community - Albert Torrens

•

Community - Brad Freeburn

•

Community - John Hutchinson

•

Community - Ross Smith

•

NSW Department of Health - Greg Stewart

•

City of Sydney - Ian Hay

•

NSW Dept Ageing, Disability and Home Care - Steven Gal

•

RWA - Roy Wakelin-King AM (Chair)

•

Indigenous Coordination Centre - Sally Gibson

•

RWA - Julie Parsons (Secretariat)

•

Ministry of Transport - Caroline Mason

•

RWA - Jennifer Huxley

Redfern-Waterloo Authority

Employment & Enterprise Plan

The Employment & Enterprise Plan was published in May 2006 and was the first comprehensive training and employment strategy for the Redfern-Waterloo area. Its main aim is to deliver skilled job seekers to meet the specific employment needs of the market, to create educational opportunities and build on future growth potential. The Plan focuses on: • Increasing supply of employment opportunities, particularly through commercial and residential development; • Capitalising on the Research/ Biomedical Innovation Zone; • Improving education and training including a dedicated vocational training centre; • Strengthening partnerships with local employers; • Industry based employment strategies; • Employment and enterprise strategies for Aboriginal people and youth; and • Supporting local business.

Key outcomes of the Employment & Enterprise Plan to date include: • Since opening in 2006, a total of 153 students have graduated with a Certificate II in Hospitality (Operations). Twenty five of these students graduated in 2010/11; • The establishment of the Koori Job Ready Course in Darlington to train Indigenous people in construction skills. Since 2008, 122 Indigenous people have graduated from the course with 70 of those gaining employment in construction and other industries and another five going on to further study. Forty five Aboriginal people graduated from the courses run in 2010/11; • The creation of the Aboriginal Employment Model which brokered 184 employment opportunities in 2010/11 for Aboriginal people in the construction industry on Local, State and Federal Government projects and private sector contracts; • The Eveleigh Farmers’ and Artisan’s Market continued to go from strength to strength with 194,932 people shopping at over 4,200 stalls during 2010/11; and • The collaboration with City of Sydney Council, South Sydney Rabbitohs, REDWatch and the South Sydney Business Chamber for the Roll Up Redfern campaign, encouraging local business to roll up shutter doors and improve the commercial landscape in the Redfern-Waterloo town centre. This group has also developed a Redfern brand to help change some of the negative perceptions of the Redfern-Waterloo area. The brand was launched on 5 February 2011.

2010-2011 Annual Report

ABORIGINAL EMPLOYMENT PROGRAM

More than 850 employment opportunities have been created for local Indigenous persons since 2006 with the assistance of the Redfern-Waterloo Authority’s Aboriginal Employment Program. This includes the groundbreaking Koori Job Ready Construction Course and the Yaama Dhiyaan Hospitality Training College.

The Aborginal Employment Program has been adopted by other NSW Government Agencies, private companies and the State Government which used it to achieve Aboriginal employment outcomes on local construction projects including Channel 7 and the Redfern Community Health Centre.

Yaama Dhiyaan continues to train students in hospitality, while the Koori Job Ready Course has successfully brokered employment opportunities with large construction companies such as Watpac, Abi Group, Multiplex, UTS and Barangaroo. Most recently, a number of positions were filled by graduates at the Central Park development - an exciting new six hectare, mixed use urban village located at Broadway.

On 7 May 2011, Yaama Dhiyaan catered for at a gala event celebrating 20 years and 500 editions of the Koori Mail. This event was a milestone in Yaama Dhiyaan’s history as 37 Aboriginal people worked on this event including head chef, floor managers, head waiters, kitchen staff and waiters. The Koori Mail is Australia’s only 100 percent Indigenous community-owned and operated fortnightly newspaper. Over 500 people attended the gala event and this represented the largest number of Aboriginal people catered for since colonisation. Meanwhile, Aunty Beryl Van-Oploo, one of the training centres hospitality teachers was recognised with an Education and Long Life Learning Award at the NSW Seniors Week Achievement Awards in March 2011. Since the RWA hospitality training college opened in October 2006, Aunty Beryl has trained and helped find employment for more than 160 students.

Employment and Enterprise Ministerial Advisory Commitee • N SW Department of Education - Phil Lambert

• Community - Mary Lynne Pidcock

• N SW Department of State & Regional Development - Bernadette Selfe

• Community - Millie Ingram

• NSW TAFE - Alison Wood • N SW Department of Aboriginal Affairs - Mangala Srinivasan • D ept of Education, Employment and Workplace Relations - Sharron Hawkins • City of Sydney - Jan Campbell

• Community - Michael Dalah • Community - Siobhan Bryson • Community - Les Tobler • RWA - Roy Wakelin-King AM (Chair) • RWA - Denny Hall • RWA - Julie Parsons (Secretariat)

Redfern-Waterloo Authority

A Community United Through Sport

RWA, the Australian Technology Park (ATP), South Sydney Rabbitohs and the NSWRL joined forces to showcase Rugby League and the way the game can bring harmony to the community on Saturday 7 May 2011 with the U17’s ATP Redfern Nines Competition at Redfern and Waterloo Ovals.

NRL players including Chris McQueen, James Roberts and Nathan Peats were there to support more than 200 junior players competing in heritage-based sides including Indigenous, Maori, Samoan, Fijian and Middle Eastern. The NSW Maoris won the grand final against the Middle Eastern team and there was plenty of entertainment off the field too with the teams entertaining the crowd with traditional ‘war’ dances and cultural performances. There were also some inspiring local performers from Redfern’s Got Talent, food stalls representing various cultures and a jumping castle for the kids. Souths Cares General Manager, John Hutchinson said: “The ATP Redfern Nines is a great concept because it gives kids who aren’t involved in junior rep teams an opportunity to play at a representative level.” The event was hugely successful and many of the teams from Sydney’s western suburbs commented on the positive changes in Redfern. This will be an annual event to continue to promote cultural diversity and social inclusion and is anticipated to be held during Harmony Week in 2012.

“The ATP Redfern Nines is a great concept because it gives kids who aren’t involved in junior rep teams an opportunity to play at a representative level.” Souths Cares General Manager, John Hutchinson

2010-2011 Annual Report

Open For Business

Roll Up Redfern is an exciting community partnership promoting the Redfern-Waterloo area as a vibrant destination in which to live, work and play.

The removal of the roller shutters complements other initiatives such as the widening of footpaths and the concealment of power lines.

The group consists of the RWA, the City of Sydney, South Sydney Business Chamber, REDWatch and the South Sydney Rabbitohs and has been working collaboratively on business and community development issues in the region. A workshop with the local community was held in May 2010 and the group has since been consulting with residents, community groups and local businesses to identify and celebrate the key strengths of the RedfernWaterloo area and how best to promote those strengths to the rest of Sydney. One of the first initiatives was the introduction of a grants program to encourage retailers and businesses to remove the roller shutters from shop fronts along main streets throughout Redfern-Waterloo. The aim was to make the commercial streetscape more attractive, enhance the sense of safety and economic activity and advertise to the wider community that Redfern is “open for business”. It also helps build a strong community spirit and support new and existing businesses and local residents. The removal of the roller shutters complements other initiatives such as the widening of footpaths and the concealment of power lines. Another Roll Up Redfern initiative was the launch of a new Redfern “brand”. Officially unveiled in February 2011, it creates a unique identity for the region and is designed to help shape Redfern’s future through the promotion of sporting and cultural activities as well as business and employment opportunities.

Redfern-Waterloo Authority

Sponsorships/Grants provided by the Redfern-Waterloo Authority

The RWA sponsored and provided funding throughout the year to community projects, local sporting organisations and Indigenous enterprises. Following is a list of contributions by the RWA for the Financial Year commencing 1st July 2010. Organisation

Grant Approved $

Date Approved

Purpose

Alignment with RWA Plan

Inner City NAIDOC Working Party

$2,000

28/6/10

Assistance with NAIDO meeting events 2010

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

Alexandria Rovers Football Club

$480

28/6/10

Purchase of junior tackle bags

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

Benjamin Andrew Footpath Library Book Week Event

$2,000

12/07/10

Assist with costs for the Benjamin Andrew Footpath Library event on 20 August, 2010 at the NCIE

Priority 2 “Lift local school numeracy and literacy levels to at least the state level” and Priority 10 “Build community capacity”

Waterloo Storm Rugby League Club

$2,338

12/07/10

Purchase of equipment to participate in the 2010 Koori Knockout

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

Redfern Red Sox Baseball Team Gala Day

$1,000

12/07/10

Provision of BBQ for 200 people by Yaama Dhiyaan

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

Wunanbiri Aboriginal Pre-School

$1,300

09/08/10

To pay for Yaama Dhiyaan to provide catering for the Mini-Deb fundraising ball for 400 people

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

National Aboriginal Skills Development Association

$2,500

12/07/10

Assistance for Koori Night to be able to offer local Aboriginal people free tickets to performance at CarriageWorks on 25 November 2010

Priority 10 “Build community capacity”

Connect Redfern

$2,000

19/08/10

Support to enable five children from the Redfern-Waterloo area to attend October school holiday

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

Redfern All Blacks Rugby League

$2,500

17/08/10

To assist them to participate in the 2010 Koori Knockout

Priority 10 “Build community capacity”

Jake Bell Memorial Team

$1,715

18/08/09

To assist them to participate in the 2010 Koori Knockout

Priority 10 “Build community capacity”

Wiradjuri Warriors

$1,500

30/08/09

To assist them to participate in the 2010 Koori Knockout

Priority 10 “Build community capacity”

Redfern All Blacks Women’s Rugby League

$1,350

8/09/09

Purchase of equipment to participate in 2010 Koori Knockout

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

The Factory Community Centre

$300

18/09/09

Assistance for catering for community lunch to celebrate the Asian Moon Festival

Priority 10 “Build community capacity”

The Factory Community Centre

$300

18/09/09

Assistance for catering for community lunch to celebrate the 13th Anniversary Cook Community Gardens

Priority 10 “Build community capacity”

South Sydney PCYC

$190

13/09/10

Assistance for catering for Three on Three Basketball Event during the October school holidays

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

28/10/10

Assistance with catering costs for the South Sydney Herald Christmas Lunch for volunteers

Priority 10 “Build community capacity”

South Sydney Herald $1,000

2010-2011 Annual Report

Organisation

Grant Approved $

Date Approved

Purpose

Alignment with RWA Plan

Redfern Fire Station

$712.50

10/11/10

Payment for DA costs associated with the Redfern Station Mural Project

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

Mille Ingram

$300

12/11/10

Sponsorship of NCOSS Conference registration

Priority 10 “Build community capacity”

Vibe Australia

$500

29/11/10

Assistance with catering costs for Vibe Three on Three Basketball and Hip Hop Challenge

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity

World AIDS Day Dinner

$1,100

29/11/10

Sponsorship of four local Aboriginal people to attend World AIDS Day Dinner

Priority 10 “Build community capacity”

The Factory Community Centre

$300

31/01/11

Assistance for catering for community lunch to celebrate the Chinese New Year Festival

Priority 10 “Build community capacity”

Eunice Grimes

$195

24/01/11

Assistance with uniform costs to participate in the Indigenous All Stars Team

Priority 10 “Build community capacity

Skateboarding Australia SbA National Series

$500

27/01/11

Assistance for SbA National Series at Waterloo Park

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

Mudgin-Gal

$1,000

2/02/11

Assistance for Mudgin-Gal employees to attend the Australian delegation for the Commission of the Status of Women in New York

Priority 10 “Build community capacity

The Factory Community Centre

$300

9/02/11

Assistance for catering for community lunch to celebrate the Chinese New Year Festival

Priority 10 “Build community capacity”

NCIE

$712.65

9/03/11

Prizes for Midnight Basketball

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

Babana Aboriginal Men’s Group

$1,500

28/03/11

Assistance for the Coloured Digger Project Redfern ANZAC March 2011

Priority 10 “Build community capacity”

The Factory Community Centre

$1,000

25/05/11

Assistance for the Yurungai Dance Project to attend the 7th International Children and Youth Theatre Festival

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

NCIE

$2,000

17/06/11

Assistance for NAIDOC Week events 2011.

Priority 6 “Increase participation of young people in the community” Priority 10 “Build community capacity”

RedWatch

$1,800

7/06/11

Assistance to maintain and develop their website

Priority 10 “Build community capacity”

South Sydney Herald $1,000

7/06/11

Assistance with catering costs for the South Sydney Herald Christmas Lunch for Volunteers

Priority 10 “Build community capacity”

Total

$35,892

Redfern-Waterloo Authority

A Year of Recognition Achievements and Awards for Redfern

• The skills of more than 150 individuals, community groups and organisations within Redfern, Waterloo and surrounding suburbs were nominated in recognition of their outstanding contribution to the local community at the Community Participation Volunteer Awards in May 2011. • Australia’s only 100% Indigenous owned and operated newspaper, The Koori Mail, celebrated 20 years and 500 editions at a special anniversary celebration on 7 May 2011. • The National Centre for Indigenous Excellence (NCIE) celebrated its first anniversary in April 2011. • Yaama Dhiyaan’s Aunty Beryl Van-Oploo was recognised with an Education and Long Life Learning Award at the NSW Seniors Week Achievement Awards in March 2011. • The Redfern-Waterloo community was selected as one of 40 priority Aboriginal communities in NSW to be part of the landmark ‘Two Ways Together Partnership Community Program’ to improve service delivery and outcomes for Aboriginal people.

• Two prominent Redfern identities received an Order of Australia in recognition of their contribution to the community. Lucy Turnbull AO, Board Member of the Redfern-Waterloo Authority, Australian Technology Park and the Sydney Metropolitan Development Authority, was honoured as an Officer of the Order of Australia for her contribution to business and commitment to charity. Helen Campbell, Executive Officer for Women’s Legal Services NSW and former CEO of Redfern Legal Centre, received a medal of the Order of Australia for her service to law and to the community of Redfern. • The South Sydney Rabbitohs was awarded the Souths Cares Award in recognition of their contribution of more than 1200 hours to the community as part of the Souths Cares and NRL One Community Programs throughout 2010. South Sydney player, Nathan Merritt also played his 150th game for Souths in May 2011 and now ranks among the top five try scorers in the history of the club. • Redfern Park and Oval received the Architecture Award for Urban Design at the NSW Architecture Awards in June 2010 following its successful transformation from a previously underused site into an elegant and accessible community recreation facility. • The 8 Central Avenue building at Australian Technology Park (Media City) was recognised at the API NSW Excellence in Property Awards in October 2010. PTW Architects were awarded the LandMark White Property Development Award in recognition of their design which provides community benefits, innovation in community facility, finance structuring and investment returns.

