PDF - 1.62 MB - Sydney Harbour Federation Trust

Sydney Harbour Federation TrustAnnual Report 06/07

Sydney Harbour Federation TrustISBN 978-0-9757842-2-8This work is copyright. Apart from any use as permitted under theCopyright Act 1968, no part may be reproduced by any processwithout written permission from the Sydney Harbour Federation Trust.For more information about this report and all Sydney HarbourFederation Trust publications, contact:Director CommunicationsSydney Harbour FederationTrustPO Box 607MOSMAN NSW 2088Telephone: 02 8969 2100Email: info@harbourtrust.gov.auFor information about the Sydney Harbour Federation Trust or toview this report online, visit the website at: www.harbourtrust.gov.auCover photograph: Georges Head lookout, MosmanInside back cover photograph: Macquarie Lightstation

2 October 200701 Annual Report 2006-07The Honourable Malcolm Turnbull MPMinister for the Environment and Water ResourcesParliament HouseCANBERRA ACT 2600Dear MinisterI present the report on the operations of the Sydney Harbour FederationTrust for the year ended 30 June 2007. The report complies with theprovisions of section 70 of the Sydney Harbour Federation Trust Act 2001and section 9 of the Commonwealth Authorities and Companies Act 1997.Yours sincerelyKevin McCann AM Chair

Annual Report 2006-07Table of Contents0203 Chair’s Foreword04 Executive Director’s Summary06 1 The Sydney Harbour Federation Trust06 Objectives06 Functions07 The Sites07 Legislation and Minister07 Organisational Structure08 Members09 Outcome and Output Structure10 2 Achievements and Initiatives10 Trust Plans11 Public Information14 Site Conservation20 3 Operational Aspects20 Corporate Governance21 Financial Performance22 Purchasing22 Consultants and Competitive Tendering and Contracting22 Staffing22 Staff Training23 Access and Safety23 Judicial Decisions and Reviews by Outside Bodies23 Effects of Ministerial Directions24 Independent Audit Report26 Financial Statements54 Appendix 1 Freedom of Information55 Appendix 2 Community Advisory Committee Members56 Appendix 3 Background Studies57 Appendix 4 Maintenance, Heritage Conservation and Environmental Management Projects59 Appendix 5 Interim Leasing of Trust Sites60 Index

Chair’s ForewordThe past year has been an exciting and stimulatingone for the Trust.We finally acquired title to the land at the formerSchool of Artillery at North Head from the State ofNew South Wales to the Commonwealth. This willallow us to progress the Plan of Management forthe site and a sanctuary proposal.We have also been entrusted by the CommonwealthGovernment to decontaminate and restore theHMAS Platypus site at Neutral Bay on the foreshoreof Sydney Harbour.We have completed or have on exhibition Plansof Management for almost all of the Trust land.Our walking track from Chowder Bay to Balmoral is animportant link in the Sydney Harbour foreshore walkingtrack network. It provides outstanding bush andharbour views for an increasing number of visitors.We are proud that Cockatoo Island is proposed forinclusion in the World Heritage list as part of a seriallisting of 11 convict sites in Australia. It is nowrecognised that Cockatoo Island has some of themost extensive and best preserved convict erabuildings in Australia. The restoration andinterpretation of them is a key objective of the Trustin the years ahead. Importantly, they are located ina place which is readily accessible to the public byferry from the Sydney CBD. The convict legacy ofCockatoo Island will enable future generations todiscover their heritage. The island has even richerhistoric layers which we intend to interpret includingits role as a major ship building facility for over ahundred years where many of Australia’s mostfamous warships were constructed or repaired.The island is a popular place for exhibitions andevents and in 2007 we hosted an installation bySwiss artist Urs Fischer in conjunction with KaldorArt Projects as well as events conducted by theSydney Writers’ Festival.We have completed the Georges Heights lookoutwhich will provide the public with unparalleled viewsof the entrance to Sydney Harbour and a wonderfulpanorama of the harbour stretching from North andSouth Heads to the Sydney skyline in the west.The lookout is the work of the renowned Australianarchitect Rick Leplastrier and will provide enjoymentand amenity for generations of Australians andvisitors to our city.One of the key objectives of the Trust is to maximisepublic access to our sites. In the past year, ourstrategy of providing restaurants and cafes atGeorges Heights and Chowder Bay has been highlypopular with the community and has facilitated thiskey objective.The Government has introduced legislation intoParliament to extend the term of the Trust from 2011to 2033. We believe that this is an important step asit will enable us to implement our Plans ofManagement for sites in a measured and orderlyfashion. It will also permit us to build on our plans foractivities and events on the sites based on ourexperience of what the community expects.In relation to funding, we have been in discussionwith the Government about capital funds needed todecontaminate and restore the HMAS Platypus siteand additional funding required to cover inflation inbuilding costs and funds to meet depreciation of ourprecious heritage buildings.In conclusion, it has been a year in which we havemade great progress in meeting the task entrusted tous of providing access to outstanding built and naturalheritage on Trust lands for the Australian people.On behalf of Trust members and staff, I thank theMinister for the Environment and Water, the HonMalcolm Turnbull, the former Minister for theEnvironment and Heritage, Senator the Hon IanCampbell and the former Parliamentary Secretary forthe Environment, the Hon Greg Hunt for their supportduring the year. I conclude by acknowledging thediligence and enthusiasm of Trust members. GeoffBailey, the executive and staff of the Trust havedisplayed talent and commitment in the planning andexecution of works and activities on the Trust sites.Their efforts have contributed to the very successfuloutcomes in the past year.Kevin McCann AMPhoto: Barracks building, formerSchool of Artillery, North Head03 Annual Report 2006-07

Annual Report 2006-07Executive Director’s Summary04The Trust opened two sites to the public on apermanent basis during the year. For the first timesince the early days of European settlement,Cockatoo Island became freely accessible with theintroduction of a limited ferry service from the city.The former School of Artillery on North Head openedits gates to the public after being off limits for over70 years.This brings to six the number of sites now open tothe public – Middle Head/Georges Heights/ChowderBay, Cockatoo Island, the former School of Artillery,Woolwich Dock and Parklands, MacquarieLightstation and the park associated with the formerMarine Biological Station at Watsons Bay.Over the year, Cockatoo Island has undergone anaccelerated program of works. Major projectscompleted or well advanced include the replacementof services in the Parramatta Wharf precinct, therepair of up to 15 buildings, the refurbishment ofhouses for residential use, the upgrade of marineaccess facilities on the southern apron and thepreparation of documentation for new projects.On the northern apron, a campground, associatedamenities and parkland are under construction.Camping will attract people interested in a uniqueharbour experience and contribute to the life of theisland. A café and a bar will service visitors and addto the general amenity of the site.The works program continued apace as a trial ferryservice commenced and the public was encouragedto visit and explore the island. The refurbishedMuster Station provides an orientation point forvisitors and the Trust’s volunteers run the bookingoffice and assist visitors.The school excursion program brings close to 5,000school children to Cockatoo Island annually. A rangeof other arts-related events was held and contributedto the Trust’s strategy to promote Cockatoo Island asa cultural landmark. The Trust continues to negotiatewith potential lessees of the island’s building stockand other facilities.The preparation of conservation management plansfor the dockyard and convict/gaol precinctsunderpins the Trust’s responsibility to protect anddocument the island’s historical significance.On North Head, the Trust made preparations for amajor upgrade of infrastructure services such aswater, sewerage and electricity. A new electricalsub station was installed. The tender for architecturalservices was awarded for the conservation andrefurbishment of a number of buildings includingthe former barracks. A long term lease of severalbuildings by the Australian Institute of PoliceManagement required extensive renovationand refurbishment.The refurbishment and fitout of the Gatehousebuilding was completed in time for the site’s officialopening. The Gatehouse features a display of NorthHead’s natural and cultural heritage including the roleof the military at the former School of Artillery, and achildren’s craft and activities room. In anticipation ofschool groups visiting the site for curriculum alignedexcursions, the Gatehouse has a classroom andbreakout rooms for students.Headland Park in Mosman is the most advanced ofthe Trust’s sites in terms of significant infrastructureprojects completed, buildings refurbished, tenantoccupancy and a sense that the final shape of thevarious precincts is in place. However, major workswere undertaken including the upgrade of services inthe former Training Command precinct and therenovation of a former barracks building as achildcare centre. Work commenced on therealignment of Suakin Drive and a carpark adjacentto Georges Heights oval. Tenants were selected for anumber of refurbished, weatherboard H blocks atTraining Command.At Chowder Bay, one level of the SubmarineMiners’ Depot was fitted out for a restaurant, asecond café opened and negotiations concludedwith an outdoor education provider to occupythe former Other Ranks’ Quarters building.

The operator of The Tearooms Gunners’ Barrackshas leased the Sergeants’ Mess to establish afunction centre and the Sydney Institute of MarineSciences took out a lease on an additional buildingto meet its growing research requirements.In its second year, Headland Park’s open day atLower Georges Heights attracted a large crowd. Anexhibition of Aboriginal and Islander defencepersonnel was mounted and a ceremony held in thelandship to mark NAIDOC. The Trust’s partnershipwith Sculpture by the Sea Incorporated to placesculptures along a section of the Balmoral toChowder Bay walking track and in the GeorgesHeights precinct added to the natural beauty of thearea. In this regard, the Georges Head lookout isundoubtedly one of Sydney’s great platforms fromwhich to appreciate the harbour.The major focus of planning activity this year was thepreparation of an amendment to the ComprehensivePlan to encompass HMAS Platypus. The formersubmarine naval base at Neutral Bay was formallyhanded over to the Trust in 2005. The amendmentwas placed on public exhibition in early 2007following extensive community consultation. As aconsequence of submissions received by the Trust, arevised draft amendment will be exhibited for publiccomment. Rehabilitation of the site will include openspaces, courtyards and urban parks, and theadaptive reuse of buildings, streets and wharves.The Trust adopted management plans for the formerSchool of Artillery and Middle Head. A draftmanagement plan for Macquarie Lightstation wasplaced on public exhibition. The management plan forWoolwich Dock and Parklands was amended andplaced on exhibition. The amendment related torevised plans for a function centre and café/restaurant.The environmental management of Trust sites is partand parcel of the planning process, project worksand public access. The remediation of contaminationcontinued on Cockatoo Island, at Woolwich Dockand Parklands and Georges Heights. A remediationaction plan was prepared for HMAS Platypus andpreliminary assessments made of remediation workrequired at the former School of Artillery. Remediationwork lays the foundation for sustainable planning andthe adaptive reuse of buildings and facilitiesconsistent with the principles of ecologicallysustainable development. The management ofbushland on various sites continued withrevegetation, noxious weed control and the repair ofwalking tracks. Fuel reduction and fire breaks andtrails formed part of the bushfire managementprogram. Feral animal management targetted rabbits,foxes and cats.The Trust’s team of volunteers was significantlyincreased during the year in anticipation of theopening of Cockatoo Island and the former School ofArtillery. Volunteers form the backbone of the Trust’scapacity to manage visitor centres, conduct toursand organise events. With the Trust’s tour guides andteacher guides, the volunteers show unflaggingcommitment and enthusiasm, and perform aninvaluable ambassadorial role.Trust staff levels have remained constant in the face ofincreasing demands on time and resources. Staffcontinue to demonstrate strong commitment to makingthe experience of Trust sites enjoyable and memorable.Finally, I must thank the Trustees for their unfailingsupport, strategic advice and guidance throughoutthe year.Geoff Bailey05 Annual Report 2006-07Photo: View from North Head of harbour and city skyline

Annual Report 2006-071 The Sydney Harbour Federation Trust06VisionTo provide a lasting legacy for the peopleof Australia by helping to create thefinest foreshore park in the world andprovide places that will greatly enrich thecultural life of the city and the nation.ObjectivesThe objects of the Sydney Harbour Federation Trustas set out in the legislation are to:• ensure that management of Trust landcontributes to enhancing the amenity of theSydney Harbour region;• protect, conserve and interpret the environmentaland heritage values of Trust land;• maximise public access to Trust land;• establish and manage suitable Trust land asa park on behalf of the Commonwealth as thenational government;• co-operate with other Commonwealth bodiesthat have a connection with any harbour land inmanaging that land; and• co-operate with New South Wales, affectedcouncils and the community in furthering theabove objects.FunctionsThe functions of the Sydney Harbour FederationTrust are to:• hold Trust land for and on behalf of theCommonwealth;• undertake community consultation on themanagement and conservation of Trust land;• develop draft plans in respect of Trust land andany other harbour land in furthering the objects,and performing other functions, of the Trust;• rehabilitate, remediate, develop, enhance andmanage Trust land, by itself or in co-operationwith other institutions or persons, in accordancewith the plans;• make recommendations to the Minister on:(a) plans; and(b) the proposed transfer of any Trust land;• promote appreciation of Trust land, in particular itsenvironmental and heritage values;• provide services and funding to otherCommonwealth bodies in furthering the objects,and performing other functions, of the Trust; and• anything incidental to or conducive to theperformance of its other functions.

