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Organ and Tissue Authority Annual Report 2019-20

Notes to the financial statements

The following notes support and should be read in conjunction with the Primary financial statements.

Note 1: Financial performance

This section analyses the financial performance of the OTA for the year ended 2020.

Note 1.1: Expenses

	2020 ($)	2019 ($)
1.1A: Employee benefits
Wages and salaries	2,714,958	2,730,034
Superannuation:
Defined benefits plans	229,870	250,481
Defined contribution plans	272,161	213,886
Leave and other entitlements	409,044	305,452
Other employee expenses	15,955	12,657
Total employee benefits	3,641,988	3,512,510

Accounting policy Accounting policies for employee related expenses is contained in the People and relationships section.

1.1B: Suppliers
Goods and services supplied or rendered
Contractors and consultants	193,215	246,767
Equipment and software	404,728	476,887
Facilities	66,906	125,317
Staff recruitment and training	62,013	54,011
Travel	118,222	151,108
Office supplies and stationery	8,033	7,478
Printing and publishing	20,868	27,212
Resources received free of charge	114,000	103,000
Shared services MoU	207,435	252,126
Other	41,961	60,002
Total goods and services supplied or rendered	1,237,381	1,503,908

Goods supplied	9,430	44,862
Services rendered	1,227,951	1,459,046
Total goods and services supplied or rendered	1,237,381	1,503,908

Other suppliers
Operating lease rentals¹	7,444	437,215
Workers compensation expenses	25,374	30,764
Total other suppliers	32,818	467,979
Total suppliers	1,270,199	1,971,887

¹The OTA has applied AASB 16 using the modified retrospective approach and therefore the comparative information has not been restated and continues to be reported under AASB 117.

The OTA has short-term lease commitments of $14,111 as at 30 June 2020.
Accounting policy Short-term leases and leases of low-value assets The OTA has elected not to recognise right-of-use assets and lease liabilities for short-term leases of assets that have a lease term of 12 months or less and leases of low-value assets (less than $10,000). The entity recognises the lease payments associated with these leases as an expense on a straight-line basis over the aease term.

1.1C: Finance Costs
Interest on lease liabilities	10,553	-
Total finance costs	10,553

The above lease disclosures should be read in conjunction with the accompanying note 3.2

Note 1.2: Own-source revenue and gains

	2020 ($)	2019 ($)
1.2A: Resources received free of charge
Resources received free of charge	114,000	103,000
Total other revenue	114,000	103,000

Accounting Policy Resources received free of charge Resources received free of charge are recognised as revenue when, and only when, a fair value can be reliably determined and the services would have been purchased if they had not been donated. Use of those resources is recognised as an expense. Resources received free of charge are recorded as revenue or gains depending on their nature.

	2020 ($)	2019 ($)
1.2B: Revenue from Government
Appropriations
Departmental appropriations	5,308,000	5,461,000
Total revenue from Government	5,308,000	5,461,000

Accounting policy Revenue from Government Amounts appropriated for departmental appropriations for the year (adjusted for any formal additions and reductions) are recognised as Revenue from Government when the entity gains control of the appropriation, except for certain amounts that relate to activities that are reciprocal in nature, in which case revenue is recognised only when it has been earned. Appropriations receivable are recognised at their nominal amounts.

Note 2: Income and expenses administered on behalf on the Government

This section analyses the activities that the OTA does not control but administers on behalf of the Government.*

_{* Unless otherwise noted, the accounting policies adopted are consistent with those applied for departmental reporting.}

Note 2.1: Administered-expenses

	2020 ($)	2019 ($)
2.1A: Suppliers
Goods and services supplied or rendered
Board fees	230,234	221,621
Contractors	214,261	326,951
Public relations and research	157,156	197,665
Travel	91,882	147,745
Software licence and maintenance	706,734	587,754
Other	251,474	624,383
Total goods and services supplied or rendered	1,651,741	2,106,119

Services rendered	1,651,741	2,106,119
Total goods and services supplied or rendered	1,651,741	2,106,119

Note 2.1B: Grants
Public sector
State and Territory Governments	37,798,547	35,280,530
Private sector
Not-for-profit organisations	7,072,660	5,757,272
Total grants	44,871,207	41,037,802

Accounting policy The OTA administers a number of grant schemes on behalf of the Government. Grant liabilities are recognised to the extent that (i) services required to be performed by the grantee have been performed or (ii) the grant eligibility criteria have been satisfied, but payments due have not been made. When the Government enters into an agreement to make these grants and services, but services have not been performed or criteria satisfied, this is considered a commitment.

