2016-17 Annual Report 2016-17 Annual Report | Page 76

Financial Statements 2017 Toowoomba Regional Council Notes to the Financial Statements for the year ended 30 June 2017 Note 20. Commitments for Expenditure (continued) Notes 2017 $'000 2016 $'000 (c) Contractual commitments Contractual commitments at end of financial year but not recognised in the financial statements are as follows: Other 63,999 48,400 63,999 48,400 23,647 40,352 - 12,503 35,897 - These expenditures are payable as follows: Within the next year Later than one year and not later than 5 years Later than 5 years Total Payable 63,999 48,400 Note 21. Contingent Liabilities Council Details and estimates of maximum amounts of contingent liabilities are as follows: Local Government Mutual The Council is a member of the local government mutual liability self-insurance pool, LGM Queensland. In the event of the pool being wound up or it is unable to meet its debts as they fall due, the trust deed and rules provide that any accumulated deficit will be met by the individual pool members in the same proportion as their contribution is to the total pool contributions in respect to any year that a deficit arises. As at 30 June 2017 the financial statements reported an accumulated surplus and it is not anticipated any liability will arise. Local Government Workcare The Council is a member of the Queensland local government worker's compensation self-insurance scheme, Local Government Workcare. Under this scheme the Council has provided an indemnity towards a bank guarantee to cover bad debts which may remain should the self insurance licence be cancelled and there was insufficient funds available to cover outstanding liabilities. Only the Queensland Government’s workers compensation authority may call on any part of the guarantee should the above circumstances arise. The Council's maximum exposure to the bank guarantee is $1,634,258.41. Other Contingent Liabilities Notes 2017 $'000 2016 $'000 452 2,385 Details and estimates of maximum amounts of contingent liabilities are as follows: Various claims are pending against Council. In the opinion of Council's solicitors the potential loss on all claims should not exceed: The Council has disclaimed liability and no provision has been made in the financial statements pertaining to these claims. 76 page 38 TOOWOOMBA REGIONAL COUNCIL I Annual Report 2016 - 2017