The Sites07 Annual Report 2006-07Legislation and MinisterThe Trust was established by section 5 of the SydneyHarbour Federation Trust Act 2001 whichcommenced on 20 September 2001.The Minister for the Environment and WaterResources, the Hon Malcolm Turnbull, is theresponsible minister.Organisational StructureThe Trust is comprised of eight members appointedby the Minister. The affairs of the Trust are managed,subject to the directions of, and in accordance with,the policies of the Trust, by the Executive Director, MrGeoff Bailey.During the year the Trust operated from its offices atGeorges Heights, Mosman, Sydney.TrustExecutive DirectorCommunity ConsultationDeputy Executive DirectorDeputy Executive DirectorCorporate ServicesProperty Marketingand ManagementPlanning and ProjectsProject ManagementCockatoo IslandCommunicationsPhoto: Georges Head lookout, Mosman

Annual Report 2006-0708MembersMr Kevin McCann AM, ChairMr McCann is a non-executivedirector of the Trust. He is also anon-executive director of a numberof leading Australian listedcompanies. He is Chairman ofHealthscope Limited and OriginEnergy Limited, lead independentdirector of Macquarie Bank Limited and is a director ofBlueScope Steel Limited. He is a member of theCouncil of the National Library of Australia. Hepractised in corporate and commercial law as a partnerof Allens Arthur Robinson for 35 years and Chairman ofthe firm for 10 years. Mr McCann holds a Master ofLaws, Bachelor of Laws and a Bachelor of Arts. He isexperienced in finance and commercial matters.Mr Robert ConroyMr Conroy is a non-executivedirector, nominated by the NSWGovernment. Mr Conroy is DirectorCentral Branch, NSW Parks andWildlife Service, NSW Department ofEnvironment and Climate Change.He holds a Master of Management,Bachelor of Arts and a Diploma in EnvironmentalStudies. Through his 30 years with national parks MrConroy has been committed to the protection andimproved management of Australia’s environment.Ms Diana TaltyMs Talty is a non-executivedirector, nominated by the NSWGovernment. Ms Talty has wideranging experience in urban andwaterfront development throughher employment in the Office of theFederal Minister for Urban andRegional Development in 1970’s, the NSWDepartment of Planning, the Darling HarbourAuthority and now in the role of Executive Director,Major Projects for the Sydney Harbour ForeshoreAuthority. Ms Talty holds a Bachelor of Arts. In 2002she was awarded the NSW Government PublicService Medal in recognition of her contribution tothe Darling Harbour project.Photo: School excursion to one of the Trust’s sitesClr Susan HoopmannClr Hoopmann is a non-executivedirector. Clr Hoopmann is PopularlyElected Mayor of Hunters Hill, acompany director and chairsnumerous boards, committees andorganisations with wide-rangingresponsibilities such as traffic,conservation, planning and education. Clr Hoopmannchairs the seven Councils Insurance Pools(Metropool), is Vice Chair of the Northern SydneyRegion of Councils (NSROC) and is involved withvarious Local Government committees and charities.Clr Hoopmann is also a member of the Trust’s Auditand Risk Management Committee.Mr Peter Lowry OAMMr Lowry is a non-executivedirector, a law graduate and ischairman of a number of companiesinvolved in urban planning andresidential development, particularlyin the restoration of heritageprojects. His companies are alsoinvolved in the hospitality industry. He is a boardmember of the National Trust and the PlanningResearch Centre of the University of Sydney and is aMember of the Planning Institute of Australia and aFellow of the Australian Property Institute. He was aReserve Army officer. Mr Lowry is Chair of the Trust'sAudit and Risk Management Committee.Dr John Moriarty AMDr Moriarty is a non-executivedirector. Dr Moriarty holds aBachelor of Arts and was granted aChurchill Fellowship for overseasstudy on the history and culture ofindigenous peoples. He is chairmanand co-owner of Balarinji, thecountry’s leading indigenous art and design studio.Dr Moriarty has been in executive positions in theDepartments of Aboriginal Affairs for Commonwealthand state governments, and continues to hold boardpositions relating to indigenous issues. He is amember of the National Indigenous Council, anadvisory body to the Commonwealth Government.

Brigadier Kevin O’Brien CSC (ret)Brigadier O’Brien is a nonexecutivedirector who served attwo of the Trust sites during his 30years with the Australian Army.Brigadier O’Brien holds a Bachelorof Arts and a Diploma of Arts,Military Studies. He has studied themilitary and defence history of Australia and assistedin the restoration of heritage defence sites. He hasadvised on, and edited a book about, the defence ofSydney Harbour during World War II. BrigadierO’Brien was a Member of the Interim SydneyHarbour Federation Trust for 2 1 ⁄2 years. He is also theChair of the Trust’s Defence History SteeringCommittee, a member of the Trust’s Audit and RiskManagement Committee and the Members’representative on the Tender Review CommitteeThe Honourable Barry O’Keefe, AM QCThe Hon Barry O’Keefe is a nonexecutive director. He is a lawyer anduntil recently was a Judge of theSupreme Court of NSW. He was amember of Mosman Council from1968 until 1991, Mayor for ten ofthose years and President of theLocal Government Association from 1986 until 1988.In 1993 he was appointed as Chief Judge of theCommercial Division and an Additional Judge of Appealof the Supreme Court. In 1994 he was appointedCommissioner of the Independent Commission AgainstCorruption for the maximum statutory term of fiveyears, returning to judicial duties thereafter. Mr O'Keefewas President of the National Trust (NSW) from 1991until 2006 and was a Member of the Interim SydneyHarbour Federation Trust for 2 1 ⁄2 years before hisappointment as a Trustee in 2001.Outcome and Output StructureThe Trust has established a sub outcome under theEnvironment and Water Resources Portfolio Outcome 1.Environment and Water ResourcesPortfolio Outcome 1The environment, especially those aspects thatare matters of national significance, is protectedand conserved.Trust Sub OutcomeTrust lands on Sydney Harbour are conserved andenhanced for the benefit of present and futuregenerations of Australians.The following outputs will facilitate achievement ofthe required outcomes:Trust PlansManagement plans consistent with the Trust’sComprehensive Plan are prepared for Trust landsfollowing community consultation.Public InformationThe public is informed of the environmental and heritagesignificance of the Trust lands and access to them.Site ConservationTrust lands are progressively rehabilitated, conservedand made publicly accessible.09 Annual Report 2006-07

Annual Report 2006-072 Achievements and Initiatives10Trust PlansPerformance Indicators• Plans conform with best practice, have broadcommunity support and reflect input from theconsultative process.• Management plans are consistent with the Trust’sComprehensive Plan approved by the Minister.• Management plans are prepared and drafts exhibited.• Background studies or policies for significantheritage, environmental and transport mattersaffecting Trust lands are prepared.• The Community Advisory Committee andthe broader community provide input intothe planning process.Comprehensive PlanThe draft amendment to the Trust’s ComprehensivePlan to include HMAS Platypus was publiclyexhibited in early 2007. This followed the publicnotification of the Trust’s intention to amend the planunder Section 29 of the Trust’s Act, publicconsultation and the preparation of reference materialand background reports. The draft amendmentcontains a description of HMAS Platypus includingthe local planning context, an overview of its culturaland environmental significance and a description ofoutcomes. The exhibition of the draft amendmentattracted over 200 submissions. A revisedamendment will be made available for publiccomment in the latter half of 2007.Management PlansThe Management Plan for the former School ofArtillery, North Head, was approved by the Trust inJuly 2006. The plan proposes the creation of asanctuary on North Head involving all land managerson the headland. Works are underway to implementthe plan’s proposal for a network of paths providingwalking access to points of interest and adjoininglands. The Trust commissioned Australian WildlifeConservancy to prepare a management plan for theoperation of the sanctuary.The Management Plan for Middle Head was placed onpublic exhibition in November 2006 and adopted bythe Trust in June 2007. The preparation of the planinvolved consultation with adjoining landholders, theNavy and NSW National Parks and Wildlife Service.Following the review of submissions, the draft planwas revised to remove the proposal for a new buildingon the site of the two storey barracks. The adaptivereuse of buildings of the former Australian School ofPacific Administration (ASOPA) and 10 Terminal willretain the institutional character of the precinct and anetwork of pathways will open the site to the public.Assessment reports on flora and fauna, Aboriginalsites, contamination and services were completed aspart of the preparation of the plan.The draft Management Plan for MacquarieLightstation was placed on public exhibition in May2007. The plan will conserve and interpret the site’sheritage values and connect it to the sequence ofopen spaces along the cliff edge. The lighthouse willcontinue to operate as a navigation beacon and theplan aims to conserve and enhance the landmarkqualities of the site.An amendment to the Management Plan for WoolwichDock and Parklands was placed on public exhibition inJune 2007. The existing plan envisaged a single storeyfunction centre and café/restaurant on the waterfrontand the amendment proposed a two storeydevelopment to incorporate a Trust visitor andinformation centre. The amendment also provided foran overflow car parking capacity at the top of the dock.Photo: Northern aspect of Cockatoo Island

Background StudiesA range of studies commissioned by the Trustduring the year to inform the planning process islisted at Appendix 3.Community ConsultationThe Trust consults communities and liaises with keystakeholders on the planning and rehabilitation of itssites. Consultation activities ranged from formalcommittee meetings to workshops, open days,presentations, discussions and the exhibition of plans.This occurred in relation to the exhibition of plans forWoolwich Dock and Parklands (Amendment 1), HMASPlatypus, Middle Head and Macquarie Lightstation.The Trust’s Community Advisory Committee (CAC)provided advice in support of the planning process.Site subcommittees met nine times during the yearto provide feedback on and input into thedevelopment of site management plans.An open day was held at HMAS Platypus andincluded a display of landscape concept drawings bylandscape architectural students of the University ofNew South Wales. A re-union of ex-ASOPA staff andstudents was held at Middle Head to gatherinformation for the Conservation Management Planand the interpretation of the site. A communitybriefing day was held at Woolwich to present theworks program in the area and to answer questionsraised by members of the community.The Trust held and attended numerous formal andinformal meetings with key stakeholder groups,government agency staff, councils, local members,community organisations and individuals to discussissues concerning the planning for, and therehabilitation of the sites.The CAC newsletter was produced in August andNovember 2006 to provide members withinformation about current Trust activities andinitiatives, and to encourage feedback andcommunication between the members and the Trust.Current membership of the Community AdvisoryCommittee is provided in Appendix 2.Public InformationPerformance Indicators• Sound communication methods are used topromote Trust lands, activities and values.• Community awareness of the Trust and itsactivities increase through the promotion of tours,events and open days.• The Trust receives positive media coverage for allsignificant public events and planning activitiesand the media maintains an interest in the Trust.• Education, interpretive and public programs aredeveloped and implemented to promote Trustlands and their significance.• Partnership programs with institutions, neighboursand others are developed to promote Trust landsand their significance.• Schools education program is planned andimplemented.Communication ProgramThe Trust’s communication program involved a rangeof activities to increase public awareness of sites andto promote public access.The commencement of a regular, though limited,ferry service to Cockatoo Island effectively openedthe site to the public for the first time. Therefurbishment of the Muster Station at the ParramattaWharf entry to the island enabled the installation of avisitor orientation centre and a booking office. TheMuster Station has also been fitted out for a café.Communications activities on Cockatoo Island areguided by an interpretation strategy prepared duringthe year. The strategy articulated the interpretivegoals for the island and identified the overarchingthemes for telling the island’s story.At North Head, the Gatehouse building of the formerSchool of Artillery was refurbished as a visitor andeducation centre and contains an interpretiveexhibition of the headland’s natural and culturalhistory. Importantly, the centre promotes the conceptof a sanctuary on North Head.11 Annual Report 2006-07

Annual Report 2006-0712Events, Ceremonies and Open DaysIn July 2006, the Trust marked NAIDOC Week atLower Georges Heights with a performance bystudents of the National Aboriginal and Islander SkillsDevelopment Association (NAISDA), a photographicexhibition of indigenous involvement in the defenceforces (called Joining Up) and walking tours of thearea. The second Headland Park Art in the Open daywas held at Lower Georges Heights in Novemberand attracted a crowd of several thousand.Highlights included a program of talks by artists andcurators including Ken Done, an outdoor exhibition ofpaintings, bands and children’s activities. An openday at HMAS Platypus in November was held topromote the preparation of a draft plan for the site.The day included tours, bands, food and wine stalls,and an exhibition by landscape design students ofthe University of New South Wales. The draft planwas officially launched by the federal member forNorth Sydney, Joe Hockey, in January 2007.Legal title to the former School of Artillery on NorthHead was vested in the Commonwealth in January2007 until 2032 and marked by a handoverceremony on site. Participants included the federalmember for Warringah, Tony Abbott, the formerParliamentary Secretary for the Environment andHeritage, Greg Hunt, and the former NSW Ministerfor the Environment, Bob Debus. The transfer of titlewill enable the Trust to implement its plan for the site.In June, Tony Abbott officially opened the GatehouseVisitor Centre at the former School of Artillery. Thecentre is a focal point for visitors interested in thenatural and cultural heritage of North Head andincludes facilities for educational groups.The Trust facilitated an Anzac Day ceremony on theparade ground at Georges Heights. Open dayswere held at Macquarie Lighthouse to coincide withInternational Lighthouse Day and the FrenchRendezvous Festival. The Trust participated in Fetede la Musique, an annual international event thatcelebrates free live music in unusual places.A program of bands and musicians performedat Cockatoo Island.During the year, open days were organised as part ofthe preparation of management plans.Public ProgramsThe Trust undertook a volunteer recruitment driveduring the year in anticipation of a regular ferryservice to Cockatoo Island and opening the formerSchool of Artillery on North Head to the public. Thevolunteer force now stands at over 100 members.Recruitment entailed a comprehensive inductionprogram including site visits and training in first aid,occupational health and safety, fire control, customerservice, and guiding. Volunteers are an integral partof the Trust’s public programs and are responsible forguided tours of Chowder Bay-Georges Heights andmilitary lands at North Head. New areas of volunteeractivity are industrial machinery restoration andgardening, both conducted on Cockatoo Island. Inaddition, volunteers were trained to makepresentations on the Trust to community groups andothers. Of the 30 presentations made in the reportingperiod, volunteers were responsible for half.Volunteers continue to support bush regenerationprograms at Middle Head and North Head, andconduct interviews for the oral history program.Throughout the year, the Trust provided training andrefresher courses for guides and volunteers.The Muster Station at Cockatoo Island and theGatehouse Visitor Centre at North Head contributedto the interpretive component of public programs andaugmented the experience of visitors. During theyear, a soundscape was installed in the dogleg tunnelat Cockatoo Island.Temporary and permanent signage, and variousinterpretive panels, were produced for most sites toexplain projects and contribute to public accessibility.Photo: Joe Hockey MP at HMAS Platypus

