You are on page 1of 208

2006/07

ANNUAL REPORT
Purpose Objectives
Housing NSW is In its planning and work, Housing NSW’s objectives are to:
1. maintain a strong and fair public housing system
helping to build a for people most in need
stronger community 2. support a robust and diverse community housing
by providing system

housing solutions 3. drive innovative solutions to meet a range of


housing needs
for people in need. 4. work in partnership to strengthen the capacity
of individuals, families and communities
5. create a supportive work environment that
encourages excellence.
Values
Our values determine how we go about our business.

We make a difference
We are committed to making a sustainable difference to social
outcomes. We are committed to achieving this with fairness and
integrity. We aim to make our actions socially, economically and
environmentally sustainable.

We help
We are committed to helping people in need. We try to
understand and respond compassionately to our clients’
circumstances. We empower people to make informed
decisions.

We work together
We are committed to treating everyone with respect – each other,
our clients, our partners and the broader community. We work as
a team, while remembering that we are individually accountable.
We work towards finding practical and affordable solutions.

We are part of the community


We are committed to serving and strengthening the community.
We aim to work with our partners.
Message from the Minister

In April 2007, I was appointed the Minister for


Housing. It was a position that I had asked for and
one which I was pleased to accept. I believe public
housing is the foundation stone of social justice and
equity in a fair and decent society.
Overview In 2006, the NSW Government,
Housing NSW is the largest landlord in after many years of intractable social
Australia, and our 146,000 properties problems, took the difficult decision
across the state provide shelter, to dismantle the Gordon Estate in
security and peace of mind to some Dubbo. Recently, I met a first-home
340,000 people in this state. buyer who had purchased one of the
former public properties for herself
Many of these people are vulnerable,
and her young family. Her spirit was
elderly or suffer from mental illness or
characteristic of the positive new
physical disability. Some have, or are
attitude that is taking root among local
currently experiencing, very difficult
residents and the wider community
times in their lives. Our properties
in Dubbo.
ensure that these people are provided
with stability, and a place where they I am also pleased to report that, On 23 April 2007, I launched the NSW
might start to improve their lives. despite a significant reduction in Planning for the Future: Community
Strengthening our public housing funding from the Federal Government, Housing Strategy, which sets a target
system is a key commitment of for the fifth consecutive year we to increase the community housing
Premier Iemma and a goal I am have reduced our housing register sector from 13,000 to 30,000 homes
proud to pursue. from 80,000 in 2002/03 to 45,000 in over the next 10 years. This ensures
2006–07. more people are able to access
Delivering on Our Commitments affordable housing and appropriate
A part of this success is attributed
Over the past financial year, support services.
to the many construction and
Housing NSW has delivered some
redevelopment projects that Housing Small-scale joint ventures
major victories. The success of the
NSW are constantly undertaking To increase our public housing stock,
Reshaping Public Housing reforms,
to renew and increase our housing Housing NSW will explore the use
which saw the implementation of
stock. Over the past year, we have of small-scale joint venture projects.
new tenure, water and rent charging
built 883 new properties, commenced This will rapidly deliver new housing
policies, is a tribute to the hard work
building 1,276 properties and have through better use of the agency’s
and diligence of the staff of Housing
upgraded 8,400 more. existing resources.
NSW. These policies have resulted in
tenants using water more responsibly. Our Priorities
Reforming maintenance
This, coupled with the agency’s In the coming year, we are committed
water saving device retrofit of 70,000 Providing decent, well maintained
to further reducing the housing
properties, has lowered our total homes to our tenants remains a key
register by providing a range of
water usage by 29 percent over priority, and this financial year will
products to assist suitable tenants to
the last year. also see a strong focus on resolving
move into the private rental market.
the complex issues associated with
This will also increase the amount of
managing our diverse and ageing
housing available to Australia’s most
property portfolio.
vulnerable.

 Housing NSW Annual Report 2006/07


Contents

Message from the Minister 2


Environmental sustainability A Big Thank You Letter to the Minister 4
More now than ever, it is clear that our Finally, I congratulate Mike Allen in his Director-General’s Overview 5
business must be undertaken in a way first full year as the Director-General Highlights of 2006/07 7
that is environmentally sustainable. of Housing NSW, and thank his staff
To this end, I have directed Housing for their dedication and hard work. I What We Do 8
NSW to build on its recent successes look forward to the good work and Statistical Summary 9
on water saving measures and solar achievements that Housing NSW will Our Clients 10
energy to investigate how further deliver for our tenants and the people
gains might be made, with a particular of NSW. Financial Summary 11
focus on how our agency may move Performance Indicators 12
toward becoming carbon neutral.
Corporate Structure
Future Challenges and Executive Team 14
My imperative and foremost goal Objective 1
is to ensure the long-term fiscal Maintain a strong and fair
sustainability of Housing NSW. This is The Hon. Matt Brown MP
Minister for Housing public housing system for
in light of recent announcements by people most in need 16
the Federal Government to potentially Minister for Tourism
withdraw from the Commonwealth Objective 2
State Housing Agreement. This Support a robust and diverse
agreement has two purposes. It community housing system 28
embodies the worthy principle that Objective 3
the provision of public housing is Drive innovative solutions to
a joint responsibility of the Federal, meet a range of housing needs 38
state and territory governments, and Objective 4
it provides the fiscal means by which Work in partnership to strengthen
that principle is realised. Housing the capacity of individuals,
NSW relies on this funding to support families and communities 48
homes for the 140,000 tenants
across NSW. Objective 5
Create a supportive work
With the Commonwealth State environment that
Housing Agreement due to expire encourages excellence 60
in 2008, I am committed to working
closely with colleagues from the Appendices 66
states and territories in negotiating Abbreviations 103
an agreement with the Federal Financial Statements
Government that provides stability,
security and fairness for our tenants. NSW Department of
Housing 104
Rental Housing
Assistance Fund 159
Home Purchase
Assistance Fund 175
Payments to Other
Government Bodies under
the Control of the Minister 191
Index 203

Housing NSW Annual Report 2006/07 


Letter to the Minister

The Hon Matthew Brown MP


Minister for Housing
Minister for Tourism
Level 34 Governor Macquarie Tower
1 Farrer Place
SYDNEY NSW 2000

Dear Minister
I am pleased to submit the Annual Report for Housing NSW for the year ending
30 June 2007 for presentation to Parliament.
This report and the accompanying financial statements fulfil the requirements of
the Public Finance and Audit Act 1983, the Annual Reports (Statutory Bodies) Act
1984, the Annual Reports (Departments) Act 1985, associated regulations and
the Housing Act 2001.
Due to an unforseen delay in finalising the audit of the Home Purchase Assistance
Fund, the statements of which are included in this Annual Report, a three-week
delay was incurred in finalising the report.
Had Housing NSW been aware of the impact of this delay at an earlier stage,
a formal request for an extension of time would have been submitted.
Following the report’s tabling in Parliament, it will be made available on the
Housing NSW website – www.housing.nsw.gov.au.

Yours sincerely

Mike Allen
Director-General

 Housing NSW Annual Report 2006/07


Director-General’s Overview

The past year has been a busy and more than $66 million was allocated
exciting year for me in my first full for community regeneration for 18
year as Director-General. As a human housing estates in six priority locations
services organisation, the NSW across NSW, including Dubbo.
Department of Housing (Housing Under a whole-of-Dubbo community
NSW) is here to serve the people of regeneration strategy, we will be
NSW by providing homes for people creating a better social environment,
in the most need in our community. supporting public housing tenants
During 2006/07, I have been and reducing antisocial behaviour. We
committed to ensuring that we have commenced rehousing tenants
deliver on the NSW State Plan and redeveloping parts of the Gordon
through particular programs and Estate to better meet the needs of
initiatives. The implementation of the tenants. A series of first-home buyer
Reshaping Public Housing reform evenings provided information to
agenda has been a focus for us with the local community and this was
the introduction in October 2006 of followed on 27 June with the first
fixed-term leases for new tenants, auction of four properties on the
followed by actual water-use charges. Gordon Estate all sold to first-home
By June 2007, 60,000 tenants were buyers. This is a great achievement
paying for their water usage and more in making available more affordable
than 70,000 homes were fitted with housing for the people of NSW.
Mike Allen water-saving devices. These steps Other major redevelopments that
Director-General shall see tenants continuing to be are continuing apace include the
Housing NSW environmentally responsible in their Bonnyrigg Living Communities Project
water usage. and the Minto Renewal Project.
We are meeting commitments Bonnyrigg Partnerships was selected
under the State Plan to deliver more as the private partner for the project
homes to older people. Over the and it is the first example of a public-
year, we began a major program of private partnership of its kind for social
redevelopment of housing for older housing in NSW. The Minto Renewal
people, with the construction of new Project will entail a complete rebuild
developments across the state, such of this estate with a greater balance of
as the building of an 18-unit complex public and private housing. Physical
in Gorokan, which won the Hunter works on the site commenced in
Special Purpose Housing Category May 2007 with Landcom, our private
in the 2006 Housing Industry partners and Campbelltown
Australia Award. For the first time, City Council.
we contacted over 9,000 elderly We now have major programs in
tenants to check on their welfare place to help the most vulnerable in
and wellbeing. our community and to engage our
We have also taken a new direction tenants and the wider community in
in the delivery of social housing a number of our projects. Many more
in Dubbo with the redevelopment projects detailed in the pages of this
of the Gordon Estate. Through report demonstrate our commitment
Building Stronger Communities, to implementing the NSW State Plan.

Housing NSW Annual Report 2006/07 


We will be strengthening the System. Our legal team was also national and international housing
community housing sector in NSW recognised for its excellence with experts, showcasing policy, practice
following the Minister’s recent an Award at the Annual Excellence and innovation in the housing sector.
announcement in April 2007 of the Award in Government Legal Services We are also looking to officially
Planning for the Future: Community in October 2006. change the name of the NSW
Housing, a Five-Year Strategy for To further develop the talents of staff, Department of Housing to Housing
Growth and Sustainability. Not only we introduced a Leadership Program, NSW and will be progressing this in
will the viability of the sector be with the first intake of staff in May 2007/08.
assured with additional funding and 2006. This program will ensure that In closing, I would like to thank
growth strategies, but its existence we are nurturing our staff and creating Minister Brown for his support and for
will be recognised within legislation opportunities to draw upon the ideas his commitment to securing the best
following an amendment to the and initiatives of staff from across the possible outcomes for social housing
Housing Act 2001. I look forward to organisation. in NSW. I look forward to working
seeing the community housing sector together with him in the coming
expand and develop in new directions This past year has been one of
establishing the foundations for work year to ensure that we can create a
in the coming years. strong, affordable and equitable social
in the coming year. In 2007/08, I look
I am delighted to be at the helm forward to being able to deliver on housing network in NSW. I would also
of such a vibrant organisation as our commitments, including further like to thank all Housing NSW staff for
Housing NSW. The 2,500 staff spread implementation of the Reshaping their hard work, which has ensured
across the state are dedicated, Public Housing reforms, consolidation that we have been able to deliver on
enthusiastic and believe in the work of the Building Stronger Communities our many targets over the past year.
of the organisation. It is testimony to initiatives across the state, and
their hard work that Housing NSW continuation of major redevelopments
received a number of awards at in Dubbo, Minto and Bonnyrigg
the 2006 Premier’s Public Service as well as the Inner West Strategy
Awards, including a gold for the and implementing reforms under
Housing and Accommodation the Future Directions in Community
Support Initiative (HASI) in the Mike Allen
Housing. During February 2008, we
Service Delivery category, a silver Director-General
will be hosting the National Housing
for the Aboriginal and Torres Strait Housing NSW
Conference, with the theme ‘Housing
Islander Mentoring Program in the as a Foundation: Building Successful
Workforce Development category, and Partnerships’. The 5th National
a bronze for the community housing Housing Conference will feature local,
Performance Based Registration

 Housing NSW Annual Report 2006/07


Highlights of 2006/07

> Investment in new supply provided > Provided 100 scholarships and
883 new units, bringing the social 30 achievement awards for young
housing portfolio to over 146,000 people in social housing.
dwellings. > Government’s release of future
> Around 339,000 people were directions in community housing
housed, of which 262,000 live through the Planning for the
in public housing and 77,000 in Future: Community Housing, a
community housing (including Five-year Strategy for Growth
crisis accommodation). and Sustainability which will
> 57,000 assistances were provided see a doubling of homes in the
to over 33,000 households in community housing sector.
the private rental market through > Release in April 2007 of the
Rentstart, Tenancy Guarantees and Housing and Human Services
Special Assistance Subsidies. Accord, which establishes a
> Fixed-term leases of two, five and framework for cross-agency
10 years were introduced. housing and support agreements.
> By 30 June, some 60,000 tenants > Selected Bonnyrigg Partnerships
had commenced to pay for their as the private-sector partner
actual water usage and 70,000 in December 2006 to plan and
homes were fitted with water- undertake the redevelopment
saving devices, resulting in saving of the Bonnyrigg Living
the equivalent of 1,500 Olympic- Communities Project.
size pools. > Properties were auctioned and sold
> A $49.8 million Affordable Housing in June 2007 under the Building
Innovations Fund was established Stronger Communities Dubbo
and the Shoalhaven Community project for the redevelopment
Housing Scheme and Community of the Gordon Estate.
Housing Limited were preferred
applicants for the first $3.4 million
debt equity project.
> Committed $66 million for the
regeneration of six priority locations
covering 18 housing estates
across NSW.

Housing NSW Annual Report 2006/07 


What We Do

Housing NSW operates under the Housing Act 2001 to


manage the NSW Government’s housing portfolio and
develop broader housing strategies.
Public Housing Special Assistance Contact Information
Property and tenancy management The provision of subsidies for people 223–239 Liverpool Road
for households living in over 126,300 with disabilities or living with HIV/AIDS Ashfield, Sydney NSW 2131
public housing homes. who rent in the private market. Locked Bag 4001, Ashfield BC 1800
Telephone 1800 629 212
Community Housing Home Purchase Assistance Email: feedback@housing.nsw.gov.au
Funding and regulation of not- Advice and financial assistance for Website: www.housing.nsw.gov.au
for-profit organisations to provide home buyers.
Further contact details for a range of
property and tenancy management
Affordable Housing housing services provided by Housing
for more than 15,600 properties
The development of low-cost housing NSW are included in the Appendices.
(including crisis accommodation).
options with the private sector and
Aboriginal Public Housing not-for-profit organisations.
Property and tenancy management
for more than 4,300 properties owned Community Regeneration
by the Aboriginal Housing Office. Specific initiatives to support
tenants in disadvantaged housing
Linking Support Services communities.
The development of partnerships
with other government agencies and Social Housing Policy
community organisations to support Housing policy development and
households with special needs living overall regulation of public and
in social housing. community housing in NSW.

Rental Assistance
The provision of financial assistance to
low-income households renting in the
private sector.

 Housing NSW Annual Report 2006/07


Statistical Summary

2002/03 2003/04 2004/05 2005/06** 2006/07**


Resources
Total number of employees 2,793 2,767 2,161 2,247** 2,474**
Incidents/accidents reported in the workplace 269 364 139 251** 268**
Workers’ compensation claims 87 134 85 93** 88**
Customers
Number of tenancies (at 30 June)
Public housing* 123,262 123,310 122,884 121,870** 120,516**
Community housing 11,499 12,075 12,494 13,227** 14,660 **
Aboriginal Housing Office 3,917 4,027 4,061 4,112** 4,152**
Total tenancies managed by Housing NSW 138,678 139,412 139,439 139,209** 139,328**
Number of new tenancies
Public housing 10,024 10,034 9,082 8,988** 8,870**
Aboriginal Housing Office 438 465 404 395** 433**
Approved applicants for public housing at year end 80,188 73,289 69,067 53,328** 44,870**
Private rental assistance (includes Rentstart and
Special Assistance Subsidy) – number of households 38,323 36,120 35,494 35,358** 33,292**
Finances
Net rental income ($m) 489 529 552 602** 640**
Government grants – recurrent ($m) 180 279 237 282** 230**
Government grants – capital ($m) 253 172 157 200** 261**
Maintenance and upgrading expenditure ($m) 366 381 352 404** 430**
Property asset value ($m) 25,465 29,037 28,306 27,475** 27,804**
Assets
Dwellings under management
Public housing 129,185 128,798 128,270 127,627** 126,325**
Community housing 11,358 11,677 12,241 12,892** 14,140**
Crisis accommodation 1,310 1,379 1,414 1,439** 1,484**
Aboriginal Housing Office dwellings 4,055 4,148 4,202 4,282** 4,321**
Total dwellings under management 145,908 146,002 146,127 146,240** 146,270**
Number of public and community housing dwellings
completed in the year 813 662 691 779** 883**
* Does not include public housing dwellings that were managed through partnerships with community groups.
** Includes other tenant charges.

Housing NSW Annual Report 2006/07 


Our Clients

Household type
Public housing subsidised* tenants Community housing tenants

Single 54% Single 37%

Single parent 18% Single parent 32%

Couple 10% Couple 10%

Couple parent 5% Couple with children 15%

Extended family with children 5% Other 4%

Families with adult members only 7% Group 2%

Group 1%


Housing register applicants Rental assistance recipients
(Rentstart and Special Assistance Subsidies)
Single 39%
Single 42%
Single parent 31%
Single parent 30%
Couple 9%
Couple 6%
Couple parent 11%
Couple parent 10%
Extended family with children 3%
Extended family with children 5%
Families with adult members only 6%
Families with adult members only 3%
Group 1%
Group 4%


Income source
Public housing subsidised* tenants Housing register applicants

Age pension 28% Age pension 11%

Disability pension 30% Disability pension 22%

Newstart allowance 10% Newstart allowance 17%

Parenting payment 15% Parenting payment 28%

Other Centrelink benefit 8% Other Centrelink benefit 17%

Wages 5% Wages 4%

Other 4% Other 1%


Age of household head
Public housing subsidised* tenants * Rents for low-income tenants are generally subsidised. Tenants are charged market rent
but receive a rebate from Housing NSW so that the amount they pay is no more than
25% of their income.
18-24 years 2%

25-54 years 45%

55-64 years 21%

65-74 years 16%

75 years and over 16%


10 Housing NSW Annual Report 2006/07
Financial Summary

Actual Actual Budget


2005/06 2006/07 2007/08
$’000 $’000 $’000
Source of funds
Net rent and other tenant charges 602,086 639,703 657,816
Consolidated fund allocation 481,884 491,172 491,452
Interest received 25,463 22,330 17,608
Other revenue 36,990 68,937 20,421
1,146,423 1,222,142 1,187,297
Application of funds
Repairs and maintenance 234,822 224,336 269,803
Council and water rates 156,697 160,382 164,600
Employee related and other operating expenses 275,506 294,234 352,365
Depreciation 249,464 260,213 278,590
Other expenses 246,573 263,110 333,293
1,163,062 1,202,275 1,398,651
Surplus/(deficit) after rental subsidies (16,639) 19,867 (211,354)
Cash balance 130,698 193,923 88,874

Housing NSW funds its operations The increase of $70 million in other Further to the above financial
through rental income, funding expenses in 2007/08 mainly relates summary, an additional $537.8
under the Commonwealth State to additional interest and financing million of capital funding was
Housing Agreement (CSHA), other expenses of $7 million; $22 million in spent in 2006/07.
Commonwealth/State government unspent funds carried forward from Commonwealth State Housing
funds, borrowings and interest 2006/07 for various projects/initiatives Agreement activities described in
income. under new products and services this publication are funded by the
The decrease of $48 million in other initiatives; $8 million expenses for Australian Government and the NSW
revenue for 2007/08 mainly relates affordable housing initiatives from the Government.
to one-off funding received in 2006/07 $30 million received from the Rental
from the Rental Bond Board ($30 Bond Board in 2006/07; $7 million
million) and a gain on disposal of increase in loss on disposal from
assets held for resale ($13 million) in non-current assets; and $26 million
2006/07. increase in other gains/loss mainly
due to AEIFRS adjustments.
The increase of $45 million in repairs
and maintenance in 2007/08 relates
to the proposed implementation of the
Maintenance Reform Program across
the state.

Housing NSW Annual Report 2006/07 11


Performance Indicators

Level of Assistance Targeting of Assistance Vacancy Management


The continued targeting of allocations The proportion of tenants who are The number of turnaround days to
to households with low incomes newly housed in public housing each re-let public housing stock remains
has meant an increase in the level of year that have special needs remains steady at 26 days, having dropped
subsidy provided. It is anticipated that steady at just over 52 percent. Special by seven days over the past five
this will continue to grow as market needs tenants are the young, the years. Turnaround days in community
rents increase at a higher level than elderly, Aboriginal people and people housing is lower at 18 days.
the CPI. with a disability. Vacancy rates of housing stock are
In community housing, where special consistently low, currently sitting at
needs also includes tenants with 1.4 percent in public housing.
support needs, from non-English
speaking backgrounds and newly
arrived migrants, refugees or asylum
seekers, the proportion is over 80
percent.

Note: These performance indicators are included in the Report on Government


Services, published annually by the Australian Government – Productivity
Commission in order to promote greater transparency and informed debate
about comparative performance Australia-wide.

Average subsidy per subsidised tenant


per week ($) Tenants housed who have special needs (%) Average turnaround (days)

130 90 35

120
80
30
110

100 70

25
90
60
80
20
50
70

60
40
15
50
54.3

30
40
22.0

10

30 20

20 5
10
10

0 0
0
2002/03

2003/04

2004/05

2005/06

2006/07
2005/06

2002/03

2003/04

2004/05

2005/06

2006/07
2002/03

2003/04

2004/05

2006/07

Public Housing Community Housing Public Housing Community Housing

12 Housing NSW Annual Report 2006/07


Client Debt Administrative Costs Maintenance Costs
The small recovery in the level of debt For public housing, the net recurrent The investment for planned
can be attributed to the continued costs of providing assistance per maintenance activities has increased
emphasis on management of rental dwelling increased in the last year by 37 percent over the past two
arrears. Continued improvement in by $32 (1 percent). However, due years, reflecting Housing NSW’s
this area is dependent on external to changes in reporting definitions commitment to reducing the backlog
factors affecting our tenants’ requested by the Commonwealth of maintenance and to improve
disposable income. for calculating net recurrent cost, properties to a consistent level of
this resulted in the cost per dwelling condition and fire safety.
increasing by a further $624 (12 Responsive maintenance activities
percent). The combined effect is a have increased by 10 percent over
total increase of $656 (13 percent) the 2005/06 year due to minor works
over the 2005/06 figures. that have been referred, following
Factors that have contributed to the condition inspections of properties,
increase include additional salary award and building components that are
costs for Housing NSW staff, increases breaking down that have been fixed to
in administrative costs to implement the ensure their functionality.
Maintenance Reform Program (MRP)
and Reshaping Public Housing reforms,
and additional borrowing costs for loans
to fund the MRP.

Rent arrears as a percentage of annual Net recurrent costs per public


net rent (%) housing dwelling ($) Maintenance costs ($ million)

1.2 7000 250

225
6000
1.0
200

5000 175
0.8

150
4000

0.6 125

3000
100
54.3

0.4
75
2000

50
0.2
1000
25

0.0 0 0
2002/03

2003/04

2004/05

2005/06

2006/07
2002/03

2003/04

2004/05

2005/06

2006/07

2002/03

2003/04

2004/05

2005/06

2006/07

Responsive Planned

Housing NSW Annual Report 2006/07 13


Corporate Structure and Executive Team

Relationship between the The Housing Act 2001 is administered corporation) has no appointed
Minister for Housing, Housing by the Minister for Housing (‘the members, and the Director-General
Minister’). of Housing NSW manages its affairs.
NSW and the NSW Land and
Housing Corporation The Housing Act 2001 continued Housing NSW and the Corporation
the corporate existence of the NSW act in a complementary manner to
Land and Housing Corporation (‘the achieve a unified administration of the
Corporation’) as a body corporate Housing Act 2001. Housing NSW is
representing the Crown. This is a a Division of the Government Service
continuation of the body of the same and employs all staff used by the
name constituted under the now Corporation. The Corporation holds
repealed Housing Act 1985 and the land, buildings and other assets within
Home Purchase Assistance Authority. the housing portfolio and is the entity
The Corporation (being a statutory through which all transactions occur.