Yaama Dhiyaan’s Aunty Beryl Van-Oploo was recognised with an Education & Long Life Learning Award at the NSW Seniors Week Achievement Awards in March 2011.

2010-2011 Annual Report

The 8 Central Avenue building at Australian Technology Park (Media City) was recognised at the API NSW Excellence in Property Awards in October 2010. PTW Architects were awarded the LandMark White Property Development Award in recognition of their design which provides community benefits, innovation in community facility, finance structuring and investment returns.

Redfern-Waterloo Authority

Independent Auditors Report

2010-2011 Annual Report

Redfern-Waterloo Authority

Internal Audit And Risk Management Statement

2010-2011 Annual Report

Statement by Members of the Board

Statement by Members of the Board of Redfern-Waterloo Authority on the adoption of the financial statements for the year ended 30 June 2011. Pursuant to Section 41C (1B) of the Public Finance and Audit Act 1983 and in accordance with a resolution of the members of the Board of the RedfernWaterloo Authority, we declare that in our opinion: 1. The accompanying financial statements exhibit a true and fair view of the financial position and financial performance of Redfern-Waterloo Authority as at 30 June 2011. 2. The financial statements have been prepared in accordance with the Australian Accounting Standards and Interpretations and the provisions of the Public Finance and Audit Act 1983, the Public Finance and Audit Regulation 2010 and the Treasurerâ&#x20AC;&#x2122;s Directions; and 3. We are not aware of any circumstances that would render any particulars included in the financial statements to be misleading or inaccurate.

Dr Col Gellatly AO

Roy Wakelin-King AM

Chairman

Chief Executive Officer

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

STATEMENT OF COMPREHENSIVE INCOME For the year ended 30 June 2011

notes Consolidated

Consolidated

RWA

2011

2010

2011

2010

$’000

* Restated

Sales and services income

7(a)

20,143

18,794

997

Grants and contributions

7(b)

10,620

8,635

10,620

8,635

Other income

7(c)

4,644

3,007

6,220

5,368

Affordable Housing voluntary contributions

7(d)

6,000

6,600

6,000

6,600

Valuation increment

8(c)

Revenue from continuing operations

* Restated

3,500

3,353

44,907

37,036

27,190

21,600

(4,415)

(4,194)

(1,041)

(616)

(1,249)

(2,132)

(93)

(5)

8(a)

(14,503)

(12,164)

(3,107)

(2,320)

16 & 17

(1,121)

(1,885)

(126)

(1,156)

8 (b)

(3,419)

(3,428)

(3,419)

(3,146)

(1,995)

(18,715)

(18,832)

(23,551)

(42,386)

21,356

(5,349)

18,248

(6,602)

(60)

(33)

21,296

(5,382)

18,248

(6,602)

Total income Other Income Expenditure Employee benefits expenses Personnel services Defined benefit super. fund contributions Other expenses Depreciation and amortisation Finance costs Write off high voltage feeder costs Valuation decrement

8 (c)

Total expenditure Surplus/(deficit) for the year

(8,942) (28,202)

Other comprehensive income/(deficit) Actuarial loss on defined benefit funds Total comprehensive income/(deficit) for the year

* Restated: Refer note 31 for details of restatement of balances The above statement should be read in conjunction with the accompanying notes.

2010-2011 Annual Report

STATEMENT OF FINANCIAL POSITION As at 30 June 2011

notes Consolidated Consolidated

Consolidated

RWA

2011

2010

2009

2011

2010

2009

$’000

*Restated

Cash and cash equivalents

57,102

52,283

38,520

27,570

20,062

7,455

Trade and other receivables

6,833

682

692

6,617

542

1,005

Loans receivable

ASSETS

*Restated *Restated

Current assets

437

407

378

64,372

53,371

39,590

34,187

20,604

8,460

18 (a)

163,750

158,500

176,825

98,850

94,500

112,185

15,208

13,195

13,649

1,640

1,751

3,010

18 (b)

7,875

9,625

Total current assets Non-current assets Investment Property Property, plant and equipment Other Assets Loans receivable

3,343

3,780

4,186

Lease receivables

5,648

5,350

5,068

Other financial assets

59,804

65,241

65,647

Total non-current assets Total assets

190,176

185,100

204,285 165,943

166,843

185,911

254,549

238,472

243,875 200,130

187,447

194,371

1,053

LIABILITIES Current liabilities Trade and other payables

4,798

4,701

3,192

951

1,108

Provisions

1,025

895

1,947

Borrowings

407

378

407

Deferred lease revenue

Total current liabilities

109

6,339

6,112

5,517

1,358

1,515

378 1,431

Non current liabilities Provisions

257

189

176

Borrowings

38,369

43,776

44,182

38,369

43,776

44,182

Deferred lease revenue

9,297

9,403

9,625

47,923

53,368

53,983

38,369

43,776

44,182

59,500

Total non current liabilities Total liabilities Net assets

54,262

59,480

39,727

45,291

45,613

200,286

178,992

184,375 160,402

142,156

148,758

200,286

178,992

184,375 160,402

142,156

148,758

142,156

148,758

EQUITY Accumulated funds

Contributed equity Total equity

200,286

178,992

184,375 160,402

* Restated: Refer note 31 for details of restatement of balances The above statement should be read in conjunction with the accompanying notes.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

STATEMENT OF CHANGES IN EQUITY For the year ended 30 June 2011

Consolidated Consolidated

Restated balance Surplus / (deficit ) for the year

RWA

notes

2011

2010

2011

2010

$’000

Balance of equity at the start of year Net effect of a Correction of Error

RWA

180,912

186,940

146,192

152,028

(1,922)

(2,565)

(4,038)

(3,270)

178,990

184,375

142,154

148,758

21,356

(5,349)

18,248

(6,602)

Other Comprehensive Income Acturial loss on deefined benefit supernation scheme Total Comprehensive Income Balance of equity at the end of year

(60)

(33)

21,296

(5,382)

18,248

(6,602)

200,286

178,993

160,402

142,156

* Restated: Refer note 31 for details of restatement of balances The above statement should be read in conjunction with the accompanying notes.

2010-2011 Annual Report

STATEMENT OF CASH FLOWS For the year ended 30 June 2011

Consolidated Consolidated

RWA

2011

2010

2011

2010

$’000

inflow/

notes

(outflow) 23,404

29,139

1,212

8,309

7(b)

10,620

8,635

10,620

8,635

(20,728)

(20,719)

(5,868)

(4,719)

(outflow) (outflow) (outflow)

Cash flows from operating activities Receipts from customers Government grants received Payments to suppliers and employees Interest paid

8(b)

(3,419)

(3,428)

(3,419)

(3,146)

Interest received

7(c)

3,076

2,049

4,947

3,545

25 (b)

12,953

15,676

7,492

12,624

(3,134)

(1,536)

(14)

(46)

(3,134)

(1,536)

(14)

(46)

407

406

5,437

(5,407)

(377)

Net cash flows from financing activities

(5,000)

(377)

Net increase/(decrease) in cash held

4,819

13,763

7,508

12,607

Cash and cash equivalents at the start of the financial year

52,283

38,520

20,062

7,455

Cash and cash equivalents at the end of year

57,102

52,283

27,570

20,062

Net cash flows from operating activities Cash flows from investing activities Payments for property, plant and equipment Net cash flows used in investing activities Cash flows from financing activities Non-trade advances from parent entity Repayment of borrowings from subsidiary Repayment of loan to Tcorp Proceeds/(repayment) of borrowing from NSW Treasury Corporation

The above statement should be read in conjunction with the accompanying notes.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

1. REPORTING ENTITY

2. BASIS OF PREPARATION

The Redfern-Waterloo Authority (the “Authority”) is a Statutory Body constituted by the Redfern Waterloo Authority Act 2004 on 17 January 2005 to promote the development of the Redfern-Waterloo area into an active, vibrant, and sustainable community. The Authority seeks to promote, support and respect the Aboriginal community in Redfern-Waterloo and to establish greater social cohesion and community safety in the area.

(a) Statement of Compliance The Authority’s financial statements are general purpose financial statements which have been prepared in accordance with applicable Australian Accounting Standards (which include Australian Accounting Interpretations) and the requirements of the Public Finance and Audit Act 1983 and Regulation, Treasurer’s Directions, the Redfern Waterloo Authority Act 2004.

The Authority, as a reporting entity, comprises all the entities under its control including the commercial activities of the Australian Technology Park Sydney Limited (formally Australian Technology Park Precinct Management Limited) (the “Company”) and the Office of Redfern-Waterloo Authority (the “Office”). The Company is a wholly-owned subsidiary of the Authority and it operates a scientific and technological research and development park. The Authority, through its subsidiary, manages the commercial operations of the park which include property management and development and the provision of convention and exhibition facilities. The Office provides personnel services to the Authority.

(b) Historical cost convention

The activities of the Authority are currently subject to NSW Government funding commitments through to 30 June 2014/15. On the 23 September 2010, the NSW Government established the Sydney Metropolitan Development Authority (SMDA) under the Growth Centres (Development Corporations) Act of 1974 for urban development, which aims to create new sustainable urban centres with additional housing and commercial projects including land identified as potential urban renewal precincts. As a result, the present operations of the Redfern-Waterloo Authority and the Office of the Redfern-Waterloo Authority will be absorbed into SMDA. Plans and relevant legislation are currently being prepared for the transfer of the operations to SMDA.

The financial statements have been prepared on the historical cost basis except for the following material items:

The Financial statements for the year ended 30 June 2011 has been authorised for issue by the Board on the 25 October, 2011.

These financial statements have been prepared under the historical cost convention, as modified by the revaluation of financial assets and liabilities at fair value through profit or loss, certain classes of property, plant and equipment and investment property.

(c) Profit status of the Authority The Authority has assessed its profit status for the financial year ended 30 June 2011 and determined its status as not-for-profit for financial reporting purposes.

(d) Basis of measurement

• Financial instruments at fair value through profit and loss and available for sale are measured at fair value • Investment properties are measured at fair value • Property , plant and equipment are measured at fair value • The defined benefit asset is measured as the net total of the plan assets, plus unrecognised past service cost and unrecognised actuarial losses, less unrecognised actuarial gains and the present value of the defined benefit obligation

(e) Functional and presentation currency These financial statements are presented in Australian dollars, which is the Authority’s functional currency. All amounts are rounded to the nearest one thousand dollars unless otherwise stated.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

(f) Use of estimates and judgements The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and reported amounts to assets, liabilities, income and expenses that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimates are recognised, or in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. Information about critical judgements in applying accounting policies that have the most significant effect on the amounts recognised in the financial statements is included in the following notes:

Intercompany transactions, balances and unrealised gains on transactions between entities are eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of the impairment of the asset transferred. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the parent entity. 4. CHANGES IN ACCOUNTING POLICY In the current year, the Authority has adopted all of the new and revised Standards and Interpretations that are relevant to its operations and which are effective for annual reporting periods beginning on 1 July 2011. As a result, the Authority has changed its accounting policies and disclosure in relation to the presentation of financial statements. When the presentation or classification of items in the financial statements are amended, comparative amounts are reclassified unless the reclassification is impracticable. When comparative amounts are reclassified, the Authority discloses:

• Note 5(c), 5(c)( (iv),5(e)(iii), 5(e)(vi),5(e)(ix) &5(f)(iii)

i) the nature of the reclassification;

• Note 14 - Finance and operating leases

ii) the amount of each item or class of items that is reclassified; and

• Note 16- depreciation and amortisation Information about assumptions and estimations that may result in adjustments in the future financial year is included in the following notes: • Note 2(b), 5(e)(iii), 5(e)(vi),5(e)(ix) &5(f)(iii) • Note 14- Finance and operating leases • Note 28 - financial instruments

(g) Potential sale of subsidiary company The New South Wales Government’s Mini-Budget 2008-2009 included a proposal to divest the Australian Technology Park Sydney Limited’s assets to the private sector by way of a 99 year lease. Confirmation and timing of a potential sale of the Company and its assets, is yet to be determined by the NSW Government. The members of the Board of Directors believe that the potential for divestment has not impacted the Authority’s financial position. 3. PRINCIPLES OF CONSOLIDATION Controlled entities are all those entities over which the Authority has the power to govern the financial and operating policies so as to obtain benefits from its activities.

iii) the reason for the reclassification. 5. STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES The accounting policies set out below is a summary of the significant accounting policies have been applied consistently to all periods presented in these financial statements and have been applied consistently by the Authority except as explained in note 4 which addresses changes in accounting policies. Certain comparative amounts have been reclassified to conform with the current year’s presentation.

(a) Goods and services tax (GST) Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the Australian Taxation Office. In this case it is recognised as part of the cost of acquisition of the asset or as part of the expense. Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or payable to, the Australian Taxation Office is included with other receivables or payables in the Statement of Financial Position.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Cash flows are included in the statement of cash flow on a gross basis. However, the GST components of cash flows arising from investing and financing activities which is recoverable from, or payable to, the Australian Taxation Office are classified as operating cash flows.

(b) Income tax The Authority is a not for profit entity and is not a listed entity in the National Tax Equivalent Regime Entity Register. Hence is not liable for income tax under the National Tax Equivalent Regime On 16 February 2005, a private ruling was made in favour of the Company, where it was deemed that Section 24AM of Income Tax Assessment Act 1936 applies to exempt the Company’s income from the imposition of income tax. The ruling has been reconfirmed since 2005, with a further extension to 30 June 2015 approved by the Australian Tax Office in a private ruling advice dated 2 March 2010. .