Note 2.2: Administered - income

	2020 ($)	2019 ($)
2.2A: Other revenue
Other	3,140,000	-
Total revenue	3,140,000	-

Note 3: Financial position

This section analyses the OTA’s assets used to conduct its operations and the operating liabilities incurred as a result. Employee related information is disclosed in the People and Relationships section.

Note 3.1: Financial assets

	2020 ($)	2019 ($)
3.1A: Cash and cash equivalents
Cash on hand or on deposit	74,712	94,059
Total cash and cash equivalents	74,712	94,059

Accounting policy Cash is recognised at its nominal amount. Cash and cash equivalents includes: a) cash on hand; and b) demand deposits in bank accounts with an original maturity of 3 months or less that are readily convertible to known amounts of cash and subject to insignificant risk of changes in value.

3.1B: Trade and other receivables
Goods and services receivables
Other	120,199	64,296
Total goods and services receivables	120,199	64,296

Appropriations receivables
Appropriation receivable	2,099,504	2,033,738
Total appropriations receivables	2,099,504	2,033,738

Other receivables
GST receivable from the Australian Taxation Office	23,735	38,747
Total other receivables	23,735	38,747
Total trade and other receivables (gross)	2,243,438	2,136,781
Total trade and other receivables (net)	2,243,438	2,136,781

No indicators of impairment were found for trade and other receivables in 2020 (2019: nil).
Credit terms for goods and services were within 30 days (2019: 30 days).

Accounting policy Financial assets Trade receivables and other receivables that are held for the purpose of collecting the contractual cash flows where the cash flows are solely payments of principal and interest, that are not provided at below-market interest rates, are subsequently measured at amortised cost using the effective interest method adjusted for any loss allowance.

Note 3.2: Non-financial assets

3.2A: Reconciliation of the opening and closing balances of property, plant and equipment and intangibles
Reconciliation of the opening and closing balances of property, plant and equipment and intangibles
	Buildings ($)	Property, plant and equipment ($)	Computer software ($)	Total ($)
As at 1 July 2019
Gross book value	314,232	88,133	2,612,544	3,014,909
Accumulated depreciation, amortisation and impairment	-	-	(1,707,129)	(1,707,129)
Total as at 1 July 2019	314,232	88,133	905,415	1,307,780
Recognition of right of use asset on initial application of AASB 16	1,322,200	-	-	1,322,200
Adjusted total as at 1 July 2019	1,636,432	88,133	905,415	2,629,980
Additions
Purchase	5,941	20,024	333,527	359,492
Revaluations and impairments recognised in other comprehensive income	(6,971)	1,468	-	(5,503)
Depreciation and amortisation	(70,502)	(31,195)	(245,300)	(346,997)
Depreciation on right-of-use assets	(299,366)	-	-	(299,366)
Total as at 30 June 2020	1,265,534	78,430	993,642	2,337,606

Total as at 30 June 2020 represented by
Gross book value	1,265,534	78,430	2,946,071	4,290,035
Accumulated depreciation, amortisation and impairment	-	-	(1,952,429)	(1,952,429)
Total as at 30 June 2020 represented by	1,265,534	78,430	993,642	2,337,606
Carrying amount of right-of-use assets	1,022,834	-	-	1,022,834

No indicators of impairment were found for property, plant and equipment and intangibles. No property, plant and equipment or intangibles is expected to be sold or disposed of within the next 12 months.

Revaluations of non-financial assets
All revaluations were conducted in accordance with the revaluation policy stated at Note 3.2A. At 30 June 2020, an independent valuer, Jones Lang LaSalle Public Sector Valuations, conducted a full revaluation.