A/Director
Ministerial &
Executive Services
Donna Lantavos

A/Executive Director Executive Director Executive Director


Governance & Policy, Strategy Organisational
Regulation & Finance Improvement
Colleen Dreis Stephen McIntyre Adele Thomson

Oversees Directorate that Oversees Directorate that leads, Oversees Directorate that manages
investigates fraud allegations, advises and reports against and provides strategic advice and
hears appeals from tenants, organisational performance, strategic consultancy on staff establishment,
provides services and advice planning and monitoring of housing human resources, learning and staff
on procurement and contracts, indicators and affordability. development, occupational health
insurance and legal advice. – Housing Strategy
and safety.
– Business Assurance – Housing Policy & Partnerships – IT Strategy & Chief Information Office
– Legal Services Branch – Corporate Finance & Planning – People & Organisational
– Strategic Procurement Performance
– Risk & Insurance – 
Project Management
& Change
– Housing Appeals Committee
– Businesslink Relationship
– Business Continuity Planning

14 Housing NSW Annual Report 2006/07


Housing NSW and the Corporation Executive Team and decision-making processes are in
are linked in the legislation in that: The Executive team has two major place. During 2006/07, a review of the
> the Director-General of Housing roles to: structure of Strategy and Governance
NSW manages the affairs of the meetings was undertaken. Minor
> determine the strategic direction
Corporation so that anything done adjustments to the arrangements
of Housing NSW and monitor the
in the name of, or on behalf of, the were made to support the role of
organisation’s performance and
Corporation by the Director-General, the Executive Team as the primary
> manage the operations of Housing strategic decision-making forum for
shall be deemed to have been done
NSW. collegial leadership of the organisation
by the Corporation and
The Executive meet as a team twice under the direction of the Director-
> the Corporation is empowered to
a month. General and the Minister.
exercise any of its functions in the
name of Housing NSW. Housing NSW’s governance For further details on Management
arrangements are regularly reviewed Structures and Executive Officers,
to ensure that robust management see Appendices, p. 68.

Director-General
Mike Allen

Executive Director Deputy


Executive Director
Office of Director-General
Strategic Projects
Community Housing Operations
Paul Gilbertson
Maura Boland Paul Vevers

Oversees Office responsible for Oversees Directorate responsible Oversees the Directorate
leading strategy and operations for undertaking projects with high- responsible for delivering services
for the community housing impact improvements for social to tenants and applicants,
sector and managing relationship housing, including major public- including public housing policy
with providers and resourcing private partnerships. development, managing Housing
agencies. – PPP Projects
NSW’s total portfolio, project
– Service Development
management and housing stock
– Bonnyrigg Living development, maintenance of
– Community Housing Strategy Communities Project assets, and development of
– Business Performance – Minto Renewal Project environmentally sustainable
– Performance Management solutions.
– Housing Services (Central Sydney,
Greater Western Sydney, Northern
NSW, Southern & Western NSW)
– Housing Contact Centre
– Resitech
– Major Projects
– Client Services Strategy
– Asset Performance
– Maintenance Reform Program
– Service Programs

Housing NSW Annual Report 2006/07 15


01 Objective 1: Maintain a strong and fair
public housing system for people most
in need

Highlights for 2006/07


• In October 2006, we moved away from tenancy • We spent $7.88 million modifying 3,500
for life to fixed-term leases of two, five and ten- homes to house people with mobility related
year leases, according to the tenants’ needs. disabilities.
• Under the WaterFix Program, 70,000 homes • New development in Gorokan for elderly
were fitted with water-saving devices, resulting tenants received the Hunter Special Purpose
in saving the equivalent of 1,500 Olympic-size Housing Category for the 2006 Housing
swimming pools. Industry Australia (HIA) Awards.
• As a result, by 30 June 2007, 60,000 tenants • The Maintenance Reform Program was
were paying for their actual water usage, launched – over $148 million will be spent
reducing water usage so that Housing NSW on maintenance over the next 10 years.
was able to pass savings on to tenants.
• Trials under the Maintenance Reform Program
• Under the New Directions for Social Housing continued in 17 pilots on 28,000 properties
for Older People, $420 million was committed throughout NSW.
over five years on an additional 2,800 homes
• $306 million was committed to commence
for older people.
1,276 new dwellings, under the Capital Supply
• We contacted 9,000 elderly tenants. Program.

16 Housing NSW Annual Report 2006/07


Most Housing NSW clients receive assistance through public housing. Our
focus, during 2006/07, was on providing a strong and fair public housing
system through the introduction of new income limits, fixed-term leases and
water charges under Reshaping Public Housing, as well as by providing more
targeted assistance to older people, people with a mental illness, people with
disabilities, and Aboriginal people. In addition, we are maintaining housing
supply and managing our housing stock worth over $27 billion.

Reshaping Public Housing During 2006/07, we introduced: Water Management


Targeting and Tenure: > new income limits for applicants In 2006/07, Housing NSW
to better reflect differences in implemented Stage 2 of water usage
Introduction of new income
household types charges for public housing tenants.
limits, fixed-term leases Tenants in a home with a separate
> income limits at lease review, which
and fixed-term lease review water meter are charged for the
are set at a higher level than for new
arrangements applicants at entry to public housing actual water they use, as advised
The Reshaping Public Housing so that households are able to by the local water authority. By 30
reforms announced in 2005 included improve their financial position over June 2007, 60,000 tenants began
changes to eligibility and tenure to a period of time to pay for their actual water usage.
ensure that access to public housing Housing NSW continues to pay
> fixed-term leases of two, five or tenants’ connection fees, sewerage
is targeted to those most in need.
10 years that apply to all new public costs and other costs not related to
Previously, tenants could remain
housing tenants, including people water usage. By introducing water
in public housing for life, providing
currently on the housing register usage charges, we aim to support
they met tenancy conditions. In
and new applicants for public the financial sustainability of Housing
October 2006, Housing NSW
housing. NSW and encourage better use of this
moved away from tenancy-for-life to
fixed-term leases. Under these new Housing NSW will conduct a review vital natural resource.
arrangements, the length of the lease before each fixed-term lease ends
Tenants in shared metered homes
will be matched to a tenant’s need to determine whether the tenant is
pay a percentage of their rent as a
for public housing. This will enable eligible for a lease extension. Where
water usage contribution. As tenants
a greater number of people to be the tenant is eligible for an extension,
demonstrated savings in their water
assisted in the longer term. we will offer an extension of two,
usage, in March 2007, the percentage
five or 10 years, according to the
Public housing is provided to charge was reduced from 4.1 percent
household need. Eligibility for a lease
people on low incomes who need to 3.3 percent. At the same time, the
extension will depend on whether the
support services to help them live maximum charge was reduced from
household qualifies under the income
independently, such as the frail elderly, $7.00 per week to $5.00 per week.
limits and whether the tenant owns
vulnerable young people, homeless any property. Through a partnership between
people and people with a disability, Housing NSW and Sydney Water, we
as well as people who have problems installed water-saving devices in some
accessing affordable and suitable 70,000 properties under the WaterFix
housing in the private rental market. Program. This is the equivalent of
saving water that would fill 1,500
Olympic-size swimming pools.

Housing NSW Annual Report 2006/07 17


01 Objective 1: Maintain a strong and fair
public housing system for people most
in need

The remaining 5,000 properties in the > developing best-practice guidelines Keeping in Touch with the
Sydney water catchment areas will be in developing and supporting Over 60s
completed in the first half of 2007/08. seniors’ communities in social We continued to make regular contact
In the coming year, we plan similar housing, which allows older people with tenants, aged over 60 years,
partnerships to install water-saving to stay at home with greater security and Aboriginal and Torres Strait
devices in Housing NSW homes in > identifying pensioner housing stock Islander tenants, aged over 45. Where
other areas of NSW. for redevelopment or acquisition there has been no established or
> commencing a major refurbishment documented contact in a six-month
Diverse Housing Needs
of Blandville Court by installing lifts period, telephone contact with tenants
New Directions in Social and a community room and is made by the Housing Contact
Housing for Older People > allocating $170,000 to trial a new Centre. Where contact by telephone is
The New Directions in Social Housing grants program, ‘Connecting Older unable to be established, the client’s
for Older People, announced in Tenants’, an innovative way to details are referred to the local client
April 2006, is stage one of the NSW promote neighbourliness within service team to establish contact. The
Government’s plan for increasing the social housing communities. Housing Contact Centre contacted
supply of affordable housing. It is a 9,000 tenants with whom there had
In March 2007, the Premier been no established contact in the
commitment to taking a lead role in
announced $4 million to fund the Care previous six months.
meeting the housing needs of older
Call program. Daily telephone calls will
people in NSW. The key priorities for Housing for People with a
be made to frail, elderly public housing
the next five years include:
tenants, who live alone, to reduce Disability
> investing $420 million to increase their isolation, improve their wellbeing Housing NSW helps people with a
pensioner housing stock by 2,800 and connect them to support disability through a range of social
homes and a further $75 million services. The Care Call program is housing assistance programs. In
to refurbish and modify existing expected to commence in 2008. addition, we participate in whole-
properties of-government initiatives that assist
New Directions in Social Housing
> developing designated older for Older People will provide more social housing tenants with a disability
people’s precincts in major responsive and flexible housing to live full lives in the community.
redevelopments that can meet the needs of older Housing that works for people with
> issuing best-practice design people well into the future. Other a disability is about much more than
guidelines models for reducing social isolation bricks and mortar. Housing should
will be reviewed and partnerships be affordable, designed to suit
> developing older people’s
will continue to be developed under individual needs, well located, allow
complexes
the Housing and Human Services people to interact, and be linked to
> encouraging people in public support services. Housing NSW is
Accord to ensure that older people
housing to keep an eye out for older also committed to consulting and
in social housing receive the services
neighbours involving people with a disability in the
they need.
> establishing partnerships with other planning and delivery of services, and
government and non-government For more information on the
providing information that is friendly
agencies and achievements of the Capital Supply
and accessible.
Program, see Objective 1, p. 21.
> supporting older people to be
leaders in their own communities.
During 2006/07, we undertook a
number of projects, including:
> developing a policy for senior
Public housing will now be provided to
communities where older people in
public housing can live near other
people on low incomes who need support
older people services to help them live independently
18 Housing NSW Annual Report 2006/07
Disability Modifications Program Other programs Residents celebrate
We continued to modify housing Through the whole-of-government Riverwood’s 30th
for people with mobility related strategy Stronger Together: A New anniversary
disabilities. Modifications include Direction for Disability Services
In October 2006, past and present
hand-rails and ramps for physical Strategy and the NSW State Plan, we
residents of Riverwood came
access and may include minor are committed to working with other together to celebrate 30 years of
alterations to kitchens and doorways government and non-government the Lincoln and Jefferson high-rise
to ensure homes meet the functional agencies and tenants to ensure towers.
needs of people with a disability. that people with a disability receive
Residents first moved into the
In 2006/07, Housing NSW spent the most suitable housing. Housing Riverwood Estate in October 1976,
$7.88 million modifying 3,500 NSW’s Disability Action Plan has and some of them still live there.
dwellings (see Figure 1.1). identified strategies to: Helen, a tenant representative
> improve information about housing for the Estate, said this milestone
Figure 1.1 celebrates relationships, community
products and services for people
Disability modification program expenditure spirit, friendship and memories.
($’000) with a disability
She received a certificate of
9,000
> promote tenant participation commemoration from the Member
activities in partnership with and for for Heathcote, Paul McLeay, as did
people with a disability and several other tenants.
8,000
> support partnerships for people with “The residents of Riverwood have
a disability under the NSW Housing
7,000
and Human Services Accord.
always been willing to help each
other out, whether to organise a
6,000 Consultation with tenants with a
disability and key stakeholders is a
Christmas party for children or
5,000 major component of implementing to volunteer at the Community
and monitoring the Disability Action Centre,” Helen said.
4,000 Plan, ensuring that housing assistance
provided by Housing NSW works for The Director-General, Mike Allen,
who used to be Riverwood’s
3,000 people with a disability.
General Manager, also attended
Housing for People with Mental the celebrations. He paid tribute
2,000
to tenants and staff from the local
Illness office, saying their combined efforts
1,000 We assist people with mental health had brought a sense of pride and
issues to sustain tenancies through belonging to the area.
0 commitments under the Joint
The Riverwood community is a
Guarantee of Service (JGOS) and
2002/03

2003/04

2004/05

2005/06

2006/07

prime example of what public


the Housing and Accommodation housing can and should be – more
Support Initiative (HASI). than just a roof over people’s heads,
Special Assistance Subsidy it is a strong, healthy and happy
(For information on the Joint
Program community.
Guarantee of Service, see
This program provides targeted rental
Objective 4, p. 50.)
assistance subsidies to eligible clients
with a mental or physical disability (For information on the Housing and
to help them to rent in the private Accommodation Support Initiative,
market. As at 30 June 2007, over see Objective 2, p. 32 and
800 subsidies were provided at a Objective 4, p. 49.)
cost of $5.08 million.
(For more information on the Special
Assistance Subsidy Program, see
Objective 3, p. 42.)

Housing NSW Annual Report 2006/07 19


01 Objective 1: Maintain a strong and fair
public housing system for people most
in need

Housing Aboriginal People Improvement in services to Two Ways Together


Housing for Aboriginal people Aboriginal and Torres Strait Islander Two Ways Together is the NSW
is provided through public and people Government’s 10-year inter-agency
community housing, as well as through The purpose of Housing NSW’s plan to improve outcomes for
the Aboriginal housing sector. The Aboriginal Service Improvement Unit Aboriginal people and communities.
Aboriginal Housing Office (AHO), is to improve access and equity for A fundamental principle of the
an independent statutory authority, Aboriginal clients to public housing plan is that government agencies
oversees the Aboriginal housing sector. programs. Key projects for the year and Aboriginal communities work
were: together to achieve outcomes. We
It is estimated that approximately
> a review of the Deed of Agreement are committed to improving access
9,800 Aboriginal and Torres Strait
between Housing NSW and the to mainstream public and community
Islander households are housed within
AHO to manage properties owned housing services for Aboriginal
public housing, managed by Housing
by the NSW Aboriginal Housing people. These commitments align
NSW, and a further 1,000 in housing
Office and with those in the Commonwealth
managed by mainstream community
State Housing Agreement.
housing providers. > a review of the arrangements used
by Housing NSW to manage and We contribute to outcomes for
In addition, the Aboriginal housing
administer the maintenance and Aboriginal families and communities
sector in NSW provides approximately
repairs program for NSW AHO by:
9,000 dwellings specifically for
Aboriginal people and Torres Strait properties. > supporting the Aboriginal Reference
Islander people. The AHO owns Over the past year, the Unit started Group and a mentoring program for
4,321 of these dwellings with tenancy to develop an Aboriginal Service Aboriginal staff
and property management provided Delivery Framework and Strategy. This > developing formal support
by Housing NSW on a fee-for-service will help to guide service delivery by partnerships with other agencies
basis. The Aboriginal housing sector Housing NSW for its Aboriginal clients. for Aboriginal people with complex
also includes community based The Framework and Strategy will be needs under the Housing and
and managed Aboriginal housing completed during 2007/08. Human Services Accord
providers. These are supported by > contributing to a joint
the AHO. Aboriginal Advisory Boards
Commonwealth/NSW review of
As at 30 June 2007, 4,152 Aboriginal Three Aboriginal Advisory Boards
Aboriginal housing and infrastructure
and Torres Strait Islander households support and promote culturally
programs to improve coordination
were accommodated in these AHO appropriate client services in the
and service delivery to Aboriginal
properties managed by Housing NSW. Greater Western Sydney Division.
people and communities and
These are modelled on the successful
Aboriginal Advisory Board in Outer > engaging with the AHO to promote
Western Sydney, which has been the interests of NSW Aboriginal
operating for the past 13 years. The people in national Aboriginal policy
boards provide information and advice development.
on policy and planning and enable
a formal communication process
between the Indigenous community
and Housing NSW.

20 Housing NSW Annual Report 2006/07


Providing Social Housing It is estimated that, in 2006/07, Capital Supply
this housing accommodated The demand for public and
Housing NSW continues to increase
approximately 352,000 people, of community housing is met
housing across the social housing
whom 262,000 live in public housing, through property acquisitions, new
system, which includes public
77,000 in community housing, construction, the redevelopment
housing, community housing and
and 13,000 in housing owned by of existing properties and other
Aboriginal housing. As at 30 June
the Aboriginal Housing Office (see methods. Each year, Housing NSW
2007, the total number of social
Figure 1.3). allocates resources to its Capital
housing properties was 146,270 (see
Figure 1.2). Supply Program. In 2006/07, this
Figure 1.3
program totalled $306.42 million:
Figure 1.2 People assisted in social housing
$258.45 million for public housing and
Total number of properties managed by social a further $47.98 million on community
housing providers as at 30 June 2007 housing capital works.
150,000 Of the 1,276 dwellings commenced
in 2006/07, 223 have been targeted
towards housing older people.
140,000 Housing NSW also builds homes
to make it easier, quicker and more
economical to adapt them for clients
130,000 with disabilities, when required.
Number of properties

Public housing 262,000

Aboriginal housing 13,000

120,000 Crisis accommodation 39,000

Community housing 38,000

110,000
Public Housing
Public housing is directly managed
100,000 by Housing NSW and comprises 86
percent of the NSW social housing
system. As at 30 June 2007, there
90,000 were 126,325 public housing
properties. During 2006/07, 8,870
2002/03

2003/04

2004/05

2005/06

2006/07

new households were accommodated


in public housing.
Crisis Accommodation Program (community)

Aboriginal Housing Office

Community housing

Public housing As at 30 June 2007,


the total number
of social housing
properties was
146,270

Housing NSW Annual Report 2006/07 21


01 Objective 1: Maintain a strong and fair
public housing system for people most
in need

Table 1.1 Capital works expenditure 2006/07 ($) Headlease Supply


Community Public Housing NSW also headleases
housing housing Total properties from the private rental
$’000 $’000 $’000 market. These properties are, in turn,
leased to clients at subsidised rates.
Acquisition 27,040 184,120 211,160
As at 30 June 2007, public housing
Redevelopment 17,820 59,040 76,860 leasing subsidies totalled $19.42
Construction 2,450 7,980 10,430 million. As at 30 June 2007, 6.3
Conversion 670 7,310 7,980 percent of all social housing stock
managed by Housing NSW was
Total 47,980 258,450 306,430 leased rather than owned.

Table 1.2 Dwelling commencements 2006/07 (units) Allocating Housing to Clients


CAP* CHAP* PH Total
The NSW public housing system has
undergone significant change. In the
Acquisition 21 58 645 724 post-war years, the majority of people
Redevelopment 0 144 344 488 in public housing were low‑income
Construction 0 11 12 23 working families. Increasingly, we
are housing those in greatest need,
Conversion 1 0 40 41
people dependent on statutory
Total new owned 22 213 1,041 1,276 incomes (see Figure 1.4).
*The Crisis Accommodation Program (CAP) and Community Housing Assistance Program Figure 1.4
(CHAP) combine to represent the total capital program for the community sector.
Percentage of subsidised tenants on
Centrelink benefits (%)
Table 1.3 Dwelling completions 2006/07 (units)
100
CAP CHAP PH Total

Acquisition 16 128 435 579


Redevelopment 0 86 108 194 95

Construction 0 10 11 21
Conversion 1 0 88 89 90

Total new owned 17 224 642 883

Table 1.4 Dwelling headleased 2006-07 (units) 85

CAP CHAP PH Total

Net new leases 8 92 141 241 80

Total dwellings leased


(short & long term) 235 5,647 2,702 8,584
75

70
2 00 2 /03

2 00 3 /04

2 00 4 /0 5

2 00 5 /0 6

2 00 6 /0 7

Total public housing

New public housing

Total community housing

22 Housing NSW Annual Report 2006/07


Nearly 40 percent of applicants for Building Better Housing There are a number of
public housing today are single, redevelopments, including:
and another 31 percent are single
Building Stronger Communities
Dubbo > Camperdown, which will create more
parents. Only 11 percent are couples modern, adaptable and affordable
with children. Over one-quarter In May 2006, the Minister for
public housing in the inner city by
of subsidised tenants are on the Housing announced the Building
redeveloping the site and
disability support pension, and nearly Stronger Communities Strategy
Dubbo to exit the West Dubbo > Lilyfield Estate, which will be a more
one-third of household heads are over
Gordon Estate under a whole-of- efficient use of the asset in a central
65 years old.
Dubbo community regeneration location, on major bus routes and
Housing Register strategy. The estate has experienced close to the city.
Depending on their circumstances, social issues over a 20-year period, Port Macquarie Redevelopment
applicants for public housing may including high levels of crime and The $16 million redevelopment in
be eligible for either priority or vandalism. The Building Stronger Port Macquarie will see uneconomical
general housing. Existing tenants Communities Strategy Dubbo is stock replaced with at least 52 new
may also apply to be rehoused if about bringing the Dubbo community units specially designed for the area’s
their circumstances have changed. together and making West Dubbo elderly and people with a disability.
Through our housing register, we a more appealing place to live, Once complete, the project will not
allocate housing to eligible applicants. particularly for new home buyers. only reconfigure existing Housing
As at 30 June 2007, there were
The objectives of the program are to: NSW stock but will:
44,870 applicants on the housing
register, a decline from the 53,328 > revitalise and renew the West > develop an environmentally friendly
recorded a year earlier and part Dubbo Estate into a safe, attractive project design
of a longer-term downward trend. and functional neighbourhood > use the land asset efficiently through
This was mainly brought about by > generate redevelopment funding increase in density and
improved management of the housing through the sale and divestment > improve urban design and
register, including regular surveys of of Housing NSW ownership of the regenerate the area.
applicants to determine whether they entire West Dubbo Estate
were still eligible and needed housing. Redfern Redevelopment,
> rehouse public housing tenants with
Elizabeth Street
Priority Housing suitable accommodation outside
On 30 April 2007, approval was
Over the past five years, more priority the West Dubbo Estate through
granted for the redevelopment of
housing applicants have increasingly acquisitions and developments and
the Elizabeth Street, Redfern public
complex needs. We allocate priority > attract owner-occupiers to the West housing site. This will revitalise
housing to those who are homeless, Dubbo Estate. and turn the neighbourhood into a
households at risk, the elderly, people (For information on achievements in welcoming community for young
living with mental illnesses and West Dubbo, see Objective 4, p. 54.) families, the elderly and those
disabilities or HIV/AIDS. An increasing most in need. The old site of 106
number of applicants have a Inner West Strategy
walk-up units, built in 1953, will
disability and require special dwelling The Inner West Strategy enables be transformed into 264 modern
requirements, such as wheelchair or Housing NSW to lease out apartments and houses. Land for
ground-floor access. 16 heritage properties in Millers 158 of these on the Western Block
Priority housing applicants remained a Point on 99-year leases, which will be sold on the private market and
focus in 2006/07, with priority housing will fund the redevelopment and the profits will absorb part of the $27
allocated to 2,597 tenants, or 29 acquisitions of new homes in Sydney’s million cost. The Eastern Block will be
percent of the 8,870 new tenants Inner West. We expect the first of redeveloped into 106 new dwellings
housed during the year. these leases to be on the market in for Housing NSW, consisting of 40
2007/08. townhouses and 66 apartments.