(c) Revenue recognition The Authority recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits will flow to the entity, and specific criteria have been met for each of the Authority’s activities as described below. The amount of revenue is not considered to be reliably measurable until all contingencies relating to the sale have been resolved. The Authority bases its estimates on historical results, taking into consideration the type of customer, the type of transaction and the specifics of each arrangement. Revenue is measured at the fair value of the consideration received or receivable. Amounts disclosed as revenue are net of returns, trade allowances, rebates and amounts collected on behalf of third parties. Revenue is recognised for the major business activities as follows: (i) Sale of goods and services Revenue is recognised when the Authority transfers the significant risks and rewards of ownership of the assets and obtains control of the assets that result from sales. (ii) Grants and contributions An unconditional contribution and grants received are recognised as revenue when the Authority obtains control over the assets comprising the contribution. Control over contributions is normally obtained upon the receipt of cash.

Where any unspent contributions at year end are repayable to the funding bodies in the following financial year, the unspent contributions are accounted for as liabilities rather than revenue. (iii) Lease revenue Lease revenue from operating leases is recognised on straight-line basis over the lease term. The lease payments received in advance are recorded as a liability and recognised as revenue over the lease term. Lease incentives granted are recognised as an integral part of the total rental income, over the term of the lease. Where the future rental income is at the discretion of the lessor(the Authority), the straight line income recognition is calculated assuming a future rental income of 5% of the market value of the relevant land. (iv) Investment revenue Investment revenue comprises interest income on funds invested with financial institutions. In addition, any changes in fair value of financial assets held with the NSW Treasury Corporation’s Hour-Glass facilities represented by a number of units of a management investment pool at fair value through profit and loss account are recognised using the effective interest method as set out in AASB 139 Financial Instruments: Recognition and Measurement. (v) Other revenue Other revenue is recognised when the right to receive the revenue has been established.

(d) Expenses All expenses incurred on an accrual basis are recognised as expenditure for the year to the extent that the Authority has benefited by receiving goods or services and the expenditure can be reliably measured. • Employee expenses Employee expenses includes salaries and wages for the year, workers compensation insurance premium for the year, 9% defined contribution incurred for employees under defined contribution scheme and amounts nominated by the fund managers in respect of defined benefit schemes. Annual leave and long service leave expenses are charged as stated in Note 3 (d) (ii). • Depreciation expenses Depreciation expenses are charged as stated in 5 (e) (vi)

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

• Maintenance expenses Maintenance expenses are charged as stated in 5 (e) (vi) • Insurance expenses The Authority holds insurance policies covering property, public liability, workers compensation, directors’ liability and other contingencies. These insurance covers are conducted through the NSW Treasury Managed Fund Scheme of self insurance for Government agencies. The premium is determined by the Fund Manager based on past claim experience and the insurance coverage is reviewed periodically to ensure that it is adequate. • Finance costs Finance costs incurred for the construction of any qualifying asset are capitalised during the period of time that is required to complete and prepare the asset for its intended use or sale. Other finance costs are expensed.

(e) Assets (i) Cash and cash equivalent Cash and cash equivalents include cash on hand, deposits held at call with financial institutions and other short-term, highly liquid investments with the NSW Treasury Corporation’s Hour-Glass facilities. These are readily convertible to cash and classified as cash and cash equivalent. (ii) Receivables Receivables include trade and other receivables, and statutory debts. Trade and other receivables (including loans) are nonderivative financial assets with fixed or determinable payments that are not quoted in an active market. These financial assets are recognised initially at fair value, usually based on the transaction cost or face value. Subsequent measurement is at amortised cost using the effective interest method, less an allowance for any impairment of receivables. Collectability of trade receivables is reviewed on an ongoing basis. Debts which are known to be uncollectible are written off by reducing the carrying amount directly. Any changes are recognised in the surplus/ (deficit) for the year when impaired, derecognised or through the amortisation process. An allowance account is used when there is objective evidence that the Authority will not be able to collect all amounts due according to the original terms of the receivables. Significant financial difficulties of

the debtor, probability that the debtor will enter bankruptcy or financial reorganisation, and default or delinquency in payments are considered indicators that the trade receivable is impaired. The amount of the impairment allowance is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the original effective interest rate Short-term receivables with no stated interest rate are measured at the original invoice amount where the effect of discounting is immaterial. The amount of the impairment loss is recognised in the Statement of Comprehensive Income within other expenses. When a trade receivable for which an impairment allowance had been recognised becomes uncollectible in a subsequent period, it is written off against the allowance account. Subsequent recoveries of amounts previously written off are credited against other expenses in the Statement of Comprehensive Income. (iii) Impairment of financial assets All financial assets, except those measured at fair value through Statement of Comprehensive Income, are subject to an annual review for impairment. An allowance for impairment is established when there is objective evidence that the entity will not be able to collect all amounts due. For financial assets carried at amortised cost, the amount of the allowance is the difference between the assets carrying amount and the present value of estimated future cash flows, discounted at the effective interest rate. The amount of the impairment loss is recognised in the Statement of Comprehensive Income. When an available for sale financial asset is impaired, the amount of the cumulative loss is removed from equity and recognised in the Statement of Comprehensive Income, based on the difference between the acquisition cost (net of any principal repayment and amortisation) and current fair value, less any impairment loss previously recognised in the Statement of Comprehensive Income. Any reversals of impairment losses are reversed through the Statement of Comprehensive Income, where there is objective evidence, the only exception being reversals of impairment losses on an investment in an equity instrument classified as “available for sale” must be made through the reserve. Reversals of impairment losses of financial assets carried at amortised cost cannot result in a carrying amount that exceeds what the carrying amount would have been had there not been an impairment loss.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

(iv) De-recognition of financial assets and financial liabilities A financial asset is derecognised when the contractual rights to the cash flows from the financial assets expire; or if the Authority transfers the financial asset: - Where substantially all the risks and rewards have been transferred or; - Where the Authority has not transferred substantially all the risks and rewards, if the entity has not retained control. Where the Authority has neither transferred nor retained substantially all the risks and rewards or transferred control, the asset is recognised to the extent of the Authority’s continuing involvement in the asset. A financial liability is derecognised when the obligation specified in the contract is discharged or cancelled or expires. (v) Other Assets Other assets include superannuation assets and prepayments. Other assets are recognised on a cost basis. If a surplus exists in the employer’s interest in the defined benefit fund, the Authority recognised the amount as superannuation asset and take advantage of it in the form of a reduction in the required contribution rate, depending on the advice of the Fund’s actuary. Where a deficiency exists, the employer is responsible for any difference between the employer’s share of Fund assets and the defined benefit obligation and recognised as liability. (vi) Property, plant and equipment Land and buildings are measured at fair value less depreciation recognised after the date of revaluation. Plant and equipment is stated at historical cost less accumulated depreciation. • Acquisitions of assets The cost method of accounting is used for the initial recording of all acquisitions of assets controlled by the Authority. Cost is the amount of cash or cash equivalents paid or the fair value of the other consideration given to acquire the asset at the time of its acquisition or construction or, where applicable, the amount attributed to that asset when initially recognised in accordance with the specific requirements of other Australian Accounting Standards.

Assets acquired at no cost, or for nominal consideration, are initially recognised as assets and revenues at their fair value at the date of acquisition. Fair value means the amount for which an asset could be exchanged between knowledgeable, willing parties in an arm’s length transaction. Where settlement of any part of cash consideration is deferred, its cost is the cash price equivalent, that is, the deferred payment amount is effectively discounted at an asset-specific rate. • Capitalisation thresholds The Authority’s policy is to capitalise all costs incurred in property development. Property, plant and equipment and intangible assets costing $5,000 and above individually (or forming part of a network costing more than $5,000 are capitalised. • Revaluation of physical non-current assets Physical non-current assets are valued in accordance with the “Valuation of Physical Non-Current Assets at Fair Value” Policy and Guidelines Paper (TPP 07-1). This policy adopts fair value in accordance with AASB 116 Property, Plant and Equipment and AASB 140 Investment Property. The fair value of land under a prepaid long-term lease is negligible and as such it is recorded at $1 in the asset register. However, land under a prepaid long-term lease, irrespective of whether an upfront lease income was received, that continues to receive a rental stream is measured at fair value as investment property. Property, plant and equipment is measured on an existing use basis, where there are no feasible alternative uses in the existing natural, legal, financial and socio-political environment. However, in the limited circumstances where there are feasible alternative uses, assets are valued at their highest and best use. Fair value of property, plant and equipment is determined based on the best available market evidence, including current market selling prices for the same or similar assets. Where there is no available market evidence, the asset’s fair value is measured at its market buying price, the best indicator of which is depreciated replacement cost. Land and buildings, including open spaces and roads, are revalued at least every three years or with sufficient regularity to ensure that the carrying amount of each asset does not differ materially from

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

its fair value at reporting date. The last revaluation was completed on 31 May 2011 and was based on an independent assessment. Non-specialised assets with short useful lives are measured at depreciated historical cost, as a surrogate for fair value. When revaluing non-current assets by reference to current prices for assets newer than those being revalued (adjusted to reflect the present condition of the assets), the gross amount and the related accumulated depreciation are separately restated. For other assets, any balances of accumulated depreciation at the revaluation date in respect of those assets are credited to the asset accounts to which they relate. The net asset accounts are then increased or decreased by the revaluation increments or decrements. Revaluation increments are credited directly to the asset revaluation reserve, except that, to the extent that an increment reverses a revaluation decrement in respect of that class of asset previously recognised as an expense in the surplus/deficit, the increment is recognised immediately as revenue in the surplus/deficit. Revaluation decrements are recognised immediately as expenses in the surplus/deficit, except that, to the extent that a credit balance exists in the asset revaluation reserve in respect of the same class of assets, they are debited directly to the asset revaluation reserve. As a not-for-profit entity, revaluation increments and decrements are offset against one another within a class of non-current assets, but not otherwise. Where an asset that has previously been revalued is disposed of, any balance remaining in the asset revaluation reserve in respect of that asset is transferred to accumulated funds. • Impairment of Property, Plant and Equipment As a not-for-profit entity, the Authority is effectively exempt from AASB 136 Impairment of Assets and impairment testing. This is because AASB 136 modifies the recoverable amount test to the higher of fair value less costs to sell and depreciated replacement cost. This means that, for an asset already measured at fair value, impairment can only arise if selling costs are material. Selling costs are regarded as immaterial.

• Depreciation of property, plant and equipment Depreciation is provided for on a straight-line basis for all depreciable assets so as to write off the depreciable amount of each asset as it is consumed over its useful life by the Authority. Estimates of remaining useful lives are made on a regular basis for all assets, with annual reassessments for major items. Land is not a depreciable asset. Depreciation of art and artefacts is not recognised because the useful life and the net amount to be recovered at the end of the useful life cannot be reliably measured. The decision not to recognise depreciation for these assets is reviewed annually. The following depreciation rates were applied during 20010-11 and 2009-10: • Furniture and fittings 4-5 years • Plant and equipment 3-4 years • Freehold building 5 years ** • Leasehold improvements Shorter of the lease period, or useful life.

** The Little Eveleigh Street building, which was a strategic purchase in relation to the future Redfern Station redevelopment, was written down to nil value at 30 June 2010 on the basis it is probable the site will be needed for the future Redfern Station development. The NSW Government has not yet determined the timing of the Redfern Station Redevelopment, therefore the timing of the building’s removal is presently uncertain. • Major inspection costs When each major inspection is performed, the labour cost of performing inspections for faults is recognised in the carrying amount of an asset as a replacement of a part, if the recognition criteria are satisfied. • Restoration costs The estimated cost of dismantling and removing an asset and restoring the site is included in the cost of an asset, to the extent it is recognised as a liability. • Maintenance Day-to-day servicing costs or maintenance are charged as expenses as incurred, except where they relate to the replacement of a part or component of an asset, in which case the costs are capitalised and depreciated.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

(vii) Leased assets • Leases Leases of property, plant and equipment, where the Authority as lessee, has substantially all the risks and rewards of ownership are classified as finance leases. Finance leases are capitalised at the lease’s inception at the fair value of the leased property or, if lower, the present value of the minimum lease payments. The corresponding rental obligations, net of finance charges, are included in other short-term and longterm payables. Each lease payment is allocated between the liability and finance cost. The finance cost is charged to the Statement of Comprehensive Income over the lease period so as to produce a constant periodic rate of interest on the remaining balance of the liability for each period. The property, plant and equipment acquired under finance leases are depreciated over the shorter of the asset’s useful life and the lease term. Leases in which a significant portion of the risks and rewards of ownership are not transferred to the Authority as lessee are classified as operating leases. Payments made under operating leases are charged to the Statement of Comprehensive Income on a straight-line basis over the period of the lease. • Lease incentives Lease incentives include upfront cash payments to the lessee or the reimbursement or assumption by the Authority, as the lessor, of costs of the lessee (such as relocation costs, leasehold improvements, fit-out contributions and costs associated with a pre-existing lease commitment). Alternatively, the initial period of the lease term may be agreed to be rent-free or at a reduced rent, and shall be recognised, in accordance with the Australian Accounting Interpretations. • Operating lease incentives Operating lease incentives represent a reduction of rental income over the lease term on a straight-line basis. (viii) Investment properties Investment property, principally comprising freehold office buildings, is held for long-term rental yields and is not occupied by the Authority. Investment property is carried at fair value, which is based on active market prices, adjusted, if necessary, for any difference in the nature, location or condition of the specific asset. If this information is not available, the Authority

uses alternative valuation methods such as recent prices in less active market or discounted cash flow projections. These valuations are reviewed annually by a member of the Australian Property Institute. Changes in fair values are recorded in the Statement of Comprehensive Income as part of other revenue or other expenses. (ix) Intangible assets The Authority recognises intangible assets only if it is probable that future economic benefits will flow to the Authority and the cost of the asset can be measured reliably. Intangible assets are measured initially at cost. Where an asset is acquired at no or nominal cost, the cost is its fair value as at the date of acquisition. IT development and software costs incurred in developing products or systems, and costs incurred in acquiring software and licenses that will contribute to future period financial benefits through revenue generation and/or cost reduction, are capitalised to software and systems. Costs capitalised include external direct costs of materials and service, direct payroll and payroll related costs of employees’ time spent on the project. Amortisation is calculated on a straight-line basis over a period of three years. The useful lives of intangible assets are assessed to be infinite. Intangible assets are measured initially at cost and subsequently at fair value only if there is an active market. As there is not an active market for the Authority’s intangible assets, the assets are carried at cost, less any accumulated amortisation. IT development costs include only those costs directly attributable to the development phase and are only recognised following completion of technical feasibility and where the group has an intention and ability to use the asset.

