2015-16 Annual Report 2015-16 Annual Report | Page 177

Toowoomba Regional Council Notes to the Financial Statements for the year ended 30 June 2016 Note 23. National Competition Policy Business activities to which the code of competitive conduct is applied Toowoomba Regional Council applies the competitive code of conduct to the following activities: Water and Wastewater Other Roads Private Works Fleet and Plant Services Building Certification Aquatic Facilities Quarry Operations Cemetery Operations Refuse Collection Waste Management Aerodromes Laboratory Services This requires the application of full cost pricing, identifying the cost of community service obligations (CSO) and eliminating the advantages and disadvantages of public ownership within that activity. The CSO value is determined by Council, and represents an activities cost(s) which would not be incurred if the primary objective of the activities was to make a profit. The Council provides funding from general revenue to the business activity to cover the cost of providing non-commercial community services or costs deemed to be CSO's by the Council. The following activity statements are for activities subject to the competitive code of conduct: Water & Other Private Fleet & Plant Wastewater $'000 Roads $'000 Works $'000 Services $'000 Less : Expenditure 2,565 94,438 805 97,808 (71,638) 32,994 5,792 38,786 (38,173) 6,398 6,398 (4,630) 36,612 115 36,727 (25,103) Surplus/(Deficit) 26,170 1,768 11,624 $'000 Revenue for services provided to the Council Revenue for services provided to external clients Community service obligations 613 Building Aquatic Quarry Cemetery Certification $'000 Facilities $'000 Operations $'000 Operations $'000 Less : Expenditure 11 383 427 821 (511) 1,376 1,777 3,153 (3,387) (302) 679 451 1,130 (1,262) Surplus/(Deficit) 310 (234) (302) (132) $'000 Revenue for services provided to the Council Revenue for services provided to external clients Community service obligations page 41 TOOWOOMBA REGIONAL COUNCIL Annual Report 2015 - 2016 Financial report CHAPTER 6 177