Contractual commitments for the acquisition of property, plant, equipment and intangible assets
There are no contractual commitments for the acquisition of property, plant and equipment. There are no contractual commitments for the acquisition of intangible assets as at 30 June 2020. In 2019 there were no contractual commitments for the acquisition of intangible assets.

Accounting policy Assets are recorded at cost on acquisition except as stated below. The cost of acquisition includes the fair value of assets transferred in exchange and liabilities undertaken. Financial assets are initially measured at their fair value plus transaction costs where appropriate. Assets acquired at no cost, or for nominal consideration, are initially recognised as assets and income at their fair value at the date of acquisition, unless acquired as a consequence of restructuring of administrative arrangements. In the latter case, assets are initially recognised as contributions by owners at the amounts at which they were recognised in the transferor’s accounts immediately prior to the restructuring. Asset recognition threshold Purchases of property, plant and equipment are recognised initially at cost in the Statement of financial position, except for purchases costing less than $1,000 which are expensed in the year of acquisition (other than where they form part of a group of similar items which are significant in total). Lease Right of Use (ROU) Assets Leased ROU assets are capitalised at the commencement date of the lease and comprise of the initial lease liability amount, initial direct costs incurred when entering into the lease less any lease incentives received. These assets are accounted for by Commonwealth lessees as separate asset classes to corresponding assets owned outright, but included in the same column as where the corresponding underlying assets would be presented if they were owned. On initial adoption of AASB 16 the OTA has adjusted the ROU assets at the date of initial application by the amount of any provision for onerous leases recognised immediately before the date of initial application. Following initial application, an impairment review is undertaken for any right of use lease asset that shows indicators of impairment and an impairment loss is recognised against any right of use lease asset that is impaired. Lease ROU assets continue to be measured at cost after initial recognition in Commonwealth agency, GGS and Whole of Government financial statements. On initial adoption of AASB 16 the OTA has adjusted the ROU assets at the date of initial application by the amount of any provision for onerous leases recognised immediately before the date of initial application. Following initial application, an impairment review is undertaken for any right of use lease asset that shows indicators of impairment and an impairment loss is recognised against any right of use lease asset that is impaired. Lease ROU assets continue to be measured at cost after initial recognition in Commonwealth agency, GGS and Whole of Government financial statements. Revaluations Following initial recognition at cost, property, plant and equipment (excluding ROU assets) are carried at fair value (or an amount not materially different from fair value) less subsequent accumulated depreciation and accumulated impairment losses. Valuations were conducted with sufficient frequency to ensure that the carrying amounts of assets do not differ materially from the assets’ fair values as at the reporting date. The regularity of independent valuations depends upon the volatility of movements in market values for the relevant assets. Revaluation adjustments are made on a class basis. Any revaluation increment was credited to equity under the heading of asset revaluation reserve except to the extent that it reversed a previous revaluation decrement of the same asset class that was previously recognised in the surplus/deficit. Revaluation decrements for a class of assets were recognised directly in the surplus/deficit except to the extent that they reverse a previous revaluation increment for that class. Any accumulated depreciation as at the revaluation date is eliminated against the gross carrying amount of the asset and the asset restated to the revalued amount. Depreciation Depreciable property plant and equipment assets are written-off to their estimated residual values over their estimated useful lives to the OTA using, in all cases, the straight-line method of depreciation. Depreciation rates (useful lives), residual values and methods are reviewed at each reporting date and necessary adjustments are recognised in the current, or current and future reporting periods, as appropriate. Depreciation rates applying to each class of depreciable asset are based on the following useful lives:
	2020	2019
Buildings	Lease term	Lease term
Plant and Equipment	3 to 5 years	3 to 5 years

Impairment All assets were assessed for impairment at 30 June 2020. Where indications of impairment exist, the asset’s recoverable amount is estimated and an impairment adjustment made if the asset’s recoverable amount is less than its carrying amount. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use. Value in use is the present value of the future cash flows expected to be derived from the asset. Where the future economic benefit of an asset is not primarily dependent on the asset’s ability to generate future cash flows, and the asset would be replaced if the OTA were deprived of the asset, its value in use is taken to be its depreciated replacement cost. Derecognition An item of property, plant and equipment is derecognised upon disposal or when no further future economic benefits are expected from its use or disposal. Intangibles The OTA's intangibles comprise purchased software. These assets are carried at cost less accumulated amortisation and accumulated impairment losses. All software assets were assessed for indications of impairment as at 30 June 2020.