(f) Liabilities (i) Trade and other payables These amounts represent liabilities for goods and services provided to the Authority and other amounts. Payables are recognised initially at fair value, usually based on the transaction cost or face value. Subsequent measurement is at amortised cost using the effective interest method. Short-term payables with no stated interest rate are measured at the original invoice amount where the effect of discounting is immaterial.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

(ii) Borrowings Borrowings are initially recognised at fair value, net of transactions costs. Borrowings are subsequently measured at amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in the Statement of comprehensive income, over the period of the borrowings, using the effective interest method. Borrowings are removed from the Statement of financial position when the obligation specified in the contract is discharged, cancelled or expired. The difference between the carrying amount of a financial liability that has been extinguished or transferred to another party and the consideration paid, including any non-cash assets transferred or liabilities assumed, is recognised in other income or other expenses. Borrowings are classified as current liabilities unless the authority has an unconditional right to defer settlement of the liability for at least 12 months after the reporting date. (iii) Employee benefits • Wages and salaries, annual leave and sick leave Liabilities for wages and salaries, including nonmonetary benefits and annual leave expected to be settled within twelve months of the reporting date are recognised in respect of employees’ service up to the reporting date at undiscounted amounts and are measured at the amounts expected to be paid when the liabilities are settled. Long-term annual leave that is not expected to be taken within twelve months is measured at present value in accordance with AASB 119 Employee Benefits. Market yields on government bonds of 5.21% (2009-2010 5.50%) were applied to discount long-term annual leave. • Long service leave The liability for long service leave is recognised in the provision for employee benefits and measured as the present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the discount method. Consideration is given to expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using market yields at the reporting date on national government bonds with terms to maturity and currency that match, as closely as possible, the estimated future cash outflows.

Provisions made in respect of employee benefits which are not expected to be settled within 12 months are measured at the present value of the estimated future cash outflows to be made by the consolidated entity in respect of services provided by employees up to reporting date. The government bond rate of 5.50% 2009-2010 5.50%%) was applied for discounting purposes. The outstanding amounts of payroll tax, workers’ compensation, insurance premiums and fringe benefits tax, which are consequential to employment, are recognised as liabilities and expenses when the employee benefits to which they relate have been recognised. • Retirement benefit obligations All employees of the Authority are entitled to benefits from the Authority’s superannuation plan on retirement, disability or death. The Authority has a defined benefit plan and a defined contribution plan. The defined contribution plan receives fixed contributions from the Authority and the Authority’s legal or constructive obligation is limited to these contributions. Contributions to the defined contribution fund are recognised as an expense as they become payable. Prepaid contributions are recognised as an asset to the extent that a cash refund or a reduction in the future payments is available. A liability or asset of defined benefits superannuation plans is recognised in the balance sheet, and is measured as the present value of the defined benefit obligation at the reporting date less the fair value of the superannuation fund’s assets at that date and any unrecognised past service cost. The present value of the defined benefit obligations is based on expected future payments which arise from membership of the fund to the reporting date, calculated annually by independent actuaries using the projected unit credit method. Consideration is given to expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using market yields at the reporting date on national government bonds with terms to maturity and currency that match, as closely as possible, the estimated future cash outflows. Past service costs are recognised immediately in income, unless the changes to the superannuation fund are conditional on the employees remaining in service for a specified period of time (the vesting period). In this

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

case, the past service costs are amortised on a straightline basis over the vesting period. Contributions to the defined contribution fund are recognised as an expense as they become payable. Prepaid contributions are recognised as an asset to the extent that a cash refund or a reduction in the future payments is available. (iv) Provisions Provisions are recognised when the Authority has a present obligation as a result of a past event, it is probable that the Authority will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. Provisions are measured at the present value of management’s best estimate of the expenditure required to settle the present obligation at the reporting date. The discount rate used to determine the present value reflects current assessments of the time value of money and the risks specific to the liability. The increase in the provision due to the passage of time is recognised as interest expense. (v) f) Comparative information Except when an Australian Accounting Standard permits or requires otherwise, comparative information is disclosed in respect of the previous period for all amounts reported in the financial statements. z) New Australian Accounting Standards Issues • Application of new and revised Accounting Standards i. Standards and Interpretations affecting amounts reported in the current period (and/or prior periods) The following new and revised Standards and Interpretations have been adopted in the current period and have affected the amounts reported in these financial statements. Details of other Standards and Interpretations adopted in these financial statements but that have had no effect on the amounts reported are set out in section (ii). Standards affecting presentation and disclosure • Amendments to AASB 7 ‘Financial Instruments: Disclosure’ (adopted in advance of effective date of 1 January 2011). The amendments (part of AASB 2010-4 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’) clarify the required level of disclosures about credit risk and collateral held and

provide relief from disclosures previously required regarding renegotiated loans. Not applicable to the Authority as at the balance date. • Amendments to AASB 5 ‘Non-current Assets Held for Sale and Discontinued Operations’. Disclosures in these financial statements have been modified to reflect the clarification in AASB 2009-5 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’ that the disclosure requirements in Standards other than AASB 5 do not generally apply to noncurrent assets classified as held for sale and discontinued operations. Not applicable to the Authority as at the balance date. • Amendments to AASB 101 ‘Presentation of Financial Statements’ (adopted in advance of effective date of 1 January 2011). The amendments (part of AASB 2010-4 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’) clarify that an entity may choose to present the required analysis of items of other comprehensive income either in the statement of changes in equity or in the notes to the financial statements. All material items are adequately disclosed by way of notes to the financial statements. • Amendments to AASB 107 ‘Statement of Cash Flows’. The amendments (part of AASB 2009-5 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’) specify that only expenditures that result in a recognised asset in the statement of financial position can be classified as investing activities in the statement of cash flows. Consequently, cash flows in respect of development costs that do not meet the criteria in AASB 138 ‘Intangible Assets’ for capitalisation as part of an internally generated intangible asset (and, therefore, are recognised in profit or loss as incurred) have been reclassified from investing to operating activities in the statement of cash flows. Not applicable to the Authority as at the balance date ii. Standards and Interpretations adopted with no effect on financial statements The following new and revised Standards and Interpretations have also been adopted in these financial statements. Their adoption has not had any significant impact on the amounts reported in these financial statements but may affect the accounting for future transactions or arrangements.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

AASB 2009-5 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’

Except for the amendments to AASB 5 and AASB 107 described earlier this section, the application of AASB 2009-5 has not had any material effect on amounts reported in the financial statements.

AASB 2009-8 ‘Amendments to Australian Accounting Standards - Group Cash-Settled Share based Payment Transactions’

The application of AASB 2009-8 makes amendments to AASB 2 ‘Share-based Payment’ to clarify the scope of AASB 2, as well as the accounting for group cash-settled share-based payment transactions in the separate (or individual) financial statements of an entity receiving the goods or services when another group entity or shareholder has the obligation to settle the award. The Authority’s financial statements are not impacted by this amendment.

AASB 2009-10 ‘Amendments to Australian Accounting Standards Classification of Rights Issues’

The application of AASB 2009-10 makes amendments to AASB 132 ‘Financial Instruments: Presentation’ to address the classification of certain rights issues denominated in a foreign currency as either an equity instrument or as a financial liability. To date, the Authority has not entered and it has no legal right to enter into any arrangements that would fall within the scope of the amendments.

AASB 2010-3 ‘Amendments to Australian Accounting Standards arising from the Annual Improvements Project’

The application of AASB 2010-3 makes amendments to AASB 3(2008) ‘Business Combinations’ to clarify that the measurement choice regarding non-controlling interests at the date of acquisition is only available in respect of noncontrolling interests that are present ownership interests and that entitle their holders to a proportionate share of the entity’s net assets in the event of liquidation. All other types of noncontrolling interests are measured at their acquisition-date fair value, unless another measurement basis is required by other Standards. In addition, the application of AASB 2010-3 makes amendments to AASB 3(2008) to give more guidance regarding the accounting for share-based payment awards held by the acquiree’s employees. Specifically, the amendments specify that share-based payment transactions of the acquiree that are not replaced should be measured in accordance with AASB 2 ‘Share-based Payment’ at the acquisition date (‘market-based measure’). This amendment is not applicable to the Authority.

AASB 2010-4 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’

Except for the amendments to AASB 7 and AASB 101 described earlier this section, the application of AASB 2010-4 has not had any material effect on amounts reported in the financial statements.

Interpretation 19 ‘Extinguishing Financial Liabilities with Equity Instruments’

This Interpretation provides guidance regarding the accounting for the extinguishment of a financial liability by the issue of equity instruments. In particular, the equity instruments issued under such arrangements will be measured at their fair value, and any difference between the carrying amount of the financial liability extinguished and the fair value of equity instruments issued will be recognised in profit or loss. This amendment is not applicable to the Authority.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

iii. Standards and Interpretations in issue not yet adopted At the date of authorisation of the financial statements, the Standards and Interpretations listed below were in issue but not yet effective.

Standard/Interpretation

Effective for annual reporting periods beginning on or after

Expected to be initially applied in the financial year ending

AASB 124 ‘Related Party Disclosures’ (revised December 2009), AASB 2009-12 ‘Amendments to Australian Accounting Standards’

1 January 2011

30 June 2012

AASB 9 ‘Financial Instruments’, AASB 2009- 11 ‘Amendments to Australian Accounting Standards arising from AASB 9’ and AASB 2010-7 ‘Amendments to Australian Accounting Standards arising from AASB 9 (December 2010)’

1 January 2013

30 June 2014

AASB 2009-14 ‘Amendments to Australian Interpretation - Prepayments of a Minimum Funding Requirement’

1 January 2011

30 June 2012

AASB 2010-5 ‘Amendments to Australian Accounting Standards’

1 January 2011

30 June 2012

AASB 2010-6 ‘Amendments to Australian Accounting Standards - Disclosures on Transfers of Financial Assets’

1 July 2011

30 June 2012

AASB 2010-8 ‘Amendments to Australian Accounting Standards - Deferred Tax: Recovery of Underlying Assets

1 January 2012

30 June 2013

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

6. DETERMINATION OF FAIR VALUES

7. FINANCIAL RISK MANAGEMENT

A number of accounting policies and disclosures require the determination of fair value, for both financial and non-financial assets and liabilities. Fair values have been determined for measurement and / or disclosure purposes based on the following methods:

The Authority has exposure to the following risks from the use of financial instruments:

(i) Property, plant and equipment The fair value of property, plant and equipment recognised by the Authority was based on market values. The market value of property was the estimated amount for which a property could be exchanged on the date of valuation between a willing buyer and a willing seller in an arm’s length transaction. The market value of items of furniture and fittings is based on the market approach for similar items when available and replacement cost when appropriate. (ii) Investment properties The fair value of investment property recognised by the Authority was based on market values. The market value of property was the estimated amount for which a property could be exchanged on the date of valuation between a willing buyer and a willing seller in an arm’s length transaction. The market value of items of furniture and fittings is based on the market approach for similar items when available and replacement cost when appropriate. (iii) Trade and other receivables The fair value of trade and other receivables is based on the net realisable value after considering any possible risks of impairment. All trade and other receivables, after impairment, are expected to be received within a short period of time and considered as fair values at the date when goods and services were provided. (iv) Trade and other payables Trade and other payables are expected to be paid within a short period of time and were considered as fair values at the date goods and services were acquired. When applicable, further information about the assumptions made in determining fair values are disclosed in the notes specific to the assets or the liability.

• Credit risk • Liquidity risk • Market risk • Operational risk This note presents information about the Authority’s exposure to each of the above risks, their objectives, policies, and processes for measuring and managing risk, and their management of capital. Further quantitative disclosures are included through these consolidated financial statements.

Risk Management framework The Board of Directors has the overall responsibility for the establishment and oversight of the risk management framework. The Chief Executive Officer is responsible for developing and monitoring the overall risk management strategy and policies for the Authority. The Chief Executive Officer is responsible for the establishment and oversight of risk management and reviews the Authority’s activities and assets. The Chief Audit Executive reports to the Audit and Risk Committee, which in turn reports regularly to the Board on its activities. Risk management policies are established to identify and analyse the risks faced by the Authority in setting appropriate risk limits and controls, and to monitor risk and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Authority’s activities. The Authority through the training in and implementation of policies and procedures has developed a disciplined and constructive control environment in which all employees understand their roles and obligations. The Audit and Risk Committee oversees how management monitors compliance with the risk management policies and procedures and reviews the adequacy of the risk management framework in relation to risks faced by the Authority. The Chief Executive in the capacity of the Chief Audit Executive manages the internal audit function by conducting scheduled and ad hoc reviews of risk management control procedures, the results of which are reported to the Audit and Risk Committee.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

The Consolidated entity’s principal financial instruments comprise finance leases, cash and short term deposits. The main purpose of these financial instruments is to fund Consolidated entity’s operations. The Consolidated entity has various other financial instruments such as debtors and trade creditors, which arise directly from its operations. It is, and has been throughout the period under review, the Consolidated entity’s policy that no trading in financial instruments shall be undertaken. The main risks arising from the Consolidated entity’s financial instruments are interest rate risk, liquidity risk and credit risk. The executive reviews and agrees policies for managing each of these risks and they are summarised below.

(a) Credit Risk Credit risk is the risk of financial loss to the Authority if a Authority’s debtor or counterparty to a financial instrument fails to meet its contractual obligations. Credit risk arises from the financial assets of the Authority, including cash, receivables, term deposits and investment in unit trust deposits. In regards to investments in unit trusts, this credit risk is reflected in the unit prices when the underlying securities are marked to market. The maximum exposure to credit risk is generally represented by the carrying amount of the financial assets (net of any allowance for impairment). The Authority has not granted any financial guarantees. (i) Cash Cash comprises cash on hand and bank balances with the Commonwealth Bank of Australia. Interest is earned on daily bank balances at the monthly average cash rate. It is the Authority’s practice to deal with banks of “AAA” ratings recommended by the NSW Government. (ii) Receivables The Authority’s exposure to credit risks is influenced mainly by the individual characteristics of each debtor. The Authority has trade debts and other debts.