PartnershipsThe Trust took part in Parks Week (15–22 October2006), Sydney Harbour Week (2–11 March 2007), theNational Trust Heritage Festival (3–18 March 2007) andSeniors Week (11–18 March 2007). Activities includedwalks, art classes, talks and open days.A major installation by Swiss artist Urs Fischer in theconvict precinct of Cockatoo Island was a product of apartnership between the Trust and Kaldor Art Projects.The installation was exhibited from 19 April to 3 June2007. The Trust sponsored an event of the SydneyWriters’ Festival in the convict workshop of CockatooIsland. The Australian author Thomas Kenneally wasone of the writers who took part in the event.A number of collaborations on Cockatoo Islandincluded Urban Islands, an international architecturalstudio/workshop organised by faculty members of theschool of architecture, University of Sydney and aworkshop of students of the Australian Graphic DesignAssociation. An exhibition of the students’ work wassubsequently held at the Powerhouse Museum.Seven sculptures were installed at Lower GeorgesHeights under an agreement with Sculpture by theSea Incorporated. An open day was held at ChowderBay showcasing the facilities and work of the SydneyHarbour Institute of Marine Science.The Trust is a member of the Sydney Urban ParksEducation and Research Group (Sydney Parks Group),established in 1998 to provide a strategic integratedapproach to urban park research in Sydney.School Excursion Program and SchoolHoliday ProgramThe Cockatoo Island school excursion programattracted almost 5,000 students, a 30 per centincrease over the previous year. Approximately 20per cent of the 68 schools that visited the islandwere repeat customers. Programs aligned to thesecondary school history and geography curriculaand the primary school human society and itsenvironment syllabus were presented by the Trust’steam of experienced teacher guides.In March 2007, the Trust hosted a NSW GeographyTeachers’ Association Conference on CockatooIsland. Some 40 secondary school teachers, all newto geography teaching, gained an appreciation ofCockatoo Island as an educational resource for thegeography curriculum. Sculpture workshops weretrialled at Lower Georges Heights in collaborationwith Sculpture by the Sea Incorporated.Development continued of a school excursionprogram at the former School of Artillery, North Head.A school holiday programs was held for youngchildren at Macquarie Lightstation and on CockatooIsland during the year. A children’s activities room atthe Gatehouse Visitor Centre, North Head, opened inJune 2007. The room contains books, posters,maps, specimens and other material on the naturalheritage of North Head.Publications and SignageOne issue of the Trust’s Update newsletter wasproduced and distributed to the mailing list. Theleasing process on various sites generated marketingbrochures and other material, site brochures werereprinted and two self guided tour brochures wereproduced for Cockatoo Island and the former Schoolof Artillery respectively.A range of signage was produced throughout theyear for all sites including temporary signage advisingof civil and other works, internal and externalinterpretive signage and panels, and directional andwayfinding signage.Media Relations and AdvertisingThe Trust continued to receive positive mediacoverage of its activities and maintains a goodworking relationship with both metropolitan andsuburban media.The Trust placed non-campaign advertising inmetropolitan and suburban newspapers to promoteevents, the exhibition of management plans andopen days, and to advertise guided tours.WebsiteIn 2006-2007, there were 192,810 visits to theHarbour Trust website (results based on “new usersessions”). The website meets the AustralianGovernment’s online accessibility standards.13 Annual Report 2006-07

Annual Report 2006-0714Site ConservationPerformance Indicators• Rehabilitation of land, buildings, infrastructure andequipment is consistent with conservation,environmental, heritage and cultural values andrelevant standards.• Trust lands and facilities meet workplace andpublic safety standards.• Further deterioration of Trust assets is minimised.• Undertake maintenance works at all sites.• Prepare and implement repair, maintenance andpublic safety work programs.• Remove and/or dispose of structures in line withthe Trust’s Comprehensive Plan.• Trust facilities are increasingly available for publicaccess and business and community use.Maintenance and Heritage ConservationThe Trust continued its ongoing maintenanceprogram to prevent further deterioration of the sitesand as part of the implementation of theComprehensive Plan. Providing safe public accesswas an ongoing focus of maintenance and heritageconservation as new areas were opened to thepublic. Recurrent work included security, bushregeneration, upkeep of grounds, maintenance of firesafety systems and building conservation.A list of maintenance and heritage conservationprojects undertaken by the Trust in 2006-07 isprovided in Appendix 4.Former School of Artillery, North HeadThe former School of Artillery, North Head, containsa collection of buildings surrounding the paradeground, sporting facilities and a large area ofremnant bushland. The site is mainly vacant andwhile many of the buildings generally are structurallysound, deterioration of the building fabric is broadlyevident. Ongoing repairs to the sewerage and watersupply systems were carried out during the yearalong with significant replacement works to upgradethe electricity supply.During the year, the walking track was extended toform a loop around the entire site. The track passesthrough heath and scrub, and affords views of theharbour, headlands, the ocean and foreshore suburbs.The refurbishment of the Gatehouse building wascompleted and houses a Visitor Centre, children’sactivities room, and offices and facilities for schoolgroups including a classroom. A traffic consultancywas undertaken for the Blue Fish Road carpark andinitial designs surveyed on-site. The consultancy alsoconsidered overall traffic circulation within the paradeground area including possible bus access. Clearanceof the carpark site was completed for the opening ofthe Visitor Centre and walking track in early June2007. A review was undertaken of repairs andupgrading required for the fire hydrant, water supply,sewer, stormwater, electrical and communicationsinfrastructure for the whole site. A new electrical substationwas installed and an agreement reached withNSW National Parks and Wildlife Service to upgradethe high voltage power supply to North Headpeninsula including the former School of Artillery.Tenders were called for consultants to undertake therestoration of the former medical and printingbuildings and a preliminary investigation wasundertaken of the former barracks building. Anumber of buildings were renovated and refurbishedto prepare them for tenant occupancy. Theseincluded the former Rodin Cutler building, Sergeants’Mess, Officers’ Mess and annex accommodation.Middle Head, Georges Heights and Chowder BayThe Middle Head, Georges Heights and ChowderBay precincts feature former training facilities,fortifications, depots, barracks and housingsurrounded by remnant Sydney Harbour bushland.Together they form Headland Park.A comprehensive program of upgrading site servicesat the former Training Command precinct at GeorgesHeights included the installation of an undergroundhigh voltage network, a new electrical sub-station,sewer and stormwater services, fire hydrant mains,and the commencement of work to realign SuakinDrive and the carpark adjacent to Georges Heightsoval. The program supported the refurbishment andfitout of buildings in the precinct to provide attractiveoffice and community uses space. The conversion ofthe 1913 Barracks building into a childcare centrewas commenced and largely completed.

At Georges Head, timber bench seating, perimeterlighting and safety grilles were installed at the lookoutand the area landscaped. Replica gun carriages werebuilt and installed in the batteries. Work on stormwaterretention and stonework was largely completed.The Chowder Bay wharf, tidal platform and storebuilding were repaired. The fitout for a second coffeebar was completed and work continues on the fitoutfor a restaurant in the Submarine Miners’ Depot.Preliminary investigations were undertaken into the useof the cable pit by one of the tenants. Planningcommenced on refurbishment of the former Sergeants’Mess and barracks building as a function centre andan outdoor educational organisation respectively. AtMiddle Head, design options for the Chowder Bayintersection and parking area were developed.Woolwich DockThe site of Woolwich Dock contains parkland, sheds,hardstand, workshops and the former dry dock.The Trust uses the site as an embarkation point forjourneys to and from Cockatoo Island by staff,contractors and consultants.During the year, electrical, water supply and sewageservices were upgraded. These works preceded thepreparation of a development application to HuntersHill Council for the realignment of the entry road toWoolwich Dock and associated carpark. Tenderswere called for the construction of a lookout inparkland above the dock cutting and workcommenced. Remediation of the Horse Paddock,the lookout and Goat Paddock was carried out andinvolved the removal of low level contamination andcapping. This project continues. Engineeringconsultants assessed damage to the seawall of theHorse Paddock and repairs required. The design ofwharf and docking facilities for the proposed functioncentre on the eastern apron of Woolwich Dock werecompleted. Tenders have been called for the project.Cockatoo IslandCockatoo Island is the largest island in SydneyHarbour and greatly modified through its uses aspenal settlement and maritime industrial site. Theisland contains remnants of an imperial convictprison, two dry docks, wharves, slipways, maritimebuildings, residences, a powerhouse, cranes, watertowers and tunnels.Photo: Hanging swamp on North HeadThe program of repair works on Cockatoo Islandcontinued during the year including joinery repairs to anumber of buildings and the removal from some 15buildings of asbestos cement roofing and lead paintedcorroded metal. The refurbishment of the Mould Loftcontinued throughout the year and includedconservation, new structural work, provision of servicesand the fitout of a new space for a café. Contractdocumentation for the conservation and adaptive reuseof the Drawing Office was completed in preparation fora call for tenders. The conservation of weatherboardbuildings on the southern apron for adaptive reuse asoffice accommodation was completed. Edwardianduplex houses on the island’s plateau were conservedand upgraded for residential use.The Muster Station at the Parramatta Wharf entrywas refurbished as a visitor orientation centre,booking office and café. Other work commenced atthe entry precinct included the replacement of sewer,water, stormwater, data and power services and theconstruction of access ramps and pavements.Construction commenced on the northern aproncampground and park. Contract documentation forthe provision of a new sewerage treatment plant forthe island was prepared and tenders were called forthe repair of sandstone seawalls at the north easternedge of the island. Geotechnical works commencedon the stabilisation of cliff faces and new cliff topsafety fencing was installed. Contract documentationwas prepared and tenders called for the constructionof a cliff top walk including cantilevered walkway andelevated turbine shed component.A number of the island’s marine access facilities wereupgraded. The original pontoon of the camber wharfwas reinstated to facilitate ferry access to the island.The roll on roll off ramp was repaired to assist bargeaccess. The work included the pavement of theaccess road and construction of seawalls. The timberbay wharf was upgraded for the berthing of 15 smallboats for tenants and contractors.A tender was let for heritage architectural servicesto prepare for the conservation of ‘Biloela’, thesandstone residence on the top of the island.A contract was let for the remediation of the upperplateau. Two gun carriages were constructed on theisland from recycled wharf timber and relocated tothe Georges Head gun emplacements.15 Annual Report 2006-07

Annual Report 2006-0716The Trust assisted the Department of theEnvironment and Water Resources in the nominationfor World Heritage Listing of the convict precinct ofCockatoo Island, one of 11 convict sites aroundAustralia included in the serial listing.Snapper IslandSnapper Island is Sydney Harbour’s smallest islandand comprises simple buildings, slipways, boatstorage and jetties. No major works were carried outduring the year following the upgrade of wharf andpontoon in the previous year.Macquarie LightstationMacquarie Lightstation is prominently situated on theharbour’s southern headland and is still used as anavigational aid. The management plan will overseethe interpretation of the site’s heritage and improveboth public access and the site’s visual qualities.Former Marine Biological StationThe former Marine Biological Station is a residentialhouse at 31 Pacific Street in Watsons Bay. Thestation includes a foreshore park connectingsuburban streets with Camp Cove beach. During theyear the selected tenant continued work to restorethe residence.HMAS PlatypusThe HMAS Platypus site contains buildings andworkshops adapted and used by the RoyalAustralian Navy since 1942. The wharf was built toaccommodate the berthing of submarines when thesite was officially commissioned in 1967 as the basefor the navy’s submarine fleet.During the year, the community was consulted on thepreparation of an amendment to the Trust’sComprehensive Plan to include the site. A key aspectof the amendment was the development of aremediation strategy for the site’s contamination. Toinform the strategy, a review of all existingcontamination reports was carried out and asupplementary environmental assessment wascompleted involving a program of site drilling,sampling and analysis.Environmental ManagementRemediationThe Trust undertook a range of projects to manageand remediate contamination on its sites.On Cockatoo Island, remediation action plans wereimplemented for the northern apron and plateauprecinct, and prepared for the eastern and southernapron precincts. The decontamination of buildingscontinued as part of major projects to conserve andrefurbish the building stock.At Woolwich, stage 1 of the remediation of this sitewas implemented with works carried out on theHorse Paddock and the lookout area.At Georges Heights, remediation works in line with anenvironmental assessment and remediation plans areclose to completion. These works dealt with Defencerelatedsoil contamination and preparation of areas forlandscaping. Remediation work was also carried outin the vicinity of the new childcare centre in the former1913 Barracks building on Suakin Drive and newcarpark areas, to meet planned environmentalobjectives and environmental audit requirements. Anenvironmental assessment was carried out at the siteof the former 1 Commando Company Headquartersin preparation for extensive landscaping.At North Head, work required to decontaminate theunderground plotting room was scoped andhazardous materials assessments were undertakenfor various buildings prior to leasing.Contaminated land audits were carried out forvarious remediation projects.Bushland ManagementBushland management continued at Middle Head,Georges Heights, Chowder Bay and North Head.This included extensive control of noxious and otherbushland weeds, bush track repairs, andrevegetation of degraded areas using localprovenance seedlings. Approximately 0.5 hectares ofpreviously mowed grass has been left to regenerateat North Head. An area of 0.5 hectares has beenrevegetated in an area where two houses weredemolished at Markham Close, Mosman. Thevolunteer Bushcare program continued fortnightly atArtillery Drive, North Head and CommonwealthAvenue, Georges Heights. The Trust worked withTAFE, Local Councils and NSW National Parks and

