*** Delivered at the 2021 TasCOSS Annual General Meeting, RACV Hobart Apartment Hotel (The Stables), 8 December 2021 ***
The result for the 2020/21 year was a surplus of $22,903 compared to the previous financial year of $293,001.
The reduction in surplus for this year was principally a result of core base Tasmanian Government grant funds received but not recognised as income in the 2020/21 Financial Year. This is in accordance with accounting standards which states that funds received that have not been expended, and which are not allocated to specific activities as documented in the grant funding agreement, are accounted for as cash reserves and will be utilised in future years when the activities are completed.
Grant income booked this Financial Year was $1.684 million compared to $2.004 million in 2019/20. As noted, this is principally due to the accounting treatment related to funds received for a number of projects, some of which were completed or partially completed in 2020/21 and other projects to be completed in 2021/22.
Expenditures were in line with budget and grant requirements. Employee costs are the highest expense of TasCOSS but were in line with the budget and less than the prior year due to some activities not being progressed until 2021/22.
The organisation’s net assets as at 30 June 2021 are at $627k compared to $606k in the prior year. Although some change in both total assets and total liabilities the major movements are due to:
- Accounting for cash received for grant activities to be undertaken in 2021/22;
- A reduction in the depreciated value of right of use assets; and
- An increase in trade and other payables and a reduction in debtors due to the receipt of outstanding invoices.
The reserves value at $244k, separate from retained earnings, relates to grants received for activities yet to be undertaken. The majority of reserves will be utilised in the 2021/22 financial year.
The Auditor’s Report for 2020/21 indicates no significant audit differences and issues to be addressed.
The TasCOSS Board has endorsed managements assessment that TasCOSS is a going concern which provides assurance that the entity can continue in operation for the next 12 months.
I conclude by acknowledging the support of Corinne Eastley in the accounting area and for her timely and detailed reporting to the TasCOSS Board.