• Trade debts All trade debtors including rental debtors are recognised as amounts receivable at balance date. Collectability of trade debtors is reviewed on an ongoing basis from the monthly aged analysis report. The Director of Finance is responsible for the credit control function of all outstanding trade debtors. Debts which are known to be uncollectible are written off. An allowance for impairment is raised when there is objective evidence that the entity will not be able to collect all amounts due. This evidence includes past experience, and current and expected changes in economic conditions. The credit risk is the carrying amount (net of any allowance for impairment). The average credit period extended by the Company on rental payments and on conference activity services is 7 days and by the Authority on conference activity services is 30 days. No interest is charged on the overdue invoices and debtors. Lettable area of the company is leased to new customers who fit the selection criteria and the company also has a policy of collecting 3-6 months rental as bond before the commencement of the lease. The customers in the conference centre normally pay almost 90% of the total event invoice in advance of the event happening. The revenue stream for the Authority mainly consists of collecting contribution levy’s and Government grants against which there can be no doubtful debts. The Authority also earns income from its Training and Employment enterprise segment and the Authority will be subject to doubtful debts from this income stream. However, the amount is not expected to be material. A significant portion of the trade receivables balance is due from General Government entities and the balance is due from Public Trading Enterprises. Included in the Consolidated Entity’s trade receivable balances are debtors which are past due at the reporting date for which the Consolidated Entity has not provided as there has not been significant change in credit quality and the amounts are still considered recoverable. The Consolidated Entity does not hold collateral over these balances. Refer note 12 for details.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

In determining the recoverability of a trade receivable, the Consolidated Entity considers any change in the credit quality of the trade receivable from the date credit was initially granted up to the reporting date. The concentration of credit risk is limited due to the customer base being large and unrelated Included in the allowance for impairments of receivables are individually impaired. Refer note12 for details.

• Other debts The Authority is exposed to various concentrations of credit risk to other debts. These debts were incurred as a result of the payment of minor and advances repayable within in a short period of time. The credit risk is exposed in the monthly aged analysis report. The Director of Finance is responsible for the collectability of debts.

• Loan debts During the 2007-08 year, the Consolidated Entity advanced fit out cost incurred by the company on behalf of Department of Defence. The advance is treated as a loan to Department of Defence at a fixed rate 7.23% and recoverable over the term of the lease period of 10 years. The maturity date is 30 May 2018. The outstanding loan amount at the end of the financial year is disclosed in note 13(b) of the accounts. Management considers that the carrying amount of the loan best represents the maximum credit risk exposure at the balance sheet date and that there is no indication at that date that the counterparty will not meet its obligations. (iii) Investments The Authority has investments with the NSW Treasury Corporation’s Hour-Glass facilities. The investment is represented by a number of units of a management investment pool with each particular pool having different horizons and being comprised of a mix of asset classes appropriate to that investment horizon.

The Authority’s limits its exposure to credit risks by investing unit trusts with NSW Treasury Corporation whose portfolio of investments is within the risk limits disclosed by the NSW Treasury Corporation. NSW Treasury Corporation appoints and monitors the application of appropriate investment guidelines. The value of the investment held can decrease as well as increase depending on market conditions. The value of the above investment represents the company’s share of the value of the underlying assets of the facility, and those assets as stated at net value. These investments are highly liquid and are classified as cash and cash equivalent.

(b) Liquidity Risk Liquidity risk is the risk that the Authority will be unable to meet its payment obligations when they fall due. The Authority continuously manages the risk through monitoring and planning future cash flows and ensure adequate holding of liquid assets. The objective is to maintain a balance between continuity of funding and flexibility through the use of appropriate investment strategies. The liquidity risk that might arise from various classes of financial assets held by the Authority and its management is explained under the credit risk of each class of financial asset. The investment with NSW Treasury Corporation is generally able to be redeemed daily by 11am. During current and prior years, there were no defaults or breaches on any amounts payable to creditors. No assets have been pledged as collateral. The Authority’s exposure to liquidity risk is deemed insignificant based on prior periods’ data and a current assessment of risk. The Authority currently has a loan facility of $47.5m from NSW Treasury Corporation. The loan is unsecured with the floating rate of interest. In May 2010, the Authority’s Board approved commencement of a debt reduction strategy for the floating rate loan facility. The initial repayment of $5m nominated in the strategy was paid to TCorp during the year..

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

The liabilities are recognised for amounts due to be paid in the future for goods or services received, whether or not invoiced. Amounts owing to suppliers (which are unsecured) are settled in accordance with the policy set out in Treasurer’s Direction 219.01. If trade terms are not specified, payment is made no later than the end of the month following the month in which an invoice or a statement is received. Treasurer’s Direction 219.01 allows the Minister to award interest for late payment. No interest was paid during the year.

(c) Market risk Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices will affect the income or value of the holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within in acceptable parameters, while optimising the return. The Authority’s exposures to market risk are as follows: • Growth: the depth and length of the global economic downturn, and its impact on the investments held by the Authority • Systematic risk: liquidity and counterparty risks in financial markets • Lack of Corporate Governance: Universal lack of corporate governance leads to fraud and bankruptcies. The Authority manages its market risk exposure by construction of risk framework that quantifies the risks in the investment strategies and the probable outcomes from the portfolio given different events.

(i) Currency risk The Authority has indirect exposure to foreign currency risk by investing into funds with NSW Treasury Corporation. NSW Treasury Corporation manages the exposure to such risk. (ii) Interest rate risk The Consolidated entity is exposed to interest rate risk as the Authority borrows at floating interest rates from NSW Treasury Corporation and holds its surplus cash in NSW Treasury Corporation’s “Hour-Glass” cash facilities. NSW Treasury Corporation as trustee for the above facility is required to act in the best interest of the unit holders and to administer the trusts in accordance with the trust deeds. As trustee, the NSW Treasury Corporation has appointed external managers to manage the performance and risks of each facility in accordance with a mandate agreed by the parties. At reporting date, if interest rates (on the net cash and investments and borrowings), had been 1 per cent higher and all other variables were held constant, the Authority’s net profit would increase by $280k (2010: increase by $81k). The interest rate risk in respect of corporate card facility is considered to be negligible. (iii) Other price risk Exposure to ‘other price risk’ primarily arises through investments in unit trusts with NSW Treasury Corporation and is managed by the NSW Treasury Corporation. The company is also exposed to price risk based on the demand and supply of lettable area at the Australian Technology Park.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

(d) Operational risk The Authority manages its operational risk as part of the risk management strategy. Operational risk is the direct and indirect losses arising from a wide variety of causes associated with the Authority’s processes, personnel, technology, legal and regulatory requirements and generally accepted standards of corporate behaviour. Operational risk arises from all of the Authority’s operations. The Authority’s objective is to manage operational risk so as to balance the avoidance of financial losses and damages to the Authority’s reputation with overall cost effectiveness and to avoid control procedures that restricts initiative and creativity. The primary responsibility for the development and implementation of controls to address operational risk is assigned to senior management within each business unit. The responsibility is supported by the development of standards, policies and procedures in the following areas: • Requirements for appropriate segregation of duties, including the independent authorisation of transactions • Requirements for the reconciliation and monitoring of transactions • Compliance with regulatory and legal requirements • Documentation of controls and procedures • Requirements for the periodic reporting to senior management, relevant committees and the Board. • Training and professional development • Risk mitigation, including insurance where this is effective.

Compliance with established standards, policies and procedures is supported by a programme of periodic review undertaken by Internal Audit. The results of the internal audit reviews are discussed with management of the business unit to which they relate, with reports submitted to Senior Management, the Audit Committee and the Board. Net fair values of financial assets and liabilities The fair values of financial assets and liabilities are determined in accordance with generally accepted pricing models based on discounted cash flow analysis using prices from observable current market transactions. The carrying amount of financial assets and financial liabilities recorded in the financial statements approximate their net fair values. 6 Capital Management The consolidated entity manages its capital to ensure that entities in the Group will be able to continue as a going concern while maximising the return to stakeholders. The capital structure of the Consolidated entity consists of debt, which includes the borrowing disclosed in Note 21, cash and cash equivalents and retained profits as disclosed in note 23. In May 2010, the Authority’s Board approved commencement of a debt reduction strategy for the floating rate loan facility. The initial repayment of $5m was repaid to NSW Treasury Corporation during the year.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

15,598

14,865

997

7 (a) Revenue from continuing operations: Property and related services income Operating Lease revenue Conference Centre income

4,545

3,929

20,143

18,794

997

10,620

8,635

10,620

8,635

(b) Grants and Contributions NSW Government agencies (c) Other Income Interest revenue Bank deposits

1,121

661

740

302

NSW Treasury Corporation Hour-Glass cash facility

1,956

1,388

491

Loan interest received from subsidiary

3,419

3,146

Finance lease received from subsidiary

298

282

3,077

2,049

4,947

3,827

Sundry Income

(d) Affordable housing plan contributions

1,568

958

1,273

1,540

4,644

3,007

6,220

5,368

6,000

6,600

6,000

6,600

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

3,073

2,594

3,107

2,320

8 (a) Other expenses RWA Administration expenses Subsidiary - ATPSL Conference centre cost of sales

2,153

1,837

Property expenses

3,169

3,109

623

1,009

Repairs and maintenance Cleaning

374

417

Security

721

670

2,528

1,527

Consultants & Contractors Legal

273

462

Other

1,589

539

total other expenses of subsidiary

11,430

9,570

total other expenses

14,503

12,164

3,107

2,320

3,419

3,428

3,419

3,146

3,419

3,428

3,419

3,146

(150)

(b) Finance costs Interest on borrowings carried at amortised cost

(c) Valuation Increment/(decrement) - Changes in fair value of assets Changes in fair value of Land & property Changes in fair value of Investment property Changes in fair value of Other assets

5,250

(18,565)

3,353

(18,682)

(1,750)

3,500

(18,715)

3,353

(18,832)

During the year the investment property and other assets were revalued. The valuation increment of $5.25m (2010: decrement ($18.71m)) for investment properties has been booked into the accounts of the consolidated entity and an increment of $3.53m (2010: decrement ($18.83)) has been booked in the accounts of the Authority after adjusting for straight lining of lease accruals(note 18).

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

Surplus for the year Surplus has been arrived at after charging/ (crediting) the following losses/(gains): Allowance for impairments on receivables Auditor’s remuneration Changes in fair value of investment property Depreciation of property, plant and equipment

(43)

121

(5,250)

18,565

(3,353)

18,832

1,121

1,885

126

1,156

Income Tax Expense Primarily due to their not for profit status, the Authority and the Company are not liable for income tax (refer Note 5(b)).

Cash and Cash Equivalents Cash on hand and at bank Tenant demand deposits NSW Treasury Corp “Hour-glass” cash facility deposits

15,304

11,512

12,638

10,692

485

41,312

40,286

14,931

9,370

57,102

52,283

27,570

20,062

(i) Cash on hand includes an amount of $6.0m received under a voluntary planning agreement and $0.2m as development contributions. This cash can be used only for the purposes specified in the agreement. A separate bank account has been established for this purpose. The $6.0m was received in July 2011. (i) Demand deposits are held with the Commonwealth Bank of Australia and represent money received as bond for the rental space at the Australian Technology Park. This amount will be refunded back to the tenant on the termination of the lease. (ii) The Authority has investments with the NSW Treasury Corporation’s Hour-Glass facilities. The weighted average rate of return on these investments during the year was 5.26% (2010: 4.25%). Investments in Hour-Glass Facility include a $8m payment received from NSW Treasury to prepare for a potential sale of ATP. As no decision has been made by the NSW Government to progress the sale, RWA has invested the money’s in a separate investment to ensure it is not used for other purposes.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

6,736

486

6,193

111

(51)

(21)

(25)

437

407

Receivables Current Trade receivables (i) Allowance for impairments on receivables Interest bearing loan receivable from the subsidiary Other debtors Defined benefit superannuation receivable Goods and Services tax recoverable Accrued Income Prepayments Total trade & other receivables

128

214

6,833

682

6,617

542

(i) Of the total $6,732k (2010: $495k) of the Consolidated Entity’s non interagency trade receivables, $6,384k (2010: $266k) are current with an average of 10 days. Management considers that there are no indications as of the reporting date that the debtors will not meet their payment obligations with one exception and appropriate action is being taken against the relevant customer. f the trade receivables balance at the end of the year, $113k (2010 - $137k) is due from General GovO ernment entities, which makes up 21% (2010 - 35%) of the total balance and $25k (2010 - $4k) is due from Public Trading Enterprises, amounting to 5% of trade receivables balance (2010 - 1%). I ncluded in the Company’s trade receivable balances are debtors with a carrying amount of $418k (2010: $198k) which are past due at the reporting date for which the Company has not provided as there has not been significant change in credit quality and the amounts are still considered recoverable. The Company does not hold collateral over these balances.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

Balance at the beginning of the financial year

Increase/(decrease) in provision for impairment loss

(43)

Receivables (CONTINUED) Movement in allowance for impairments of receivables:

Bad debts written off Balance at the end of the financial year

The Company is confident that all of that debt will be recovered during the year. The Company meets with these debtors on a regular basis to make sure that the debt is paid on time. Where necessary, debtors are placed on a payment plan, and/or prompt formal recovery action is initiated by the Company. Ageing of past due but not impaired Less than 3 months overdue 3 to 6 months overdue later than 6 months overdue

6,500

149

6,086

105

102

6,607

202

6,189

In determining the recoverability of a trade receivable, the Company considers any change in the credit quality of the trade receivable from the date credit was initially granted up to the reporting date. The concentration of credit risk is limited due to the customer base being large and unrelated. Included in the allowance for impairments are trade receivables of $25k broken down by ageing, as follows: Ageing of impaired trade receivables Less than 3 months overdue

3 to 6 months overdue

> 6 months overdue

437

407

3,343

3,780

4,187

Total 13

Loan receivable - Department of Defence Current Non-current

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

5,648

5,350

5,648

5,350

Lease Receivable Non-current lease receivables Finance lease receivables

Finance lease relates to the lease of the Bio-medical Building by the Authority to the Company for a period of 99 years commenced from 30 June 1995. The fair value of the property at the commencement of the lease was $ 7.3 million and finance charges was calculated at 5.49% per annum. The Company does not have the option to purchase the property at the conclusion of the lease agreement. No residual value has been recognised in the books of the Authority at the end of the lease. Finance lease receivables Minimum lease receivables, later than 5 years*