Wildlife Service to provide free training and educationto volunteers on topics such as plant identification,weed management, and native grass identification.The program included a popular Banksia Scrubbushwalk at North Head in September 2006. BirdsAustralia continued bi-monthly monitoring ofbushland at North Head, expanding the knowledgeof avian fauna on this site including the recording ofpreviously unrecorded and rare species. A plantingday was held at Woolwich Dock Goat Paddock onNational Tree Day, 31 July 2006. Twenty-five localvolunteers planted over 300 native tubestock in bareareas of the site.Bushfire ManagementIn the 2006-07 fire season, fuel reduction andslashing of fire breaks and trails were carried outadjacent to buildings and structures at the NorthHead and Mosman bushland sites. A program of fuelreduction and selective clearance of woodyvegetation continues to be carried out within theThird Quarantine Cemetery (North Head) as part ofthe Conservation Management Plan for the site. ANorth Head Bushfire Management Plan wasproduced by NSW National Parks and WildlifeService on behalf of North Head stakeholders in late2006 to guide future ecological burns and hazardreduction activities. The Trust revised its BushfireManagement Plan for its Mosman sites to takeaccount of changed land uses. The Trust continuedworking with neighbouring landholders through thestatutory Manly-Mosman-North Sydney DistrictBushfire Management Committee.Feral Animal ManagementThe Trust continued to work with local Governmentand NSW National Parks and Wildlife Service toprovide a co-ordinated approach to management offeral animals at the North Head and Mosman sites.A quarterly program of monitoring and shootingcontinued to reduce rabbit population levels, and theTrust continued its involvement in the Northern SydneyRegional Fox Control Program. Regular bandicootsurveying by NSW National Parks and Wildlife Servicecontinued across North Head with results showing arelatively stable population size. Feral cats andchickens were also targeted at North Head.Photo: Guided Tour on Cockatoo IslandEcologically Sustainable DevelopmentThe principles of ecologically sustainable development(ESD) constitute a key policy objective of the Trust,underpinning site rehabilitation, planning and publicinformation activities. The Comprehensive Plancontains a commitment to ESD, and managementplans are formulated taking into account ESDoutcomes. All Trust objectives and policies areconsidered fundamental to the achievement of ESD –including biodiversity conservation, bushlandconservation, management of native and introducedanimals, water quality and catchment protection,transport management and air quality, bushfiremanagement, Aboriginal and cultural heritage.The preparation of management plans for sites andprecincts within sites safeguarded the heritage andenvironmental values of lands in accord with therequirements of the Environment Protection andBiodiversity Conservation (EPBC) Act 1999 and theTrust’s ESD policy. Conservation management plans,remediation plans and other project planning allowfor specific ESD objectives to be achieved on aplanned basis. Public programs and communityconsultation continued to emphasise the importanceof the environmental and heritage values of the sites.Planning outcomes provide for maximum publicaccess and the adaptive re-use of Trust lands inways that protect and conserve the naturalenvironment and promote ecological sustainability.Site conservation and environmental projects arecarried out to remediate environmental degradationand impacts of past practices to establish a soundbasis for sustainable development and adaptive re-use.Specific examples of projects carried out in thereporting period include:• Ongoing bush regeneration and revegetation;• Preparation of remediation action plan forHMAS Platypus;• Recycling of green waste;• Ongoing removal of pollutant sources includingtanks, lead paint, asbestos and grosscontaminated wastes in pits and lines;• Ongoing recycling of wastes such as metals,timber and demolition product;17 Annual Report 2006-07

Annual Report 2006-0718• Preparation of environmental management plans forspecific projects and for ongoing site management;• Environmental objectives written into buildingdemolition contracts including environmentalimpacts – noise, dust, sediment and erosion;• On Cockatoo Island:– water minimisation plumbing fixtures– timed flow water fittings– solar heated showers– waterless urinals– low energy light fittings and movement sensors– installation of recycled water system– recycling of salvaged timber for joinery repairsand new construction– use of mixed mode air-conditioning– improvement in thermal performance of buildingthrough the use of natural ventilation, insulationsolar shading and high performance glazing– adaptive use of industrial materials byincorporation into new works– minimization of transport through retention ofmaterials in landscape containment cells– Renewable energy test facility in partnershipwith University of New South Wales;• Water harvesting introduced at Georges Heightsand an overall site system being investigated;• Modest office recycling;• Car fleet includes two hybrid and two gaspowered vehicles.The long-term leasing of buildings and facilities willcontribute to the economic sustainability of Trustlands, promote public access and interaction, andensure inter-generational equity.Public AccessPublic access to Trust sites increased significantly inthe reporting period, notably with the opening ofCockatoo Island. Planning and project activitycontinued to reflect the importance of public accessin the implementation of the Comprehensive Plan.Interim UseTrust properties continued to be used for interimuses including events, functions, filming, boatbuilding and storage. A full list of interim uses isprovided in Appendix 5.Leasing and LicensingDuring the year, the Trust reached an importantmilestone of leasing or licensing over 100 buildingswithin its portfolio of approximately 220 buildingscurrently available for adaptive re-use. On sites wherelandscaping, infrastructure and amenityimprovements have been completed, leasingdemand has been strong. Rents achieved reflectboth the special qualities of each site and a trend inthe property leasing sector towards a greater focuson lifestyle within the workplace.At Chowder Bay, the renamed Sydney Institute ofMarine Science (SIMS) completed work on areticulated seawater system to support a range ofaquarium-based research projects. Dry lab facilitieswere installed and the theatre was fitted out with newseating and audio visual equipment. The AustralianMuseum, the University of Newcastle and theUniversity of Wollongong joined the four foundingmembers of SIMS as Associate Members, andsignificant funding for an important new oceancurrent monitoring project was obtained.A further building at Chowder Bay has been leasedto the University of New South Wales for marineresearch, and a kayak hire business is beingestablished to complement the existing diving andsnorkeling operator. The two existing café outlets aretrading well. Leasing terms have now been agreedwith The Tea Room Pty Ltd to establish a functioncentre in Building 20, and a restaurant operated bythe owners of Aqua Dining at Milsons Point is due toopen in the mid level of the Submarine Miners’ Depotin August 2007. Lands Edge, an outdoor trainingprovider, will occupy Building 1 at Chowder Bay foruse as school and student accommodationsupporting residential educational and adventurecourses for children. A boutique hotel operator isnow being sought to occupy the last buildingavailable for lease at Chowder Bay. The successfulblend of adaptive re-uses at Chowder Bay nowserves as a model for other Trust sites.

Training Command at Georges Heights underwent acompetitive Request for Proposals process in April2007 and the newly refurbished WRAAC buildingswere in strong demand for office, serviced office,production studio and fitness uses. The first tenantswill commence their tenancies in July 2007, whilstthe former WW1 hospital buildings are expected tobe leased progressively during 2007 as buildingworks are completed.At Georges Head, Sally’s Place long day care centreis scheduled to open in July 2007. The Tea RoomGunners’ Barracks continues to be a popular venuefor lunches and functions. A new café will commenceoperations at the former All Ranks Club at LowerGeorges Heights in July 2007, operated by theowners of the Barn Café in Rozelle. The strongcommunity focus of the owners should facilitate arange of public events and activities and help toactivate this arts precinct.Yacht building and repair operations are now in fullswing at Woolwich Dock. This site has now hosted theconstruction or fitting out of the last three winners ofSydney to Hobart yacht race line honours: Nicorette(2004) and Wild Oats XI (2005 and 2006). TenantsMurlan Noakes are now preparing to establish awaterfront café and function centre which will alsocontain interpretive facilities managed by the Trust.The Request for Proposals to lease buildings at theFormer School of Artillery, North Head was extendedto 12 weeks to reflect strong local interest in the site.Proposals have been sought which reflect thesignificant built and natural heritage of the site andthe creation of the North Head Sanctuary. Theseproposals will be considered in the latter half of 2007.In the meantime the Trust has licensed a number ofbuildings at North Head to the Australian Institute ofPolice Management while its existing site at NorthHead is undergoing refurbishment.Leasing and licensing activity on Cockatoo Island isdependent on a full ferry service, strong land andwater-based logistical support, a steady stream ofvisitors and an active events program. A significantstep in this direction was taken with thecommencement in April 2006 of a limited ferryservice to the island provided by Sydney Ferries. Theresultant visitation of up to 1,000 people per weekhas encouraged service providers to considerestablishing a presence on the island. The MusterStation Café will be the first of these services, with aplanned opening in July 2007, to be closely followedby a bar in Building 137. The opening of CockatooIsland camping in late 2007 on the island’s northernapron will be a significant boost to demand forfurther island facilities, while the progressiverefurbishment of houses on the island will providehigh quality accommodation for lease.Leasing and licensing activity at Middle Head (ASOPAand 10 Terminal) and HMAS Platypus will notcommence until the respective management planshave been approved. The now established Requestfor Proposals process will be followed in each case.The Trust continued to license its buildings and sitesfor a range of activities including weddings, productlaunches, filming, sports, coach building, candlemaking and art education. The Trust’s residentialportfolio of 53 houses is currently fully leased in astrong Sydney residential leasing market.Photo: Gun emplacement Georges Head, Mosman19 Annual Report 2006-07

Annual Report 2006-073 Operational Aspects20Corporate GovernanceThe affairs of the Trust are managed by the ExecutiveDirector subject to the directions of the Trust and inaccordance with the policies determined by the Trust.Members’ MeetingsThere were seven meetings of the Trust in the 2006-2007 financial year, two of which were open to thepublic. Under the Trust’s enabling legislation the Trustmust meet at least four times a year and at least twoof the meetings have to be open to the public.Members attended as follows:The members of the Audit and Risk ManagementCommittee during the 2006-2007 financial year were:Mr P LowryTrust member and Chair of the committee.Clr Susan HoopmannTrust member.Brigadier Kevin O’Brien (ret.)Trust member.There were two Audit and Risk ManagementCommittee meetings held during the 2006-2007financial year with members attending as follows:MemberNumber ofmeetings attendedMr K McCann, Chair 7Mr R Conroy 6Ms D Talty 5Clr S Hoopmann 7Mr P Lowry 7Dr J Moriarty 7Brigadier K O’Brien 6The Hon B O’Keefe 6Audit and Risk Management CommitteeThe functions of the Audit and Risk ManagementCommittee include:• Assisting the Trust to comply with its statutoryobligations;• Providing a forum for communications betweenthe Trust, the Executive Director, senior managersand internal and external auditors; and to oversee:– Effective identification and management of risks;– Reliable financial and management reporting;– Compliance with applicable laws and regulations;– Maintenance of an effective and efficientaudit service;– Effective fraud prevention and control measures.MemberNumber ofmeetings attendedMr P Lowry, Chair 2Clr S Hoopmann 2Brigadier K O’Brien (ret) 2Walter Turnbull conducted two internal audits duringthe reporting period:• Follow-up audit of recommendations ofprevious audits;• Business risk assessment.Finance CommitteeIn 2006-07, the Trust established a Finance Committee.The purpose of the committee is to provide a detailedreview of proposed budgets for the Trust and addressany specific financial issues raised by the Trust. Thecommittee recommends amendments to the proposedbudget and its acceptance.The members of the Finance Committee during the2006-07 financial year were:Mr K McCannTrust Chairman and Chair of the Committee.The Hon B O’KeefeTrust member.

Heading Level OneThere were two Finance Committee meetings heldduring the 2006-2007 financial year with membersattending as follows:MemberNumber ofmeetings attendedMr K McCann 2The Hon B O’Keefe 2Aboriginal Issues CommitteeThe Committee did not meet during the reporting period.Community Advisory CommitteeSite sub-committees of the Community AdvisoryCommittee met nine times during the reporting period.The names of the members are provided in Appendix 2.Tender Review CommitteeThe Trust nominated Brigadier Kevin O’Brien as themembers’ representative on the committee which isconvened as required. Mr Peter Lowry is also arepresentative when required. The committee,which considers tenders estimated to be in excessof $80,000, reviewed six tenders during thereporting period.Defence History Steering CommitteeThe committee met twice during the reporting period.North Head Scientific CommitteeThe committee met once during the reporting period.Fraud ControlThe Trust has in place appropriate fraud riskassessment and control mechanisms which areoverseen by the Audit and Risk ManagementCommittee, in accordance with the CommonwealthFraud Control Guidelines.Indemnities and Insurance Premiums for OfficersThe Trust has taken out Directors and Officers’liability insurance with Comcover, the Trust’s insurers.The Trust did not provide any indemnities to directorsor officers in respect of liabilities or claims againstthem during 2006-2007.Photo: School group on Cockatoo IslandFinancial PerformanceThe Trust received total Government appropriationof $22.619m comprising $1.619m in departmentalappropriation and $21.0m capital equity injection.Revenue was also generated from the rental of Trustproperties, licences for the hire of Trust sites andfacilities, tour fees, and a grant from the NaturalHeritage Fund for environmental works.The primary emphasis for the organisation was oncontinuing the implementation of the ComprehensivePlan for the Trust sites. Funds were expended on themanagement, maintenance and operation of the sitesand a range of planning, conservation andrehabilitation projects in line with the plan.Financial OutcomesOperating OutcomeDuring the financial year 2006-2007, incomeincluding revenue from the Government, was$8.998m and operating expenses were $11.777mresulting in an operating deficit of $2.779m.IncomeTotal income of $8.998m was $0.879m abovebudget (PBS 2006-2007). This was primarily due tothe inclusion of revenue generated by rental returnsand interest.EquityThe Trust’s total equity increased by $81.4m to$201.8m.AssetsThe value of Trust assets increased by $83.0m to$207.6m primarily due to building works undertakenduring the year, the transfer of North Head land andbuildings to the Trust and the revaluation of the landand buildings.Total LiabilitiesThe Trust’s total liabilities for trade creditors andprepayments increased by $1.59m from the previousyear to $5.0m.Cashflow StatementOverall, there was an increase in the Trust’s cashbalance of $14.7m to $49.2m as at 30 June 2007.The Trust holds cash to meet existing liabilities andfund commitments for works.21 Annual Report 2006-07