Housing NSW Annual Report 2006/07 23


01 Objective 1: Maintain a strong and fair
public housing system for people most
in need

Asset Management This year was the first implementation Although rollout of the MRP was
Framework year of an accelerated capital scheduled for November 2006, this
supply program, aimed at was deferred in order to strengthen
Housing NSW’s long-term asset
realigning public housing as part contract provisions on contractor
planning involves building or acquiring
of Reshaping Public Housing. performance and quality management
12,000 homes over the next 10 years
Long-term realignment targets and to ensure maximum savings will
using the proceeds from sales or
formed the basis for Housing NSW’s be achieved.
demolition of old, outdated houses
2006/07 capital works programs
as well as continuing capital funding Property Upgrading and
and budgets through to 2017/18.
from the NSW and Commonwealth Planned Maintenance
We commenced refurbishment and
governments. This is a 10-year The Accelerated Improvement
conversion of existing dwellings as
rolling program which takes into Program was introduced to
well as replacement through new
account a range of factors, including reduce the maintenance backlog
construction and purchase.
movements in the property market, by improving properties in poor
demographic changes to Housing Long-term asset planning was
condition. Since 2001/02, over
NSW’s clients and their needs, and extended to include community
46,500 properties have been
financial considerations. In the lead housing. This will facilitate future
improved at a cost of $581.5 million,
up to the March 2007 election, the growth of the community housing
including $76.3 million spent on
NSW Government reinforced its sector. Success of Housing NSW’s
improving 8,424 properties during
commitment to: long-term asset planning continues
2006/07.
to depend on procuring new housing
> renew the public housing property During the year, we spent
stock that is appropriate to the needs
portfolio over a 10-year period $64.5 million on other planned
of current and future clients.
> build, acquire or redevelop 12,000 maintenance and special projects,
homes Maintenance Reform Program including painting, fencing, upgrading
In response to the NSW Government’s kitchens and bathrooms, new floor
> increase the proportion of one- and
commitment to address long-term coverings, and improving security
two-bedroom homes
maintenance backlogs and fire- and design on estates.
> invest $420 million in the safety work, Housing NSW has
construction of 2,800 homes for been developing reforms around Fire Safety Program
older people over the next five years the maintenance service delivery The Fire Safety Program was
and model. The Maintenance Reform developed in response to Housing
> invest $75 million in property Program (MRP) will enable us to have NSW’s Fire Risk Management
modifications over five years. a planned and systematic service Plan, which identified the need for
delivery model rather than the current improvement in a number of areas.
responsive model. The benefits During 2006/07, we continued the
will be greater efficiencies as well Fire Safety Program to multi-unit
as improvements in time taken for and attached accommodation, with
individual work and cost savings. 15,370 properties upgraded to meet
fire-safety standards at a cost of
A trial began in Sutherland, followed
$64.7 million. Improvements were
by 16 other pilots throughout NSW,
made to multi-unit buildings and
with work completed on 28,000
building common areas, including
properties. Initial results confirm that
stair halls, and installation of some
time and cost savings were made
sprinkler systems. Housing NSW also
by bundling and programming the
introduced new paint technologies to
work in a systematic and planned
assist in fire retardation.
approach.

24 Housing NSW Annual Report 2006/07


Major achievements for 2006/07
included:
New Guidelines to Design Out
Maintenance
Housing NSW
> fire-upgrading works on public The Designing Out Maintenance provides a high
housing worth $62.9 million and
$1.8 million on community housing
project was launched in January 2007
and will save Housing NSW $148 level of service to
> formulating a program of works for
2007/08 to improve the fire safety
million in maintenance costs over the
next 10 years. Under the guidelines,
complete urgent
of a further 30,0000 dwellings new homes will be built using more
robust building materials, such as full
health and safety
> implementing a manual of business
rules and processes to ensure that
masonry walls, coloured metal roofs repairs within
all buildings are upgraded to current
building codes and community
and high-grade water pipes, and
environmentally sustainable measures, four hours
such as solar hot-water systems
expectations.
and rainwater tanks. This will reduce
The program, planned for completion the need for ongoing maintenance.
in 2008, will deliver approximately Six redevelopment projects in Inner
74,000 properties with improved fire West Sydney, South West Sydney,
safety at an estimated cost of $240 Parramatta and St George are already
million. We will continue the Fire using the new guidelines.
Safety Program in 2007/08.
The guidelines introduce universal
Responsive Maintenance access and lifecycle costing
Housing NSW provides a high level as considerations in any new,
of service to complete urgent health redeveloped or refurbished housing.
and safety repairs within four hours, The Designing Out Maintenance
and other repairs to amenity items, initiative comes under the broader
including stoves, hot water systems environment strategy being developed
and heaters, within the next working by Housing NSW.
day. These responsive maintenance
services account for approximately
60 percent of all work orders.
The maintenance reforms being
undertaken in 16 pilot areas across
NSW under the Maintenance Reform
Program should ultimately reduce
the number of urgent maintenance
requests, such as repairs to shower
recesses and hot-water services.
In addition to property upgrading
and planned maintenance, we
spent $186.4 million on responsive
maintenance and service contracts
in 2006/07.

Housing NSW Annual Report 2006/07 25


01 Objective 1: Maintain a strong and fair
public housing system for people most
in need

Retrofitting Lifts Property Disposal Assessment Resitech Projects


Housing NSW is exploring a number Panel Resitech Services
of ways to modify and upgrade Housing NSW sells properties when Resitech is a service provider
properties to meet the changing they do not meet the needs of our within Housing NSW that provides
needs of clients. While some older clients or are not economical to asset solutions through project
housing will be replaced with new maintain or are no longer in a suitable management and quality asset related
housing, the majority of homes will location for clients. Other reasons professional services.  In 2006/07,
need to be modified or upgraded. include the need to sometimes break Resitech delivered nearly 1,300
We need to improve the accessibility down the concentration of public projects and professional services
of walk-up flats buildings. These housing tenants in a particular area with an approximate total value of
buildings are constructed robustly, with private owners or because a $400 million. This included fire-safety
have reasonable amenities, are often tenant wishes to buy the property projects on 42,450 units worth
well located, but suffer because the they are living in. $65 million and 276 constructed or
upper floors are only accessible by Our Property Disposal Assessment purchased projects with a total project
stairs. Blandville Court in Gladesville Panel (PDAP) ensures that the sale value of $220 million.
is one such building where new lifts of our properties is in line with the Resitech also disposed of
have been installed as part of a wider long-term asset planning strategies 524 properties, with a value
upgrade program which will benefit of Housing NSW. The Panel of $116 million.
the residents, the majority of whom comprises senior Housing NSW
are over 55 years old and have lived Executives, including the Director- From Carpark to High Rise
there for 20 to 30 years. Housing General. The Panel meets twice a
NSW is undertaking a feasibility study year to review previous property
on retrofitting lifts to its walk-up flats disposals and determine whether any
in areas of high demand for such policy or procedural changes to the
accessible accommodation. PDAP approval process is required.
We have submitted development Independent market valuations are
applications for a number of buildings used to set prices for disposal. All
requiring lifts to be retrofitted, properties being considered for
particularly in Central Sydney and disposal are referred to PDAP for
Greater Western Sydney, and approval to dispose of the property.
expect the work to be undertaken
in 2007/08.

Collaborating with Waverley Council,


Resitech has developed a former
council carpark at Bondi into a
six-storey high-rise development,
consisting of 27 units for older local
residents. Public council parking is
now provided in the basement of this
modern facility.

26 Housing NSW Annual Report 2006/07


There are 19 one-bedroom and Students’ design and
eight two-bedroom units and the building meets the mark
building features an open-plan design
with generous balconies, a lift, full
wheelchair access, intercom entry,
security lighting, underground parking
and low-maintenance finishes.
Partnering with TAFE for
Housing Solutions
For some years, the Housing Services
Divisions and Resitech have been
in partnership with two local TAFE
campuses to foster trade skills,
by providing valuable hands-on
An example of how the partnership
experience to pre-apprenticeship between a local TAFE campus
students. Each year, a small number and Housing NSW is delivering
of our new construction projects are innovative solutions and valuable
earmarked for students to complete skills for TAFE students is a project
under the supervision of teachers and in Liverpool. This project was
Resitech project managers. completed by Miller TAFE pre-
apprentice students.
Winner HIA CSR New South
The four-bedroom house was
Wales Housing Awards 2006: specifically designed for a family with
a child requiring continual breathing
Housing for Older Residents
assistance via a ventilator. Three-
Through Resitech, Housing NSW won phase power and back-up systems
the Hunter Special Purpose Housing were incorporated along with other
Category for the 2006 Housing design features to improve amenity
Industry Australia (HIA) Awards for for the family. This program is
a building in Gorokan which was providing students with valuable
specially built to cater to the needs practical skills, which will boost their
chances of long-term employment.
of elderly people. The building was
designed and built with the security
and amenity of the residents as the
number one priority and is among the
very best in the region at meeting the
housing needs of older residents.

Housing NSW Annual Report 2006/07 27


02 Objective 2: Support a robust and
diverse community housing system

Highlights for 2006/07


• Minister launches Planning for the Future, a • Additional 95 properties leased under the
five-year strategy for growth and sustainability Community Housing Leasing Program.
for community housing.
• 224 new properties acquired under Community
• Legislation drafted to amend the Housing Act Housing Assistance program.
2001 to recognise and regulate community
• Under the Crisis Accommodation Program,
housing in NSW.
1,249 capital and 235 leasehold crisis
• Housing Accommodation and Support Initiative accommodation properties managed and
(HASI) won the NSW Premier’s Public Sector 38,602 people helped.
Gold Award for Service Delivery and the
• Under the Stock Transfer Program, 900
Performance Based Registration System won a
properties were transferred from public to
bronze medal.
community housing management.
• 11 scholarships, totalling almost $12,270,
• 12 percent of all new allocations went to
were awarded under the Community Housing
Aboriginal people.
Scholarship Program.

28 Housing NSW Annual Report 2006/07


Housing NSW provides low-income housing and crisis accommodation
through the community housing sector. We ensure the long-term viability of
the community housing sector while recognising the unique service delivery
opportunities it provides. The Office of Community Housing manages this
sector, which includes delivering and managing properties as well as regulating
and strengthening the community housing sector.
Planning for the Future Providing Social Housing Growth and Innovation
In April 2007, the Minister for Housing Community Housing The launch of Planning for the
launched the consultation draft (Refer to tables 1.1, 1.2, 1.3 and 1.4 Future in 2006/07 highlighted the
of NSW Planning for the Future: on page 22 for information on the total role community housing will play in
Community Housing, a Five-Year capital supply.) increasing the availability of affordable
Strategy for Growth and Sustainability. housing in NSW. The ability of the
The strategy sets the directions for Figure 2.1 sector to contribute to this outcome is
reform for the next five years. The five Type of community housing properties and dependent on it growing to a sufficient
major themes are: percentage of total social housing scale that it is able to take on a
> growth and innovation – by 18,000 15%
range of new and challenging tasks,
assisting more people in need including the ability to undertake
property development and to leverage
> diverse and flexible responses 16,000
13% non-government funds into affordable
– by meeting individual and local
housing schemes.
needs using local opportunities 14,000
11% Three programs fund the majority
> stronger communities – by
12,000 of the new capital and leasehold
supporting individuals and local
Number of properties

properties in the community housing


communities 9%
10,000 sector. These are:
> building capacity and confidence
– by ensuring growth in the 7%
1. Community Housing Assistance
community housing sector and
8,000 Program (CHAP)
the delivery of quality tenant 5%
2. Community Housing Leasing
6,000
outcomes and Program (CHLP) and
> viability and sustainability 4,000 3. Stock Transfer Program.
3%
– by putting in place financing
The Office of Community Housing
and structural arrangements for 2,000 has also actively supported a National
community housing providers. 1%
Framework for Affordable Housing
Following consultation with 0 to develop a coordinated national
community housing providers and
2002/03

2003/04

2004/05

2005/06

2006/07

approach to tackling the problem of


other stakeholders, an action plan housing affordability.
will be developed to implement the
Owned Leased
strategy over the coming years.
% total social housing
In the coming year, the Housing Act
2001 will be amended to recognise
community housing and regulate
community housing providers. Over
the past year, the Office of Community
Housing worked with Parliamentary
Counsel on drafting the legislative
amendments.

Housing NSW Annual Report 2006/07 29


02 Objective 2: Support a robust and
diverse community housing system

Community Housing Assistance properties privately allows housing transfers are a key component of the
Program providers to respond to individual community housing growth strategy.
Through the Community Housing household needs. During 2006/07, 900 properties were
Assistance Program (CHAP), the In 2006/07, the total value of the transferred from public to community
Office of Community Housing CHLP was $47.9 million. This housing management. A further 96
funds the acquisition of new capital included $35.8 million to fund 5,647 properties were approved and await
properties, which are then allocated leasehold properties, an increase of final completion. By end June 2007,
to community housing providers. 95 properties on the previous year, over 1,380 properties had either been
At the beginning of the year, a new and a $9.5 million contribution to transferred or were in the very last
supply program worth $45 million their management costs. A further stages of transfer. We anticipate that
and consisting of 200 new properties $2.6 million subsidised 323 long-term the remaining 1,110 properties will be
had been planned and, as a result leasehold properties with an additional transferred by the end of 2007/08.
of a marginal increase of $1.3 million contribution of $426,000 towards their The tenant consultation process,
in its budget, was able to acquire 24 management costs. including individual and group
additional properties, achieving an In 2007/08, the Office of Community meetings, is being undertaken as part
overall figure of 224. Housing is committed to reforming of the information distribution and
Planning for the Future has set CHLP further. A funding model will be negotiation process.
a target for doubling the size of developed to guarantee that efficient Supporting a National
the sector over the next 10 years. and effective community housing Framework for Affordable
Therefore, the new supply program for providers are financially sustainable
Housing
2007/08 will be much larger than any into the future.
The Office of Community Housing
program undertaken previously by the
Stock Transfer Program is working with representatives from
Office of Community Housing.
Under the Commonwealth State the other states and territories and
Community Housing Leasing Housing Agreement 2003-2008, the Commonwealth Government to
Program Housing NSW can transfer up to develop a larger, more independent
The Community Housing Leasing 2,500 properties from public to and more effective not-for-profit
Program (CHLP) funds community community housing management housing sector. As part of this work,
housing providers to lease properties over the life of the agreement. Stock the Office of Community Housing
from the private sector, which can is chairing a national working group
then be sub-leased to households
with a housing need. CHLP also funds
a proportion of the management costs
of community housing organisations.
The Community Housing Leasing
Program enables Housing NSW to
introduce flexibility into the community
housing sector. With a subsidy
for leasing from Housing NSW,
community housing organisations are
able to offer social housing in areas
that would otherwise be unaffordable
if they had to purchase a property. By
leasing privately, community housing
providers can respond to short-to-
medium-term fluctuations in local
demand without committing long-
term resources. Being able to lease

30 Housing NSW Annual Report 2006/07


that is exploring ways to increase the Elaine’s Story: Turning I am feeling much better
participation of community housing the corner with crisis about life, and I am looking
providers in large-scale affordable accommodation
housing initiatives.
forward to getting a job now I
I started drinking alcohol and finished my course. I also know
This will help to achieve some of the
goals outlined in Planning for the
using drugs at 10 years of age that I can call on the workers
and this escalated to the point
Future. In particular, it will facilitate where my whole life was revolving at WWH if I run into problems
growth and continued innovation around drugs and alcohol. My with my housing! It has taken
in the community housing sector, drinking and drug taking caused me till I was 38 to turn my
me to have several run-ins with
allowing it to assist more people
the law and I ended up in jail and
life around but I feel I now
in need. The Office of Community have the skills and opportunities
my two children were taken into
Housing and the Centre for Affordable
Housing will continue to work
care. It wasn’t until something to stay on track.
really dramatic like this happened
with other states and territories to that I stopped and realised I had
implement the plan, including a to change my life around or else
National Regulatory Framework and I would lose everything. I booked
proposals to develop the not-for-profit myself into ‘rehab’, it took me a
housing sector to undertake new roles few turns before I started to see
and responsibilities. the light.
It was at this time that
Diverse and Flexible Wollongong Women’s Housing
Responses (WWH) offered me a place to live
and Department of Community
One of the strengths of the community Services restored my son and I
housing sector is the variety of enrolled into a TAFE course, doing
organisations delivering housing Paint Preparation Cert II. I only
services. The diverse services are well had a bed and a few bags, but
placed to meet the needs of some of the place was furnished. It was
the most vulnerable members of the here that I learnt to cook. I am
community through: proud to say that I can now make
a baked dinner.
1. Crisis Accommodation Program
Another learning curve came when
2. Port Jackson Project I had to move on from WWH, as I
3. Housing and Accommodation never really had a private rental and
Support Initiative and I was feeling really overwhelmed. I
had to get all my own furniture. It is
4. the Aboriginal Access Strategy. all working out though and I pay my
Other initiatives that are intended to rent straight though Centrelink, so I
don’t run into trouble. Another great
sustain organisational diversity include
thing happened just the other day;
the Social Housing Broken Hill Project I now have 100 percent custody of
and the New England Whole of Social my son again! He has done so well
Housing Project. since I have made all the changes,
his grades are better, he has made
a lot of new friends and he has only
been expelled from school twice this
year, compared with four times last
year!

Housing NSW Annual Report 2006/07 31


02 Objective 2: Support a robust and
diverse community housing system

Crisis Accommodation Program focusses priorities on pre-crisis and Housing and Accommodation
The Crisis Accommodation Program post-crisis support. In 2006/07, Support Initiative
(CAP) provides short- to medium-term Housing NSW, in collaboration The Housing and Accommodation
accommodation for people who are with the Department of Community Support Initiative (HASI) is a joint
homeless, at risk of homelessness Services and SAAP services, initiative involving NSW Health and
or are in other forms of crisis. CAP commenced planning to prevent non-government support bodies.
is delivered in conjunction with homelessness and to provide HASI provides integrated housing and
the Supported Accommodation appropriate support to homeless support services to clients with high
Assistance Program (SAAP), which people as part of this new SAAP mental health support needs.
is administered by the Department of agreement. Therefore, the CAP
program for 2007/08 will primarily In 2006/07, Housing NSW and NSW
Community Services.
focus on reconfiguring existing stock Health identified 127 units in 18 high-
At 30 June 2007, there were a total of demand locations across the state
in order to adapt to the changing
1,249 capital and 235 leasehold crisis for clients with high mental health
needs of clients and to respond to
accommodation properties managed support needs. The number of HASI
the changing requirements of the
by non-government organisations properties managed by community
Department of Community Services.
around NSW. Approximately 38,602 housing providers is 457 and the
people were assisted during the year. Port Jackson Supported number of clients assisted is over 750.
The value of the program in 2006/07 Housing Program In 2006/07, a further 50 units were
was $14.6 million, with $7.37 million The Port Jackson Supported Housing acquired with additional funding from
funding the 17 new units of crisis Program is a joint initiative between NSW Treasury.
accommodation. The remaining funds St George Community Housing, 21 HASI offers an integrated housing and
were spent on maintenance, including community based support providers, support service to help clients with
$2.6 million for responsive and cyclical and the Office of Community Housing. mental health needs to:
repairs and $209,399 for fire-safety The program provides tenancies to
members of the community who > have a better quality of life
upgrades. A further $1.53 million met
require ongoing support if they are to while successfully sustaining an
the management costs of providing
live independently in the community. independent tenancy and
crisis accommodation.
Groups being supported include older > integrate into the wider community.
In 2006/07, a variety of new supply
people with complex needs, people In November 2006, the initiative
initiatives were approved, including:
living with HIV/AIDS, young people received the NSW Premier’s Public
> 10 units for Aboriginal families and experiencing mental illness, people Sector Gold Award for Service
young people with a disability, and young people Delivery.
> 10 units for young people (including affected by homelessness.
(For more information on Housing and
young pre- or post-natal women) In 2006/07, an additional 57 units of Accommodation Support Initiative see
> 8 units for single parent families and accommodation were acquired for Objective 4, p. 49.)
> 2 units for women and women the Port Jackson project, bringing
with children escaping domestic the total to 183. Of these, 139 are
violence. tenanted and the remaining 44 are
being upgraded. The total target for
CAP is delivered in conjunction
the Port Jackson program is 211 units
with SAAP, administered by the
of accommodation, which is expected
Department of Community Services,
to be achieved in late 2007.
which provides staff and support
services to people living in crisis
accommodation properties. In
2005, a new SAAP agreement was
negotiated between the Department
of Community Services and the
Commonwealth Government, which

32 Housing NSW Annual Report 2006/07


Aboriginal Access Strategy Social Housing Broken Hill Working partnership helps
Community housing providers are Project Aboriginal families
committed to improving services The Social Housing Broken Hill Project The Office of Community Housing
offered to members of the Aboriginal will consolidate the delivery of public is committed to ensuring that the
communities in NSW. In 2006/07, the and community housing in Broken Hill services it offers are accessible
Office of Community Housing set a under the management of a single to all members of the community,
target of doubling the percentage of community-housing provider and will including an additional 25 properties
new properties allocated to members maintain viable social housing services for Aboriginal families through the
of Aboriginal communities. This Aboriginal Access Strategy.
for people living in the Broken Hill
was achieved and, in 2006/07, 12 area. In 2006/07, Pacific Link was
percent of all new allocations went to allocated two family properties
As the involvement of the local for use by members of the local
Aboriginal people.
community is crucial to the project’s Aboriginal communities. Working
The Office of Community Housing success, Housing NSW committed closely with the local land
completed an Aboriginal Access resources to developing and council, two Aboriginal families
Strategy, which commits the Office to: implementing community consultation. were identified and moved from
> increasing the proportion of Consultative committees for tenants temporary accommodation to their
and applicants and for service new house. The families moved from
Aboriginal residents in community
providers have been established and cramped single-bedroom properties
housing from the current 6.0 into a family home. Importantly for
percent of households to 7.0 offer community stakeholders the
their wellbeing, the families now
percent of households opportunity to have input into the have stability and space, and the
direction of the project. children have somewhere to play
> working with community housing
providers so that they are seen – their own backyards.
Building Capacity and
by members of the Aboriginal Pacific Link continues to work with
community as landlords of choice Confidence the local land council to ensure
and The Office of Community Housing that the families are able to access
> encouraging housing associations is the principal source of regulation formal and informal community
in the community housing sector. support if needed. In this way,
to increase employment of the Aboriginal families moving
Aboriginal people and Torres Strait Its effectiveness in fulfilling this role
has contributed to the Government’s from temporary housing were
Islanders as housing workers. given the best possible chance
confidence in its ability to deliver on
in their new home.
New England Whole of Social the commitments detailed in Planning
Housing Project for the Future as well as giving
The New England Whole of Social confidence to non-government and
Housing Project’s primary objective private organisations to invest in
is to: the sector.
> coordinate planning and delivery In 2006/07, the Office of Community
of initiatives across public housing Housing focussed on three initiatives
and community housing in the New to maintain an effectively regulated
England area sector. These were:
> streamline services for clients and 1. community housing legislation
> enhance access for people requiring 2. Community Housing Performance
housing assistance. Based Registration System and
A planning forum, held in July 2006, 3. Community Housing Standards
identified project areas which would and Accreditation System.
yield better outcomes for clients.
(For more information on the New
England Whole of Social Housing
Project, see Objective 4, p. 50.)