	2020 ($)	2019 ($)
3.2B: Other non-financial assets
Prepayments	76,923	88,459
Total other non-financial assets	76,923	88,459

No indicators of impairment were found for other non-financial assets.

Note 3.3: Payables

	2020 ($)	2019 ($)
3.3A: Suppliers
Trade creditors and accruals	293,932	352,792
Total suppliers	293,932	352,792

Settlement was usually made within 30 days.

3.3B: Other payables
Salaries and wages	53,233	23,512
Superannuation	7,721	4,017
Lease incentive¹	-	303,564
Other	76,155	114,305
Total other payables	137,109	445,398

¹ The OTA has applied AASB 16 using the modified retrospective approach and therefore the comparative information has not been restated and continues to be reported under AASB 117.

Note 3.4: Interest bearing liabilities

	2020($)	2019 ($)
3.4A: Leases
Lease liabilities
Buildings¹	1,051,149	-
Total leases	1,051,149	-

¹The OTA has applied AASB 16 using the modified retrospective approach and therefore the comparative information has not been restated and continues to be reported under AASB 117.

Note 4: Assets and liabilities administered on behalf on the Government

This section analyses assets used to conduct operations and the operating liabilities incurred as a result the OTA does not control but administers on behalf of the Government.*

_{* Unless otherwise noted, the accounting policies adopted are consistent with those applied for departmental reporting.}

Note 4.1: Administered - financial assets

	2020 ($)	2019 ($)

4.1A: Cash and cash equivalents
Cash on hand or on deposit	80,000	88,851
Total cash and cash equivalents	80,000	88,851

4.1B: Trade and other receivables
Goods and services receivables	-	305,436
Total goods and services receivables	-	305,436

Other receivables
GST receivable from the Australian Taxation Office	425,361	258,365
Total other receivables	425,361	258,365

Total trade and other receivables (gross)	425,361	563,801

Total trade and other receivables (net)	425,361	563,801

No indicators of inpairment were found for trade and other receivables in 2020 (2019: nil).

Credit terms for goods and services were within 30 days (2019: 30 days).

Note 4.2: Administered - non-financial assets

	2020 ($)	2019 ($)
4.2A: Other non-financial assets
Prepayments	231,322	-
Total other non-financial assets	231,322	-

No indicators of impairment were found for other non-financial assets.

Note 4.3: Administered - payables

	2020 ($)	2019 ($)
4.3A: Suppliers
Trade creditors and accruals	225,418	250,788
Total suppliers	225,418	250,788

Settlement was usually made within 30 days

4.3B: Grants
State and Territory Governments	6,226,356	6,991,014
Non-profit organisations	1,484,885	1,456,938
Total grants	7,711,241	8,447,952

Settlement was made according to the terms and conditions of each grant within 30 days of performance or eligibility.

Note 5: Funding

This section identifies the OTA’s funding structure.

Note 5.1: Appropriations

	2020 ($)	2019 ($)
5.1A Annual Appropriations ('Recoverable GST exclusive')
Departmental
Ordinary annual services
Annual appropriation	5,336,000	5,461,000
Receipts retained under PGPA Act - Section 74	91,752	151,118
Total appropriation	5,427,752	5,612,118
Appropriation applied (current and prior years)	5,353,334	5,393,067
Variance	74,418	219,051

Capital Budget
Annual departmental capital budget¹	250,000	249,000
Payments for non-financial assets²	250,000	249,000
Variance	-	-

Administered
Ordinary annual services
Annual appropriation	43,389,000	43,148,000
Receipts retained under PGPA Act - Section 74	3,170,770	213,164
Total appropriation	46,559,770	43,361,164
Appropriation applied (current and prior years)	47,241,322	43,128,005
Variance	(681,552)	233,159

¹ Departmental capital budgets are appropriated through Appropriation Acts (No. 1, 3, 5). They form part of ordinary annual services, and are not separately identified in the Appropriation Acts.