Annual Report 2006-07Heading Level One22PurchasingStaff TrainingPhoto: Cockatoo IslandThe Trust’s Purchasing Guidelines and FinancialInstructions for the purchase of goods and servicesare consistent with the Commonwealth ProcurementGuidelines. Consideration is given to energy efficientand recycled and recyclable products when makingpurchasing decisions.Consultants and CompetitiveTendering and ContractingThe Trust engaged 104 consultants at a cost of$5,589.66m to provide specialist advice onplanning, business matters, communityconsultation, conservation, design, environmental,finance and risk management, communications andother technical aspects relating to the sites. Thenature of the sites, buildings and equipment meanthat it is not possible to employ staff with the widevariety of specialist skills that are required.Training sessions or workshops involving all orsignificant numbers of Trust staff were conductedas follows:• First Aid;• Fire Safety – Evacuation Procedures;• Corporate Governance;• Contract Administration;• Heritage Conservation;• Information Technology Training;• Insurance and Risk Management.StaffingStaff of the Trust are engaged under section 48 ofthe Sydney Harbour Federation Trust Act 2001.Staff are engaged on terms and conditions containedin Trust Determination No.1 of 2006 that are similarto those in public sector certified agreements. TheTrust’s staffing level for the year was 48 comprising48 full-time with a total of 4 staff leaving during thereporting period:Classification Male Female Full-time Part-time Ongoing Non-ongoing CasualExecutive Director 1 0 1 0 0 1 0Senior Executive 5 2 7 0 7 0 0Executive Level 2 5 6 11 0 9 2 0Executive Level 1 5 2 7 0 4 3 0Level 6 3 4 7 0 5 2 0Level 5 3 4 7 0 3 4 0Level 4 2 4 6 0 0 6 0Level 3 0 1 1 0 0 1 0Level 1-2 0 1 1 0 0 1 0Total 24 24 48 0 28 20 0

Heading Level OneAccess and SafetyRisk Assessment and ManagementThe Trust has developed an overall riskmanagement framework. Risk assessment is nowan integral part of all new projects and events thatthe Trust undertakes.Occupational Health and SafetyThe Trust appointed an Occupational Health andSafety Committee which monitors occupational healthand safety and risk management within the Trust. Thefollowing actions were undertaken during the year:• Staff received training in manual handling andworkplace safety;• Staff members undertook first aid training;• Regular site safety inspections carried out;• Risk assessments conducted for all events.There were no recorded OH&S incidents in thereporting period. There were three compensableinjuries, one of which was on-going. The Trustreviews all incidents to identify and implementrelevant preventative action.Providing Access to People With DisabilitiesThe Trust is implementing the CommonwealthDisability Strategy in its day-to-day operations and aspart of the Comprehensive Plan for its sites. It is akey consideration in designing roads, paths, carparks and providing access to buildings.Judicial Decisions and Reviewsby Outside BodiesThere were no judicial decisions or decisions of otheradministrative appeals tribunals that have had asignificant impact on the operations of the Trust.There were no reports on the operations of the Trustby the Auditor-General (other than the report on thefinancial statements) or reports by a parliamentarycommittee. There was one report received from theCommonwealth Ombudsman.Effects of Ministerial DirectionsThe Sydney Harbour Federation Trust Act 2001requires that the annual report must include “the textof all directions, and reasons for directions, given bythe Minister to the Trust under section 9 during theperiod to which the report relates”. There were noMinisterial directions given to the Trust during thereporting period.For the purposes of the Commonwealth Authoritiesand Companies Act 1997 (paragraph 16(1)(c)), theTrust provided a Compliance Report to the Ministerand the Finance Minister for the reporting period.23 Annual Report 2006-07

Annual Report 2006-07Independent Auditor’s Report24Australian National Audit OfficePO Box A456Sydney South NSW 1235130 Elizabeth StreetSYDNEY NSWPhone (02) 9367 7100Fax (02) 9367 7102To the Minister for the Environment and Water ResourcesScopeWe have audited the accompanying financialstatements of the Sydney Harbour Federation Trustfor the year ended 30 June 2007. The financialstatements comprise: a statement by Directors,Chief Executive and Director Corporate Services;income statement; balance sheet; statement ofchanges in equity; statement of cash flows;schedules of commitments and contingencies; asummary of significant accounting policies, andother explanatory notes.The Responsibility of the Directors for theFinancial StatementsThe Directors are responsible for the preparation andfair presentation of the financial statements inaccordance with Finance Minister’s Orders madeunder the Commonwealth Authorities andCompanies Act 1997 and Australian AccountingStandards (including Australian AccountingInterpretations). This responsibility includesestablishing and maintaining internal controls relevantto the preparation and fair presentation of thefinancial statements that are free from materialmisstatement, whether due to fraud or error;selecting and applying appropriate accountingpolicies; and making accounting estimates that arereasonable in the circumstances.Auditor’s ResponsibilityMy responsibility is to express an opinion on thefinancial statements based on our audit. Our audithas been conducted in accordance with AustralianNational Audit Office Auditing Standards, whichincorporate Australian Auditing Standards. TheseAuditing Standards require that we comply withrelevant ethical requirements relating to auditengagements and plan and perform the audit toobtain reasonable assurance whether the financialstatements are free from material misstatement.An audit involves performing procedures to obtainaudit evidence about the amounts and disclosures inthe financial statements. The procedures selecteddepend on the auditor’s judgement, including theassessment of the risks of material misstatement ofthe financial statements, whether due to fraud orerror. In making those risk assessments, the auditorconsiders internal control relevant to the SydneyHarbour Federation Trust’s preparation and fairpresentation of the financial statements in designingaudit procedures that are appropriate in thecircumstances, but not for the purpose ofexpressing an opinion on the effectiveness of theSydney Harbour Federation Trust’s internal control.An audit also includes evaluating theappropriateness of accounting policies used and thereasonableness of accounting estimates made bythe Directors, as well as evaluating the overallpresentation of the financial statements.

Heading Level One25 Annual Report 2006-07I believe that the audit evidence we have obtained issufficient and appropriate to provide a basis for myaudit opinion.IndependenceIn conducting the audit, we have followed theindependence requirements of the Australian NationalAudit Office, which incorporate the ethicalrequirements of the Australian accounting profession.Auditor’s OpinionIn my opinion, the financial statements of the SydneyHarbour Federation Trust;(a) have been prepared in accordance withFinance Minister’s Orders made under theCommonwealth Authorities and Companies Act1997 and Australian Accounting Standards(including Australian AccountingInterpretations); and(b) give a true and fair view of the matters requiredby the Finance Minister’s Orders including theSydney Harbour Federation Trust’s financialposition as at 30 June 2007 and of its financialperformance and its cash flows for the yearthen ended.Australian National Audit OfficeP HincheySenior Director Delegate of the Auditor-GeneralSydney 18 September 2007

Financial Statement 2006-07Financial Statements26Table of Contents26 Statement by Directors, Chief Executiveand Director Corporate Services27 Income Statement28 Balance Sheet29 Cash Flow Statement30 Statement of Changes in Equity31 Schedule of Commitments32 Schedule of Contingencies33 Notes to and forming partof the Financial StatementsStatement by Directors, Chief Executiveand Director Corporate ServicesIn our opinion, the attached financial statements forthe year ended 30 June 2007 are based on properlymaintained financial records and give a true and fairview of the matters required by the Finance Minister’sOrders made under the Commonwealth Authoritiesand Companies Act 1997.In our opinion, at the date of this statement, there arereasonable grounds to believe that the Trust will beable to pay its debts as and when they become dueand payable.This Statement is made in accordance with aresolution of the directors.SignedKevin McCannChairperson18 September 2007SignedPeter LowryDirector18 September 2007SignedNick HolloActing Executive Director18 September 2007SignedAndrew FreeActing Director Corporate Services18 September 2007

Income Statement for the year ended 30 June 2007Notes 2007 2006$’000 $’000INCOMERevenueRevenues from Government 3A 1,619 3,151Sale of goods and rendering of services 3B 206 209Interest 3C 2,932 1,469Rental income 3D 3,241 2,420Other 3E 1,000 1,286Total Revenue 8,998 8,535GainsNet gains from sale of property 3F - 5,919Total Gains - 5,919TOTAL INCOME 8,998 14,454EXPENSESEmployee benefits 4A 4,555 4,149Suppliers 4B 6,938 7,296Depreciation 4C 268 264Write-down of assets 4D 16 -Total expenses 11,777 11,709Surplus (Deficit) attributable to the Australian Government (2,779) 2,74527 Financial Statement 2006-07The above statement should be read in conjunction with the accompanying notes.

Financial Statement 2006-07Balance Sheet as at 30 June 200728Notes 2007 2006$’000 $’000ASSETSFinancial assetsCash and cash equivalents 5A 49,184 34,413Trade and other receivables 5B 1,654 15,068Total Financial assets 50,838 49,481Non-financial assetsLand and buildings 6A,D 112,226 50,831Infrastructure, plant & equipment 6B,D 1,156 1,237Heritage and collections 6C,D 43,186 22,849Intangibles 6D,E 15 18Inventories 6F 56 38Other non-financial assets 6G 175 189Total Non-Financial assets 156,814 75,162Total Assets 207,652 124,643LIABILITIESPayablesSuppliers 7A 2,156 1,247Other payables 7B 2,871 2,194Total payables 5,027 3,441ProvisionsEmployees 8A 784 785Total provisions 784 785Total liabilities 5,811 4,226NET ASSETS 201,841 120,417EQUITYContributed equity 186,820 109,485Reserves 6,868 -Retained surpluses 8,153 10,932Total equity 201,841 120,417Current assets 50,841 49,486Non-current assets 156,811 75,157Current liabilities 3,736 3,889Non-current liabilities 2,075 337The above statement should be read in conjunction with the accompanying notes.

Cash Flow Statement for the year ended 30 June 2007Notes 2007 2006$’000 $’000OPERATING ACTIVITIESCash receivedGoods and Services 14,318 3,224Appropriations 1,619 3,151Rents 3,277 2,420Interest 2,824 1,469GST received from ATO 1,705 1,082Other 1,100 1,110Total cash received 24,843 12,456Cash usedEmployees (4,978) (4,426)Suppliers (7,393) (7,901)Total cash used (12,371) (12,327)Net cash from operating activities 9 12,472 129INVESTING ACTIVITIESCash usedPurchase of property, plant and equipment (18,701) (10,163)Total cash used (18,701) (10,163)Net cash used by investing activities (18,701) (10,163)FINANCING ACTIVITIESCash receivedAppropriations - Contributed equity 21,000 20,500Total cash received 21,000 20,500Net cash from financing activities 21,000 20,500Net increase in cash held 14,771 10,466Cash at the beginning of the reporting period 34,413 23,947Cash at the end of the reporting period 5A 49,184 34,41329 Financial Statement 2006-07The above statement should be read in conjunction with the accompanying notes.

Financial Statement 2006-07Statement of Changes in Equity for the year ended 30 June 200730Accumulated Asset Revaluation Contributed TotalResults Reserve Equity Equity2007 2006 2007 2006 2007 2006 2007 2006$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000Opening Balance 10,932 7,612 - - 109,485 88,985 120,417 96,597Adjustment for errors - -Adjustment for changes in - -Accounting policies - -Opening Balance 10,932 7,612 - - 109,485 88,985 120,417 96,597Income and ExpenseReclassification of assets - 575 - - - - - 575Subtotal income and expensesrecognised directly in equity - 575 - - - - - 575Surplus (Deficit) for the period (2,779) 2,745 - - - - (2,779) 2,745Total income and expense (2,779) 3,320 - - - - (2,779) 3,320Asset revaluations - - 6,868 - - - 6,868 -Contributions by owner:Appropriation (equity injection) - - - - 21,000 20,500 21,000 20,500Other (assets transferred in):Land and buildings - - - - 49,664 - 49,664 -Heritage & collections - - - - 6,671 - 6,671 -Sub-total Transactions with Owners - - 6,868 - 77,335 20,500 84,203 20,500Closing balance at 30 June 8,153 10,932 6,868 - 186,820 109,485 201,841 120,417The above statement should be read in conjunction with the accompanying notes.

Schedule of Commitments as at 30 June 2007Notes 2007 2006$’000 $’000BY TYPECapital commitmentsBuildings 1 12,141 572Total capital commitments 12,141 572Other CommitmentsOperating leases 2 36 54Project commitments 3 2,592 581Other commitments 4 3,463 2,533Total other commitments 6,091 3,168Commitments receivable 5 (6,644) (5,708)Net commitments by Type 11,588 (1,968)BY MATURITYCapital CommitmentsOne year or less 12,141 572Total Capital Commitments 12,141 572Operating Lease CommitmentsOne year or less 32 34From one to five years 4 20Total Operating Lease Commitments 36 54Other CommitmentsOne year or less 5,725 2,708From one to five years 330 406Total Other Commitments 6,055 3,114Commitments receivable 5 (6,644) (5,708)Net commitments by Maturity 11,588 (1,968)31 Financial Statement 2006-07NB: Commitments are GST inclusive where relevant.1 Outstanding contractual payments for remediation of buildings.2 Operating leases included are effectively non-cancellable and comprise:Nature of leasemotor vehiclesGeneral description of leasing arrangement• no contingent rentals exist;• there are no renewal or purchase options available to the Trust.3 Project commitments comprise contracts for rehabilitation and conservation works at Trust sites.4 Other commitments are amounts payable under supply contracts.5 Commitments receivable consists of tenant lease payments due from the leasing of Trust buildings, plusGST receivable.The above statement should be read in conjunction with the accompanying notes.