Housing NSW Annual Report 2006/07 33


02 Objective 2: Support a robust and
diverse community housing system

Community Housing Legislation Community Housing Community Housing Standards


A proposed amendment to the Performance Based and Accreditation System
Housing Act 2001 will recognise and Registration System The NSW Community Housing
regulate community housing in NSW. The NSW Community Housing Standards and Accreditation System
The amendments will: Performance Based Registration evaluates community housing
> give legislative recognition to System (PBRS) assesses the organisations against National
community housing providers performance of not-for-profit Community Housing Standards. It
community housing organisations promotes a culture of continuous
> protect the interests of current and
in service delivery, governance improvement and quality assurance
future community housing tenants
and financial viability. It recognises within the sector and helps
and users
good performance, identifies poor organisations deliver housing services
> protect the NSW Government’s that are flexible and responsive to
performance and drives a culture of
investment in community housing clients’ needs.
performance improvement.
> encourage potential private
Since 2005/06, the PBRS has In 2006/07, the Office of Community
investors (eg. financiers) and
regulated the performance of Housing:
> improve the capacity of the sector community housing providers, > completed evaluations for two
to deliver high-quality community including the registration of organisations seeking first time
housing on an innovative and organisations managing 85 percent accreditation and 10 organisations
sustainable basis. of the government funded properties. seeking re-accreditation
Under the legislation, registered The Office of Community Housing
> awarded 10 organisations full (three-
community housing providers will completed 64 assessments in
year) accreditation
be eligible to a range of government 2006/07, which was a slight reduction
assistance. A regulatory code will be on the number initially planned. A > conducted five workshops on
developed with the sector to identify further 13 assessments were started the National Community Housing
the requirements for registration and and will be completed by end 2007. Standards providing information
for the regulation of performance to interested community housing
Ninety-three percent of currently organisations and
and risk. There will also be provision
registered community housing
for staged intervention if a provider > developed and piloted an
providers demonstrated good or
experiences problems. incremental application that
sound performance. Ninety-eight
The legislation will support the vision, improves the access to the
percent of currently registered
target and directions described in accreditation system by small
community housing providers either
Planning for the Future and will give organisations.
maintained their good or sound
confidence to the NSW Government performance or improved their Currently, there are 35 community
and other potential partners wishing performance when re-assessed. housing organisations (housing
to invest additional resources in associations, religious organisations
Planning for the Future and the
community housing. and housing cooperatives) that have
proposed amendment to the
been accredited since its introduction
Housing Act 2001 ultimately means
in 1999 with 92 percent of housing
that there will be some significant
associations currently accredited for
changes to the PBRS in 2007/08.
one or three years.
In particular, PBRS will focus more
sharply on managing risk in a way The Office of Community Housing
that is proportionate to the size of the will explore the transfer of the
organisations being registered. It is administration of the NSW Community
also planned that at least another 25 Housing Standards and Accreditation
community housing organisations will System to an expert non-government
be assessed in 2007/08. provider by the end of 2007/08.

34 Housing NSW Annual Report 2006/07


Viability and Sustainability The $2.273 million allocated for Small community housing
2006/07 included funding of: provider benefits from
To continue its success and future
expansion, community housing > $1.25 million to the three Performance Based
in NSW must be a sustainable community housing resourcing Registration System
and viable sector. This requires agencies Homes Out West in Deniliquin,
investment, including in organisational > $219,052 for the NSW Standards a small rural community housing
infrastructure, the people that work and Accreditation Unit provider has received an ‘A’
in the sector and its physical capital. registration grade under the
> $158,450 for performance
The programs that strengthen these Performance Based Registration
improvement of under-performing System (PBRS). With its focus on
areas are:
community housing providers and measuring of outcomes, PBRS
> Community Housing Resourcing arising from the PBRS gave Homes Out West the tools to
Program > $39,520 for the Community quantify their performance in service
> Community Housing Scholarship Housing Data Collection and delivery, governance and financial
Program management. One of the benefits
> $46,105 for project evaluation has been a doubling in the size of
> Community Housing Insurance and review. their property portfolio.
Scheme
Community Housing Geoff Mann, Executive Officer
> Fire Safety Program
Scholarship Program Homes Out West, said that “by
> Planned Maintenance Program. The annual Community Housing continuing to engage with the
PBRS our organisation will be able
Community Housing Scholarship Program, run by the
to sustain its performance at a
Resourcing Program Office of Community Housing,
continually higher level while at the
provides opportunities for people same time maintaining the major
The Community Housing Resourcing
working in community housing to advantage of being a community
Program provides funding for a
access training and education. The based organisation which is
number of initiatives. The three
scholarships cover up to 80 percent responsive to the needs of the local
resourcing agencies funded under this
of course costs for a range of tertiary communities we serve”.
program are the NSW Federation of
and post-secondary education and
Housing Associations, the Association
training courses.
to Resource Cooperative Housing,
and Churches Community Housing. In 2006/07, 11 scholarships,
The resourcing agencies: funded to the value of $12,270,
were awarded with most students
> promote good practice among their
undertaking the Certificate IV in
members
Social Housing. There were, however,
> provide a central communication a number of new courses offered
forum for members to share in 2007, including the Certificate
knowledge and expertise III provided by the Association to
> offer members training and support Resource Cooperative Housing and
and a range of middle management
> are a valuable source of feedback courses.
for the Office of Community The Office of Community Housing
Housing. will continue to offer the Scholarship
Through the work of the resourcing Program in 2007/08. The Office
agencies, community housing is developing a Capacity Building
organisations achieve higher Framework to support the
standards of business practices commitments outlined in Planning
and governance. for the Future, which will provide a
strategic context for the Scholarship
Program.

Housing NSW Annual Report 2006/07 35


02 Objective 2: Support a robust and
diverse community housing system

Community Housing Insurance Fire Safety Program Planned Maintenance Program


Scheme In 2006/07, the Office of Community The Planned Maintenance Program
The Community Housing Insurance Housing continued a program of fire- (PMP) is an initiative that improves the
Scheme (CHIS) gives community safety compliance. Medium-rise flats sustainability of the assets. The PMP,
housing providers access to cost- and older boarding house properties commenced in 2002/03, extends
effective insurance, while giving were surveyed to determine the across the community housing asset
Government confidence that its extent of work needed to comply portfolio with work also underway to
properties are adequately protected. with Housing NSW’s Fire Risk extend it to Crisis Accommodation
CHIS has operated since 1998, and Management Plan. The program Program (CAP) properties.
is a partnership between the Office maintains properties to a standard The purpose of the PMP is to ensure
of Community Housing, community that complies with the current that all Housing NSW properties
housing providers and the private Building Code. managed by community housing
sector. In 2006/07, more than 1,000 fire- providers meet a consistent and
The insurance products delivered safety scoping inspections were sustainable standard by reducing
through the CHIS include: completed which identified over deferred liabilities and strengthening
$3 million of required work, of the focus on planned maintenance.
> householders’ insurance for all
which $1.86 million was completed For the first time, all Housing NSW
properties owned by the NSW Land
in 2006/07. The Office is liaising properties that are managed by
and Housing Corporation
with Resitech and consultant fire community housing providers
> $20 million of public liability engineering specialists to deliver the have been scoped using the new
insurance for each community full program of works. Property Assessment Survey (PAS).
housing provider and
> business insurances for community
housing providers.
CHIS continues to evolve in response
to emerging risks, such as the
potential liabilities that may accrue
to community housing providers
that sub-let properties from private
landlords. In response, a new cover
was introduced in 2006/07 at a cost
of $15 per property for cover of
$20 million.
Another issue that emerged in
2006/07 was losses from fire damage,
particularly from arson. As a result, a
Fire Summit was convened, attended
by community housing providers,
insurance brokers Marsh Pty Ltd and
the NSW Fire Service. Following the
summit, a series of strategies were
developed to manage the risk and
will be rolled out in 2007/08.

36 Housing NSW Annual Report 2006/07


The collected data has enabled PBRS wins award
planning of work to be carried out
At the annual NSW Premier’s
for properties managed under CAP Public Sector Awards held on 10
and (by providers) under Community November 2006, the Performance
Housing Assistance Program (CHAP). Based Registration System,
The PMP has been very successful developed by the Office of
Community Housing, won bronze
in raising the maintenance standard
in the Business, Management and
of properties in the community
Financial Performance category.
housing sector. Data shows that 67 It ensures community housing
percent of properties under Office of providers use government funds
Community Housing management efficiently by reporting on the
are at ‘maintained’ level, a significant providers’ financial, governance and
improvement on the 17 percent in service performance.
2001/02.

To continue its
success and
future expansion,
community housing
in NSW must be a
sustainable and
viable sector.
Housing NSW Annual Report 2006/07 37
03 Objective 3: Drive innovative solutions
to meet a range of housing needs

Highlights for 2006/07


• 134 homeless people in the Hunter region • A new Private Rental Options Package was
were assisted through the Hunter Signpost developed to help clients find and sustain a
Homelessness Assessment and Referral tenancy in the private rental market.
Service.
• The Housing Contact Centre responded to
• 100 scholarships were awarded to students more than one million calls.
living in social housing under the Housing NSW
• The Minister for Housing launched the Local
Youth Scholarships and 30 young people living
Government Housing Kit.
in social housing were recognised through the
Housing NSW Youth Achievement Awards. • We began introducing thermal solutions for
energy saving in homes.
• Rentstart provided $24.5 million in private
rental assistance to 31,977 households. • A $49.8 million Affordable Housing Innovations
Fund was established and the Shoalhaven
• Through the Special Assistance Subsidies, we
Community Housing Scheme and Community
helped 1,315 people with a disability or living
Housing Limited were preferred applicants for
with HIV/AIDS in the private rental market, at a
the first $3.4 million debt equity project.
cost of $8.82 million.

38 Housing NSW Annual Report 2006/07


Housing NSW develops products and services to at available options, such as more
permanent accommodation,
meet housing needs across NSW. We undertook Rentstart, priority housing and
a number of initiatives in 2006/07 to address emergency accommodation with
Hume Community Housing.
homelessness, encourage supported housing,
Students from Granville TAFE are
assist with private rental accommodation, increase reviewing the project. Early results
the supply of affordable housing and assist home show 48 families (including 79
children) were assisted, with an
ownership. average stay of three weeks. The
occupancy rate is 95 percent and
vacant properties were turned around
Addressing Homelessness of contact for homeless men and
within two days.
women. Clients are assisted out of
After-hours Temporary homelessness and connections are Other Programs
Accommodation Service made with other service providers. Housing NSW operates other
The After-hours Temporary The two-year pilot project is delivered programs for people who are
Accommodation Service is a free-call by Mission Australia and is a key homeless or at risk of homelessness.
1800 telephone service that helps initiative of the Partnership Against These are reported elsewhere in this
homeless people access temporary Homelessness. Annual Report, including:
low-cost accommodation and other
Phase 2 is developing strategies to > Crisis Accommodation Program
support services. The service is
strengthen early intervention work with (page 32)
available from 4.30 pm to 10.00 pm
people at risk of homelessness and
Monday to Friday and from 10.00 am > Housing and Accommodation
to encourage joint case management
to 10.00 pm on weekends and public Support Initiative (pages 32 & 49)
through partnerships with community
holidays. > Port Jackson Supported Housing
housing, and women’s and youth
The service assists people who are Supported Accommodation (page 32)
in housing crisis or homeless into Assistance Program (SAAP) services. > Tenancy Guarantees (page 42)
temporary low-cost accommodation. With brokerage funds, Signpost will > I-CHOSS (page 52) and
During 2006/07, 2,942 people be able to fill the gaps in service > Partnership Against Homelessness
received temporary accommodation provision in the Hunter region. (page 51).
through the service.
In 2006/07, 134 people were assisted
Clients of the service must meet and 33 clients were supported by Supported Housing
eligibility criteria, including being linking them to other agencies. Phase Housing NSW helps people who have
homeless or in housing crisis and 2 will be evaluated during 2007/08. complex support needs living in social
unable to return to their usual address housing to sustain their tenancies by:
due to exceptional circumstances. Warwick Farm Temporary
Accommodation Project > implementing innovative supported
Accommodation is provided until the
housing models
next business day when the client The Warwick Farm Temporary
must make arrangements to visit Accommodation Project, a joint > working in partnership with support
their local Housing NSW office to be partnership between Housing NSW providers under the Housing and
assessed for suitable assistance. and Hume Community Housing, Human Services Accord and
manages eight fully furnished > participating in whole-of-
Hunter Signpost Homelessness apartments, which are used as government initiatives to help social
Assessment and Referral crisis accommodation for homeless housing tenants with support needs
Service families referred by Housing NSW. to live full lives in the community.
The Hunter Signpost Homelessness A ‘starter pack’ of food and up to
Assessment and Referral Service eight weeks’ accommodation is
(Phase 2), jointly funded by the provided while a worker from Hume
Department of Community Services Community Housing assesses the
and Housing NSW, is a first point client’s needs. This entails looking
Housing NSW Annual Report 2006/07 39
03 Objective 3: Drive innovative solutions
to meet a range of housing needs

Supported Housing Models Parramatta Supported Housing Young People’s Housing


Through the Reshaping Public Initiative: Pingaree House Action Plan
Housing reforms, Housing NSW has Housing NSW provided Ecumenical We have begun to develop a Young
identified that over 30 percent of all Catholic Welfare, a not-for-profit People’s Housing Action Plan to
tenants receive the disability support organisation, with 28 bed-sit units ensure that our priorities for young
pension and nearly one-third of as temporary accommodation for people are consistent with the NSW
household heads are over 65 years of homeless men, women and couples. Government’s commitments in the
age. Housing NSW continues to build Clients also receive three meals a NSW Youth Action Plan and the NSW
on its existing supported housing day, full access to living skills training State Plan and to improve social
programs, such as: and case plans provided by members housing responses for young people
> Port Jackson Supported Housing of the Homeless Coalition, including living in NSW.
(see Objective 2, p. 32) Mission Australia. The eight units of At the Youth Achievement Awards
temporary accommodation and 20 ceremony in April 2007, a vox pop
> Housing and Accommodation
transitional units receive 24-hours/ consultation forum was held with
Support Initiative (see Objective 2,
seven-days-a-week supervision young people to identify what is
p. 32 and Objective 4, p. 49).
and onsite security. The project valuable to young people and to seek
Partnerships accepts referrals for temporary input on improving access to social
Supported housing projects include accommodation from the Parramatta housing for young people. The input
the work done in partnership with a and Bankstown areas. and ideas have been included in the
range of community and government
draft Young People’s Housing Action
organisations. Under the NSW Housing Assistance for Plan to be finalised during 2007/08.
Housing and Human Services Accord, Young People
Housing NSW has clarified the roles of Housing NSW is committed to a Assistance in Private
housing providers and organisations number of initiatives to improve social Rental Accommodation
that provide services to people with housing for young people, including:
care needs. During 2006/07, these Housing NSW provides integrated
principles were also used to prioritise > assisting young people living in services to help clients access and
business strategies in the provision of social housing to remain in school sustain tenancies in the private rental
supported housing models. and finish Year 12 with a grant market. This includes:
through the NSW Housing Youth > private rental assistance
(For more information on the Accord, Scholarships
see Objective 4, p. 49.) > reviewing current private market
> recognising the contribution young products
Whole-of-government Initiatives people make to their communities
> developing best-practice delivery
Housing NSW participates in whole- through the Youth Achievement
models and
of-government initiatives that ensure Awards
the viability of our supported housing > identifying service needs and
> commencing the Links to
projects. These include: developing new products to meet
Leadership pilot project to invest
them.
> projects to implement the NSW in the leadership development
Government’s inter-agency of finalists of the 2006 Youth Rentstart
disability plan, Better Together: Achievement Awards and The Rentstart Program provides
A New Direction to Make NSW > developing a Young People’s financial assistance to help clients
Government Services Work Better Housing Action Plan, in line with the establish or sustain a tenancy in the
for People with a Disability and Their NSW Government’s NSW Youth private sector. The service also helps
Families 2007-2011 Action Plan 2007–2011 and the people facing homelessness with
> outreach to isolated carers living in NSW State Plan. temporary accommodation. Rentstart
social housing through the NSW may provide more than one type of
Carers Action Plan 2007-2011 and
> the NSW Interagency Action Plan
for Better Mental Health.

40 Housing NSW Annual Report 2006/07


assistance on any one occasion. For Young people in social scholarship winners were able to
example, a household may receive housing supported and enjoy the occasion with family and
a bond as well as advance rent friends, as well as support from
recognised their schools and local community
and this is defined as two units of
Many young people living in social organisations.
assistance. In 2006/07, Rentstart
housing are high achievers in
provided 55,535 ‘units of assistance’ Following the promotion of the
their chosen field but may not
to 31,977 households for a total cost Youth Achievement Awards,
be recognised by the general
of $24.50 million. we received a large number of
community. Due to family
applications and a shortlist of 30
circumstances, sometimes young
Figure 3.1 finalists was announced in early
people living in social housing find
2007. At a special award ceremony
Rentstart – type and units of assistance it difficult to complete their HSC
on 16 April 2007, Housing NSW
or their final years of schooling.
70,000 announced the eight grand finalists
Housing NSW decided to redress
and recognised all 30 finalists.
this by establishing the Housing
The ceremony took place at the
NSW Youth Scholarships and
60,000 Powerhouse Museum in Sydney,
the Youth Achievement Awards.
with special guests, Her Excellency
The Youth Scholarships and
the Governor of NSW, Marie Bashir,
Youth Achievement Awards
50,000 and the Minister for Housing, the
were announced by the former
Hon. Matt Brown MP.
Minister for Housing, Cherie Burton,
40,000 in July 2006. The Governor presented each
of the grand finalists with their
Year 11 and 12 students living
awards while the Minister presented
in social housing were invited to
30,000 certificates of achievement in a
apply for the Youth Scholarships.
range of sporting, creative and
These help students to complete
academic endeavours. As their
their studies and achieve their
20,000 prize, all finalists and grand finalists
educational goals. In total, 100
will take part in a Leadership
scholarships were awarded.
Mentoring program sponsored by
Students were able to spend their
10,000 the NSW Government.
$2000 grant on books, computer
equipment, other specialist The huge success of the 2006
0 educational equipment, disability Youth Achievement Awards and
aids and tuition. Special award Youth Scholarships has ensured
2002/03

2003/04

2004/05

2005/06

2006/07

ceremonies were held throughout that Housing NSW will continue the
the state to ensure that all the programs in 2007.
Rental arrears

Advance rent

Temporary accommodation

Bond

Rentstart by Phone
Since 2005/06, Rentstart by Phone
has been delivered via the telephone
in the North Coast and in parts of
the New England area. This service
was also extended to the Hunter
late in 2006/07. Close to 6,600
Youth Achievement Awards finalists at the presentation ceremony with the Governor of
assistances were provided, including NSW, Marie Bashir, and the Minister for Housing, Matt Brown.
nearly 2,000 assistances of temporary
accommodation for homeless people.

Housing NSW Annual Report 2006/07 41


03 Objective 3: Drive innovative solutions
to meet a range of housing needs

In 2006/07, Rentstart by Phone was products. The range of products to During its trial in Coffs Harbour in
trialled through the Housing Contact assist people to access the private 2005/06, Tenancy Facilitation assisted
Centre for applicants from Sutherland rental market under the Private Rental 250 people (111 households) into
and Fairfield in metropolitan Sydney. Options Package includes: private rental. During early 2007/08,
During the three-month pilot, > Link Point all client service teams will be trained
326 applications were received. in Tenancy Facilitation before the
> Tenancy Facilitation
Applicants, using designated fax program is rolled out throughout
machines in some Housing NSW > Tenancy Guarantees NSW.
offices, faxed the completed > Private Rental Brokerage Service
application form to the Housing and Tenancy Guarantee
Contact Centre where the application A Tenancy Guarantee is a surety
> other related products under
was processed. of $1,000 (plus GST) for agents/
research and development.
landlords to offset against damage
By calling 1300 HOUSING (1300 468
Link Point or arrears to encourage them to
746), applicants were updated about
Link Point is a website with grant tenancies to people who
their application. The hours of service
information about the private rental might otherwise be denied access
are from 8.00 am to 6.00 pm Monday
market which can be accessed to the private rental market. It will
to Friday as well as 10.00 am to 3.00
through self-service computer assist people who have a poor or no
pm on Saturdays. Once the pilot
terminals in some Housing tenancy history or suffer discrimination
is evaluated and depending on the
NSW offices. A trial of Link Point because of age, race, disability, family
results, it is anticipated that the service
commenced in four locations during composition, sexual orientation or
will be rolled out throughout NSW.
2006/07. Link Point provides: gender. By being helped into private
Special Assistance Subsidy rental, clients will be able to build a
> a guide to private rental
This program provides rental tenancy history. A Tenancy Guarantee
assistance to eligible clients with a > information on how to search and can be issued for the period of the
disability or people living with HIV/ apply for properties fixed-term lease, to a maximum of 12
AIDS to assist them to live in the > information on tenants’ rights and months, in addition to the rental bond.
private rental market. During 2006/07, responsibilities and The Office of Community Housing
1,315 subsidies were provided at a > private rental assistance available conducted a trial through six
cost of $8.82 million. Of these, 865 from Housing NSW and other community housing organisations
were for people with a mental and agencies. from July 2003 to June 2006 and,
physical disability ($5.08 million), and In 2007/08, Link Point trials will following its success, in July 2006,
450 were for people living with HIV/ be evaluated and offered in other an additional four community housing
AIDS ($3.74 million). Housing NSW offices, as well as on organisations delivered Tenancy
(For more information on assistance the Housing NSW website. Guarantees. In addition, clients of the
to people with disabilities see Private Rental Brokerage Service were
Objective 1, p. 18.) Tenancy Facilitation able to access the program.
Tenancy Facilitation helps clients
Private Rental Options Package In 2007/08, 750 tenancy guarantees
to find and apply for housing in the
will be provided by Housing NSW
Over the past year, we reviewed private rental market, including help to:
client service teams throughout NSW.
the existing private rental products
> complete documentation and Community housing organisations will
and services that Housing NSW
applications also provide an additional 750 tenancy
offers to clients to assist them into
> search for properties guarantees each year. The outcomes
private rental and to support them
will be evaluated in 2008/09.
while in private rental. As a result > make appointments
of the review, we developed the > address listings on tenant
Private Rental Options Package as databases
a model for integrated assistance of
> present well to agents and
products and services which may be
offered as a package or as individual > understand their rights and
responsibilities as tenants.