30,525

Less future finance charge

(24,877)

(25,175)

5,648

5,350

Present value of minimum lease receivables

* Minimum future lease receivables includes the aggregate of all lease payments and any guaranteed residual. Disclosures for the consolidated entity/Authority as lessor - operating leases Operating leases relate to the investment property owned by the consolidated entity/Authority referred to in Note 18 to the financial statements. Lease terms range between 3 and 5 years, with options to extend. All operating lease contracts contain market review clauses in the event that the consolidated entity/Authority exercise their option to renew. The lessees do not have the option to purchase the property at the expiry of the lease period. Non-cancellable operating lease receivables Not longer than 1 year

13,877

12,671

Longer than 1 year and not longer than 5 years

41,031

29,611

22,003

33,748

68,225

76,911

76,030

68,225

Longer than 5 years

The consolidated entity/Authority have various operating lease agreements for equipment and other facilities. Most leases contain renewable options. All operating lease contracts contain market review clauses in the event that the consolidated entity/Authority exercise their option to renew. The consolidated entity/Authority do not have an option to purchase the leased assets at the expiry of the lease period.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

Investment in Subsidiary (note 19)

21,465

10 Year fixed interest loan advanced to subsidiary*

3,343

3,780

34,996

39,996

59,804

65,241

Other Financial Assets

Interest-bearing loan advanced to subsidiary*

• Interest-bearing loan advanced to subsidiary are on exactly the same terms as the loans from NSW Treasury Corporation - note 21 16

Property, Plant and Equipment Land and Buildings At Gross value

2,700

(1,150)

1,550

At Gross value

13,694

11,586

616

Accumulated depreciation

(2,092)

(1,495)

(539)

(416)

Carrying amount at fair value

11,602

10,091

200

1,629

1,051

(1,049)

(978)

580

Accumulated depreciation Carrying amount at fair value Leasehold improvements

Furniture and Fittings At Gross value Accumulated depreciation Carrying amount at fair value Plant and equipment At Gross value Accumulated depreciation Carrying amount at fair value

3,171

2,432

(1,992)

(1,586)

(86)

(83)

1,179

846

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

At Gross value

Accumulated depreciation

(6)

Carrying amount at fair value

At Gross value

Accumulated depreciation

Carrying amount at fair value

407

356

(341)

(300)

(5)

200

574

Property, Plant and Equipment (CONTINUED) Motor vehicles

Art and artefacts

Intangible Assets At Gross value Accumulated depreciation Carrying amount at fair value Work in process Total Property Plant and Equipment At Gross value

21,838

18,705

3,420

3,406

Accumulated depreciation

(6,630)

(5,509)

(1,780)

(1,654)

Carrying amount at fair value

15,208

13,195

1,640

1,751

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

17 (a) Reconciliation of Property Plant and Equipment Consolidated Plant & Art and Motor Intangible Work in Leasehold Freehold Furniture Assets progress improvements Land & & fittings Equipment artefacts vehicles Build

Consolidated

$’000

Total

$’000

11,326

2,850

1,052

1,690

330

( 1,020)

( 106)

( 947)

( 1,349)

( 204)

- ( 3,626)

10,306

2,744

105

341

126

22 13,649

At 1 July 2009 Cost or fair value Accumulated Depreciation Net book value

22 17,275

Year ended 30 June 2010 Opening net book amount

10,306

2,744

105

341

126

Revaluations

( 150)

260

742

552

1,581

( 475) ( 1,044)

( 33)

( 237)

( 96)

- ( 1,885)

Additions Depreciation Closing net book value

10,091

1,550

846

574 13,195

11,586

2,700

1,053

2,432

356

574 18,706

( 1,495) ( 1,150)

( 980)

( 1,586)

( 300)

- ( 5,511)

1,550

846

574 13,195

10,091

1,550

846

574 13,195

1,763

577

525

200

3,134

( 574)

At 30 June 2010 Cost or fair value Accumulated Depreciation Net book value

10,091

Year ended 30 June 2011 Opening net book amount Additions Transfer in/(out) Depreciation Closing net book value

345

214

( 597)

( 70)

( 406)

( 6)

( 42)

- ( 1,121)

11,602

1,550

580

1,179

200 15,208

13,694

2,700

1,630

3,171

408

200 21,840

( 2,092) ( 1,150) ( 1,050)

( 1,992)

( 6)

( 342)

- ( 6,632)

1,179

200 15,208

At 30 June 2011 Cost or fair value Accumulated Depreciation Net book value

11,602

1,550

580

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

17 (b) Reconciliation of Property Plant and Equipment RWA Plant & Art and Motor Intangible Work in Leasehold Freehold Furniture Assets progress improvements Land & & fittings Equipment artefacts vehicles Build

At 1 July 2009

$’000

565

2,850

3,509

( 301)

( 106)

( 87)

( 4)

( 498)

264

2,744

3,011

264

2,744

3,011

( 150)

( 5)

( 115) ( 1,044)

Cost or fair value Accumulated Depreciation

Total

Net book value Year ended 30 June 2010 Opening net book value Revaluation Additions Depreciation Closing net book value

- ( 1,156)

200

1,550

1,751

616

2,700

3,405

( 416) ( 1,150)

( 83)

( 5)

At 30 June 2010 Cost or fair value Accumulated Depreciation Net book value

- ( 1,654)

200

1,550

1,751

Opening net book value

200

1,550

1,751

Revaluation

Year ended 30 June 2011

Additions Depreciation Closing net book value

( 123)

( 3)

( 126)

1,550

1,640

616

2,700

3,420

( 539) ( 1,150)

( 86)

( 5)

At 30 June 2011 Cost or fair value Accumulated Depreciation Net book value

1,550

- ( 1,780) -

1,640

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

158,500

176,825

94,500

112,185

18 (a) Investment Property Balance at beginning of the financial year Net gain/(loss) from fair value adjustment * Balance at the end of financial year

5,250

(18,325)

4,350

(17,685)

163,750

158,500

98,850

94,500

18 (b) Other Non current assets Balance at beginning of the financial year Net gain/(loss) from fair value adjustment * Balance at the end of financial year

9,625

(1,750)

7,875

9,625

997

5,250

(18,325)

3,353

(18,682)

5,250

(18,325)

4,350

(17,685)

* Net gain/(loss) from fair value adjustment comprised of: Amount recognised as lease income on a straight line basis Balance amount of gain/(loss) disclosed as fair value adjustment

In 2009 the company received as part of a transaction for the lease of land to Channel 7 the “right to receive car park revenue” in respect of 350 car spaces at Lot 101, Everleigh, NSW. This right is considered as an asset. The value of the consideration at the time of recognition was independently measured at fair value based on projected income by Preston Rowe Paterson (PRP) independent valuers not related to the company. The right is saleable to a third party and is subject to market fluctuation. The company is currently earning car parking income using the right in a manner similar to that of other investment properties. Therefore, the primary purpose for holding this right is to earn income and for capital appreciation. Even though, the characteristic of the asset is of investment nature, it does not properly fit into the current accounting standards as investment property. The “right to receive car park revenue”, is therefore disclosed in the Statement of Financial Position as an “Other Non Current” asset. As of 31 May 2011, PRP determined the value of the right to be $7.875 million, and the asset was written down from $9.625 to $7.875 million to maintain a fair value as of 30 June 2011. When the asset was recognised in 2009, the company created a similar amount as deferred income as a liability in the Statement of Financial Position. This amount represented the present value of future minimum lease payments and is amortised on a straight-line basis over the period of right to earn income. The effect of the recognition of this unique transaction as an asset and deferred income liability may appear to be not consistent with current Australian Accounting Standards. Notwithstanding this the company believes that non-disclosure of the asset and deferred income liability would not reflect the substance of the transaction may mislead a reader as to the true and fair value of the entity. PRP are members of the Australian Institute of Valuers, and they have the appropriate qualifications and recent experience in the valuation of properties in the Redfern-Waterloo area. The valuation, which conforms to Australian Valuation Standards, was arrived at by reference to market evidence of transaction prices for similar properties.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

Trade and other payables Current trade & other payables Accrued salaries, wages and on-costs Trade payables (i) Intercompany and interagency balances Event and Tenant deposits Lease Incentive Deferred Income Other Payables

3,301

3,522

854

293

811

1,249

966

217

193

4,798

4,701

951

1,108

(i) The average credit period on purchase of services is 30 days. No interest has been paid in the current year. The Consolidated entity has financial risk management policies in place to ensure that all payables are paid within the credit timeframe. 20

Provisions Employee benefits and related on-costs Current Recreation leave

300

439

Long Service leave

236

415

535

854

170

117

257

189

792

1,043

1,079

(41)

(1,038)

490

1,282

1,084

Non-Current Defined Superannuation Benefits Plan Long Service leave

Total employee benefits Provision - remediation costs - current carrying amount at start of year unused amounts reversed amounts used during the year remediation costs Provision for Council rates Total provisions

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

407

3,373

3,780

3,373

3,780

34,996

39,996

34,996

39,996

38,369

43,776

38,369

43,776

Borrowings Current 10 Year fixed interest loan from NSW Treasury Corporation

Non-Current 10 Year fixed interest loan from NSW Treasury Corporation Floating rate Borrowings from NSW Treasury Corporation Finance lease liability

Borrowings from NSW Treasury Corporation are unsecured and currently bear interest at 4.9 % (2009: 3.8 %) per annum. The borrowings are currently at a floating rate. The total loan facility is for $47.5m. In May 2010, the Authority’s Board approved commencement of a discretionary debt reduction strategy for the floating rate loan facility. Since then the Board has approved for a $5m debt repayment to be made annually. An initial payment of $5m was made in February 2011. The 10 year fixed interest rate loan relates to the fitout costs recoverable from the Department of Defence over the term of the lease (refer note 8(ii)). 22

Deferred lease revenue Current

109

Non-current

9,297

9,403

Total deferred lease revenue

9,406

9,512

178,992

186,940

142,156

152,028

Accumulated funds Balance at the beginning of year Prior Year adjustment Total comprehensive income for the year Balance at end of financial year

(2,566)

(3,270)

21,295

(5,382)

18,247

(6,602)

200,286

178,992

160,402

142,156

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Subsidiaries Name of entity

Country of Incorporation

2011

2010

Australian Technology Park Sydney Limited

Australia, NSW

100

The Office of Redfern-Waterloo Authority

Australia, NSW

The Company is incorporated in Australia and is responsible for the day-to-day management of the Australian Technology Park located at Eveleigh in Sydney, NSW. The Company also provides financial services to the Authority on a contracted fee-for-services basis. The Office is a division of the Government Service and provides personnel services to the Authority. 25

Notes to the Statement of Cash flows (a) Reconciliation of Statement of cash flows For the purposes of the cash flow statement, cash includes cash on hand and in banks and liquid investment in NSW Treasury Corporation “Hour-Glass” cash facility. Cash at the end of the financial year as shown in the Statement of cash flows is reconciled to the related items in the Statement of financial positions as follows:

Cash and cash equivalents (Note 11)

Consolidated

RWA

2011

2010

2011

2010

$’000

57,102

52,283

27,570

20,062

(b) Reconciliation of surplus/(deficit) for the year to net cash from operating activities Surplus/(deficit) for the year from continuing operations

21,356

( 5,349)

18,248

( 6,602)

Depreciation of property, plant and equipment

1,121

1,885

126

1,156

Amortisation of deffered revenue

(109)

( 109)

(3,500)

18,715

(3,353)

18,832

(1,295)

( 997)

( 43)

( 283)

(6,181)

(6,075)

462

(Decrease)/Increase in trade and other payables and provisions

236

524

(158)

Net cash flows from operating activities

12,953

15,676

7,493

12,624

Changes in fair value of assets Straight-line of operating lease income on land Allowance for impairments on receivables Unwinding of discount on finance lease receivable from subsidiary Decrease/(Increase) in trade and other receivables

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Consolidated

RWA

2011

2010

2011

2010

$’000

1,076

Commitments for Expenditure Capital Commitments Aggregate capital expenditure for the acquisition of property, plant and equipment contracted for at balance date and not provided for: Payable within one year (inclusive of GST)

3,927

The commitments arising within the Controlled Entity, include GST of 324.5k (2010: $98k), which is expected to be recovered from the Australian Taxation Office. 27

Contingent Liabilities The controlled entity Australian Technological Park Sydney Limited is seeking confirmation of its existing tax and rates exemptions from the relevant Authorities. Until the outcome of these matters is known, there is uncertainty relating to the extent to which liabilities for rates and taxes, if any, should be recognised in the consolidated financial statements.