Financial Statement 2006-07Schedule of Contingencies as at 30 June 200732There were no contingencies required to be disclosed for the year ended 30 June 2007 (2005/06 - Nil).Details of contingent liabilities not disclosed because they cannot be quantified or are considered remote,are shown in Note 10: Contingent Liabilities and Assets.The above statement should be read in conjunction with the accompanying notes.

Notes to and forming partof the Financial Statements for the year ended 30 June 2007NoteDescription33 Financial Statement 2006-07Note 1:Note 2:Note 3:Note 4:Note 5:Note 6:Note 7:Note 8:Note 9:Note 10:Note 11:Note 12:Note 13:Note 14:Note 15:Note 16:Note 17:Summary of Significant Accounting PoliciesEvents after the Balance Sheet DateIncomeOperating ExpensesFinancial AssetsNon-financial AssetsPayablesProvisionsCash Flow ReconciliationContingent Liabilities and AssetsDirector RemunerationExecutive RemunerationRemuneration of AuditorsAverage Staffing LevelsFinancial InstrumentsAppropriationsReporting of Outcomes

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200734Note 1: Summary of SignificantAccounting Policies1.1 Basis of Preparation of the Financial StatementsThe financial statements are required by clause 1(b)of Schedule 1 to the Commonwealth Authorities andCompanies Act 1997 and are a general purposefinancial report.The continued existence of the Sydney HarbourFederation Trust (the Trust) in its present form and withits present programs is dependent on Governmentpolicy and on continuing appropriations by Parliamentfor the Trust’s administration and programs.The statements have been prepared in accordance with:• Finance Minister’s Orders (or FMOs, being theCommonwealth Authorities and CompaniesOrders (Financial Statements for reporting periodsending on or after 1 July 2006));• Australian Accounting Standards issued by theAustralian Accounting Standards Board that applyfor the reporting period; and• Interpretations issued by the AASB and UIG thatapply for the reporting period.The Income Statement, Balance Sheet and Statementof Changes in Equity have been prepared on anaccrual basis and are in accordance with the historicalcost convention, except for certain assets andliabilities, which as noted, are at fair value. Exceptwhere stated, no allowance is made for the effect ofchanging prices on the result or the financial position.The financial report is presented in Australian dollarsand values are rounded to the nearest thousanddollars unless disclosure of the full amount isspecifically required.Unless alternative treatment is specifically required byan accounting standard, assets and liabilities arerecognised in the Balance Sheet when and onlywhen it is probable that future economic benefits willflow and the amounts of the assets or liabilities canbe reliably measured. However, assets and liabilitiesarising under agreements equally proportionatelyunperformed are not recognised unless required byan Accounting Standard. Liabilities and assets thatare unrealised are reported in the Schedule ofCommitments and the Schedule of Contingenciesother than unquantifiable or remote contingencies,which are reported at Note 10.Unless alternative treatment is specifically required byan accounting standard, revenues and expenses arerecognised in the Income Statement when and onlywhen the flow or consumption or loss of economicbenefits has occurred and can be reliably measured.1.2 Significant Accounting Judgementsand EstimatesIn the process of applying the accounting policieslisted in this note, there are no significant impacts onthe amounts recorded in the financial statements.No accounting assumptions or estimates have beenidentified that have a significant risk of causing amaterial adjustment to carrying amounts of assetsand liabilities within the next accounting period.1.3 Statement of ComplianceAustralian Accounting Standards require a statementof compliance with International Financial ReportingStandards (IFRSs) to be made where the financialreport complies with these standards. SomeAustralian equivalents to IFRSs and other AustralianAccounting Standards contain requirements specificto not-for-profit entities that are inconsistent withIFRS requirements.The Trust is a not-for-profit entity and has appliedthese requirements, so while this financial reportcomplies with Australian Accounting Standardsincluding Australian Equivalents to InternationalFinancial Reporting Standards (AEIFRSs) it cannotmake this statement.The AASB has issued amendments to existingstandards, which are not effective at the reportingdate. The Trust intends to adopt all standards upontheir application date. As at the reporting date, thereis no expected affect from application of thesestandards.1.4 RevenueRevenue from the sale of goods is recognised when:• The risks and rewards of ownership have beentransferred to the buyer;• The seller retains no managerial involvement noreffective control over the goods;

• The revenue and transaction costs incurred canbe reliably measured; and• It is probable that the economic benefits associatedwith the transaction will flow to the entity.Revenue from rendering of services is recognised byreference to the stage of completion of contracts atthe reporting date. The revenue is recognised when:• The amount of revenue, stage of completion andtransaction costs incurred can be reliablymeasured; and• The probable economic benefits with thetransaction will flow to the entity.The stage of completion of contracts at the reportingdate is determined by reference to the proportionthat costs incurred to date bear to the estimatedtotal costs of the transaction.Receivables for goods and services, which have 30day terms, are recognised at the nominal amountsdue less any allowance for bad and doubtful debts.Collectability of debts is reviewed at balance date.Provisions are made when collectability of the debt isno longer probable.Interest revenue is recognised using the effectiveinterest method as set out in AASB 139.Revenues from GovernmentAmounts appropriated for outputs appropriations forthe year (adjusted for any formal additions andreductions) are recognised as revenue.Appropriations receivable are recognised at theirnominal amounts.1.5 Transactions with the Government as OwnerEquity injectionsAmounts appropriated which are designated as‘equity injections’ for a year (less any formalreductions) are recognised directly in ContributedEquity in that year.Restructuring of Administrative ArrangementsNet assets received from or relinquished to anotherCommonwealth agency or authority under arestructuring of administrative arrangements areadjusted at their book value directly againstcontributed equity.1.6 Employee BenefitsLiabilities for services rendered by employees arerecognised at the reporting date to the extent thatthey have not been settled.Liabilities for ‘short-term employee benefits’ (asdefined in AASB 119) and termination benefits duewithin twelve months of balance date are measuredat their nominal amounts. The nominal amount iscalculated with regard to the rates expected to bepaid on settlement of the liability.All other employee benefit liabilities are measured atthe present value of the estimated future cashoutflows to be made in respect of services providedby employees up to the reporting date.LeaveThe liability for employee benefits includes provisionfor annual leave and long service leave. No provisionhas been made for sick leave as all sick leave is nonvestingand the average sick leave taken in futureyears by employees of the Trust is estimated to beless than the annual entitlement for sick leave.The leave liabilities are calculated on the basis ofemployees’ remuneration, including the Trust’semployer superannuation contribution rates to theextent that the leave is likely to be taken duringservice rather than paid out on termination.The estimate of the present value of the liability takesinto account attrition rates and pay increases throughpromotion and inflation.Separation and RedundancyProvision is made for separation and redundancybenefit payments. The Trust recognises a provision fortermination when it has developed a detailed formalplan for the terminations and has informed thoseemployees affected that it will carry out the terminations.SuperannuationCertain employees of the Trust are members of theCommonwealth Superannuation Scheme (CSS) orthe Public Sector Superannuation Scheme (PSS).The CSS and PSS are defined benefit schemes forthe Australian Government.35 Financial Statement 2006-07

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200736The liability for defined benefits is recognised in thefinancial statements of the Australian Government andis settled by the Australian Government in due course.The Trust makes employer contributions to theEmployer Superannuation Scheme at ratesdetermined by an actuary to be sufficient to meet thecost to the Government of the superannuationentitlements of the Trust’s employees.Employer superannuation contributions foremployees who are not members of the CSS or PSSare expensed in the financial statements . There is noresidual liability in respect of these contributions. TheTrust accounts for the contributions as if they werecontributions to defined contribution plans.The liability for superannuation recognised as at 30June represents outstanding contributions for thefinal fortnight of the year.1.7 LeasesA distinction is made between finance leases andoperating leases. Finance leases effectively transferfrom the lessor to the lessee substantially all therisks and rewards incidental to ownership of leasednon-current assets. An operating lease is a leasethat is not a finance lease. In operating leases, thelessor effectively retains substantially all such risksand benefits.The Trust has no finance leases, and operating leasepayments are expensed on a straight-line basiswhich is representative of the pattern of benefitsderived from the leased assets.1.8 CashCash means notes and coins held and any depositsheld at call with a bank or financial institution. Cash isrecognised at its nominal amount.1.9 Financial Risk ManagementThe Trust’s activities expose it to normal commercialfinancial risk. As a result of the nature of the Trust’sbusiness and internal and Australian Governmentpolicies, dealing with the management of financial risk,the Trust’s exposure to market, credit, liquidity andcash flow and interest rate risk is considered to be low.1.10 Impairment of Financial AssetsThe Trust’s financial assets consist of cash and cashequivalents, and receivables, and are held at their fairvalue. Financial assets are assessed for impairmentat each balance date. Provisions are made whereindications of impairment exist.Comparative YearThe above policies are consistent with thecomparative year. For receivables, amounts wererecognised and carried at original invoice amountless a provision for doubtful debts based on ananalysis of receivables at year end.1.11 Supplier and other payablesSupplier and other payables are recognised atamortised cost. Liabilities are recognised to theextent that the goods or services have been received(and irrespective of having been invoiced).1.12 Contingent Liabilities and Contingent AssetsContingent Liabilities and Contingent Assets are notrecognised in the Balance Sheet but are reported inthe relevant schedules and notes. They may arisefrom uncertainty as to the existence of a liability orasset, or represent an existing liability or asset inrespect of which settlement is not probable or theamount cannot be reliably measured. Remotecontingencies are part of this disclosure. Contingentassets are reported when settlement is probable, andcontingent liabilities are recognised when settlementis greater than remote.1.13 Acquisition of AssetsAssets are recorded at cost on acquisition except asstated below. Financial assets are initially measured attheir fair value plus transaction costs where appropriate.Trust land sites that vest in the Trust are contributionsby owners and are initially recognised at their fair valueat the date of vesting, except for sites in Schedule 2 tothe Sydney Harbour Federation Trust Act 2001, whichwere classed as inventory and recognised at the coststhey were carried at in the transferor entity’s accountsimmediately prior to vesting.

Assets acquired at no cost, or for nominalconsideration, are initially recognised as assets andrevenues at their fair value at the date of acquisition,unless acquired as a consequence of restructuring ofadministrative arrangements. In the latter case,assets are initially recognised as contributions byowners at the amounts at which they wererecognised in the transferor authority’s accountsimmediately prior to the restructuring.1.14 Property, Plant and Equipment (PP&E)Asset Recognition ThresholdPurchases of property, plant and equipment arerecognised initially at cost in the Balance Sheet,except for purchases costing less than $2,000,which are expensed in the year of acquisition, otherthan where they form part of a group of similar itemswhich are significant in total.RevaluationsFair values for each class of asset are determined asshown below:Any accumulated depreciation as at the revaluation dateis eliminated against the gross carrying amount of theasset and the asset restated to the revalued amount.DepreciationDepreciable property plant and equipment assets arewritten-off to their estimated residual values over theirestimated useful lives to the Trust using, in all cases,the straight-line method of depreciation. Depreciationrates (useful lives), residual values and methods arereviewed at each reporting date and necessaryadjustments are recognised in the current, or currentand future reporting periods, as appropriate.Depreciation rates applying to each class of depreciableasset are based on the following useful lives:2007 2006Buildings 10 to 100 years 10 to 100 yearsInfrastructure 3 to 100 years 3 to 100 yearsPlant & equipment 3 to 20 years 3 to 20 years37 Financial Statement 2006-07Asset classLandBuildingsInfrastructure, Plant& equipmentHeritage and cultural assetsFair value measured at:Market selling priceDepreciatedreplacement costDepreciatedreplacement costMarket selling priceFollowing initial recognition at cost, property plant &equipment are carried at fair value less accumulateddepreciation and accumulated impairment losses.Valuations are conducted with sufficient frequency toensure that the carrying amounts of assets do notdiffer materially from the assets’ fair values as at thereporting date.Revaluation adjustments are made on a class basis.Any revaluation increment is credited to equity underthe heading of asset revaluation reserve except tothe extent that it reverses a previous revaluationdecrement of the same asset class that waspreviously recognised through profit and loss.Revaluation decrements for a class of assets arerecognised directly through profit and loss except tothe extent that they reverse a previous revaluationincrement for that class.Certain buildings held by the Trust have beenclassified as Heritage assets. As there is noforeseeable limit to the period over which theseassets will be held or used they are not depreciated.The aggregate amount of depreciation allocated foreach class of asset during the reporting period isdisclosed in Note 4C.1.15 IntangiblesThe Trust’s intangibles comprise software purchasedexternally for internal use. These assets are carried atcost.Software is amortised on a straight-line basis over itsanticipated useful life. The useful lives of the Trust’ssoftware is 7 to 10 years (2005-06: 7 to 10 years).All software assets were assessed for indications ofimpairment as at 30 June 2007.1.16 InventoriesInventories held for sale are valued at the lower ofcost and net realisable value, and consist ofexternally produced merchandise and publications.Inventories held for distribution are measured at thelower of cost and current replacement cost. Thisconsists of various brochures and publications.

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 2007381.17 TaxationThe Trust is exempt from all forms of taxation exceptfringe benefits tax (FBT) and the goods and servicestax (GST).Revenues, expenses and assets are recognised netof GST:• except where the amount of GST incurred isnot recoverable from the Australian TaxationOffice; and• except for receivables and payables.Note 2: Events after the Balance Sheet DateSection 21 of the Sydney Harbour Federation TrustAct 2001 provides for the Minister for theEnvironment and Water Resources to specify thatother harbour land that is a Commonwealth place isto vest in the Trust. As at the reporting date theMinister was proposing that the MacquarieLightstation at Vaucluse, Snapper Island and HMASPlatypus vest in the Trust.At the time of this report, vesting of these lands hadnot occurred.There are no other events that have occurred afterthe balance date that would have an effect on theTrust’s 2006-2007 financial statements other thanthose that are already reflected in the financialstatements.