42 Housing NSW Annual Report 2006/07


Private Rental Brokerage Service operates 24-hours seven-days-a- Private rental assistance
The Private Rental Brokerage Service week with approximately 130 staff. helps dad and son
works with clients with complex It delivers services on:
A 40-year-old single father was
needs, who are homeless but have > maintenance and contractor awarded full custody of his nine-
a support provider to help them support year-old son, who has an intellectual
access and sustain housing in the disability and behavioural problems.
> general inquiries and a dedicated
private rental market. Clients with The father had been living in public
Aboriginal inquiry service
complex needs may have serious housing with his former partner but
health conditions, substance abuse, > client feedback was now staying with his elderly
mental health issues and disabilities. > mortgage assistance and home parents. As his parents were
They may lack social skills or support purchase advisory service distressed by their grandson’s
behaviour, father and son had
networks and have difficulty obtaining > processing housing requirements moved into a friend’s spare room,
a tenancy. surveys where the boy slept on the floor.
This service is currently provided > Rentstart by Phone (pilot project) A local support service referred
in five locations at Coffs Harbour, > maintenance audits and the client to the Private Rental
Wyong, Wollongong, Albury and Brokerage Service. The goals
> an after-hours temporary
Newcastle. This will be expanded in were to:
accommodation service.
2007/08 to a further 10 locations at
> secure affordable housing
Lismore/Tweed, Moree (Indigenous During 2006/07, the Housing Contact
specific), Orange/Bathurst, Wagga Centre answered more than one > have his son’s disability assessed
Wagga, Penrith, Liverpool, Fairfield, million inbound and outbound calls. > pay outstanding bills
Parramatta, Hurstville and Burwood. The Housing Contact Centre was
refurbished in 2006 to increase > seek financial counselling
The service acts as a broker between
capacity, allow a greater range of > apply to Centrelink for a disability
clients, support services, real estate
services to be delivered and reduce carer payment
agents and landlords to establish and
call wait times. > obtain support from a child and
maintain the tenancy. It offers clients
Rentstart, Tenancy Guarantee as well In 2006/07, the Housing Contact family health support team.
as assistance to search and apply for Centre implemented a new telephony Housing NSW was able to offer a
housing. After a client is housed in system to reduce wait times and, in Tenancy Guarantee and negotiate
the private rental market, the service the future, to provide SMS messaging, with a real estate agent to secure
monitors progress for three to six email delivery, virtual queuing, voice an affordable two-bedroom cottage
months. recognition and self-service. Email with a yard. The rent is paid by
delivery is planned for 2007/08. direct debit and the support
The service assisted approximately worker is confident the client’s
350 households in 2006/07. The tenancy is sustainable.
Policies in Plain English
original pilot at Coffs Harbour
The Policy in Plain English Project The home enables the father’s
achieved a high success rate with other two children to come for
90 percent of tenancies being involves rewriting Housing NSW’s
weekend access visits, and his
maintained for the period they operational client policies. The project
parents visit to provide emotional
were monitored. involves: support. The home is a healthy,
> rewriting client policies so they are stable environment for the father
Housing Contact Centre clearer and easier to use and his children, and within reach
of support services.
In April 2007, the Housing Contact > improving the way the policies are
Centre celebrated 10 years of set out
delivering telephony services to > consolidating policies where
clients and tenants of Housing NSW. appropriate so that the number
Established in 1997 with six staff, the of operational client policies
Housing Contact Centre now reduces overall.

Housing NSW Annual Report 2006/07 43


03 Objective 3: Drive innovative solutions
to meet a range of housing needs

During 2006/07, a new policy format Affordable Housing Affordable Housing


was developed and adopted, with Demonstration Project
The Centre for Affordable
14 policies becoming available in In 2006/07, the Centre for Affordable
Housing works with local and
the new format. At least 10 more Housing evaluated three pilot
state government, not-for-profit
policies will become available in the affordable housing demonstration
organisations and private companies
new format during 2007/08. All client projects in Sydney’s Inner West, West
to increase the supply of affordable
policies are available on the Housing and North, which are managed by
housing for low-to-moderate income
NSW website. community housing providers. The
households.
evaluation found that:
Transition Assistance Local Government Housing Kit
Transition Assistance helps people The Kit, developed in collaboration > the demonstration projects
who are exiting public housing at the with the Department of Planning, is successfully housed the intended
end of their tenure due to a review of an online web-based resource that target groups
the lease. The Transition Assistance enables local government to: > new discounted rent setting models
package, consisting of Rentstart were viable and affordable for
> conduct housing market and
Move, Statement of Satisfactory tenants
housing needs analyses
Tenancy and the Transition Assistance > housing associations have
> examine the fit between market
Information Kit, commenced in surpluses, meaning that the projects
and social housing provision and
June 2007 and will be trialled for 12 are financially viable and sustainable
projected housing needs and
months. Transition Assistance aims to: and
> access information on developing
> facilitate access to appropriate > tenancies were well sustained and
initiatives for affordable housing
housing options outside public tenant satisfaction was high.
provision.
housing and
The Department of Local Affordable Community Housing
> promote exit into sustainable
Government, Western Sydney Initiatives
housing and avoid homelessness.
Regional Organisation of Councils During 2006/07, the Centre for
Rentstart Move and Shelter NSW assisted in the Affordable Housing with the Office
Rentstart Move provides 75 percent development of the Kit. The Kit of Community Housing developed
of the bond, which Housing NSW was also workshopped extensively a number of models to boost
lodges directly with the Rental Bond with local government planning and investment in housing delivery by
Board. To apply for Rentstart Move, housing officials. community housing organisations.
tenants must be leaving public In future, it will be compulsory for local The debt equity model encourages
housing because they are ineligible for councils in the Sydney metropolitan private sector investment in affordable
an extension of their lease due to their area to undertake housing needs and housing by allowing community
income and asset levels. market assessment studies. The Kit housing providers to leverage equity
will assist local councils to do this by and borrowings against government
Statement of Satisfactory
helping identify housing needs and the funding. In April 2007, the Minister
Tenancy for Housing announced Affordable
supply of housing required. There is
The Statement of Satisfactory Community Housing Stage 2 of the
also information on the NSW planning
Tenancy is for tenants and former Government’s plan for increasing
system in the Kit.
tenants to show to future landlords the supply of affordable housing,
that they have been a satisfactory incorporating:
tenant. It states how long the tenant
> a $49.8 million Affordable Housing
has been or was a public housing
Innovations Fund, with $30 million
tenant, where the tenant lived and
additional funding over four years
whether the tenant paid the rent
satisfactorily.

44 Housing NSW Annual Report 2006/07


> a pilot long-term lease program Facilitating Home Owners Local Government
where 600 existing short-term Housing Kit
Housing NSW has programs to
leases with community housing
assist home buyers facing difficulties On 26 April 2007, the Minister for
providers will be converted to long-
in maintaining their home loan Housing, Matt Brown, launched the
term (35 years) to provide certainty Local Government Housing Kit, a
repayments, to provide advice to
for borrowing funds and web-based information package
purchasers, and to access low-
> $70 million over four years, through deposit loans for low-to-moderate that provides a step-by-step guide
community housing providers, for income earners. to help identify and develop local
affordable housing development. affordable housing strategies.
Mortgage Assistance Scheme The Kit outlines ways local councils
In 2006/07, Shoalhaven Community
The Mortgage Assistance Scheme can help develop affordable housing
Housing Scheme and Community
provides financial help of up to strategies and is supported by
Housing Limited were nominated as
$12,000 to any eligible homeowner a comprehensive database that
preferred applicants for the first breaks down housing levels and
in NSW experiencing temporary
$3.4 million debt equity project. The demographics by region. Using
difficulties with their home loan
Centre for Affordable Housing will the housing data in the Kit, local
repayments. Those difficulties may
work with the housing associations to councils can assess the current and
be due to unemployment, accident,
develop 40 affordable housing units, future housing needs in their local
illness or some other unexpected areas.
leveraging approximately 200 percent
life crisis.
against government investment.  Since the web-based kit can be
An interest-free loan is paid directly to accessed from the website on
A tender for a further $6 million for
the home lender. The loan is usually www.housing.nsw.gov.au, it means
debt equity projects was announced
in the form of payment for home that councils can have immediate
in June 2007. In 2007/08:
loan arrears or a subsidy towards access to housing information.
> a further $8 million under the home loan repayments over a period
Affordable Housing Innovations of up to one year. During 2006/07,
Fund will be advertised for tender the Mortgage Assistance Scheme
> the pilot for long-term leases will approved assistance totalling $1.385
commence and million to 229 new households and
> mechanisms for delivering $70 collected $646,000 in repayments
million through community housing from households that had previously
providers will be identified and received assistance.
evaluated. Home Purchase Advisory
Service
In future, it will be The Home Purchase Advisory Service
provides free, impartial information
compulsory for
L-R: Canada Bay Mayor Angelo Tsirekas,
and advice to the general public on Minister for Housing Matt Brown,

local councils in the home purchase. The Service can be Property Developer John Nassif, Member
contacted through a freecall telephone for Drummoyne Angela D’Amore and the
property foreman at the launch of the
Sydney metropolitan service 1800 806 653 or by email at
advisory@housing.nsw.gov.au.
Local Government Housing Kit.

area to undertake During 2006/07, the Service

housing needs and responded to 6,561 inquiries.

market assessment
studies.

Housing NSW Annual Report 2006/07 45


03 Objective 3: Drive innovative solutions
to meet a range of housing needs

Research and Rent and Sales Reports Improving Thermal


Development During 2006/07, Housing NSW Performance of Homes
published four quarterly editions of A pilot project in far western NSW
Australian Housing and
the Rent and Sales Report (Report) will test whether upgraded designs
Urban Research Institute on the website. Rental trend tables and passive thermal solutions
The Australian Housing and Urban were added to the rent and sales data improve thermal performance and
Research Institute is a national on the website. The Report has been comfort levels within existing older-
research organisation, specialising published quarterly since 1987 and is style cottages. The aim is to reduce
in housing and urban research and the sole authoritative source of data ongoing heating and cooling costs for
policy. The research assists Housing on NSW rent movements. tenants.
NSW, and other housing agencies,
The Report is used by tenants, During 2007/08, Housing NSW will
to develop, implement and evaluate
landlords and the Consumer Trader retrofit 14 older properties identified
housing policy and programs.
and Tenancy Tribunal for information in Bourke. Passive thermal measures
The Australian Housing and Urban about rent-setting practices. It is will include installing external cladding,
Research Institute is financed by the used by the NSW Government to ceiling insulation and awnings. The
Commonwealth Government and state monitor housing affordability and pilot will be evaluated to determine
and territory housing bodies, under supply. Housing providers use the its effectiveness and whether
the Commonwealth State Housing Report in setting market rents and other existing dwellings could be
Agreement. In 2006/07, Housing NSW costing headleasing and special rental economically upgraded to the same
contributed $342,000 to the Institute. subsidies, while individuals use it for level of comfort.
During the year, seven research making private investment decisions.
projects were finalised, covering Research bodies also use the data for
issues on housing affordability, social and economic research.
Indigenous housing, homelessness,
housing markets, and housing
policies and programs. This research
provided information on the impact
and usefulness of selected housing
assistance policies and how social
housing providers might improve
housing services.
A further 43 projects are underway,
including three major collaborative
research ventures, comprising:
> housing assistance and economic
participation – examines impact of
housing assistance on employment,
education and training decisions
> 21st-century housing careers and
Australia’s housing future and
> housing affordability for lower-
income Australians – identifies
options.
In 2006/07, our staff participated in
user groups for individual research
projects as well as in assessing,
reviewing and disseminating research.

46 Housing NSW Annual Report 2006/07


Remote Responsive Reduction
Maintenance Pilot
A pilot project in far western NSW will
Housing NSW is trialling a remote test whether upgraded designs and
responsive maintenance program to
carry out repairs in a more planned passive thermal solutions improve
way. The pilot in the Walgett area was
endorsed by the Aboriginal Housing
thermal performance and comfort
Office and the area maintenance
contractor Alliance Network
levels within existing older-style
International (ANI). Maintenance cottages.
in remote areas, such as Bourke,
Walgett, Brewarrina and Cobar,
means at least a three-hour drive
from the Dubbo office.
The planned weekly maintenance
programs will enable sub-contractors
to be more productive and reduce
their travel time. Urgent repairs
will be completed within the
standard timeframe but responsive
maintenance will be completed on
designated days within a five-working-
day period. Responsive maintenance
can be completed and coordinated
with the regular Asset Dwelling
Service and there will be better
supervision of contractors and quality
assurance of maintenance work.
The Walgett pilot commenced in June
2007 for a 12-week period. Once the
pilot is assessed, Housing NSW will
examine whether it can be applied in
other remote locations.
Customer surveys will be undertaken
in three stages – before the pilot, at
the end of the pilot and six months
after completion. Tenant satisfaction
and other factors will be reviewed by
Housing NSW, the Aboriginal Housing
Office and ANI to assess whether
the pilot has provided effective
maintenance services.

Housing NSW Annual Report 2006/07 47


04 Objective 4: Work in partnership to
strengthen the capacity of individuals,
families and communities

Highlights for 2006/07


• The Premier committed $66 million over four • The Remembering Minto book and
years for community regeneration through the website were launched on 17 May before
Building Stronger Communities initiative. redevelopment in Minto began.
• Properties were auctioned and sold in June • Over 2,500 tenants participated in Community
2007 under the Building Stronger Communities Greening activities.
Dubbo project for the redevelopment of the
• Learning and Employment Coordinators
Gordon Estate.
were appointed in the six priority locations to
• The Housing and Human Services Accord, increase employment opportunities and training
establishing a framework for cross-agency for residents.
housing and support agreements, was released
• $1.1 million was spent on 18 operational
in April 2007.
projects through the Handypersons Program.
• Northcott Estate was the first public housing
• Seven Regional Tenant Resource Services were
estate to be named a safe community by the
funded at a cost of over $1 million.
United Nations.
• Bonnyrigg Partnerships was selected by
• The Inner City Homelessness Action Plan
the NSW Government to undertake the
– Phase Two was implemented.
redevelopment of Bonnyrigg.

48 Housing NSW Annual Report 2006/07


We are conscious of the need to build strong communities
and support our tenants to move forward with their lives.
Throughout 2006/07, we continued to work in partnership
to improve outcomes for individuals, families and
neighbourhoods experiencing social and economic stress.
These initiatives involved partnerships with other agencies,
strengthening of social housing communities, and enhancing
the opportunities for individuals, families and communities
to participate in the decisions that affect their lives.
Support Services > 68 percent of participants showing Housing and Human
an improvement in symptoms, Services Accord
Housing and Accommodation social and living skills and a The Housing and Human Services
Support Initiative decrease in psychological distress Accord was released in April 2007,
Under the Housing and > 84 percent reducing their establishing a framework for formal
Accommodation Support Initiative hospitalisation rates, frequency and cross-agency housing and support
(HASI), NSW Health provides duration and time spent in hospital agreements to assist social housing
recurrent funding for clinical mental and emergency departments tenants with complex needs to
health services and funding to decreasing by 81 percent access support required to sustain
non-government organisations > 81 percent being satisfied with their tenancies. The Accord is being
providing accommodation support their family relationships since implemented in stages.
services. Housing NSW provides the participating in the HASI program
accommodation. In 2006/07, work focussed on
and piloting partnership models and
The aim is to improve community > 94 percent of participants having developing policy and operational
participation and housing stability established friendships and 73 schedules for future housing and
for people with moderate to very percent participating in social and support partnerships. Business
high mental illness and disorders, community activities and 43 percent processes, tools and schedules were
by providing support that is linked working and/or studying. also developed, including Shared
to housing. During 2006/07, an Access, which is a new service model
Priorities for 2007/08 include an
evaluation of Stage One of the to be trialled under the Accord.
additional 100 social housing homes
program found HASI was successful Government or non-government
being made available to people with
in providing secure and affordable agencies nominate clients for social
very high mental health needs and
housing with: housing and commit to coordinating
development of a forward evaluation
> 85 percent of all participants having agenda, based on the successful or providing the support necessary
maintained their tenancies Stage One evaluation. for the tenancy to be sustained.
> over 50 percent of participants The Schedule will be tested through
(For more information on the Housing
reporting improved physical health 16 Shared Access projects. During
and Accommodation Support
from regular access to general 2006/07, two of the trial projects
Initiative, see Objective 2, p. 32.)
practitioners, specialists, improved housed tenants, with the remainder
diet and increased physical exercise under negotiation.

Housing NSW Annual Report 2006/07 49


04 Objective 4: Work in partnership to
strengthen the capacity of individuals,
families and communities

In 2006/07, consultation with internal Joint Guarantee of Service New England Whole of Social
users, government agencies, the for People with Mental Health Housing System Project
Aboriginal sector and non-government
agencies led to the development of:
Problems and Disorders Under our Rural and Regional
The Joint Guarantee of Service Housing Access Strategy, this project
> a Client Information Sharing (JGOS) is a multi-agency and multi- coordinates public and community
Schedule to guide agencies on how sector initiative to coordinate the housing in the New England area to
information about clients or potential delivery of services to people living in streamline services for clients and
clients is collected, shared, used social housing, or seeking to access enhance access for people requiring
and disclosed social housing, who have mental housing assistance. During 2006/07,
> the Complex Housing Needs health problems and disorders and initiatives included:
Screening Tool to identify and who have ongoing support needs. > a memorandum of understanding
assess applicants who may have In 2006/07, a package of new web- signed with a number of agencies
difficulty sustaining a tenancy and based resource material was finalised, in Moree and Narrabri to ensure
> the Joint Assessment Framework promoting the JGOS. The resource an integrated response to assist
to enable Housing NSW to obtain package included: homeless people provided by
assessments of clients’ support > an Operations Manual on how Housing NSW and Supported
needs, clients’ ability to sustain a to make JGOS work for local Accommodation Assistance
tenancy and to make referrals for committees Program (SAAP) providers
support services. > improving access to the private
> templates for a local memorandum
The Accord will be monitored and of understanding, individual service rental market through Rent It Keep
evaluated in 2007/08 through a plans, forms and checklists It tenancy training
framework, which was developed > quick links to relevant websites > locating Housing NSW with
by the signatory agencies. The Homes North Community Housing
> a reference guide and
framework will determine the benefits Company in a single office in
of the Shared Access model and > a brochure for distribution among Gunnedah
whether the trials met their objectives. staff of partner agencies to explain
> consolidating partnerships and
the role of JGOS.
Housing NSW will continue to develop cooperation across the social
Shared Access projects for inclusion The JGOS formative evaluation was housing system, such as the
in the trials. In addition, the Shared completed and found that the JGOS combined planning forum involving
Access Schedule will be finalised is achieving its objective of helping Housing NSW, community housing
and endorsed by the agencies’ chief people secure and maintain a social providers and the Aboriginal
executives. Endorsement will also housing tenancy. The evaluation also Housing Office in Tamworth
be sought for the Client Information identified some areas for improvement > developing a shared access pilot
Sharing Schedule and for the Housing and redressing these deficiencies will in Tamworth in partnership with
and Mental Health Schedule. be a priority in 2007/08. Homes North Community Housing
Company.
Initiatives planned for 2007/08
include:
> continuing to develop and deliver
the pilot project for shared social
housing access in Tamworth
> enhancing local social housing
forums in each of the main towns in
New England and
> providing more culturally appropriate
access systems for Aboriginal
people.

50 Housing NSW Annual Report 2006/07


Neighbour Aids > Partnership Against Homelessness > International recognition
During 2006/07, we continued working groups, comprising for Northcott
working with a range of project representatives from the above.
The Northcott Estate in Surry Hills,
partners, including the Department The PAH has focussed on developing Sydney, is the first public housing
of Ageing, Disability and Home Care responses to homelessness targeted estate in the world to be named
to deliver low-level support services to high-risk groups or geographical a safe community by the United
through volunteers to older people locations with high concentrations Nations World Health Organisation.
and people with a disability. of homelessness. Responses to
homelessness in 2006/07 include The Northcott Estate, one of the
These partnerships were:
the Inner City Homelessness Action largest housing estates with more
> the Blandville Court Social Plan – Phase Two (see below), Hunter than 1000 residents, has had
Support Service (BCSSS), under Signpost Homelessness Assessment a history of violence and crime.
the auspices of the Gladesville and Referral Service Pilot and the However, this began to change in
Community Aid and Information NSW Protocol for Homeless People in 2002 when residents got together
Service in Gladesville and Public Places. with Housing NSW, Surry Hills police
> the Outreach Project to Residents and national arts body Big hART to
The PAH is developing a three-year work on the Northcott Community
in Redfern, Surry Hills and Waterloo,
work plan in consultation with the Development Project. As a result,
under the auspices of the Redfern
non-government sector. The long- the Northcott Tenants’ Association
Inner City Home Support Service
term vision is to reduce the proportion and community centre were re-
(RICHSS).
of people who are homeless in NSW, established. Big hART also got
The project coordinators and and to reduce the harm and impact residents involved in group activities,
volunteers provide assistance to on those people who do become such as tenant portraits and theatre
attend appointments and social homeless. productions, to help them build a
activities and also support small sense of pride and community.
groups to pursue common interests. Inner City Homelessness Action
The projects help to reduce isolation Plan – Phase Two Residents were able to express their
and help tenants to access support experiences and problems through
Housing NSW is the lead agency in
services when they need them. these art productions. One of the
the Inner City Homelessness Action
Following an evaluation undertaken in projects, a documentary titled 900
Plan (ICHAP) – Phase Two, which
2006, we are improving coordination Neighbours, was featured at the
focusses on inter-agency responses
between Neighbour Aid (Social 2006 Sydney Film Festival and won
to inner-city homelessness. ICHAP’s
Support) project coordinators and a 2006 ATOM (Australian Teachers
four goals are to:
Housing NSW. of Media) award for best Australian
> improve data and information on Documentary – Social and Political
homelessness Issues. It was televised nationally on
The Partnership Against ABC TV on 22 February 2007.
> improve housing and support
Homelessness options for the chronically homeless
The NSW Government established
> prevent homelessness among high-
the NSW Partnership Against
risk groups and
Homelessness (PAH) to improve
services to people who are > improve the capacity of the
homeless, by bringing together the homelessness sector to respond to
government agencies responsible chronic homelessness.
for homelessness services. During ICHAP Phase Two was developed
2006/07, a new Partnership following an independent evaluation of
framework was implemented that ICHAP Phase One during 2005. The
includes: evaluation found that:
> a Partnership Against > the plan brought agencies together
Homelessness Sub-committee, and improved commitment to
comprising representation from homelessness in the inner city and
12 government agencies
> a Partnership Against
Homelessness Action Resource
Group, comprising state,
Commonwealth and community
sector agencies Housing NSW Annual Report 2006/07 51
04 Objective 4: Work in partnership to
strengthen the capacity of individuals,
families and communities

> a number of initiatives developed > a specialist team, providing medical Since late 2005, 143 women were
under the plan provided much services, individual counselling and referred, seeking information and
needed information and support to therapeutic and group programs. support after a domestic violent
rough sleepers in the inner city. Since I-CHOSS began in early 2006, incident. A further 56 referrals were
The evaluation recommendations the outreach team has had 5,300 made for women wishing to remain
form the basis of many of the contacts with clients or potential in their own homes and 38 women
strategies and actions in the Inner City clients on the streets. I-CHOSS became case-managed clients of
Homelessness Action Plan – Phase provided active case management to the service.
Two. ICHAP Phase Two is a four- 226 outreach clients and 307 support
year plan, with initiatives in 2006/07 clients.
Tenancy Reform Initiatives
including: In 2006/07, we continued working
Staying Home Leaving on our Antisocial Behaviour Strategy,
> the Inner-City Homelessness Violence Pilot including reviewing and strengthening
Outreach and Support Service
The Staying Home Leaving Violence the Memorandum of Understanding
(I-CHOSS)
(SHLV) pilot helps prevent women and between Housing NSW and NSW
> homeless street counts children’s homelessness, by enabling Police and the expansion of safety
> a range of pilot projects that provide women who have experienced audits to all public housing estates.
long-term accommodation and domestic violence to remain safely Over the past year, a review of
support for homeless people and in their own homes without the the previous Memorandum of
> projects that support community violent partner. Understanding (MOU) with NSW
participation by homeless people. Police was completed. We will finalise
The SHLV pilot project is managed
the MOU with NSW Police and
by Housing NSW and is funded by
Inner-City Homelessness Outreach develop a communication strategy
the NSW Department of Community
and Support Service to staff.
Services. The pilot receives referrals
The Inner-City Homelessness from NSW Police, Women’s Domestic We commenced work on a package
Outreach and Support Service Violence Court Assistance Schemes of resources to support the use of
(I-CHOSS) provides outreach and and other women’s services within the safety audits in a consistent manner
support services to homeless people Eastern Sydney area. throughout NSW. A final resource
in the City of Sydney, enabling them to package is expected to be completed
access appropriate services and long- SHLV workers provide outreach
and distributed for use by client
term accommodation options. It is support and advocacy so that women
service staff by 2007/08.
funded by Housing NSW and the City have greater choices when leaving
of Sydney, supported by a brokerage violent relationships and are better In June 2007, we appointed 19 Senior
program funded by the Department of able to sustain housing, economic Client Service Officers (Antisocial
Community Services. security and support networks. The Behaviour) across NSW to work with
program includes risk assessment, Housing NSW client service staff,
I-CHOSS is delivered by a consortium safety planning and upgrading other agencies and tenant groups on
of Mission Australia and the security in the victim’s home, court issues relating to antisocial behaviour.
Haymarket Foundation. The I-CHOSS support, liaison with police and other These officers are also able to assist
service model consists of: services, referrals to legal advice and Housing NSW staff to terminate a
> an outreach team, providing counselling, and casework to address tenancy where a tenant is consistently
services to clients who are financial and other issues. engaging in antisocial behaviour.
homeless in the inner city, with a
focus on ‘rough sleepers’
> a support team, providing
services to clients referred by the
outreach team who are ready
to receive ongoing support and
accommodation and