² Payments made on non-financial assets include purchases of assets and expenditure on assets which have been capitalised.

	2020 ($)	2019 ($)
5.1B: Unspent annual appropriations ('recoverable GST exclusive')
Departmental
Appropriation Act (No.1) 2018-19	-	2,033,738
Appropriation Act (No.1) 2019-20	2,099,504	-
Cash at bank	74,712	94,059
Total departmental	2,174,216	2,127,797
Administered
Appropriation Act (No.1) 2016-17	-	1,030
Appropriation Act (No.1) 2017-18	750	1,000
Appropriation Act (No.1) 2018-19	4,080	8,281,681
Appropriation Act (No.1) 2019-20	7,596,299	-
Cash at bank	80,000	88,851
Total administered	7,681,129	8,372,562

Note 5.2: Net cash appropriation arrangements

	2020 ($)	2019 ($)
Total comprehensive income less depreciation/amortisation
expenses previously funded through revenue appropriations	493,757	75,748
Plus: depreciation/amortisation expenses previously funded through revenue appropriation	(646,363)	(562,392)
Plus: depreciation right-of-use assets	299,366	-
Less: principal repayments - leased assets	258,803	-
Total comprehensive loss - as per the Statement of comprehensive income	(112,043)	(486,644)
Total comprehensive loss - as per the Statement of comprehensive income	(152,606)	(486,644)

Note 6: People and relationships

This section describes a range of employment and post employment benefits provided to our people and our relationships with other key people.

Note 6.1: Employee provisions

	2020 ($)	2019 ($)
6.1A: Employee provisions
Leave	1,042,725	1,022,082
Total employee provisions	1,042,725	1,022,082

Accounting policy Liabilities for ‘short-term employee benefits’ and termination benefits expected within twelve months of the end of reporting period are measured at their nominal amounts. Other long-term employee benefit liabilities are measured as net total of the present value of the defined benefit obligation at the end of the reporting period minus the fair value at the end of the reporting period of plan assets (if any) out of which the obligations are to be settled directly. Leave The liability for employee benefits includes provision for annual leave and long service leave. The leave liabilities are calculated on the basis of employees’ remuneration at the estimated salary rates that will be applied at the time the leave is taken, including the OTA's employer superannuation contribution rates to the extent that the leave is likely to be taken during service rather than paid out on termination. The liability for long service leave has been determined with reference to the Australian Government shorthand method. The estimate of the present value of the liability takes into account attrition rates and pay increases through promotion and inflation. Separation and redundancy Provision is made for separation and redundancy benefit payments. The OTA recognises a provision for termination when it has developed a detailed formal plan for the terminations and has informed those employees affected that it will carry out the terminations. Superannuation The OTA's staff are members of the Commonwealth Superannuation Scheme (CSS), the Public Sector Superannuation Scheme (PSS), or the PSS accumulation Plan (PSSap) or other superannuation funds held outside the Australian Government. The CSS and PSS are defined benefit schemes for the Australian Government. The PSSap and other compliant superannuation funds are defined contribution schemes. The liability for defined benefits is recognised in the financial statements of the Australian Government and is settled by the Australian Government in due course. This liability is reported in the Department of Finance's administered schedules and notes. The OTA makes employer contributions to the employees' defined benefit superannuation scheme at rates determined by an actuary to be sufficient to meet the current cost to the Government. The OTA accounts for the contributions as if they were contributions to defined contribution plans. The liability for superannuation recognised as at 30 June represents outstanding contributions for the number of days between the last pay period in the financial year and 30 June.

Note 6.2 Key management personnel remuneration

Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the entity, directly or indirectly, including any director (whether executive or otherwise) of that entity. The OTA has determined the key management personnel to be the Chair of the Board and its members and the Chief Executive Officer. Key management personnel remuneration is reported in the table below:

	2020 ($)	2019 ($)
Short-term employee benefits	522,576	478,045
Post-employment benefits	67,124	64,435
Other long-term employee benefits	7,475	7,444
Total key management personnel remuneration expenses¹	597,175	549,924

The total number of key management personnel that are included in the above table are 8 (2019: 7).