Financial instruments The Authority's principal financial instruments, and the main risks associated with them, are outlined below. The financial instruments arise directly from the Authority's trading activities and operations. The Authority does not enter into or trade in financial instruments for speculative purposes. Financial instrument categories Financial assets Cash & deposits

15,789

11,997

12,638

10,692

NSW Treasury Corp “Hour-glass” cash facility deposits

41,312

40,286

14,931

9,370

6,833

682

6,617

542

21,465

Trade & other receivables Investment in subsidiary Loans receivable

3,780

4,187

38,339

43,776

67,715

57,151

93,991

85,845

4,798

4,701

951

1,108

38,776

44,183

38,776

44,183

43,574

48,883

39,727

45,291

Financial liabilities Trade & other payables Borrowings

The following tables detail the Authority and the Consolidated entity’s remaining contractual maturity for its financial liabilities. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Authority and the Consolidated entity can be required to pay. The table includes both interest and principal cash flows and spot rates at the year-end have been used to project interest payments in respect of the variable rate loans.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Weighted average effective interest rate

less than 1 year

1-5 Years

5+ years

$000

Consolidated 2011

4,798

Fixed rate loan from the Treasury Corporation

Non interest bearing trade payables

7.24%

437

2,100

1,243

Variable rate loan from the Treasury Corporation

4.99%

34,996

5,235

2,100

36,239

2010 Non interest bearing trade payables

4,701

Fixed rate loan from the Treasury Corporation

7.24%

696

Variable rate loan from the Treasury Corporation

3.81%

0 2,088

2,726

40,107

5,397

2,088

42,833

951

Fixed rate loan from the Treasury Corporation

7.24%

437

2,100

1,243

Variable rate loan from the Treasury Corporation

4.99%

34,996

1,388

2,100

36,239

Authority 2011 Non interest bearing trade payables

2010 -

1,105

Fixed rate loan from the Treasury Corporation

Non interest bearing trade payables

7.24%

696

2,088

2,726

Variable rate loan from the Treasury Corporation

3.81%

40,107

1,801

2,088

42,833

As disclosed in note 21, an arrangement is in place between the parent and the NSW Treasury Corporation to refinance the loan in June 2010 over 25 years either at fixed interest or a floating interest rate. The 10 year fixed interest rate loan pertains to the fitout costs recoverable from the Department of Defence over the term of the lease (refer note 15)

(f) Net fair values of financial assets and liabilities The fair values of financial assets and liabilities are determined in accordance with generally accepted pricing modelsbased on discounted cash flow analysis using prices from observable current market transactions. The carrying amount of financial assets and financial liabilities recorded in the financial statements approximate their net fair values.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Defined benefit Superannuation Funds Accounting Policy Actuarial gains and losses are recognised immediately in other comprehensive income in the year in which it occurs. Fund information • The Pooled Fund holds in trust the investments of the closed NSW public sector superannuation schemes: • • State Authorities Superannuation Scheme (SASS) • • State Superannuation Scheme (SSS) • • Police Superannuation Scheme (PSS) • • State Authorities Non-contributory Superannuation Scheme (SANCS). These schemes are all defined benefit schemes - at least a component of the final benefit is derived from a multiple of member salary and years of membership. All these schemes are now closed to members

Superannuation Funds (a) Defined Benefit Scheme as at 30 June (AASB 119 Employee Benefits) 2011

SASS

SANCS

SSS

Total

Member numbers: Contributors

Deferred benefits

Pensioners

Pensions fully commuted

$ ‘000

146

229

Estimated reserve account balance

(24)

(35)

(59)

111

170

Future Service Liability (Note 1)

(13)

(49)

(62)

111

170

Superannuation Position for AASB 119 purposes: Accrued liability

Surplus in excess of recovery available from schemes Net liability recognised in statement of financial position

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

2010

SASS

SANCS

SSS

Total

Contributors

Deferred benefits

Member numbers:

Pensioners

Pensions fully commuted

$ ‘000

292

248

540

(238)

(146)

(385)

101

156

(56)

(150)

(205)

Superannuation Position for AASB 119 purposes: Accrued liability Estimated reserve account balance

Surplus in excess of recovery available from schemes

Future Service Liability (Note 1)

101

156

Net liability recognised in statement of financial position

101

156

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Defined benefit Superannuation Funds (CONTINUED) (b) Reconciliation of the present value of the defined benefit obligation:

Present value of partly funded defined benefit obligations at the beginning of the year Current service cost Interest cost Contribution by Fund participants Actuarial (gains)/losses Benefits paid

SASS

SANCS

SSS

$ ‘000

292

248

(18)

(219)

(122)

Past service cost

Curtailments

Settlements

Business combinations

Exchange rate changes

146

Present value of partly funded defined benefit obligations at the end of the year

Present value of partly funded defined benefit obligations at the beginning of the year

SASS

SANCS

SSS

$ ‘000

110

Current service cost

Interest cost

Contribution by Fund participants Actuarial (gains)/losses Benefits paid

156

114

Past service cost

Curtailments

Settlements

Business combinations

Exchange rate changes

292

248

Present value of partly funded defined benefit obligations at the end of the year

Note: The Future Service Liability (FSL) does not have to be recognised by an employer. It is only used to determine if an asset ceiling limit should be imposed (AASB 119, para 58). Under AASB 119, any prepaid superannuation asset recognised cannot exceed the total of any unrecognised past service cost and the present value of any economic benefits that may be available in the form of refunds from the plan or reductions in future contributions to the plan. Where the “surplus in excess of recovery” is zero, no asset ceiling limit is imposed.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

SASS

SANCS

SSS

$ ‘000

238

146

Actuarial gains/(losses)

(68)

(6)

Employer contributions

2011

Fair value of fund assets at beginning of year Expected return on fund assets

Contributions by Fund particpants

(219)

(122)

Settlements

Benefits paid

Business combinations

Exchange rate changes

Fair value of Fund assets at end of the year

2010

Fair value of fund assets at beginning of year Expected return on fund assets

SASS

SANCS

SSS

$ ‘000

Actuarial gains/(losses)

(4)

Employer contributions

Contributions by Fund particpants

156

114

Settlements

Business combinations

238

146

Benefits paid

Exchange rate changes

Fair value of Fund assets at end of year

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Defined benefit Superannuation Funds (CONTINUED) (d) Reconciliation of assets & liabilities recognised in Statement of financial position 2011

Present value of partly funded defined benefit obligation at end of year Fair value of fund assets at end of year Sub-total

SASS

SANCS

SSS

$ ‘000

146

(24)

(35)

111

Unrecognised past service cost

Unrecognised gain/(loss)

SASS

SANCS

SSS

$ ‘000

292

247

(238)

(146)

2010

Present value of partly funded defined benefit obligation at end of year Fair value of fund assets at end of year Sub-total

101

Unrecognised past service cost

Unrecognised gain/(loss)

101

Adjustment for limitation on net asset

Net Liability recognised in statement of financial position at end of year

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

(e) Expense recognised in statement of comprehensive income 2011

SASS

SANCS

SSS

$ ‘000

Components recognised in Statement of comprehensive Income Current service cost Interest cost Expected return on Fund assets (net of expenses)

(20)

(13)

Actuarial losses/(gains) recognised in year

Past service cost

Movement in adjustment for limitation on net asset

Expense/(income) recognised

Curtailment or settlement (gain)/loss

SASS

SANCS

SSS

2010

$ ‘000

Components recognised in Statement of comprehensive Income Current service cost

Interest cost

(2)

(3)

Expected return on Fund assets (net of expenses) Actuarial losses/(gains) recognised in year

Past service cost

Movement in adjustment for limitation on net asset

Curtailment or settlement (gain)/loss

Expense/(income) recognised (f) Amounts recognised in other comprehensive income 2011 Actuarial losses/(gains) recognised in year Adjustment for limit on net asset

2010 Actuarial losses/(gains) recognised in year Adjustment for limit on net asset

SASS

SANCS

SSS

$ ‘000

SASS

SANCS

SSS

$ ‘000

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Defined benefit Superannuation Funds (CONTINUED) (g) Fund assets Percentage of funds invested in each asset class at end of the year:

30-Jun-11

30-Jun-10

Australian equities

33.4%

31.0%

Overseas equities

29.5%

26.8%

Australian fixed interest securities

5.7%

6.1%

Overseas fixed interest securities

3.1%

4.3%

Property

9.9%

9.5%

Cash

5.1%

9.6%

Other

13.3%

12.7%

Fair value of fund assets All funds are invested by STC at arm’s length through independent fund managers. Expected rate of return The expected return on assets assumption is determined by weighting the expected long-term return for each asset class by the target allocation of assets to each class. The returns used for each class are net of investment tax and investment fees.

(h) Actual return on Fund assets SASS

SANCS

SSS

$ ‘000

Financial year ended 30 June 2011

Financial year ended 30 June 2010

(4)

(1)

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Valuation method and principal actuarial assumptions at the balance sheet date {AASB 119 - paragraph 120A(n)}

a) Valuation Method The Projected Unit Credit (PUC) valuation method was used to determine the present value of the defined benefit obligations and the related current service costs. This method sees each period of service as giving rise to an additional unit of benefit entitlement and measures each unit separately to build up the final obligation.

b) Economic Assumptions as at 30 June

2011

2010

Salary increase rate (excluding promotional increases)

3.5% pa

Rate of CPI Increase

2.5% pa

8.60%

8.6%

2.5% pa

5.28% pa

5.2%

Expected rate of return on assets Expected rate of return on assets backing other liabilities Discount rate

c) Demographic Assumptions The demographic assumptions at 30 June 2010 are those that will be used in the 2010 triennial actuarial valuation. The triennial review report will be available from the NSW Treasury website.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Defined benefit Superannuation Funds (CONTINUED) (i) Historical Information 2011

Present value of defined benefit obligations Fair value of Fund assets (Surplus)/deficit in fund Experience adjustments - Fund liabilities Experience adjustments - Fund assets

SASS

SANCS

SSS

$ ‘000

146

(24)

(35)

111

(18)

SASS

SANCS

SSS

$ ‘000

293

248

(238)

(146)

(Surplus)/deficit in fund

101

Experience adjustments - Fund liabilities

(51)

2010

Present value of defined benefit obligations Fair value of Fund assets

Experience adjustments - Fund assets

SASS

SANCS

SSS

$ ‘000

110

(26)

(31)

Experience adjustments - Fund liabilities

(79)

Experience adjustments - Fund assets

231

2009

Present value of defined benefit obligations Fair value of Fund assets (Surplus)/deficit in fund

2008

Present value of defined benefit obligations Fair value of Fund assets

SASS

SANCS

SSS

$ ‘000

465

143

(464)

(114)

(Surplus)/deficit in fund

Adjustment for limitation on net assets

Fair value of Fund assets

(308)

(112)

(Surplus)/deficit in fund

(252)

(31)

223

2007

Present value of defined benefit obligations

Experience adjustments - Fund assets

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

(j) Expected contributions

SASS

SANCS

SSS

$ ‘000

2011 to be paid in next reporting period 2010 to be paid in next reporting period

(ii) SASS Contributors - the number of SASS contributors expected in any one year (out of 10,000 members), at the ages shown, to leave the fund as a result of death, disability, resignation, retirement and redundancy. Promotional salary increase rates are also shown. (iii) SSS Contributors - the number of SSS contributors expected in any one year (out of 10,000 members), at the ages shown, to leave the fund as a result of death, disability, resignation, retirement and preservation. Promotional salary increase rates are also shown. (iv) SSS Commutation - the proportion of SSS members assumed to commute their pension to a lump sum in any one year. (v) SSS Pensioner Mortality - assumed mortality rates (in 2006/2007) for SSS pensioners (separately for normal retirement/spouses and invalidity) (vi) SSS Pensioner Mortality Improvements - per annum assumed rates of mortality improvement for SSS pensioners

(k) Valuation method and principal actuarial assumptions at the balance sheet date i) Valuation Method The Projected Unit Credit (PUC) valuation method was used to determine the present value of the defined benefit obligations and the related current service costs. This method sees each period of service as giving rise to an additional unit of benefit entitlement and measures each unit separately to build up the final obligation. ii) Economic Assumptions

(a) Surplus/deficit The following is a summary of the 30 June 2011 financial position of the Fund calculated in accordance with AAS 25

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Defined benefit Superannuation Funds (CONTINUED) (k) Valuation method and principal actuarial assumptions at the balance sheet date SASS

SANCS

SSS

2011

$ ‘000

136

Net market value of Fund assets

(24)

(35)

101

SASS

SANCS

SSS

2010

$ ‘000

261

217

Net market value of Fund assets

(238)

(146)

SASS

SANCS

SSS

Accrued benefits

Net (surplus)/deficit

Accrued benefits

Net (surplus)/deficit (l) Contribution recommendations Recommended contribution rates for the entity are:

multiple of % member multiple of member salary member contributions contributions

2011

1.90

2.50

2010

1.90

2.50

(c) Funding method Contribution rates are set after discussions between the employer, STC and NSW Treasury. (d) Economic assumptions The economic assumptions adopted for the 2010 actuarial review of the Fund are: Weighted-Average Assumptions

30-Jun-11

30-Jun-10

Expected rate of return on Fund assets backing current pension liabilities

8.3% pa

Expected rate of return on Fund assets backing other liabilities

7.3% pa

Expected salary increase rate

4.0% pa

Expected rate of CPI increase

2.5% pa

Nature of asset/liability If a surplus exists in the employer’s interest in the Fund, the employer may be able to take advantage of it in the form of a reduction in the required contribution rate, depending on the advice of the Fund’s actuary. Where a deficiency exists, the employer is responsible for any difference between the employer’s share of Fund assets and the defined benefit obligation.

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Events after the balance date On 5 September 2011 the New South Wales Government has approved the winding up of Redfern Waterloo Authority. When wound up, all assets and liabilities, rights and obligations will be transferred to the Sydney Metropolitan Authority. This will also lead to winding up of Office of Redfern Waterloo Authority and transfer all employees to the Office Sydney Metropolitan Authority.

Prior year adjustment The company has identified the following prior period errors and the necessary corrections have been made as required by AASB 108 Accounting Policies, Changes in Accounting Estimates and Errors as following: â&#x20AC;˘ The amount of the correction for each financial line affected. â&#x20AC;˘ The amount of the correction at the beginning of the earliest prior period presented. a) In 2008-09, the controlled entity received the right to use 350 car park spaces valued at $9.63 million under an operating lease in a commercial development agreement. This was recognised as leasehold improvements with a corresponding deferred lease revenue liability. As part of review of leases during the year, it was identified that the recognition of asset as leasehold improvements was not consistent with the accounting standards. The entity reclassified as Other assets. b) As part of the review of leases during the year, the Authority identified that the lease incentive asset was not excluded from the fair value assessment of investment property as required in Australian Accounting Standards (AASB140.50c). The Controlled Entity has corrected this error by transferring the lease receivable asset to accumulated funds. In addition the Authority has corrected the error of recognising operating lease receivable by transferring the lease receivable asset to accumulated funds. c) The review of leases also identified an incorrect land value was applied in the computation of lease receivable on a straight-line method. A land value of $17.3 million instead of $25.0 million was used. As a result of this, the Authority corrected the lease receivable balance in the Statement of Comprehensive Income. d) In 2009- 10 financial year, an error of $ 773,000 was made by overstating the creditors in the consolidated entity due to incorrect elimination of transactions between the Authority and the Company. The error was corrected in the comparative period.

