Budget Variances Commentary for the Statement of Comprehensive Income
The surplus of $8.6 million is $17.3 million higher than the original budget deficit amount of $8.7 million.
Employee benefits are $1 million lower than the original budget due to capitalisation of salaries for those employees directly engaged in creating digital collection items.
Supplier expenses are $1.6 million lower than original budget due to a reduction in activities following this year's severe weather events and COVID-19 pandemic.
Depreciation and amortisation is $6.9 million lower than the original budget due to a change in depreciation policy for collection items. Except for magnetic tape, collection items are no longer depreciated. Through proper management, care and preservation, the rate of asset deterioration is reduced to such an extent that depreciation can be regarded as negligible.
Other revenue is $1.5m higher than the original budget due to grants received from the Portfolio Department for touring and outreach and the stonework modernisation capital works.
Donations of gifted collection represents the value of the heritage and cultural assets that are donated to the NFSA for inclusion in the collection. The value is difficult to forecast as it is dependent on the nature and quantum of the items received. Accordingly, a notional $3.5 million was included in the original budget, while the actual value of $2.8 million, in accordance with the valuation policy, was determined as the items were accessioned into the collection.
Revenue from Government is $1.2 million higher than the original budget to due to additional funding received in June 2020.