Note 3: Income2007 2006$’000 $’00039 Financial Statement 2006-07RevenuesNote 3A - Revenues from GovernmentAppropriation: Departmental outputs 1,619 3,151Total revenues from government 1,619 3,151Note 3B - Sale of goods and rendering of servicesEvents 138 165Other 68 44206 209Provision of goods to:Related entities - -External entities 4 114 11Rendering of services to:Related entities - -External entities 202 198202 198Total sales of goods and rendering of services 206 209In accordance with the Sydney Harbour Federation Trust Act 2001, certain land sites in Schedule 2 to the Actwere sold in 2005 and 2006. The cost of the sites includes their value at vesting and remediation and servicescosts (Note 1.13). The Trust may be required to return $23.0 million from the sale proceeds to the OfficialPublic Account, but as at 30 June 2007 no arrangements had been made to enable this to occur.Note 3C - InterestDeposits 2,932 1,469Note 3D - Rental IncomeProperty rentals and short-term hire 3,241 2,420Total Rental Income 3,241 2,420Note 3E - OtherGrant from related entity 1,000 1,000Other revenue from related entity - 286Total other revenue 1,000 1,286GainsNote 3F - Net Gains from sale of propertyProceeds from sale - 13,850Carrying value of property held for sale - (7,931)Net gain from disposal of property - 5,919Total net gain from disposal of property - 5,919

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200740Note 4: Operating Expenses2007 2006$’000 $’000Note 4A - Employee ExpensesWages and salaries 3,717 3,384Superannuation 451 422Leave and other entitlements 346 203Separation and redundancies - 140Other employee costs 41 -Total employee expenses 4,555 4,149Note 4B - SuppliersGoods from external entities 1,856 276Services from related entities 666 698Services from external entities 4,315 6,211Operating lease rentals 47 49Workers compensation premiums 54 62Total supplier expenses 6,938 7,296Note 4C - Depreciation & AmortisationDepreciationBuildings 66 110Plant and equipment 132 115Total depreciation of buildings, plant and equipment 198 225AmortisationAmortisation of intangibles 6 -Amortisation of lease incentives 64 39Total amortisation 70 39Total depreciation & amortisation 268 264Note 4D - Write-down and impairment of assetsWrite-down of financial assets 16 -Total write-down and impairment of assets 16 -

Note 5: Financial Assets2007 2006$’000 $’000Note 5A - Cash and cash equivalentsCash at bank 49,183 34,409Cash on hand 1 4Total cash 49,184 34,413Note 5B - ReceivablesGoods and services 1,095 930Interest receivable 261 153GST receivable 296 133Property sales - 13,850Other receivables 2 2Total receivables 1,654 15,068All receivables are current.Receivables (gross) are aged as follows:Not overdue 777 14,506Overdue by:Less than 90 days 5 -More than 90 days 872 562877 562Total trade and other receivables (gross) 1,654 15,06841 Financial Statement 2006-07Receivables for Goods & ServicesCredit terms are net 30 days (2006: 30 days) except for sales of property which are due on settlement.

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200742Note 6: Non-Financial Assets2007 2006$’000 $’000Note 6A - Land and BuildingsFreehold land- at cost 1,118 18,951- at fair value 105,010 26,326Total freehold land 106,128 45,277Buildings- at cost 173 3,106- Accumulated depreciation - (116)173 2,990- at fair value 5,925 2,622- Accumulated depreciation - (58)5,925 2,564Total buildings 6,098 5,554Total Land & Buildings 112,226 50,831Note 6B - Infrastructure, Plant and EquipmentPlant and equipment- at cost 1,602 1,551- Accumulated depreciation (446) (314)1,156 1,237Total Infrastructure, Plant and Equipment 1,156 1,237Note 6C - Heritage and CollectionsHeritage assets- at fair value 43,186 22,849Total heritage assets 43,186 22,849Section 21 of the Sydney Harbour Federation Trust Act 2001 (the Act) provides for the Minister for Defence tospecify that certain former defence land sites vest in the Trust. The sites are specified in Schedules 1 and 2 tothe Act and are at Middle Head, Georges Heights, Woolwich and Cockatoo Island. The sites vested in theTrust on 1st April 2003.Most of the sites are contaminated to some extent and Cockatoo Island is severely contaminated. The estimatedfuture costs of decontamination and remediation have been taken into account in arriving at the fair values.Valuations were conducted by an independent valuer (Colliers International Consultancy and Valuation Pty Ltd)in 2007.

Note 6D - Analysis of Property, Plant, Equipment and IntangiblesReconciliation of the opening and closing balances of property, plant, equipment and intangibles (2006-07)Item Land Buildings Total Plant & Heritage & Intangibles TOTALon Freehold Land & Equipment CollectionsLand Buildings$’000 $’000 $’000 $’000 $’000 $’000 $’000As at 1 July 2006Gross book value 45,277 5,728 51,005 1,551 22,849 18 75,423Accumulated depreciation/amortisation - (174) (174) (314) - - (488)Net book value 45,277 5,554 50,831 1,237 22,849 18 74,935AdditionsBy purchase 8,851 9,744 18,595 51 - 3 18,6491 Assets transferred in 48,918 746 49,664 - 6,671 - 56,335Revaluations 2,183 1,578 3,761 - 3,107 - 6,868Reclassification 899 (11,458) (10,559) - 10,559 - -Depreciation expense - (66) (66) (132) - (6) (204)DisposalsFrom disposal of operations - - - - - - -Other disposals - - - - - - -As at 30 June 2007Gross book value 106,128 6,098 112,226 1,602 43,186 21 157,0352 Accumulated depreciation/amortisation - - - (446) - (6) (452)Closing Net book value 106,128 6,098 112,226 1,156 43,186 15 156,5831 Transfer of North Head land & buildings.2 Accumulated depreciation is written back against the gross asset value before revaluation entries.43 Financial Statement 2006-07

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200744Note 6D - Analysis of Property, Plant, Equipment and IntangiblesReconciliation of the opening and closing balances of property, plant, equipment and intangibles (2005-06)Item Land Buildings Total Plant & Heritage & Intangibles TOTALon Freehold Land & Equipment CollectionsLand Buildings$’000 $’000 $’000 $’000 $’000 $’000 $’000As at 1 July 2005Gross book value 32,652 17,598 50,250 1,162 14,091 - 65,503Accumulated depreciation/amortisation - (670) (670) (176) - - (846)Net book value 32,652 16,928 49,580 986 14,091 - 64,657AdditionsBy purchase 5,440 4,080 9,520 477 - 18 10,015Assets transferred in - - - - - - -From acquistion of operations - - - - -Revaluations - - - - - - -Reclassification 7,185 (15,950) (8,765) (81) 8,758 - (88)Depreciation adjustment - 606 606 (23) - - 583Depreciation expense - (110) (110) (115) - - (225)DisposalsFrom disposal of operations - - - (7) - - (7)Other disposals - - - - - - -As at 30 June 2006Gross book value 45,277 5,728 51,005 1,551 22,849 18 75,423Accumulated depreciation/amortisation - (174) (174) (314) - - (488)Closing Net book value 45,277 5,554 50,831 1,237 22,849 18 74,935

Note 6E - Intangible Assets2007 2006$’000 $’000Computer software purchased 21 1821 18Accumulated amortisation (6) -Total intangibles 15 18Note 6F - InventoriesFinished goods (cost) 41 34Inventories held for sale 41 34Inventories held for distribution 15 4Total inventories 56 38All inventories are current assets.45 Financial Statement 2006-07Note 6G - Other non-financial assetsLease incentives 172 184Prepayments 3 5Total other non-financial current assets 175 189All prepayments are current assets.Note 7: PayablesNote 7A - SuppliersTrade creditors 1,801 1,247Contract retentions 355 -Total supplier payables 2,156 1,247All supplier payables are current.Settlement is usually made net 30 days.Note 7B - Other payablesAccrued expenses 804 104Bonds and Security deposits 105 74Prepayments received 1,962 2,016Total other payables 2,871 2,194Other payables are represented by:Current 1,005 383Non-current 1,866 1,811Total other payables 2,871 2,194

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200746Note 8: Provisions2007 2006$’000 $’000Note 8A - Employee ProvisionsSalary and wages 29 117Leave 755 667Superannuation - 1Total employee provisions 784 785Employee provisions are categorised as follows:Current 575 448Non - current 209 337Total employee provisions 784 785Note 9: Cash Flow ReconciliationReconciliation of Cash per Balance Sheet to Cash Flow StatementCash at year end per Cash Flow Statement 49,184 34,413Balance Sheet items comprising above cash:'Financial Asset - Cash and cash equivalents' 49,184 34,413Reconciliation of operating result to net cash from operating activities:Operating surplus (2,779) 2,745Depreciation and amortisation 268 264(Increase) / decrease in receivables 13,414 (13,898)(Increase) / decrease in inventories (18) 7,922(Increase) / decrease in prepayments 2 12Increase / (decrease) in employee provisions (1) (33)Increase / (decrease) in supplier payables 909 971Increase / (decrease) in other payables 677 2,146Net Cash from operating activities 12,472 129Note 10: Contingent Liabilities and AssetsUnquantifiable ContingenciesAt 30 June 2007 the Trust had a number of contracts in progress, the final costs of which are dependent onlatent conditions and other variables. It is not possible to estimate the amounts of any eventual payments thatmay be required in relation to these contracts.

Note 11: Members' Remuneration2007 2006NumberNumberThe numbers of members of the Trust included in these figuresare shown below in the relevant remuneration bands• $15,000 - $29,999 6 6• $30,000 - $44,999 2 2Total number of members of the Trust 8 847 Financial Statement 2006-07$ $Total remuneration received or due andreceivable by members of the Trust 190,768 182,629The Members of the Trust are appointed on a part-time basis undersection 12 of the Sydney Harbour Federation Trust Act 2001.The Members during the year were:• Mr H K McCann AM (Chair) (re-appointed 27 September 2004)• Mr R Conroy (re-appointed 5 July 2005)• Ms D Talty (appointed 5 July 2005)• Clr S Hoopmann JP (re-appointed 27 September 2004)• Mr P Lowry OAM (re-appointed 27 September 2004)• Dr J Moriarty AM (re-appointed 27 September 2004)• Brigadier K O'Brien CSC, (Retd) (re-appointed 27 September 2004)• The Hon Barry O'Keefe AM QC (re-appointed 27 September 2004)

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200748Note 12: Remuneration of Senior ExecutivesThe number of senior executives who received or were dueto receive total remuneration of $130,000 or more:2007 2006NumberNumber• $130,000 to $144,999 2 -• $145,000 to $159,999 1 2• $175,000 to $189,999 2 2• $235,000 to $249,999 - 1• $265,000 to $279,999 1 -6 5$ $The aggregate amount of total remuneration of senior executives shown above. 1,085,373 895,336The senior executives' remuneration includes all executives concernedwith or taking part in the management of the Trust during 2006-07.Note 13: Remuneration of AuditorsRemuneration to the Auditor-General for auditing the financialstatements for the reporting period.The fair value of services provided was; 43,000 40,000No other services were provided by the Auditor-Generalduring the reporting period.NumberNumberNote 14: Average Staffing LevelsThe average staffing level for the Trust during the year was 47.8 44.8

Note 15: Financial InstrumentsNote 15A - Interest Rate RiskFinancial Instrument Floating Interest Rate – Non-Interest Bearing Total Weighted Averagematuring in one year or less Effective Interest Rate2007 2006 2007 2006 2007 2006 2007 2006Notes $’000 $’000 $’000 $’000 $’000 $’000 % %Financial AssetsCash at bank 5A 49,183 34,409 - - 49,183 34,409 6.3 5.2Cash on hand 5A - - 1 4 1 4 - -Receivables 5B - - 1,654 15,068 1,654 15,068 - -Total 49,183 34,409 1,655 15,072 50,838 49,481Total Assets 207,652 124,643Financial LiabilitiesTrade creditors 7A - - 1,801 1,247 1,801 1,247 - -Other Payables 7B - - 909 178 909 178 - -Total - - 2,710 1,425 2,710 1,425Total Liabilities 5,811 4,22649 Financial Statement 2006-07

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200750Note 15B - Net Fair values of Financial Assets and LiabilitiesFinancial assetsThe net fair values of cash and non-interest bearing monetary financial assets approximate theircarrying amounts.Financial liabilitiesThe net fair values for trade creditors, accrued expenses and other payables being short-term in nature,approximate their carrying amounts.Note 15C - Credit Risk ExposuresThe Trust's maximum exposures to credit risk at reporting date in relation to each class of recognisedfinancial assets is the carrying amount of those assets as indicated in the Balance Sheet.The Trust has no significant exposures to any concentrations of credit risk.All figures for credit risk referred to do not take into account the value of any collateral or other security.