52 Housing NSW Annual Report 2006/07


Community Regeneration > continuing to work with the Remembering Minto
Bonnyrigg Residents Group and
Bonnyrigg Living the Bonnyrigg Community
With the announcement of the
Communities Project Minto Redevelopment Project, Minto
Reference Group. housing estate residents wished to
The Bonnyrigg Living Communities capture the memories and stories
We will continue to prepare, together
Project aims to renew both the about the community before the old
with Bonnyrigg Partnerships, for the
housing and public areas and achieve Minto disappeared. As a result, the
transition date in late 2007 when
better integration of social and private Remembering Minto project was
all public housing homes will be
housing within the estate. It is the initiated by residents, Information
managed by St George Community and Cultural Exchange (ICE) and
first social housing private-public
Housing. the Remembering Minto Group.
partnership in Australia. The 30-
The  project was supported by
year project is also about improving Minto Renewal Project
Housing NSW.
services and providing the community The Minto Renewal Project involves
with better opportunities to build its the redevelopment of a 1,000- At the launch of the Remembering
strengths, skills and overall capacity. dwelling public housing estate in Minto book and website
It will replace 833 existing social (www.rememberingminto.org.au) on
South Western Sydney to improve
May 17, the full range of emotions –
housing dwellings in poor repair with the social services and opportunities from sadness to joy and excitement –
2,330 new homes, 30 percent for for residents, strengthen community were on display at the launch. The
social housing, the rest to private networks and enhance the physical changes, stories and memories of life
home buyers. The project will also amenity of the Minto area. Through in Minto are to be found in this book.
build or purchase 134 dwellings off- a partnership with Landcom and After the launch, Minto residents
site to ensure the stock of 833 social Campbelltown Council, physical were then able to pick up their free
houses is maintained. site works (stage one) commenced copy from the library.
Housing NSW and Fairfield City in May 2007 with roads, parks and
Council have been consulting subdivision work. Over the next
with local residents and working eight years, Minto will be completely
with other agencies to improve upgraded with new roads, parks
community services, such as health, and community facilities. The estate
education, employment and training. will be changed from 100 percent
Achievements in 2006/07 included: public housing to 70 percent private
housing and 30 percent public
> from mid 2006, building the skills
housing. Additional public housing
of Bonnyrigg residents through the
will be provided elsewhere to maintain
Future of Bonnyrigg youth planning
public housing numbers in South
workshops, the Community
Western Sydney.
Working Together sessions and the
Life Experience Counts! workshops A specialist Minto rehousing team
provides ongoing support to tenants
> selecting Bonnyrigg Partnerships
for their rehousing needs. We are Lesley Browne, a long term Minto
(consisting of the Becton Property resident and community advocate,
working closely with residents, local
Group, St George Community presents the Remembering Minto book
service providers and stakeholders
Housing, Westpac Bank and the to the Minister for Housing, Matt Brown,
to ensure a range of integrated
Spotless Group) as the private at the community morning tea on
community services are available to 6 June 2007.
sector partner in December 2006
the current and future residents of
> introducing Bonnyrigg Partnerships’ Minto. A number of initiatives were
plans for the new estate in April launched during 2006/07, including
2007 and commencing the next Working Together in Minto, which
stage of community consultation involved the establishment of local
focussed on Bonnyrigg Partnerships
and

Housing NSW Annual Report 2006/07 53


04 Objective 4: Work in partnership to
strengthen the capacity of individuals,
families and communities

working groups, and the funding of has been established in each of the structures will involve groups of
local initiatives such as the Learning, six priority locations, comprising a residents in local priority setting and
Training and Employment Project, a Community Regeneration Manager, decision making. Leadership and
children’s resilience program and a a Learning and Employment capacity-building initiatives will be
youth drug and alcohol CD. Coordinator and a Community delivered in these locations to support
Over the coming year, the focus will Development Worker. Some of the the participation of residents.
be on: initial programs and activities have
included: Building Stronger Communities
> supporting and developing Dubbo
community services > community workshops, open days
The Dubbo Building Stronger
and information sessions
> supporting tenants during the Communities initiative was announced
rehousing process > family fun days, outings for older in May 2006 and began before the
people, youth programs, community other priority locations. The initiative
> demolition of the next stage of
morning teas and lunches and to exit the West Dubbo Gordon Estate
around 120 properties
> TAFE computer courses, under a whole-of-Dubbo community
> the completion of stage one civil
employment expos and information regeneration strategy will create a
works, including road works, park,
sessions with local employers. better social environment, support
subdivision and the first sale of
A Regeneration Partnership Plan public housing tenants and reduce
approximately 100 land and house
is underway for each location, with antisocial behaviour. All properties on
packages in 2008
priorities for capital projects being the estate will be sold and the area
> construction of the first 11 public redeveloped. Housing NSW will build
identified as part of this process.
housing homes in stage one and or buy properties in other parts of
Community working groups are also
> working closely with Campbelltown being established to provide advice Dubbo to better meet client needs.
Council and Landcom to enhance on local planning activities. We are rehousing all tenants living
and develop the community and on the estate. During the first 12
Housing NSW will use a monitoring
physical development at Minto. months, 46 tenants were rehoused
and evaluation framework to
Building Stronger Communities measure the benefits from the from the central area of the estate and
investment and regeneration effort. 76 properties were demolished. The
The Building Stronger Communities
This will then inform planning and changes were well received by the
2007-2010 initiative, announced by
delivery of services, programs and Dubbo community and Housing NSW
the Premier in January 2007, commits
projects across other social housing continues to work closely with the
$66 million for the community
neighbourhoods. community to ensure people are well
regeneration of six priority locations,
informed of the rehousing plan.
covering 18 housing estates across Over the four years, we expect:
NSW. Estates are located in Mt Druitt, Construction has commenced on
> better urban environments four housing redevelopments for
Claymore and Macquarie Fields in
Sydney; Killarney Vale/Bateau Bay/ > appropriate services in places seniors in other parts of Dubbo and
Tumbi Umbi on the Central Coast; where they are needed 27 properties have been purchased to
and Dubbo and Bathurst/Orange in > better social environments for rehouse tenants from the estate.
Western NSW. priority locations and Home buyers evenings were held in
Through partnerships with local > jobs, skills and higher levels of February and June 2007 to provide
councils, communities, non- employment for priority locations. information to tenants and the general
government organisations and other public, interested in purchasing a
Regeneration hubs, established in
agencies, these areas are being built home. Four properties were auctioned
each location, will be central places
into stronger communities where and sold in June 2007.
where people can meet to run
people can live in safety, have access programs, projects and activities Housing NSW is working in
to important services as well as to build up their communities. partnership with other government
education, training and employment New neighbourhood management agencies in Dubbo to develop
opportunities. A regeneration team

54 Housing NSW Annual Report 2006/07


community programs to support the Community Greening Program Royal Botanic Gardens Foundation,
change process. Dubbo City Council, The Community Greening Program as an environmental education
local businesses and community assists social housing tenants program targeting disadvantaged
members are being kept up-to- and others to develop communal urban and rural youth and
date on the progress of the strategy gardens in their local area. Housing > the development of a pilot
through regular briefings. NSW provides funding to the Community Greening website in
Key priorities in 2007/08 will include: Botanic Gardens Trust to employ Greater Western Sydney.
horticulturists, who provide advice The Community Greening celebration
> continuing our auction program
and support to gardeners. This year, of Arbor Day 2006 was held at Sarah
> establishing community programs the emphasis was on working with
to support the change process Redfern High School in Minto. Over
tenants in our six Building Stronger 450 students from the high school
> rehousing tenants from the northern Communities locations. and primary school participated by
and southern sections of the estate In 2006/07, we provided $165,000 planting the ‘Garden of Healing’ with
> continuing to involve community to the Botanic Gardens Trust to a large selection of native plants.
organisations, including the Dubbo deliver the program and together Awards won during the year included:
Neighbourhood Centre, the Gordon we developed a five-year strategic
Centre Management Committee plan to secure long-term funding, > first prize for the Riverwood
and the East Dubbo Women’s with Housing NSW committing Community Garden in Canterbury
Group in the two major East and around $780,000 for the next four City Council Garden Awards and
West Dubbo estates years. Achievements during the year > the Bidwill Community Garden
> purchasing properties in Dubbo included: winning the Western Sydney
and obtaining Dubbo Council > over 2,500 social housing tenants Community Action Award in the
development application approval participating in gardening activities Keep Australia Beautiful Sustainable
for general housing construction Cities Awards.
> 11 new gardens being established
> lodging the Masterplan for the – including three in the priority
redevelopment of the estate and housing estates of Bathurst/Orange,
sale of properties and land and two to service disadvantaged
> working with tenants and the communities, and two community
community to strengthen good nurseries
neighbour and tenancy programs > discussions to set up Youth
through support, prevention and Community Greening, funded by the
early intervention.

Housing NSW Annual Report 2006/07 55


04 Objective 4: Work in partnership to
strengthen the capacity of individuals,
families and communities

Training and Employment > helped establish a Job Club and a WorkiT
for Tenants Volunteer Program Housing NSW established the
We are committed to linking tenants > provided a Small Business WorkiT Program to help unemployed
to work experience and training Development course, with 23 local people living in social housing to
opportunities that offer genuine residents being linked with business access training and employment
pathways to employment. Over the mentors to do lawns and grounds opportunities. The program has
years, a range of programs has been cleaning, hair braiding, catering and undertaken a number of initiatives.
developed and operate in and on air-conditioning Wesley Institute, a registered
public housing estates. > supported the local Employment training organisation, is the WorkiT
Taskforce to run information organisation for the Illawarra Area,
WorkVentures Connect sessions from Welfare to Work arranging training courses in lawns
This partnership between Housing Reform by Centrelink and a mini and grounds maintenance, aged care,
NSW and WorkVentures Australia employment expo. child services, information technology,
gives social housing tenants access business administration, disability
to computers, email and the Internet As a result of these efforts:
services and hospitality, with 124
as well as providing training programs. > 10 residents were employed social housing tenants provided with
WorkVentures Connect Centres > 1,600 residents accessed training under the program.
are located on five public housing computers through the Centre
estates, including Woolloomooloo, Wesley Institute used its links with Job
> 173 people completed courses Network Providers and other agencies
Waterloo, Claymore, Macquarie
at the Centre to broker employment opportunities
Fields and a new enterprise centre
in Airds. The development of > 23 residents developed their for 41 social housing tenants in lawns
WorkVentures Connect is in response own businesses and grounds maintenance work,
to communities needing access to > 334 participants attended administrative support, full-time aged
information technology, primarily to 58 different training/employment care, casual construction work, part-
improve their chances of obtaining initiatives. time security work and part-time
employment. Approximately 2,000 engineering work.
Connect IT
residents have used the Connect In the South East area, $20,000
WorkVentures Connect IT computer
Centres computers since early 2006, was used for an employment
reuse project is a partnership
with around 60 percent being 24 project on the East Nowra estate,
with Westpac, Microsoft and
years old or under. in collaboration with Wesley Uniting
other corporate organisations
The Connect Centres play an and government agencies to turn Employment and Shoalhaven
important role in providing residents the components of superseded Community Housing with 18 people
with the tools to communicate computer equipment into useful being employed.
and participate in their community, home computers at affordable rates Cranebrook Technology Centre
acquire knowledge and increase for disadvantaged people, schools Cranebrook Metropolitan Technology
their self-confidence and gain access and other not-for-profit organisations. Centre provides access to high-
to education and employment It is also intended to create career speed computers and colour printing
opportunities. pathways for unemployed young facilities to residents in Cranebrook.
people to gain skills in warehousing In 2006/07, over 700 residents used
Airds Enterprise Centre
and information technology, and the centre, including 20 participants
The Airds Enterprise Centre supports
to make a positive impact on our for the introduction to computers,
social housing residents towards
environment. 24 people in the Café Operations
gaining financial independence.
During 2006/07, the Centre: Tenants are informed of affordable and Course, 16 people at the Women in
competitive offers through the Your Successful Education Program,
> established a community garden 310 children in programs targeting
Home tenant newsletter. In 2006/07,
> established a monthly community 648 computers were purchased by pre-school children, and 80 children
market at the local shopping mall social housing tenants. in school holiday programs.

56 Housing NSW Annual Report 2006/07


Learning and Employment neighbourhood management Learning and Employment
Coordinators structures will involve groups of Coordinator able to
The role of the Learning and residents in learning and employment assist youth to a job
Employment Coordinators under decisions.
Clinton, an 18-year-old young
Building Stronger Communities is Handypersons Program man living in public housing in the
to promote employment, learning The Handypersons Program is a 38- Dubbo area, attended one of the
and economic outcomes for hour per week service to carry out information sessions organised
residents. Learning and Employment by the Dubbo Learning and
minor maintenance and repair tasks
Coordinators have been appointed Employment Coordinator at the
on its properties. Housing NSW uses West and East Dubbo housing
in each of the six priority locations. external contractors to deliver the estates in April and May 2007.
Tenants increase their employment program across NSW. In 2006/07, During that session, he heard
opportunities by working with approximately $1.178 million was about employment opportunities at
employers and employment spent on 19 operational Handyperson Fletchers International Exports, the
agencies to find places in training, projects. local abattoir located on the edge
apprenticeships and voluntary work. of town.
During 2006/07, the program was
Over the past year, the Learning expanded and a public tender Clinton had applied for positions
and Employment Coordinators: process opened for three-year at Fletchers in the past but had
not been offered an interview. He
> analysed the local demographic, contracts across 29 project sites,
attended the information session
economic and social context for including 11 in Greater Western
and spoke directly to Fletchers
planning Sydney, 11 in Northern NSW, five in recruitment staff. He also had the
> held information sessions with local Central Sydney and two in Southern opportunity to talk to employment
employers for tenants in Dubbo and Western NSW. Tenders will be consultants from the Aboriginal
assessed in early 2007/08, with new Employment Strategy and Sureway
> held employment expos in Western Employment, and the Joblink Plus
projects starting from late 2007.
Sydney Manager who were at the session.
> held TAFE outreach courses for Community Contracts Clinton was able to lodge his
tenants in Bateau Bay to develop On occasions, Housing NSW seeks employment application forms on
their computer skills and tenders from eligible organisations the day.

> planned for community technology to carry out lawns and grounds, Within two weeks of attending the
centres in Orange and Bathurst. cleaning and maintenance work on information session, Clinton had
its properties. One of the conditions been offered a job. He is now doing
A Learning, Employment and the afternoon shift at the abattoir
is that the successful service provider
Economic Development plan will be and he rides the eight kilometres
undertakes to directly employ tenants.
developed for each location to identify to work with his friend, who also
During 2006/07, 14 community
actions and priorities over the next got a job as a result of going to
contracts, valued at $2.2 million, were the information session. Sureway
four years. These will be implemented
awarded, employing 48 tenants. Employment assisted with the
through local partnerships and
purchase of the bikes for Clinton
cooperation, including with residents, Landscaping Traineeship
and his friend.
government agencies, employment Housing NSW in partnership with
and training providers, councils, local Spectrum Employment Services
businesses and non-government continued a landscaping traineeship in
organisations. Greater Western Sydney to build skills
Learning and Employment in horticulture and link participants
Coordinators are establishing to jobs and ongoing training. The
working groups to provide advice initiative has an annual budget of
on local planning activities. New $1 million.

Clinton in front of his workplace.

Housing NSW Annual Report 2006/07 57


04 Objective 4: Work in partnership to
strengthen the capacity of individuals,
families and communities

In 2006/07, Spectrum Employment Tenant Participation activity and physical amenity in their
Services delivered another 12-month Initiatives neighbourhoods.
Horticultural Certificate III Traineeship In 2006/07, we invested $697,000
course for 20 social housing residents Tenant Participation Service
to fund 10 projects across the state.
in Greater Western Sydney. Trainees Provision Model
These included activities, such as
work in two teams of 10 trainees each During 2006/07, new tenant developing newsletters, workshops,
across Western Sydney and South participation models for the Riverina- community events, sport and
Western Sydney. Murray and Western areas were recreational working groups.
Achievements in 2006/07 included: developed to engage and support
social housing tenants. The new HCAP also supported and developed
> landscaping 200 properties in models are inclusive, community projects, such as No Interest Loan
Bidwill, Cranebrook, Toongabbie, focussed and practical within a Scheme, accredited TAFE courses,
Macquarie Fields and Airds and regional and rural environment. The internet cafes and community
improving reserves in Mt Druitt previous tenant participation structure leadership program. A number
> landscaping the outdoor area for was not conducive to the geographic of tenant groups are supported,
Gumnut Cottage at Claymore distribution and diversity of tenants. including action groups, working
Therefore, the new models that parties committees in order to
> assisting with the development of
have now been developed are more improve social cohesion within
the Oasis Community Garden at
inclusive, responsive and community communities.
Toongabbie and the community
garden at Tallawood Community focussed as well as being easier to Tenant Representation and
Centre in Rosemeadow and implement and sustain. Services
> landscaping the outdoor garden The models in the Riverina-Murray Seven Regional Tenant Resource
area of the Technology Centre at and Western areas will involve special Services (RTRS) and the development
Cranebrook. needs population groups. Activities of two new services in the Riverina
will engage tenants individually and Western areas of the state
Through the Landscaping Traineeship
or collectively to take account of were funded in 2006/07 to provide
initiative, social housing residents
the rights and needs of Aboriginal advisory and support services
access training and employment
people, people with disabilities, to tenants at a total cost of over
opportunities. The initiative enables
people with mental health support $1.2 million. In addition in 2006/07,
residents to improve their employment
requirements and young people. The five public tenants’ councils and
prospects by gaining skills in fence
implementation of the new models two other consultative structures
installation, bricklaying and customer
across Riverina-Murray and Western were funded across NSW at a
service. A survey conducted found
areas will be the key priority for cost of $45,320. These tenants’
that 80 percent of participants
2007/08. representational structures have
secured permanent employment
in related fields following their broad membership and provide
Communities Participating tenants with the opportunity to have
landscaping work.
in Community Decisions issues and needs represented to
Through the Housing Communities social housing providers in their local
and regional area.
Landscaping Assistance Program
Housing NSW provides grants to local The Central Sydney North Regional
Traineeship government and non-government
agencies to deliver the Housing
Tenant Resource Service devised a
training calendar for 2007, offering
initiative, social Communities Assistance Program free training and skill development

housing residents (HCAP) across NSW. The program opportunities for social housing
facilitates tenant participation tenants. The Central Sydney South
access training and decreases social isolation by
enabling social housing tenants
Regional Tenant Resource Service
has established a new Area Tenant
and employment to make decisions about social Council in the Inner West Area. The

opportunities.
Western Sydney Regional Public

58 Housing NSW Annual Report 2006/07


Tenants Council worked in partnership savings, equates to the energy usage A positive role model
with two local schools to engage of two Claymore households of (Housing Communities
children in art activities about their three residents. Assistance Program)
community and/or home. While the majority of residents already Uncle Dave is an Aboriginal
The Hunter-Central Coast Tenants take shorter showers to save energy, father living in public housing in
Advisory Council worked in close residents on the program had other Rosemeadow/Ambarvale. He was
partnership with local Housing NSW energy saving measures, such as keen to support his local community,
offices to provide an early intervention switching off appliances, turning off especially young boys who were
strategy to assist tenants on matters lights, heating and cooling occupied causing trouble. Uncle Dave is a
such as rental arrears. rooms only, and installing energy- leading partner in supporting the
Housing Communities Assistance
The Illawarra Forum developed a saving light globes.
Program worker and other key
series of forums to discuss issues Commonwealth State local Elders to run a boxing
affecting tenants and carers who are group for young Aboriginal and
Housing Agreement Torres Strait Islander kids. Uncle
living with mental health issues. They
also developed an Older People’s The current 2003–2008 Dave, through the program,
Commonwealth State Housing has promoted confidence and
Taskforce to enable older tenants
Agreement (CSHA) consists of motivation as a result of being
within the Illawarra area to participate
a multilateral agreement signed active within his community and
effectively. has also requested assistance to
by all states/territories and the
The South Western Regional Tenants update his resume and has since
Commonwealth Government as well
Resource Service enabled children secured job interviews. Uncle
as separate bilateral agreements Dave’s involvement with Housing
from disadvantaged backgrounds to between each state/territory Communities Assistance Program
attend ‘Camp Discovery’ for three government and the Commonwealth. has encouraged him to look for
days where they explored who they The NSW bilateral sets out proposed employment to be able to support
are and developed social skills. strategies for the five-year period as his four boys and be a positive
The Northern Regional Tenant well as key performance indicators role model.
Resource Service facilitated an annual and milestones that are reported
tenant conference in Northern NSW. annually.
Energy Matters In 2006/07, the CSHA provided
Energy Matters is an energy efficiency $419.5 million (comprising
program partnership between AGL, $299.5 million as Commonwealth
WorkVentures and Housing NSW that funding and $120.0 million
is helping residents to better manage as State funding) for housing
their energy usage. During 2006/07, assistance delivered by Housing
the program was expanded from the NSW and through the community
Claymore Estate to include residents managed sector.
from Airds. The current CSHA sets guiding
Energy action plans were introduced principles for national housing
to help residents save energy and assistance outcomes as well as
30 households were assessed. being the primary mechanism for joint
The assessments showed that 69 housing assistance funding targeted
percent of participants reduced to low-income people.
their annual energy usage, with The current Agreement is due to lapse
savings for a 12-month period of on 30 June 2008. Broad discussions
over 10,700 kWh. This amounts to have commenced between the
savings of approximately $20 per Commonwealth and state and
quarter per participant and an annual territory governments on the potential
reduction of over 10,500 kilograms shape of the next Agreement.
of carbon dioxide. The accumulated

Housing NSW Annual Report 2006/07 59


05 Objective 5: Create a supportive work
environment that encourages excellence

Highlights for 2006/07


• 10 trainees in the Certificate IV in Social • We worked with the Public Service Association
Housing graduated in June 2007. to develop a prevention of workplace bullying
policy.
• A new Leadership Program was launched.
• A revised Code of Conduct and Ethics was
• Online learning was used for the first time for
published in January 2007 and over 400 staff
training, involving all staff.
completed code of conduct training in 2006/07.
• The Legal Service Branch won the Annual
Excellence Award in Government Legal
Services.