¹ The above key management personnel remuneration excludes the remuneration and other benefits of the Portfolio and Cabinet Minister. The Portfolio Minister's remuneration and other benefits are set by the Remuneration Tribunal and are not paid by the entity.

Note 6.3 Related party disclosures

Related party relationships

The OTA is an Australian Government controlled entity. Related parties to the OTA are key management personnel, including the OTA Board, the portfolio Minister and Executive, and other Australian Government entities.

Transactions with related parties

Given the breadth of Government activities, related parties may transact with the government sector in the same capacity as ordinary citizens. These transactions have not been separately disclosed in this note.

Giving consideration to relationships with related entities, and transactions entered into during the reporting period by the OTA, it has been determined that there are no related party transactions to be separately disclosed.

Note 7: Managing uncertainties

This section analyses how the OTA manages financial risks within its operating environment.

Note 7.1: Contingent assets and liabilities

7.1A: Contingent asset and liabilities

Quantifiable contingencies

The OTA had no quantifiable contingencies as at the reporting date.

Unquantifiable contingencies

The OTA provided an indemnity in relation to the purchase of an ICT system in relation to all actions, claims, demands, losses, damages, costs and expenses for which the contractor shall, may or does become liable. The indemnity releases the contractor from any liability arising from the contract in excess of the contractor's required insurance levels.

The OTA provided an indemnity to the lessors of the OTA's leased premises in relation to all actions, claims, demands, losses, damages, costs and expenses for which the lessor shall, may or does become liable. These can arise from the negligent use by the lessee of water, gas, electricity, lighting, overflow or leakage of water and other services and facilities. The indemnity releases the lessor from all claims and demands of any kind and from all liability which may arise in respect of any death of, or injury to, any person, and any accident or damage to property of whatever kind except to the extent that the lessor's negligence contributed to the death, injury, loss or damage.

Accounting policy

Contingent liabilities and contingent assets are not recognised in the statement of financial position but are reported in the notes. They may arise from uncertainty as to the existence of a liability or asset or represent an asset or liability in respect of which the amount cannot be reliably measured. Contingent assets are disclosed when settlement is probable but not virtually certain and contingent liabilities are disclosed when settlement is greater than remote.

7.1B: Administered contingent liabilities and assets

Quantifiable administered contingencies

The OTA had no quantifiable contingencies at reporting date.

Unquantifiable administered contingencies

The OTA provided an indemnity in relation to the provision of ICT services in relation to all actions, claims, demands, losses, damages, costs and expenses for which the contractor shall, may or does become liable. The indemnity releases the contractor from any liability arising from the contract in excess of the contractor's required insurance levels.

Accounting policy

Indemnities and/or guarantees

The maximum amounts payable under the indemnities given is disclosed above, where relevant. At the time of completion of the financial statements, there was no reason to believe that the indemnities and or guarantees would be called upon, and no recognition of any liability was therefore required.

Note 7.2: Financial instruments

	2020 ($)	2019 ($)
7.2A: Categories of financial instruments
Financial assets at amortised cost
Cash and cash equivalents	74,712	94,059
Trade and other receivables	120,199	64,296
Total financial assets at amortised cost	194,911	158,355
Total financial assets	194,911	158,355

Financial liabilities
Financial liabilities measured at amortised cost
Trade creditors	293,932	352,792
Total financial liabilities measured at amortised cost	293,932	352,792
Total financial liabilities	293,932	352,792