Note 16: AppropriationsParticulars Departmental Outputs Equity Total2007 2006 2007 2006 2007 2006$’000 $’000 $’000 $’000 $’000 $’000Year ended 30 JuneBalance carried forward from previous year - - - - - -Appropriation Acts 1 and 3 1,619 3,151 - - 1,619 3,151Appropriation Acts 2 and 4 - - 21,000 20,500 21,000 20,500Available for payment of CRF 1,619 3,151 21,000 20,500 22,619 23,651Payment made out of CRF 1,619 3,151 21,000 20,500 22,619 23,651Balance carried forward to next year - - - - - -Represented by:Appropriations Receivable - - - - - -This table reports on appropriations made by the Parliament of the Consolidated Revenue Fund (CRF) for payment to the Trust. When received bythe Trust, the payments made are legally the money of the Trust and do not represent any balance remaining in the CRF.51 Financial Statement 2006-07

Financial Statement 2006-07Notes to and forming partof the Financial Statements for the year ended 30 June 200752Note 17: Reporting OutcomesNote 17A - Departmental Revenues and Expenses by Output Groups and OutputsOutcome 1Output 1.1 Output 1.2 Output 1.3 Total2007 2006 2007 2006 2007 2006 2007 2006$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000Operating expensesEmployees 1,480 1,348 1,034 942 2,041 1,698 4,555 4,149Suppliers 795 836 651 685 5,492 5,775 6,938 7,296Depreciation 19 19 15 15 234 230 268 264Write-down of assets 1 - 1 - 14 - 16 -Total operating expense 2,295 2,203 1,701 1,642 7,781 7,864 11,777 11,709Funded by:Revenues from Government 657 1,278 453 881 509 992 1,619 3,151Goods and services - - 102 253 3,345 8,295 3,447 8,548Interest - - - - 2,932 1,469 2,932 1,469Other - - - - 1,000 1,286 1,000 1,286Total operating income 657 1,278 555 1,134 7,786 12,042 8,998 14,454Outcomes of the TrustTrust Lands on Sydney Harbour are conserved and enhanced for the benefit of present and future generations of Australians.There are three Outputs identified for the Outcome:Output 1.1: Management plans consistent with the Harbour Trust’s Comprehensive Plan are prepared for Harbour Trust lands followingcommunity consultationOutput 1.2: The public is informed of the environmental and heritage significance of the Harbour Trust lands and has access to themOutput 1.3: Harbour Trust lands are progressively rehabilitated, conserved and made publicly accessibleThe Capital Use Charge is not included in any of the Net cost/contribution of outcomes as it is not an operating expense.The costs of administrative and operating overheads have been attributed to outputs in proportion to the relative costs of each output.The net costs shown include intra-government costs that would be eliminated in calculating the actual Budget outcome.

Note 17B - Net Cost of Outcome DeliveryOutcome 12007 2006$’000 $’000Expenses 11,777 11,709Total expenses 11,777 11,709Costs recovered from provision of goods and services to the non-government sector 3,447 8,548Total costs recovered 3,447 5,919Other external incomeInterest 2,932 1,469Other - from related entities 1,000 1,286Total other external income 3,932 5,384Net cost of outcome 4,398 40653 Financial Statement 2006-07

Annual Report 2006-07Appendix 154Freedom of InformationThe Freedom of Information Act 1982 gives everyonethe right of access to documents held byCommonwealth Government agencies, subject tocertain exemptions.Categories of Documents• Administration matters including personnel andrecruitment, accounts, purchasing and registers.• Planning, architecture and environmental mattersincluding reports and studies commissioned by theTrust, research, drawings and concept proposals.• Minutes of meetings of the Trust and meetings ofthe community advisory committees.• Reference materials including press clippings,survey and research materials, documents relatingto conferences and seminars.• Legal matters including legal documents,opinions, advice and representations.RequestsAny person can lodge a request. A request for adocument must be in writing, be accompanied by a$30 application fee and provide such informationconcerning the document requested as is reasonablynecessary to enable the agency to identify thedocument.Requests should be sent to:Freedom of Information OfficerSydney Harbour Federation TrustPO Box 607MOSMAN NSW 2088ReportingThe Trust received no requests under the Act duringthe reporting period.

Appendix 2Community AdvisoryCommittee MembersCockatoo and Snapper IslandsDamian Cobley-FinchMartin ConnollyRobert CurranJoe GlascottTony HardyTed MooreJames MortonTerry RyanGary SawyerDeirdre Stewart (retired)Garry StewartAngelo TsirekasLeta WebbMiddle HeadTony Abbott MPBryce BridgesRoger Dobson Cmdr RANEdward ElsomDon GoodsirSue HalmagyiIan HendersonAudrey Lenning (retired)Stewart ReedGeorge ShirlingJillian Skinner MPDenise WiltonNorth HeadDavid Barr MP (retired)Nina BurridgeIan FreemanCecily McGeeJennie MinifieDeborah MosmanJohn PlattJudy ReizesDavid Rostron (retired)Douglas SewellWoolwichPeter AstridgeJoe Hockey MPColin Geeves (retired)Philip JenkynDavid LonieAlysoun Ryves (retired)Barry SmithAdam SouthGil Wahlquist (retired)South HeadDavid CaldwellAllan CokerJohn Comino (retired)Peter Debnam MLADr Robin DerricourtWill JonesKeri HuxleyPeter PolandMichael RolfeHMAS PlatypusCarole BakerDiana DavidsonSuzanne Davidson (retired)Brian EvessonJoe Hockey MPPenny HollowayDenny LinkerGenia McCafferyZena O’ConnorAlick OsborneMerryn PearseChris SkinnerJillian Skinner MPPeter SmithRobert TearneWhole of HarbourAnthony IaconaJennifer McMonnies55 Annual Report 2006-07

Annual Report 2006-07Appendix 356Background Studies• Hazardous Materials Survey, Register andManagement Plans, Middle Head• Traffic Calming Device Options,Chowder Bay Road• Investigation of Electrical and Cabled Services,Middle Head• Road Upgrading and Traffic Calming Devices,Middle Head• Hydraulic Service Infrastructure Works,Middle Head• Landscape Design Concepts, Middle Head• Proposals for Traffic Management andReticulation, North Head• Transport and Traffic Advice, HMAS Platypus• Statement of Environmental Effects, Carpark,Woolwich Dock and Parklands

Appendix 4Maintenance, Heritage Conservation andEnvironmental Management ProjectsAll Sites• Grounds Maintenance• Feral animal control program• General building maintenance• Services maintenance• Fire systems maintenance• Volunteer groups bush regenerationNorth Head• Construction of stages 2 and 3 of walking track• Renewal of high voltage electricity supply• Heritage restoration of the Gatehouse• Establishment of interpretation and education centre• Fire hazard reduction• Investigation into decontamination of theplotting room• Initial restoration works on the officers’ Mess, andother buildings for tenancy by the NSW Police• Bush regeneration• Restoration of electricity and sewer servicesto GatehouseChowder Bay• Tenant fitout works at the Submarine Miners’depot, barracks building and mining workshop• Restoration of the wharf and mooring facilities• Completion of tenant ancillary facilities such aspost boxes, rubbish areas etcLower Georges Heights• Volunteer bush regeneration• Restoration of significant artillery gun• Establishment of sculptures as part of sculpture trail• Provision of services to the landship and publicuse areasGeorges Heights• Restoration of buildings 24, 21, 23, 30, 32, 34,including construction of new toilets, airconditioning, repainting, and landscaping• Construction of two carparks for precincts• Decontamination of precinct• Replacement of services including electricity,water, fire services, telephone and sewer• Landscaping of main pedestrian routes throughthe precinct• Refurbishment of the former barracks into achildcare facility• Volunteer bush regeneration• Completion of the Georges Head lookout• Provision of public access to the GeorgesHead tunnels• Installation of gun carriages and guns toGeorges HeadWoolwich Dock• Provision of services including sewer ,water,electricity and fire services• Decontamination of the horse paddock and theupper lookout area• Commencement of the upper area lookout• Completion of site and building repairs to enabletenant occupancy• Commencement of the new carpark area andalternative access point to the site.57 Annual Report 2006-07

Annual Report 2006-07Appendix 4 Continued…58Cockatoo Island• Completion of refurbishment of buildings 101,102and 103• Replacement of roofs for most of the industrialbuildings on the island, nine buildings in total• Restoration of sections of the roof to the turbinehall buildings• Commencement of Northern apron park andcamping ground• Provision of services to Northern apron• Conversion of buildings 33 and 34 into public toilets• Repair of seawall• Commencement of cliff top walkway• Restoration of the entry building and surrounds• Decontamination of the northern apron area andthe upper plateau• Completion of the mooring dock on the Southernside of the island• Restoration of the camber wharf• Restoration of heritage cranes• Upgrade of the roll on roll off ramp• Provision of site services to eastern entry area• Stabilisation of rock faces• Heritage restoration of Edwardian terraces ,building 24• Make safe much of the island open areas forpublic accessSnapper Island• Decontamination of the island site• Restore and make safe the wharf for public accessMacquarie Lightstation• Prepare information for archeological digFormer Marine Biological Station• Complete landscaping and park works

Appendix 5Interim Leasing of Trust Sites59 Annual Report 2006-07Site Occupant Date Term Use10 Terminal Mosman Church of England Prep School 01-Jul-06 12 months Vehicle Parking10 Terminal Australian Federal Police 18-Sep-06 6 days TrainingASOPA Dept of Environment & Conservation 01-Jul-06 12 months Vehicle StorageASOPA Mosman Charter Buses 01-Jul-06 12 months Vehicle ParkingASOPA TJ & WL Wescon 01-Jul-06 12 months Vehicle ParkingChowder Bay Leading Initiatives Worldwide 02-Nov-06 2 days Conference Lunchon lawnChowder Bay Leading Initiatives Worldwide 01-Dec-06 6 months Hire of Lawnfor lunchesChowder Bay Plunge Diving 01-Dec-06 6 months TrainingChowder Bay Pont3 Pty Ltd 25-Feb-07 1 day CorporateSporting ActivityCockatoo Island David Strong, Lifelounge 10-Oct-06 8 days Fashion ParadeCockatoo Island Vaig 15-Jan-07 1 day Photo shootCockatoo Island Ticket to Ride 01-Feb-07 1 day FilmingHeadland Park Gunners’ Barracks Tearoom 01-Dec-06 6 months Hire of lawnfor ceremoniesLower Georges Heights Haydn Johnston & Tara Carter 18-Nov-06 1 day Wedding CeremonyLower Georges Heights Riversleigh Society - UNSW 26-Nov-06 1 day Gala EventLower Georges Heights John Clarke 17-Dec-06 1 day Private LunchLower Georges Heights Narelle Naumcevski 20-Jan-07 1 day Wedding CeremonyLower Georges Heights Screentime Pty Ltd 20-Feb-07 5 days FIlmingLower Georges Heights Kelly Harris 23-Feb-07 1 day Wedding CeremonyMacquarie Lighthouse Jill O'Malley 26-Feb-07 1 day WakeMacquarie Lightstation The Artist Group 01-Jul-06 1 day PhotoshootMacquarie Lightstation Kids Like Us Pty Ltd/ Hi-5 Productions Pty Ltd 07-Aug-06 1 day FilmingMacquarie Lightstation VIA International Sydney 24-Nov-06 2 days FilmingNorth Head Embossed Communications Pty Ltd 01-Jul-06 12 months Candle MakingNorth Head Southern Star Productions No 9 Pty Ltd 01-Jul-06 12 months FilmingNorth Head William James Frecklington 01-Jul-06 12 months Coach BuildingNorth Head Walkabout Films Pty Ltd 13-Sep-06 2 days FilmingNorth Head Dept of Defence Corporate Services 27-Sep-06 1 day TrainingNorth Head Plush Films 06-Oct-06 1 day FilmingNorth Head Sydney Indoor Hockey Assoc Inc 18-Oct-06 24 days Sporting GroupNorth Head Bovis Lend Lease 22-Nov-06 2 days Corporate LunchNorth Head Department of Defence 13-Apr-07 1 day TrainingNorth Head Don Gilson – APEC 13-Apr-07 2 days Training

Annual Report 2006-07Index6010 Terminal 10,19,59Aboriginal Issues Committee 21Audit and Risk Management Committee 8,9,20,21background studies 10,11,56bushfire management 5,17bushland 5,14,16,17bush regeneration 12,17,57Chowder Bay 3,4,5,12,13,14,15,16,18,56,57,59Cockatoo Island 3,4,5,9,11,12,13,15,16,18,19,42,58,59Commonwealth Authorities andCompanies Act 1997 1,23,24,25,26,34Community Advisory Committee 10,11,21,54,55comprehensive plan (Harbour Trust)5,9,10,14,16,17,18,21,23,52conservation 6,10,12,14,15,17,21,31,57conservation management plans 4,12,17consultation 5,6,7,9,10,11,17,22,52contamination 5,10,15,16,42,57,58Defence History Steering Committee 9,21Ecologically Sustainable Development 5,17Financial Statements 24-53fire 5,12,14,17,22,57Freedom of Information Act 1982 54Georges Heights 3,4,5,7,12,13,14,16,18,19,42,57,59Gunners’ Barracks 5,19,59Harbour Week 13hazardous materials 16,56Training Command 4,14,18Heritage Festival 13leasing 13,16,18,19,31,59Lower Georges Heights 5,12,13,19,57,59Macquarie Lightstation 4,5,10,11,13,16,38,58,59management plans 4,5,9,11,12,13,17,18,19,52,56Marine Biological Station, Watsons Bay 4,16,58Markham Close 16members (Harbour Trust) 3,7,8,20,21,47Middle Head 4,5,10,11,12,14,15,16,19,42,55,56Minister for Environment and Water Rescources1,7,24National Parks and Wildlife (NSW) 10,14,17North Head3,4,10,11,12,13,14,16,17,19,21,43,55,56,57,59publications 13,37public access 3,5,6,11,12,14,16,17,18,57,58public programs 11,12,17Scientific Committee 21Snapper Island 16,35,55,58Sydney Harbour 3,6,9,14,15,16Sydney Harbour Federation Trust Act 20011,7,22,23,36,38,39,42,47Tender Review Committee 9,21volunteers 4,5,12,17walking tracks 3,5,14,57website (Harbour Trust) 13Woolwich Dock 4,5,10,11,15,17,19,56,57