60 Housing NSW Annual Report 2006/07


To achieve its goals, Housing NSW depends on Leadership program
nurtures talent
a highly trained, efficient and effective workforce,
Housing NSW is conscious of the
where staff work in teams with support structures importance of nurturing the talent
in place. We actively encourage a culture of of its staff and, to promote this,
we initiated a new development
continuous improvement and excellence. Our program during the year, a
initiatives over the past year promote and improve leadership program called Building
Leaders Together.
the efficiency and effectiveness of the way we go Effective leadership is vital to the
about our business. Our corporate values guide successful achievement of an
organisation’s goals. The aim of
our staff on how to go about their work by making this new comprehensive program
a difference, helping, working together, and being a is to develop leadership capacity
in current and up-and-coming
part of the community. managers.
Building Leaders Together is a one-
Our Staff job evaluation and recruitment, as well
year program, which is coordinated
as learning and development.
The implementation of Reshaping by the Organisation Improvement
Public Housing reforms over 2006/07 Certificate IV in Social Housing Division and facilitated by leadership
has influenced the development of experts from the postgraduate
The first group of 10 trainees
strategies to support our business management programs at the
undertaking the program for
commitments. University of Technology Sydney
Certificate IV in Social Housing and Macquarie University.
Workforce Planning qualification graduated in June 2007.
There are several ways in which The program develops each
We undertook an assessment of individual’s level of awareness (how
staff can elect how to undertake
staffing requirements now and into they think and behave) and their
the qualifications including face-
the future, identifying critical job capacity to motivate others (the
to-face training, distance mode or power to change) so they can make
roles and providing a strong platform
from Recognition of Prior Learning. a significant contribution to the
for the integration of planning for
These qualifications provide staff with organisation. Participants undertake
future initiatives. A range of people
a broader knowledge in the social short work-based projects under
management strategies were
housing field. the direct supervision of one of our
identified, prioritised and scoped for Executive team.
implementation. Many of the initiatives Training
are already underway, including Emma Sork, a participant in the
E Learning program, said
enhanced recruitment processes,
articulation of career pathways for Online learning is an effective
training tool to deliver knowledge
“Building Leaders Together
critical job roles, development of a
leadership program and flexible work or information and, with the use of has been an interesting and
practices. scenarios and assessments, to test informative journey which
the understanding of participants. has benefited not only me
Capability Framework During 2006/07, we used online but has provided other staff
During the year, Housing NSW learning for the first time for a number
reviewed its capability framework. of mandatory compliance training
as well with a solid grounding
This encompassed a review of key requirements affecting all staff.
to grow as positive leaders for
accountabilities, skills knowledge Housing NSW”.
Programs delivered so far include
and expertise, and key capabilities
Occupational Health and Safety,
for job families and all job roles. Work
and Sexual Harassment. Equal
will continue into 2007/08 and will
Employment Opportunity and other
support improved business processes
online training is planned for release in
around performance management,
2007/08.

Housing NSW Annual Report 2006/07 61


05 Objective 5: Create a supportive work
environment that encourages excellence

Staff indicated that they enjoy the In addition, work is progressing on Some of the projects/initiatives where
flexibility of online learning as they can building commitment and visibility the ARG has provided feedback
complete short segments at a time in the organisation through existing include:
rather than the whole course. Over reporting and inclusion of targets in > prevention of racism in the
time, this will become an established performance agreements. workplace policy
approach to delivering learning within (For more information on staffing > the revision of communication
Housing NSW. trends and diversity, see Appendices material produced to support
Staffing Trends 5 and 6, pp. 75-77.) Housing NSW’s Reshaping Public
Our employment of equal employment Aboriginal Mentoring Program Housing reforms
opportunity target groups was > cultural awareness training and
Now in its second year of operation,
consistent with previous years, with
the Aboriginal Mentoring Program is > the Aboriginal Policy Framework
both women and Aboriginal people
designed to support Aboriginal staff Project.
being well represented and exceeding
manage their careers. The program The ARG organised and coordinated
benchmark targets. However,
has had significant success to date. the annual Aboriginal Staff Gathering
distribution across salary levels
A further three Aboriginal staff became that saw around 55 staff members
remains an issue. Representation of
mentors, which is a testament to come together to discuss strategies
staff with a disability and culturally
the recognition of the benefits of the to improve outcomes for clients
and linguistically diverse (CALD) was
program by the Aboriginal community. and staff. These strategies included
below the benchmark target.
The program will continue in 2007/08. improving Aboriginal service delivery
Support for existing strategies was
Aboriginal Reference Group in the context of Reshaping Public
maintained in 2006/07 including:
Housing reforms, employment
Our Aboriginal Reference Group (ARG)
> the Aboriginal and Torres Strait initiatives, and ideas to assist
promotes improvements to client
Islander buddy program Aboriginal clients if appealing
service delivery for Aboriginal and
> the Aboriginal Reference Group decisions through the Housing
Torres Strait Islander people and acts
Appeals Committee. The ARG
> the Aboriginal Mentoring Program as a key advisory group in developing
also supported NAIDOC Week
> the annual Aboriginal and Torres workforce strategies. The ARG
by becoming actively involved in
Strait Islander Gathering and has been instrumental in providing
the corporate public relations and
feedback to various areas of Housing
> a formal exit interview process. promotional initiatives.
NSW on aspects of work that target
or affect Aboriginal staff and/or clients.

During the year, Housing NSW worked


closely with staff and the Public Service
Association (PSA) to develop a policy
and guidelines on the prevention of
workplace bullying.

62 Housing NSW Annual Report 2006/07


Occupational Health and Safety In 2007/08, we will continue to focus Housing NSW recognised
Implementation of an overarching on improving reporting systems and in awards
Occupational Health and Safety incident and injury management
Housing NSW was awarded the
(OH&S) – Safety and Injury processes as well as targeted training
Australia Employer Award in the
Management Strategy supported by in these areas. Government, Higher Education
annual management plans is driving (For more information on Occupational & Recruitment category of the
continuous improvement in a number Health and Safety, see Appendix 7, Commonwealth Rehabilitation
of key areas. p. 77.) Service (CRS) Australia Employer
Awards. The annual awards
Agreed improvement targets in the Prevention of Workplace recognise employers who have
annual plan are regularly reviewed provided employment and work
Bullying
and reported. Results for 2006/07 training opportunities for job
show positive shifts in the existing During the year, Housing NSW seekers with a disability, injury
safety management system. Specific worked closely with staff and the or health condition.
achievements include: Public Service Association (PSA) to
At a ceremony in the Australian
develop a policy and guidelines on the Maritime Museum on 25 October
> implementation of standard
prevention of workplace bullying. The 2006, Housing NSW was presented
guidelines for office accommodation
policy covers preventative measures its award for its comprehensive
across the organisation to support
(risk assessment and education) technical officer recruitment
risk-minimisation strategies campaign. During 2006/07, we
and the role of informal processes
> inclusion of occupational health and formal processes in creating employed seven CRS nominated
and safety injury management a workplace culture that does not job seekers: two in Central Sydney;
accountabilities and responsibilities three in Greater Western Sydney;
support workplace bullying.
in performance agreements for and two in the Northern and
The policy applies to all staff and Southern and Western Divisions.
senior executives
contractors and provides information
> development of core key At the annual NSW Premier’s
that supports the PSA’s Dignity and Public Sector Awards, held on
performance indicators for Respect in the Workplace Charter, 10 November 2006, we were
occupational health and safety which was formally signed, by the also nominated in seven of nine
and injury management and regular Director-General and the Assistant categories and won three awards.
assessment against those key General Secretary of the PSA, in The awards that Housing NSW
performance indicators September 2006. received were:
> development of a corporate • a gold award for the Housing and
consultation and communication Project Management and
Accommodation Support Initiative
standard for occupational health Change (HASI) in the Service Delivery
and safety committees and A Project Management Framework category
representatives for non-construction projects was
• a silver award for the Aboriginal
> survey (to be repeated in 2008) formally launched in June 2007. The and Torres Strait Islander
of staff awareness of occupational framework was customised for use in Mentoring Program in the
health and safety rights and the human service arena. It includes Workforce Development category
responsibilities as a basis for a suite of project management and
determining current and future support services to assist in the
• a bronze for the Performance
trends/needs and implementation of complex client Based Registration System in
focussed reform projects. The the Business, Management and
> the introduction of online learning for
Framework provides structure and Financial Performance category.
all staff to enhance understanding of
guidance for projects and focusses
occupational health and safety roles The NSW Premier’s Public Sector
on the management of relationships,
and responsibilities and how these Awards recognise excellence and
linkages and dependencies, and innovation. These projects were able
relate to systems and procedures.
change management.  to showcase how Housing NSW
meets the service delivery needs
of clients.

Housing NSW Annual Report 2006/07 63


05 Objective 5: Create a supportive work
environment that encourages excellence

Management Reforms savings project that will run through Housing NSW properties. The report
2007/08 to pursue further savings acknowledged that Housing NSW
Governance strategies. had worked closely with the ICAC
Our governance arrangements are throughout the investigation, and
regularly reviewed to ensure that Business Assurance
had ‘devoted considerable effort to
robust management and decision- The Business Assurance Unit works examining the scope for improvement
making processes are in place. to prevent and investigate instances in its policies and procedures’. The
A Code of Governance Practices of fraud, corruption and misconduct, ICAC made four recommendations
was endorsed by the Executive and to provide reassurance to the for improvements to corruption
in July 2005. During April 2007, a Executive on governance through an prevention strategies, all of which
review of the structure of Strategy internal audit program. Housing NSW were implemented in 2006/07.
and Governance meetings was has a number of mechanisms through
undertaken. Minor adjustments to the which staff, clients and members of We reviewed and updated the Code
arrangements were made to support the public can report instances of of Conduct and Ethics in 2006/07
the role of the Executive Team as the suspected corruption or misconduct. and also published a Statement of
primary, strategic, decision-making Business Ethics, which sets out the
In 2006/07, Business Assurance ethical standards Housing NSW
forum for collegial leadership of investigated 361 allegations received
Housing NSW under the direction of adheres to in its dealings with private-
from all sources. A total of seven sector business partners.
the Director-General. audits were completed in 2006/07,
with findings presented to the Risk In April 2007, we conducted a
Procurement Savings
Management and Audit Committee. review of the Corruption Prevention
Significant procurement savings and Ethics Committee (CPEC) to
have been achieved in 2006/07. Internal audit program development
is based on current risk assessments provide advice to the Director-
Fees for external consultants have General on effectiveness of corruption
been reduced by almost half, from in Housing NSW and is regularly
reviewed. prevention strategies and the role
$1.8 million in 2005/06 to $0.9 million of the Committee. The review found
in 2006/07. Motor vehicle expenses In August 2006, the Independent that, while the CPEC had made a
have also been reduced and, in Commission Against Corruption valuable contribution to strengthening
2006/07, were $0.5 million less than (ICAC) released a report of an Housing NSW’s corruption resistance,
2005/06. The Strategic Procurement investigation, which found that an ex- the most effective way forward
Unit will continue to drive initiatives employee of Housing NSW and two was to amalgamate the functions
to reduce expenditure on key items real estate agents had engaged in of the CPEC with those of the Risk
and has established a procurement corrupt conduct in the sale of some Management and Audit Committee.

64 Housing NSW Annual Report 2006/07


Risk Management and Audit On 18 October 2006, Legal Services guarantees the current rate for the
Committee was also an equal winner of the next two renewals and
The Risk Management and Audit 2006 NSW Law Society Equality of > thorough analysis of contract
Committee monitors risk management Employment Opportunities Awards for works data.
processes and systems of internal Small to Medium Firm/ Organisation
(For more information on insurance,
audit and control. The committee (ie. employing fewer than 30
see Appendix 18, p. 91.)
met six times this year and provided solicitors). The awards recognise the
advice to the Executive. efforts of individuals and organisations Project Eden
in promoting, developing and During 2006/07, Housing NSW issued
(For more information on the Risk implementing equality of employment a tender to refresh or replace the
Management and Audit Committee, opportunities, policies and practices in core information technology system
see Appendix 3, p. 69.) the workplace. used to manage clients, applicants
Corruption Prevention Training and assets. The scope of the Project
Renewal of Insurance Program
Housing NSW develops ethical work Eden tender was the acquisition and
Housing NSW is focussed on
practices to enhance corruption implementation of a system solution
a practical approach to the
resistance by providing mandatory to support the key activities of client
management of insurance and risk
code of conduct training and management, asset management,
to ensure affordable cover continues
information resources. The Code of tenancy management and application
to be available in today’s insurance
Conduct and Ethics training program management. Following an extensive
market and into the future. The
forms a part of induction training tender evaluation, a preferred
structure of the insurance program
for new staff. During 2006/07, we supplier has been identified and the
has been maintained, following
delivered 31 code of conduct training project is currently in the contract
direct negotiation with Australian and
sessions in 14 locations across NSW negotiation stage. The project is
international insurance underwriters.
to over 400 staff. to be implemented over a two-to-
The total renewal cost of premiums, three-year period.
(For more information on Code of including all charges and fees
Conduct, see Appendix 2, p. 68.) for 2006/07, is $6.771 million, Infrastructure Upgrade
representing a gross saving of 35 During 2006/07, Housing NSW
Award Winning Legal Team
percent on the 2005/06 figure of completed the upgrade of its Local
The Legal Services Branch of Area Network (LAN). This resulted
Housing NSW was the first public $10.491 million. Housing NSW is self-
insured for the first $5 million of any in the replacement of desktop
sector legal team in Australia to be computers, printers and local servers,
certified to LAW 9000. In addition to property loss and the first $250,000
of any public liability for which it is along with the implementation of a
the certification, on 12 September ‘Locked Down’ standard operating
2006, the Hon. John Dowd OA negligent.
environment, based upon a Windows
presented the Annual Excellence Against declared assets of $23.4
XP/Microsoft Office 2003 platform.
Award in Government Legal Services billion there has been a 19 percent
to the Branch before a gathering of reduction in property premium, 40
government lawyers and distinguished percent saving in liability premium and
guests. The Excellence Award was 55 percent reduction in the contract
an acknowledgement of the Branch’s works premium. Initiatives to procure
efforts and reflected its commitment savings included:
to business excellence, promoting > presentations to both local and
higher standards in legal practice overseas property underwriters
and outstanding contribution to
> entering into a long-term agreement
government legal service.
with the liability underwriters which

Housing NSW Annual Report 2006/07 65


Appendices

All Housing NSW information provided in the appendices List of tables Page
includes information and statistics for the Office of Community A.1 Executive attendance at meetings 68
Housing, Home Purchase Assistance and Resitech, unless A.2 Risk Management and Audit Committee meetings 69
otherwise indicated. A.3 Corruption Prevention and Ethics Committee meetings 70
A.4 Representation on external committees 71
A.5 Senior Executive positions by gender and SES level 73
A.6 Overseas travel 75
Appendices Page
A.7 Staff numbers 75
1. Guarantee of Service 67 A.8 Number of employees by category 76
2. Code of Conduct and Ethics 68 A.9 Trends in the representation of EEO groups 76
3. Management and Structure 68 A.10 Trends in distribution of EEO groups 77
4. Executive Officers 73 A.11 Total incidents reported 77
5. Human Resources 75 A.12 Nature of injuries 78
6. Equal Employment Opportunity 76 A.13 Agency of injuries 78
7. Occupational Health and Safety 77 A.14 Injury management 79
8. Disability Plans 79 A.15 People with a disability accessing housing
9. Ethnic Affairs Priorities Statement 81 assistance programs in 2006/07 79
10. Housing Women 83 A.16 Electricity consumption 84
11. Government Waste and Energy Management Policy 84 A.17 Property disposal in 2006/07 84
12. Property Disposal 84 A.18 Community Housing Assistance Program –
13. Funds Granted to Non-government Community Groups 85 leasing subsidies 85
14. Research and Development 88 A.19 Crisis Accommodation Program – leasing subsidies 85
15. Consultants 88 A.20 Resourcing agencies grants 86
16. Consumer Response 88 A.21 Tenancy Guarantee grants 86
17. Payment of Accounts 90 A.22 Housing Communities Assistance Program grants 86
18. Risk Management and Insurance 91 A.23 Community Regeneration Program grants 86
19. Investment Performance 91 A.24 Tenant Participation grants 87
20. Liability Management Performance 91 A.25 Other grants 87
21. Credit Card Certification 92 A.26 Consultants paid in excess of $30,000 88
22. Freedom of Information 92 A.27 Multiple consultancies under $30,000 by subject area 88
23. Privacy Management Plan 95 A.28 Client feedback statistics 89
24. Legislation and Legal Changes 95 A.29 Client feedback breakdown 89
25. Publications 96 A.30 Results of first-tier appeals 89
26. Annual Report Production Cost 97 A.31 Second-tier appeals hearing results 90
27. Where to Find Us 98 A.32 Second-tier appeals final outcomes 90
A.33 Community housing appeals 2006/07 90
A.34 Total accounts paid on time each quarter 90
A.35 Ageing analysis of accounts payable balances 90
A.36 Insurance expenses 91
A.37 Comparison of Housing Reserve Fund investment
performance to TCorp 91
A.38 Debt performance 92
A.39 Classifications of Freedom of Information requests 92
A.40 Results of completed Freedom of Information requests 92
A.41 Ministerial certificates 93
A.42 Formal consultations 93
A.43 Amendments of personal records 93
A.44 Notation of personal records 93
A.45 Freedom of Information requests granted
in part or refused 93
A.46 Costs and fees of requests processed 94
A.47 Discounts allowed 94
A.48 Days to process completed
Freedom of Information requests 94
A.49 Processing time per Freedom of Information request 94
A.50 Reviews and appeals 94
A.51 Details of internal reviews results 94
A.52 Fees and charges per Freedom of
Information application 95

66 Housing NSW Annual Report 2006/07


1. Guarantee of Service Maintaining Homes
We aim to:
Responsibility
> maintain our properties in accordance with the residential
As a department of the NSW Government, we have a
tenancies legislation
responsibility to:
> carry out urgent repairs (where there is a threat to health,
> efficiently and effectively implement the policies of the
safety or security) within four hours of the client notifying us
NSW Government
> complete other urgent repairs by 6.00 pm on the next working
> obtain good value for money and make the best possible use of
day and
public resources and property
> program other repairs within a reasonable time, providing
> comply with all proper instructions and directions, and act in
appropriate advice to the client.
accordance with the spirit and the requirements of the law
> maintain clear and sufficient documentation to support decisions The Way We Treat Each Other in Dealings with
we have made
Other Housing NSW Staff
> not allow any official information to be misused and
We aim to:
> provide accurate, timely, honest and balanced advice as well as
> support colleagues and treat them with courtesy and respect
seeking to resolve ethical dilemmas.
> have concern for the welfare of others
Housing NSW aims to provide its services in a way that is:
> cooperate and work together as a team, sharing tasks fairly
> fair and reasonable
> support training and development initiatives, as they benefit
> prompt and efficient both individuals and Housing NSW
> accurate and honest > encourage open communication and embrace change as a
> private and confidential and positive aspect of work
> appropriate to people’s needs. > evaluate performance on the quality and not just the quantity
of work
Clients can expect our staff to:
> make sure our work environment is safe
> be courteous, prompt, efficient and impartial
> respect individual differences and
> give information and advice clearly and simply
> adhere to the principles of equal employment opportunity.
> make sure clients receive what they are entitled to, not just what
they ask for The Way We Treat Those outside Housing NSW
> keep official information private and confidential and
Suppliers
> respect individual differences.
When dealing with suppliers we aim to:
Service Delivery > act fairly
We serve our clients by: > honour agreements we have made with others who act in good
> ensuring information about our services is freely available to all, faith and
including interpreter services for those who need them > expect high ethical standards from others.
> making fair decisions that are open to scrutiny
These standards are in accordance with our contract
> providing clear and accurate advice about our decisions standards and we reserve the right not to deal with suppliers
> informing clients of the reason for our decisions and who breach them.
> advising clients of decisions in a timely manner.
Community Groups
Consulting with Tenants and Staff We will consult with community groups when appropriate and
We aim to: aim to:
> consult with tenants and other residents when planning and > act with courtesy and care
delivering services and > be candid, honest and respect confidences and
> consult with staff and unions to make sure staff are sufficiently > seek to understand the group’s position so we can find solutions
trained to deliver high-quality services. to problems.
Responding to Tenant Complaints and Comments
We aim to: Other Government Departments
When working with other government departments, we aim to:
> respond to correspondence within 15 working days, either
by phone or letter > seek to achieve common goals
> tell clients about the outcome of a complaint and the action > encourage open communication and
being taken within 15 working days and > be proactive in solving problems.
> provide access for all clients to our formal complaints and
feedback system.

Housing NSW Annual Report 2006/07 67


Appendices

2. Code of Conduct and Ethics Table A.1 Executive attendance at meetings


The Housing NSW Code of Conduct and Ethics sets out Quarterly
Governance Strategy business
expectations of the standards of behaviour and values of all staff.
meetings meetings reviews
It provides a detailed guide for ethical decision making and for Name and Position attended attended attended
identifying and dealing with possible conflicts of interest.
M Allen
The driving principles of the Code are: Director-General 8 11 4
> responsibility to Government P Vevers
> respect for people Deputy Director-General
Operations 5 5 2
> integrity and public interest (04/12/06 – present)
> responsive service and A/Deputy Director-General
Operations
> economy and efficiency.
(01/07/06 – 01/12/06) 4 5 2
The Code was reviewed in the latter part of 2006, and an amended C Haynes
Code was approved by the Director-General in January 2007 and A/Deputy Director-General
issued to staff. Additions to the Code were to: Operations
> clarify the provisions relating to the prohibition on the sale of (04/12/06 – 21/01/07) N/A 1 N/A
Housing NSW properties to staff and related parties and S McIntyre
> expand the section on ‘Conflicts of Interest’ to cover personal Executive Director
relationships, and managing staff who are also tenants of Policy, Strategy & Finance
(30/08/06 – present) 8 7 3
Housing NSW.
M Boland
In 2006/07, Housing NSW published a Statement of Business Executive Director
Ethics to supplement the Code of Conduct. The Statement of Office of Community Housing 7 10 2
Business Ethics sets out the ethical standards that govern our
business relationship with private-sector organisations. L King
A/Executive Director
The Code applies to all staff, including temporary employees, and Office of Community Housing
to consultants and contractors. Agencies or individuals contracted (01/10/06 – 31/10/06) 1 1 1
to provide services on behalf of Housing NSW are also expected to
A Thomson
adhere to the Code.
Executive Director
Training in the Code of Conduct and Ethics is compulsory for all Organisational Improvement 9 8 4
staff, including temporary employees. In 2006/07, we established
K Roach
a program of induction training sessions for new staff. The
Executive Director
induction training includes the mandatory segment on the Code Governance & Regulation
of Conduct. In 2006/07, we undertook intensive staff training in (01/07/06 – 31/12/06) 4 6 2
Code of Conduct and Ethics, with 31 training sessions held in 14 C Dreis
locations across NSW, and 418 staff participating in the training. A/Executive Director
Governance & Regulation
3. Management and Structure (03/01/07 – present) 5 5 2

Housing NSW Executive Team P Gilbertson


Executive Director
The Executive Team reviews, approves, and monitors corporate Strategic Projects 5 7 4
strategies, plans, policies and performance, effectively functioning
as Housing NSW’s Executive Board. It assesses major risks to the P McKenzie
business and ensures the organisation has policies and procedures General Manager
to satisfy its legal and ethical responsibilities. Northern Housing
Services Division 7 N/A 2
The Executive Team has been in operation throughout the
year, and held governance meetings, strategy meetings and C Haynes
General Manager
quarterly business reviews on a regular basis. The Chair rotates
Greater Western Sydney
at each meeting. Housing Services Division 7 N/A 2
Number of governance meetings held in 2006/07: 9 B Druitt
Number of strategy meetings held in 2006/07: 11 A/General Manager
Greater Western Sydney
Quarterly business reviews held in 2006/07: 4 Housing Services Division
(21/08/06 – 24/09/06) 1 N/A 1
K Roil
A/General Manager
Central Sydney Housing
Services Division 8 N/A 4

68 Housing NSW Annual Report 2006/07


Quarterly Risk Management and Audit Committee
Governance Strategy business The Risk Management and Audit Committee monitors Housing
meetings meetings reviews NSW’s risk management processes and systems of internal audit
Name and Position attended attended attended
and control. It operates under a charter, established to align with
K Bone
the Blue Ribbon Report on Audit Committees. The Committee
General Manager
Southern & Western NSW meets at least four times a year and provides advice to the
Housing Services Division 4 N/A 3 Director-General, by reviewing and monitoring the organisation’s
J Johnson
risk, control and governance environment, audit and financial
A/General Manager reporting processes.
Southern & Western NSW In April 2007, the functions of the former Corruption Prevention
Housing Services Division and Ethics Committee (CPEC) were amalgamated with the Risk
(16/04/07 – 14/05/07) 1 N/A 1 Management and Audit Committee. In September 2006, Mr Peter
L King Housden was appointed as a second independent member of the
A/Director Committee. The Risk Management and Audit Committee met six
Housing Strategy 7 10 2 times in 2006/07.
Ex-officio members
Table A.2 Risk Management and Audit Committee meetings
D Lantavos
A/Director Members Position Meeting attended
Ministerial and C Holley External Chair
Executive Services 7 9 N/A Director, Hill Rogers 6
M Haerewa P Housden Independent Member
Chief Finance Officer (from September 2006) 5
Policy, Strategy & Finance 8 8 4 M Allen Director-General 6
M Gibson K Roach Executive Director
Director Housing Governance and Regulation
Policy & Partnerships N/A 10 N/A (until December 2006) 4
J Neylan C Dreis A/Executive Director
A/Director Governance and Regulation
Service Development N/A 7 N/A (from January 2007) 2
M Reader C Haynes General Manager Greater Western Sydney
A/Director Housing Services Division 5
Service Development, OCH 3 N/A N/A
L King Director Office of the Director-General
A Larkin (until November 2006) 4
Director
Community Housing Strategy N/A 1 N/A
Representatives from the NSW Audit Office and the organisation
that holds the current internal audit contract attend by invitation.
Housing NSW Significant Committees
The Executive Team appoints additional committees to advise Asset Management and Liability Committee
the Executive in key areas, affecting the organisation. These The Asset Management and Liability Committee was originally
committees perform a critical role in the practice of corporate formed to develop and implement appropriate financial strategies
governance within Housing NSW. The significant committees and manage the financial and operating risks inherent in the
operational as at 30 June 2007 are described below. HomeFund scheme and other government home purchase
assistance programs. It is now intended to review the purpose of
the committee to institute a broader focus across Housing NSW,
as opposed to just these special funds. The committee held no
meetings in 2006/07.

