2011/2012 audited annual accounts - Falkirk Council

FALKIRK COUNCIL
NOTES TO THE CORE FINANCIAL STATEMENTS
Analysis of projected amount to be charged to operating profit for the year to 31 March 2013
Year Ended: £’000
Projected Current Service Cost 19,308
Interest on Obligation 32,614
Expected Return on Plan Assets (26,546)
Past Service Cost -
Total 25,376
The estimated Employer’s contributions for the year to 31 March 2013 will be approximately £18.107m.
Teachers’ Pension Scheme
During the year, the Council paid £8.723m (£8.804m in 2010/11) to the Scottish Government in respect of teachers’ pension
costs. This represents 14.9% of teachers’ pensionable pay (14.9% in 2010/11).
The Council is also required to meet the costs of benefits arising from compensatory added years, as well as the costs
arising from the early release of benefits in the Teachers Pension Scheme. In 2011/12, these amounted to £1.046 million,
representing 1.79% of pensionable pay (£1.101 million, representing 1.86% of pensionable pay in 2010/11).
With regard to the Teachers’ Pension Scheme, there were no contributions outstanding at the year end.
10. Leases
a) Council as Lessee
(i) Finance Leases
The Council has paid for the replacement of windows in its housing stock by way of a finance lease.
The assets acquired under these leases are included in the Council Dwellings Valuation within Property, Plant and
Equipment in the Balance Sheet. It is impossible to place a separate value on these leases as the valuation of Council
Dwellings provided by the District Valuer is an all inclusive figure.
The Council is committed to making minimum payments under these leases comprising settlement of the long-term
liability for the interest in the property acquired by the Council and finance costs that will be payable by the Council
in future years while the liability remains outstanding. The minimum lease payments are made up of the following
amounts:
31 March 2011 31 March 2012
£’000 £’000
Finance lease liabilities (net present value of minimum lease
payments):
• Current 1,462 1,193
• Non-Current 2,196 1,003
Finance costs payable in future years 148 61
Minimum lease payments 3,806 2,257
The minimum lease payments will be payable over the following periods:
Minimum Lease Payments Finance Lease Liabilities
31 March 31 March 31 March 31 March
2011
2012
2011 2012
£’000 £’000 £’000 £’000
Not later than one year 1,549 1,230 1,462 1,193
Later than one year and not later than 5 years 2,257 1,027 2,196 1,003
Later than five years - - - -
TOTAL 3,806 2,257 3,658 2,196
There are no contingent rentals on these leases.
69