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Prior year adjustment (CONTINUED) (a) Correction of a Prior period error in the consolidated entity 30 June 2010 Comparative year Financial Statement Line Item -Statement of Comprehensive Income

Actual 2010

Correction of Error

Restated Actual 2010

Note

$’000

Other expenses

(d)

(12,937)

773

(12,164)

Depreciation and amortisation

(a)

(1,997)

113

(1,884)

Valuation decrement

(b)

(18,475)

(240)

(18,715)

(43,031)

646

(42,385)

Surplus/(deficit) for the year

Total expenditure

(5,995)

646

(5,349)

Total comprehensive income/(deficit) for the year

(6,028)

646

(5,382)

Financial Statement Line ItemStatement of Financial Position

Actual 2010

Correction of Error

Restated Actual 2010

$’000

540

(540)

53,912

(540)

53,372

Lease incentive asset

(b)

Total current assets Other Assets

(a)

9,625

Property, plant and equipment

(a)

22,708

(9,513)

13,195

Lease incentive asset

(b)

2,265

(2,265)

Total non-current assets Total assets

187,253

(2,153)

185,100

241,165

(2,693)

238,472

5,474

(773)

4,701

6,885

(773)

6,112

60,253

(773)

59,480

180,912

(1,920)

178,992

180,912

(1,920)

178,992

180,912

(1,920)

178,992

LIABILITIES Current liabilities Trade and other payables

(d)

Total current liabilities Total liabilities Net assets EQUITY Accumulated funds Total equity

(a),(b)&(d)

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Financial Statement Line Item in Statement of Changes in Equity

Actual 2010

Correction of Error

Restated Actual 2010

$’000

Total comprehensive deficit for the year

(a),(d)&(b)

(6,028)

646

(5,382)

Accumulated funds balance

(a),(b)&(d)

186,940

(2,566)

184,374

180,912

(1,920)

178,992

Actual 2010

Correction of Error

Restated Actual 2010

$’000

470

(470)

Balance of equity at the end of year Financial Statement Line ItemStatement of Financial Position

Note

30 June 2009 Comparative year Opening Balances Lease incentive asset

(b)

40,060

(470)

39,590

Other Assets

Total current assets

(a)

9,625

Property, plant and equipment

(a)

23,274

(9,625)

13,649

Lease incentive asset

(b)

2,095

(2,095)

206,380

(2,095)

204,285

Total assets

246,440

(2,565)

243,875

Net Assets

186,940

(2,565)

184,375

186,940

(2,565)

184,375

Total non-current assets

Equity

a&b

Redfern-Waterloo Authority

Redfern-Waterloo Authority Financials

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Prior year adjustment (CONTINUED) (b) Correction of a Prior period error in RWA 30 June 2010 Comparative year Financial Statement Line Item -Statement of Comprehensive Income

Note

Actual 2010

Correction of Error

Restated Actual 2010

766

231

997

Operating Lease Sales and Services Income

766

231

997

21,369

231

21,600

(17,835)

(997)

(18,832)

(27,205)

(997)

(28,202)

(5,836)

(766)

(6,602)

(5,836)

(766)

(6,602)

4,037

(4,037)

9,387

(4,037)

5,350

170,879

(4,037)

166,842

Total Assets

191,485

(4,037)

187,448

Net Assets

146,193

(4,037)

142,156

146,193

(4,037)

142,156

Actual 2010

Correction of Error

Restated Actual 2010

$’000

(5,836)

(766)

(6,602)

(b)

152,028

(3,270)

148,758

b &c

146,192

(4,036)

142,156

Total Income

Valuation Decrement Investment Property Total Expenditure

Deficit for the year Total Comprehensive Income for the Year Financial Statement Line Item -Statement of Financial Position Lease Receivable

(b)

Operating lease receivables Lease Receivables Total Non Current Asset

Equity Accumulated Fund Financial Statement Line Item in Statement of Changes in Equity Total comprehensive deficit for the year Accumulated funds balance Balance of equity at the end of year

2010-2011 Annual Report

NOTES TO THE FINANCIAL STATEMENTS For the year ended 30 June 2011

Note

Actual 2010

Correction of Error

Restated Actual 2010

$’000

3,270

(3,270)

8,338

(3,270)

5,068

Financial Statement Line Item-Statement of Financial Position Operating lease receivables

(b)

Lease Receivables Total Non Current Asset

189,181

(3,270)

185,911

Total Assets

197,641

(3,270)

194,371

Net Assets

152,028

(3,270)

148,758

152,028

(3,270)

148,758

Equity Accumulated Fund

(b)

END OF AUDITED FINANCIAL STATEMENTS

Redfern-Waterloo Authority

Appendices

CHARTER The RWA was formed under the Redfern-Waterloo Authority Act 2004. CHIEF AND SENIOR EXECUTIVE OFFICER Mr Roy Wakelin-King was Chief and Senior Executive Officer with the RWA during the 2010-2011 Financial Year. Chief Executive Officer - Roy Wakelin-King

SES Level 7 $342,317

STAFF NUMBERS BY EMPLOYMENT BASIS AS AT 30 JUNE 2011

Permanent

Temporary

Full-Time

Part-Time

Casual

Staff %

50%

67%

33%

Men

Women

Aboriginal person or Torres Strait Islander

Person with a disability

Person from a racial, ethnic or ethno-religious Minority group

People whose first language is not English

Men

Women

Total

<$39,670

$39,670 - $63,781

$63,782 - $86,498

$86,499 - $98,159

$98,160 - $119,149

>$119,120 (non SES)

STAFF NUMBERS BY LEVEL

2010-2011 Annual Report

STAFF NUMBERS BY EMPLOYMENT BASIS AS AT 30 JUNE 2010

Permanent

Temporary

Full-Time

Part-Time

Casual

Staff %

68%

27%

95%

Men

Women

Aboriginal person or Torres Strait Islander

Person with a disability

Person from a racial, ethnic or ethno-religious Minority group

People whose first language is not English

STAFF NUMBERS BY LEVEL

Men

Women

Total

$60,584 - $78,345

$78,346 - $97,932

>$97,932

>$97,932 (SES)

STAFF NUMBERS BY EMPLOYMENT BASIS AS AT 30 JUNE 2009

Permanent

Temporary

Full-Time

Part-Time

Casual

Staff %

75%

25%

83%

17%

Men

Women

Aboriginal person or Torres Strait Islander

Person with a disability

Person from a racial, ethnic or ethno-religious Minority group

People whose first language is not English

STAFF NUMBERS BY LEVEL

Men

Women

Total

$46,320 - $51,783

$51,784 - $65,526

$65,527 - $84,737

$84,738 - $105,923

$ - $105,923 (non SES)

$ - $105,923 (SES)

Redfern-Waterloo Authority

Appendices

LEGISLATIVE CHANGES Nil to report.

GOVERNMENT INFORMATION PUBLIC ACCESS (GIPA) ACT 2009

Nil to report

On 1 July 2010 the Government Information Public Access (GIPA) Act 2009, a new right to information legislation, came into effect. This replaces the former Freedom of Information Act 1989.

RESEARCH AND DEVELOPMENT

The new law:

Nil to report.

â&#x20AC;˘ Creates new rights to information that are designed to meet community expectations of more open and transparent government; and

OVERSEAS TRAVEL & CORPORATE CREDIT CARDS

PAYMENT OF ACCOUNTS All agreed accounts were settled in a timely manner. CORPORATE SERVICES Finance, accounting services were provided to RWA by the finance division of the Australian Technology Park. RISK MANAGEMENT The RWA has a Business Risk Map of its operations. The primary objective of the Business Risk Map is to coordinate risk management activities within the RWA to ensure the activity is focused on areas of greatest risk and is also used by Business Audit to derive its strategic audit plan. The RWA is a member of the NSW Treasury Managed Fund (TMF) which provides insurable risk protection. The RWA, their employees and volunteers are fully covered for their legal liability, for workers compensation, motor vehicles, public liability, property loss/damage and other insurances in accordance with the TMF Contract of Coverage. RWA have assigned fire wardens who attended training throughout the year and all staff participated in emergency evacuation drills. No OH&S incidents have arisen.

â&#x20AC;˘ Encourages government agencies to proactively release government information. During the reporting period, no requests were made to the RWA under the GIPA Act. In the previous financial year no requests were received under the Freedom of Information Act. In the same period, no major issues arose, and there were no investigations or applications for review submitted. Members of the public may contact the RWA and ask for information. This is known as an informal request. RWA may release information informally, subject to any reasonable conditions. Please note that copy charges apply ($1.10 per A4 sheet). Application for formal access to RWA information under the GIPA Act can be made by lodging a formal Access Application Form, along with a $30 application fee. Processing charges cost $30 per hour after the first hour. An internal review of a reviewable decision costs $40. Applicants should be precise about the information they want to access so as to enable the correct information to be identified. Applications should be directed to: Right for Information Officer Redfern-Waterloo Authority PO Box 3332 Redfern NSW 2016

2010-2011 Annual Report

CONSULTANTS GREATER THAN $50,000 The following consultants were engaged during the 2010-2011 financial year. Consultant

Project

Cost

LFA (Pacific Pty Ltd

Draft Built Environment Plan Stage 2

$124, 613

3D Projects

Draft Built Environment Plan Stage 2

$89, 879

Yaama Barrgay Pty Ltd

Training

$84,876

Mediate Today

Draft Built Environment Plan Stage 2

$72,627

SK Design

Planning Services

$54,683

Cred Community Planning

Draft Built Environment Plan Stage 2

$50,027

CONSULTANTS LESS THAN $50,000 Twenty Management Services consultants were engaged costing a total of $300,681. One Environment consultant was engaged costing a total of $8,100. One Training consultant was engaged costing a total of $8,354. One Finance and Accounting/Tax consultant was engaged costing a total of $25,588. LAND DISPOSAL

EQUAL EMPLOYMENT OPPORTUNITY POLICY (EEO) The Authority supports and is dedicated to the principles of the EEO including: • Fair practices in the workplace; • Management decisions made without bias; • R ecognition of and respect for the social and cultural backgrounds of all staff and clients; • E mployment practices which produce staff satisfaction, job commitment and quality client service; and

There were no land disposals for the year ended 30 June 2011.

• Improved productivity.

PLANS, POLICIES AND PROCEDURES

The RWA also has a policy for the Action Plan for Women along with an Aboriginal and Torres Strait Islander Employment Strategy.

CODE OF CONDUCT The RWA has its own Code of Conduct which was developed in accordance with the principles of ethical and responsible decision-making and embodies the public sector values of respect for the law, the system of Government, the community and its persons, integrity, diligence, economy and efficiency, and accountability. The Authority’s Code of Conduct applies to all employees of RWA and other persons engaged to do work of the Authority. The Code of Conduct conveys the standards of behaviour expected from staff which are based around the four principles of: • Respect for the law and system of government; • Respect for people; • Act with honesty and integrity; and • Efficient and economic use of Authority resources.

DISABILITY ACCESS POLICY The RWA complies with the NSW Government Disability framework through its Disability Access Policy. This provides a process for the RWA to better meet the needs of staff and the community in relation to persons with a disability. The RWA is committed to ensuring all people have reasonable access to the resources and spaces governed by the Authority. ETHNIC AFFAIRS PRIORITY STATEMENT The RWA recognises and values the different linguistic, religious, racial and ethnic backgrounds of all the people of NSW and endorses the four principles of multiculturalism as set out in the Community Relations Commission and principles of the Multicultural Act 2000. Towards this objective, the RWA will develop and implement policies sensitive to the needs of all staff and clients and ensure that its Boards and Committees reflect the multiculturalism of the community.

Redfern-Waterloo Authority

Appendices

NSW GOVERNMENT ACTION PLAN FOR WOMEN The RWA supports the NSW Government Action Plan for Women and promotes workplaces that are equitable, safe and responsive to all aspects of women’s lives. It will also promote the position of women in all areas of society as well as access to and successful outcomes for women in all parts of the education and training system. OCCUPATIONAL HEALTH & SAFETY MANAGEMENT PLAN The RWA is committed to the occupational health, safety and welfare of its employees, those contracted to perform work on its behalf and visitors to the premises. It is committed to regular consultation with staff and their representatives, and where necessary, with contractors and suppliers of equipment and services to ensure OH&S management is of the highest standard. RWA had 0 (zero) injuries or claims under the OH&S Act 2000. WASTE REDUCTION AND PURCHASING POLICY The RWA is committed to the implementation of the Government’s Waste Reduction and Purchasing Policy (WRAPP). RWA engages the services of an environmental management company through the NSW Government Contract to manage the recycling of paper and cardboard. RWA also recycles toner and ink cartridges. RWA purchases recycled paper for printing purposes.

MULTICULTURAL POLICIES AND SERVICES PROGRAM The RWA is committed to the NSW Principles as stated in the Community Relations Commission and Principles of Multiculturalism Act 2000. The RWA acknowledge the benefits that cultural, linguistic and religious diversity brings to the community and has supported the following activities that support these principles. • Asian Moon Festival Lunch; • Cook Community Gardens Anniversary; • Chinese New Year Festival Lunch; • Assistance for the Yurungai Dance Project to attend the 7th International Children and Youth Theatre Festival in Turkey; and • Provision of Bilingual Community Educators at the seven Draft Built Environment Plan Public Information Sessions. FOLLOWING IS A FULL LIST OF RWA PLANS AND POLICIES: - Aboriginal & Torres Strait Islander Employment Strategy - Code of Conduct for Board Members - Complaints Handling Policy - Corporate Credit Card Policy - Disability Access Policy - EEO Policy and Management Plan - Fraud and Corruption Prevention Strategy - Information Management and Technology Disaster Recovery Policy - New Starters Induction Program - Privacy Management Policy and Plan - Procurement Policy - Protected Disclosures Act Policy Statement - Staff Code of Conduct - Statement of Business Ethics - Risk Management Framework

2010-2011 Annual Report

CONTACT DETAILS Redfern-Waterloo Authority Level 11, Tower 2 1 Lawson Square Redfern NSW 2016 Telephone: +61 2 9202 9100 Reception 9am - 5pm Monday - Friday Website: www.redfernwaterloo.nsw,gov.au

Internal pages: The internal pages of this document were printed on Mega Recycled Silk A2+, an environmentally considered sheet consisting of 50% post consumer recycled waste and 50% FSC certified fibre. Mega Recycled is manufactured at the Gohrsmuhle Mill, who have their own waste water treatment plant and are ISO 14001 EMS approved. Mega Recycled is made elemental chlorine free.

Redfern-Waterloo Authority Level 11, Tower 2 1 Lawson Square Redfern NSW 2016 PO Box 3332 Redfern 2016 T: 02 9202 9100 F: 02 9202 9111 E: redfernwaterloo@rwa.nsw.gov.au W: www.redfernwaterloo.nsw.gov.au