01 - Department of Education and Communities - NSW Government

Department of School EducationNOTES TO AND FORMING PART OF THE ACCOUNTS21. BUDGET REVIEWNet cost of servicesThe actual net of services was lower than budget by 3% ($103.551 million).This was primarily due to• actual average salary rate for teachers lower than budget ($ 8.7m)• higher proportional use of casual teachers ($ 8.1m)• lower actual superannuation contributions than budget followingreview by Government Actuary($35.6m)• lower actual long service leave expense due to an overestimation in budget ($54.4m)• Higher actual teachers salaries due to 6% teachers increase $23.4m• higher actual payroll taxation due to changes in legislation $20.0m• higher profit on sale of assets than budgeted ($10.8m)• Savings in other operating expenses ($16.0m)• higher actual revenue than budget ($14.9m)• higher actual maintenance than budget funded from capital allocation $ 4.5mAssets & liabilitiesCurrent assets increased over budget by $65.2m. This was primarily due to an increase in cash balances of $58.2m fromsavings in employee related and operating expenses ($21.0m), an increase in revenue over revenue related expenditure($7.0m), retained revenue from asset sales ($9.0m) and receipts from the Commonwealth Government to fund programsfrom July 1997 to December 1997 ($10.0m).Current liabilities increased by $18.9m. This was primarily due to an increase in accrued salaries and wages at 30 June1997. There were small increases in recreation leave provision and the provision for payroll tax on extended leave.Cash flowsCash and cash equivalents increased by $58.2 million more than budget due to:• reduction in payments relating to operating activities $ 9.4m• increase in receipts relating to operating activities $ 8.3m• increase in the proceeds in the sale of fixed assets $28.6m• reduction in the purchase of property plant and equipment $ 6.7m• increase in recurrent appropriation $23.9m• reduction in capital appropriation ($ 0.7m)• asset sales transferred to the Crown Transactions Entity ($18.0m)DSE Annual Report 1997 131