Accounting policy Financial assets With the implementation of AASB 9 Financial Instruments for the first time in 2019, the OTA classified its financial assets as financial assets measured at amortised cost. The classification depends on both the OTA's business model for managing the financial assets and contractual cash flow characteristics at the time of initial recognition. Financial assets are recognised when the OTA becomes a party to the contract and, as a consequence, has a legal right to receive or a legal obligation to pay cash and derecognised when the contractual rights to the cash flows from the financial asset expire or are transferred upon trade date. Comparatives have not been restated on initial application. Financial assets at amortised cost Financial assets included in this category need to meet two criteria: 1. the financial asset is held in order to collect the contractual cash flows; and 2. the cash flows are solely payments of principal and interest on the principal outstanding amount. Amortised cost is determined using the effective interest method. Effective interest method Income is recognised on an effective interest rate basis for financial assets that are recognised at amortised cost. Impairment of financial assets Financial assets are assessed for impairment at the end of each reporting period based on Expected Credit Losses, using the general approach which measures the loss allowance based on an amount equal to lifetime expected credit losses where risk has significantly increased, or an amount equal to 12-month expected credit losses if risk has not increased. The simplified approach for trade, contract and lease receivables is used. The approach always measures the loss allowance as the amount equal to the lifetime expected credit losses. A write-off constitutes a derecognition event where the write-off directly reduces the gross carrying amount of the financial asset. Financial liabilities Financial liabilities are classified as other financial liabilities. Financial liabilities are recognised and derecognised upon ‘trade date’. Financial liabilities at amortised cost Other financial liabilities include supplier and other payables, which are recognised at amortised cost. Liabilities are recognised to the extent that the goods or services have been received (and irrespective of having been invoiced).

7.2B: Net gains or losses on financial assets

There is no interest income and expense from financial assets not at fair value through profit or loss in the years ending 30 June 2020 and 30 June 2019.

7.2C: Net income and expense from financial liabilities

There is no interest income and expense from financial liabilities not at fair value through profit or loss in the years ending 30 June 2020 and 30 June 2019.

Note 7.3: Administered financial instruments

	2020 ($)	2019 ($)
7.3A: Categories of financial instruments
Financial assets at amortised cost
Loans and receivables
Cash and cash equivalents	80,000	88,851
Other receivables	-	305,436
Total financial assets at amortised cost	80,000	394,287
Total financial assets	80,000	394,287

Financial liabilities
Financial liabilities measured at amortised cost
Trade creditors	225,418	250,788
Grants payable	7,711,241	8,447,952
Total financial liabilities measured at amortised cost	7,936,659	8,698,740
Total financial liabilities	7,936,659	8,698,740

7.3B: Net gains or losses on financial assets

There is no interest income or expense from financial assets not at fair value through profit or loss in the years ending 30 June 2020 and 30 June 2019.

7.3C: Net gains or losses on financial liabilities

There is no interest income or expense from financial liabilities not at fair value through profit or loss in the years ending 30 June 2020 and 30 June 2019.

Note 7.4: Fair value measurements

The following tables provide an analysis of assets and liabilities that are measured at fair value. The remaining assets and liabilities disclosed in the Statement of financial position do not apply the fair value hierarchy.

Accounting policy
The OTA engaged the services of an independent valuer to conduct a detailed external valuation of all non-financial assets at 30 June 2020 and has relied upon those outcomes to establish carrying amounts. An annual assessment is undertaken to determine whether the carrying amount of the assets is materially different from the fair value. Comprehensive valuations carried out at least once every three years. The independent valuer has provided written assurance to the OTA that the models developed are in compliance with AASB 13.

	Fair value measurements at the end of the reporting period
	2020 ($)	2019 ($)
7.4A: Fair value measurements
Non-financial assets
Buildings¹	1,265,534	314,232
Property, plant and equipment¹	78,430	88,133
Total non-financial assets	1,343,964	402,365

The remaining assets and liabilities reported by the OTA are not measured at fair value in the Statement of Financial Position.

¹ No non-financial assets were measured at fair value on a non- recurring basis as at 30 June 2020 (2019: Nil).

Note 8: Other information

Aggregate assets and liabilities.

Note 8.1 Aggregate assets and liabilities

	2020 ($)	2019 ($)
8.1A Departmental - Aggregate assets and liabilities:
Assets expected to be recovered in:
No more than 12 months	2,395,073	2,303,421
More than 12 months	2,337,606	1,323,658
Total assets	4,732,679	3,627,079

Liabilities expected to be settled in:
No more than 12 months	1,049,785	894,405
More than 12 months	1,475,130	925,867
Total liabilities	2,524,915	1,820,272

8.1B Administered - Aggregate assets and liabilities:
Assets expected to be recovered in:
No more than 12 months	736,683	652,652
Total assets	736,683	652,652

Liabilities expected to be settled in:
No more than 12 months	7,936,659	8,698,740
Total liabilities	7,936,659	8,698,740

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