Customer Council
Early in 2006/07, the Customer Council was abolished and
planning commenced for the establishment of a new state-wide
tenant consultative structure. Housing NSW is consulting on and
finalising the role and logistics of establishing a new tenant state-
wide body.
(For more information on state-wide tenant consultative structures,
see Objective 4, p. 58.)

Housing NSW Annual Report 2006/07 69


Appendices

Community Housing Advisory Committee Table A.3 Corruption Prevention and Ethics Committee meetings
The Community Housing Advisory Committee was established Members Position Meetings attended
in 2001/02 as a state-level committee to provide advice on J Mant External Chair 2
community housing strategic issues and emerging policy matters
M Allen Director-General 2
for the community housing sector. It also provides advice on
the continuing reform of the administrative and resourcing K Roach Executive Director
Governance and Regulation
arrangements for the sector. The Committee provides expert
(until January 2007) 1
advice on broader strategic directions to complement the
C Dreis A/Executive Director
recommendations in the Legislative Council Standing Committee
Governance and Regulation
on Social Issues ‘Inquiry into Community Housing’ report. The (from January 2007) 1
committee met four times in 2006/07.
P Vevers Deputy Director-General
Members: Operations 1
Mr Vic Smith Independent Chair
Ms Maura Boland Executive Director, Office of Non-government Organisations New Products
Community Housing Reference Group
Professor William Randolph Community Housing Policy The Non-government Organisations New Products Reference
Mr Chris Jefferis  ssociation to Resource
A Group was established in June 2002 to provide a forum for
Cooperative Housing consultation with peak housing groups on the development and
Ms Bobbie Townsend NSW Federation of Housing implementation of current and future new products. The reference
Associations group met three times in 2006/07.
Dr Vivienne Milligan Affordable Housing Members
Mr Brian Murnane Church Managed Housing Nada Nasser (Chair) Director, Product Strategy
and Development
Mr Graham Brooke Housing Development and Finance
Paula Rix Policy Officer, NSW Churches
Mr Lindsay Kelly Tenant representative Community Housing
Corruption Prevention and Ethics Committee Warren Gardiner Policy Officer, NSW Council of
Social Services
During 2006/07, the Corruption Prevention and Ethics Committee
continued to oversee Housing NSW’s corruption prevention Karine Shellshear Executive Officer, The Association to
program. The Committee reviewed reports on investigations data Resource Co-operative Housing
and trends, education and training and the status of components Chris Martin Policy Officer, Tenants Union of NSW
within the corruption prevention framework. This Committee also Robert Mowbray Policy Officer, Shelter NSW Co-op Ltd
monitored our relationship with the Independent Commission
Against Corruption (ICAC). Melanie Southwell Research Officer, NSW Federation of
Housing Associations
Upon its establishment in 2004, the independent Chair of the
Corruption Prevention and Ethics Committee stipulated that the Secretariat
Committee should be reviewed after two years of operation. That Kevin Gardner Principal Policy Analyst, Product Strategy
review was completed in early 2007, where it was found that while and Development
a valuable contribution had been made to strengthen Housing
NSW’s corruption resistance, the most effective way forward was
to amalgamate the functions of the Corruption Prevention and
Ethics Committee with those of the Risk Management and Audit
Committee. This was done in April 2007. Two meetings were held
in 2006/07.

70 Housing NSW Annual Report 2006/07


Representation on External Committees
Housing NSW is represented on a number of external committees.
Table A.4 Representation on external committees
Housing NSW
Committee Representative Position
Aboriginal Employment and Development Steering Committee Adele Thomson Executive Director, Organisational Improvement
Better Service Delivery Executive Steering Committee Julian Neylan A/Director, Service Development
CEO Group on Aboriginal Affairs Mike Allen Director-General
CEO Network Meetings Mike Allen Director-General
Child Protection Senior Officers Group Nada Nasser Director, Product Strategy and Development
COAG Mental Health Group Mark Reader Director, Strategy and Development, Office of
Community Housing
Compulsory Drug Treatment Correctional Facility Taskforce Nada Nasser Director, Product Strategy and Development
Domestic Violence Intervention Court Model Senior Officers Group Nada Nasser Director, Product Strategy and Development
Housing Ministers’ Advisory Committee Mike Allen Director-General
Housing and Human Services Seniors Officers Group Maura Boland Executive Director, Office of Community Housing
Housing and Accommodation Support Initiative Evaluation Steering Katherine McKernan A/Director, Homelessness Unit
Committee and Reference Group
Human Services CEO Forum Mike Allen Director-General
Human Services Strengthening NGOs Steering Committee Maura Boland Executive Director, Office of Community Housing
Interagency Standing Committee on Disability Melissa Gibson Director, Housing Policy and Partnerships
Integrated Services for People with Challenging Behaviours Katherine McKernan A/Director, Homelessness Unit
Management Committee
Joint Guarantee of Service Strategic Partners Group Katherine McKernan A/Director, Homelessness Unit
Joint Housing, Local Government and Planning Working Group (National) Helen O’Loughlin Director, Centre for Affordable Housing
Metropolitan CEO’s Group Mike Allen Director-General
National Housing Data Agreement Management Group Nellie Hall Manager, Housing Market Analysis and Research
NSW Government Immigration Planning Committee Nada Nasser Director, Product Strategy and Development
Supported Accommodation Advisory Committee Maura Boland Executive Director, Office of Community Housing

New Products and Services Initiatives Steering


Committee
This Steering Committee was established to oversee the
development and implementation of new products and service
initiatives to ensure that resources are allocated and managed
appropriately. The Committee has overseen the development
and implementation of over 20 new products since 2002. Examples
include supported housing initiatives, regional strategies, new
service models, and initiatives to address homelessness. The
steering committee met five times in 2006/07.
Members
M McCalman (Chair) General Manager, Operational Programs
(until August 2006)
S McIntyre (Chair) Executive Director, Policy, Strategy
and Finance (from September 2006)
M Haerewa Chief Financial Officer, Corporate Finance
and Planning
A Thompson Executive Director, Organisational
Improvement
K Roach Executive Director, Governance and
Regulation
M Boland Executive Director, Office of Community
Housing
M Gibson Director, Housing Policy and Partnerships

Housing NSW Annual Report 2006/07 71


Appendices

Implementation and Review Group Stock Transfer Steering Committee


The Implementation and Review Group was established in 2004 The Steering Committee was established to oversee the
as an advisory committee to advise, facilitate and monitor the development and approval of strategies, plans, policies and
implementation of the performance based registration system. procedures for the Stock Transfer Program. It is also responsible
It provides advice on key issues to the Director-General on for identifying and addressing barriers to implementation,
matters that will ensure effective and efficient implementation of recommending and informing any changes that may be required to
the Performance Based Registration System. The committee met policies and procedures for public housing, as well as reporting to
four times during 2006/07. the Executive on progress and issues arising from implementation
Members of the Program. The committee meets monthly and met five times
during 2006/07.
Professor Bill Randolph (Chair) University of New South Wales
Members
Lesley Oatley Argyle Community Housing
M Boland (Co-Chair) Office of Community Housing
Jenny Stewart The Housing Trust
K Roil (Co-Chair) Central Sydney Housing Services Division
Lesley Wyatt Hume Community Housing
Association G Adams Northern NSW Housing Services Division
Derek Yule Churches Community Housing B Beth Financial Accounting and Treasury
Finance Strategy
Karine Shellshear Association to Resources
Cooperative Housing D Chan Financial Performance and Management
Adam Farrar NSW Federation of Housing M Reader Office of Community Housing
Associations A Shearer Greater Western Sydney Housing
Leonie King A/Director, Housing Strategy Services Division
Unis Goh Director, Performance J Bartos Corporate Finance and Planning
Management and Review, C Walton Operational Programs
Office of Community Housing C Matheson Corporate Analysis and Reporting
Cameron Matheson Principal Business Analyst, S Sedaghat Corporate Analysis and Reporting
Corporate Analysis and
P Nunez Central Sydney Housing Services Division
Reporting
M Bellamy Greater Western Sydney Housing
Debbie Kearns Director, Business
Services Division
Performance, Office of
Community Housing R Pinkstone Office of Community Housing
Sue Trudgett Manager, Business Assurance L Downie Operational Programs
I Wilson Office of Community Housing
J Brewer Southern and Western Housing
Services Division
W Falcone Greater Western Sydney Housing
Services Division
M McLaurie Office of Community Housing
G Simpson Northern NSW Housing Services Division
K Walsh Central Sydney Housing Services Division
L Bevan Greater Western Housing Services Division
J O’Toole Operational Programs

72 Housing NSW Annual Report 2006/07


4. Executive Officers Ken Bone
General Manager, Southern and Western NSW Housing
Number of Executive Positions (as at 30 June Services Division
2007) BEc
Wayne Carter
Table A.5 Senior Executive positions by gender and SES level
General Manager, Resitech
SES level 2002/03 2003/04 2004/05 2005/06 2006/07 BEng
7 1 1 1 1 1 Melissa Gibson
6 0 0 1 1* 1 Director, Housing Policy and Partnerships
5 2 2* 1 1* 1 BA (Hons) Psych
4 12 14** 16 12 12* Michelle Haerewa
3 3 2 2 3* 3 Chief Financial Officer, Corporate Finance & Planning
2 3 3 2 3 3 BBus, (CPA)
1 0 0 0 0 0 Cliff Haynes
Total SES officers 21 22 23 21 21 General Manager, Greater Western Sydney Housing
Services Division
Total female officers 8 4 6 9 8
BComm, FCPA, FLGMA
*1 vacant Leonie King
**4 vacant A/Director, Housing Strategy
Housing NSW Senior Officers (SES) BBus, (CPA)
Senior officers (SES positions) and their qualifications as at Vladas Leonas
30 June 2007. Chief Information Officer
MSc (Computer Science), PhD (Computer Science)
Executive Team Maz McCalman
Mike Allen General Manager, Operational Programs
Director-General of Housing BA, Grad Cert Dispute Resolution (Law)
Grad Dip UE Mgt Pauline McKenzie
Paul Vevers General Manager, Northern NSW Housing Services Division
Deputy Director-General, Operations B Zoo, LLB
BA (Hons), Dip Mgt Studies, Cert Qual Soc Wk Kathryn Roil
Paul Gilbertson A/General Manager, Central Sydney Housing Services Division
Executive Director, Strategic Projects Division NZ Air Traffic Controllers Licence
BEng (Civil) Mark Roser
Stephen McIntyre Director, Major Projects Directorate
Executive Director Diploma of Teaching (Technical)
Policy, Strategy and Finance Neil Sandall
BEng (Hons), Grad Dip Mgt, Grad Dip Env Stud Project Director, Mt Druitt Community Solutions and
Colleen Dreis Prevention Strategy
A/Executive Director, Governance and Regulation BA, Grad Dip UE Mgt, M Land Ecs
BA (Ecs), Bachelor of Laws, Master of Laws Mark Shepherd
Adele Thomson Director, Development and Financing, Strategic Projects
Executive Director, Organisation Improvement BEng (Civil), MBA
BA (Hons), BBus, Grad Dip LRLL Colin Simpson
Maura Boland Director Operations, Resitech
Executive Director, Office of Community Housing BSc (Arch), BArch, Grad Cert Strategic Asset Management
BSc (Hons), Grad Dip Comm Mgt, MAppSc Adam Summons
(Communication Management) Director, Financial & Performance Management, Corporate Finance
& Planning
Other Senior Executive Officers BEc, (ACA), MAICD
David Bernard
Graham Todd
Director Resources, Resitech
Director Business Development and Marketing, Resitech
BArch
BSc

Housing NSW Annual Report 2006/07 73


Appendices

Senior Executive Performance Paul Vevers


For Executive Officers SES level 5 or above, the following Deputy Director-General, Operations, SES 6
performance for 2006/07 is recorded. Remuneration Package – $260,000
Period in position – 1 July 2006 to 30 June 2007 inclusive
Mike Allen Results
Director-General, Operations, SES 7 The Director-General has indicated his satisfaction with Mr Vevers’
Remuneration Package – $332,800 performance for the period of his appointment with regard to the
Period in position – 1 July 2006 to 30 June 2007 inclusive following specific responsibilities.
Results Policy Advice
The Minister has indicated his satisfaction with Mr Allen’s Mr Vevers has provided advice on a range of policy issues
performance for the period of his appointment with regard relating to Reshaping Public Housing and long-term sustainability
to the following specific responsibilities. objectives, particularly in relation to implementation in the
Policy Advice operations environment and likely impacts on client service.
Advice has been provided on a range of policy issues across the Significant Relationships
housing portfolio. The Deputy Director-General Operations is responsible
Significant Relationships for establishing key relationships with other government
As a member of the Housing Ministers Advisory Committee, departments and agencies, such as local councils and
Mr Allen continued to strengthen Housing NSW’s policy position non‑government agencies.
and relationships with Commonwealth and inter-state counterparts Support for strategic initiatives, such as the Partnership against
and other government departments. Homelessness, have served to strengthen relationships with other
The Human Services CEOs Group continues to be an important human service agencies and close links have been maintained with
forum for contribution to cross-agency communication and the Aboriginal Housing Office and peak housing bodies.
collaborative working relationships between the human services Agency Programs
agencies. This has been particularly important as Housing NSW Performance targets for public housing service delivery have
has rolled out Accords to ensure that clients have access to been achieved.
appropriate support services to assist them to sustain their
Strategic Outcomes
tenancies. Governance arrangements and internal processes have
been enhanced through membership of the NSW Businesslink In 2006/07, the organisation continued implementation of
Board and NSW Businesslink’s Audit Committee. Reshaping Public Housing reforms, focussing on targeting
services for people in most need and long-term sustainability.
Agency Programs
Continued investment in community regeneration and community
Primary outcomes for Housing NSW’s key programs
building is laying the foundation for stronger more resilient
were achieved.
communities. Similarly, maintenance reforms, focussing on
Strategic Outcomes improving amenity and reducing long-term liability, are making
Implementation of significant reforms announced in the Reshaping a significant contribution.
Public Housing program continued in 2006/07. The first fixed-term This was supported by the release and implementation of the
tenure allocations of public housing were scheduled for review in Accord in 2006/07, which details the high-level commitment of
mid 2007. Special arrangements were introduced to assist tenants human services agencies to coordinate support for clients at the
whose leases will not be renewed. local level.
The Maintenance Reform Program was expanded to 16 new pilot Risk Management
locations and fire safety upgrading works continued.
Corporate directions in risk management have been supported.
Housing NSW developed and commenced implementation of a
Managing Resources
strategy to expand the community housing sector and provide
community housing providers with sufficient leverage to develop All areas of Operations continued to focus on achieving internal
affordable housing. savings and introducing improved efficiencies across the public
housing system.
Risk Management
Overseas Travel
Housing NSW’s new charter for its Risk Management and Audit
Committee was implemented and continues to be monitored Nil
through all Executive performance agreements.
Overseas Travel
In May 2007, the Director-General travelled to the United Kingdom
to renegotiate insurance cover for Housing NSW, resulting in a
significant cost saving for insurance premiums.

74 Housing NSW Annual Report 2006/07


Stephen McIntyre Overseas Travel
Executive Director, Policy Strategy and Finance, SES 5 There was one overseas visit undertaken by an employee in
Remuneration Package – $239,900 2006/07.
Period in position – 30 August 2006 to 30 June 2007 inclusive
Table A.6 Overseas travel
Results
Name/Position Country Visit Duration Purpose of visit
The Director-General has indicated his satisfaction with Mr
McIntyre’s performance for the period of his appointment with Mike Allen United Kingdom 19–24 May Housing NSW
Director-General 2007 insurance renewal
regard to the following specific responsibilities.
of Housing NSW negotiations and
Policy Advice meetings with
Advice has been provided on a range of policy issues across all various United
aspects of the housing portfolio and housing system in NSW. This Kingdom local
has included a focus on housing affordability, the needs of specific housing authorities.
client groups, long-term asset planning, and new housing products
and services. 5. Human Resources
Significant Relationships Personnel Policies and Practices
Mr McIntyre takes a lead role in the management of Housing NSW completed a comprehensive review of its people
Commonwealth-State relations. He has developed and maintained management policies and practices, to ensure alignment with
positive working relationships with a range of stakeholders, sector requirements and to provide better support to the business.
including the Aboriginal Housing Office, peak organisations, and Improvements to the recruitment process and enhancements to
NSW human services and central agencies. establishment management processes and tools were substantially
Mr McIntyre is also the Secretary of the NSW Institute of Public completed and will be fully implemented in 2007/08.
Administration. His membership has enabled cross-agency
communication and contributed to a broader understanding and Salaries, Wages and Allowances
improvement of the public sector. There have been no exceptional movements in salaries, wages and
Agency Programs allowances during 2006/07.
Performance targets have been achieved. Industrial Relations Policies and Practices
Strategic Outcomes The Consultative Forum, comprising of Public Service Association
Strategic objectives within the Division have been achieved and members and delegates, continued to meet quarterly in 2006/07.
quality customer service delivery continues to be provided. Housing NSW continues to work closely with the Public Service
Key work has included the implementation of a range of affordable Association on improving people management practices
housing initiatives and the ongoing implementation of major throughout the business.
reforms, including the Housing and Human Services Accord. Number of Employees
NSW has continued to provide leadership in policy research The total number of staff at the end of June 2007 was 2,474.
and development in relation to social and affordable housing The frontline client service staff make up 61.8 percent of the total,
at a national level. which is a 1.8 percent increase from the 2005/06 financial year.
Reform of financial management and reporting frameworks
continued. This included closer alignment of business planning Table A.7 Staff numbers
with financial reporting and project management to support Year Total number of staff
achievement of delivery milestones for key organisational initiatives 2002/03 2,195 (2,793)*
across Housing NSW.
2003/04 2,177 (2,767)**
Risk Management 2004/05 2,161***
Corporate directions in risk management have been supported. 2005/06 2,247***
Managing Resources 2006/07 2,474***
A focus continues on achieving internal savings and introducing
improved efficiencies in the division and across Housing NSW. * This includes 598 NSW Businesslink staff
** This includes 590 NSW Businesslink staff
Overseas Travel *** Excluding contractors
Nil

Housing NSW Annual Report 2006/07 75


Appendices

Table A.8 Number of employees by category


As at 30 June 2007 and in comparison to prior years.
  June 2003   June 2004   June 2005   June 2006   June 2007
Functional Area Perm Temp Perm Temp Perm Temp Perm Temp Perm Temp
Client service (including Housing Contact Centre) 1,158 180 1,081 160 1,062 246 1,099 252 1,115 413
Divisional support staff 332 83 278 118 390 47 376 67 375 74
Corporate support staff 202 41 328 54 247 35 261 39 287 56
Home Purchase Assistance Division 28 3 12 1 0 0 0 0 0 0
Office of Community Housing 34 14 44 8 44 8 40 15 40 11
Resitech 98 22 80 13 77 5 88 10 93 10
NSW Businesslink 522 76 495 95 0 0 0 0 0 0
Sub total 2,374 419 2,318 449 1,820 341 1,864 383 1,910 564
Total employees
(excluding contractors) 2,793 2,767 2,161 2,247 2,474

6. Equal Employment Opportunities > broadening the access to Certificate IV qualifications for
As well as reporting annually to the Department of Premier and client service staff to build and fast track development in key
Cabinet, through the Office of Employment Equity and Diversity, competencies
Public Employment Office on the diversity of its workforce, Housing > compulsory induction program for all staff
NSW participates in a wider Human Resources Benchmarking > an annual Aboriginal and Torres Strait Islander gathering and
program to monitor its performance against other public sector
agencies. Our performance compares favourably in relation to > an effective Aboriginal Reference Group.
industry benchmarks and government targets.
Proposed Strategies
Representation of equal employment opportunity groups is Housing NSW will continue to support those strategies, which
reasonably distributed through the overall population, suggesting have been successful, particularly for Aboriginal and Torres
that access to relief opportunities and selection processes are Strait Islander employees. In addition, a number of strategies are
fair. However, female and Aboriginal and Torres Strait Islander proposed or are already underway for 2007/08, including:
staff continue to have a higher proportion employed at lower
salary levels. > collection of base data via survey on Aboriginal and Torres Strait
Islander employment strategies already in place
Employment of equal employment opportunity target groups is
consistent with previous years. Women and Aboriginal and Torres > broadening the access to Certificate IV qualifications for
Strait Islander people again were a higher proportion than the client service staff to build and fast track development in key
benchmarked targets. competencies
> targeting of tailored and blended learning solutions for specific
Achievements groups
A range of diversity strategies contributed to the organisation’s
> a compulsory induction program for all staff
success, including:
> a more focussed traineeship program with the option of targeting
> collection of base data via survey on Aboriginal and Torres Strait
Indigenous trainees and
Islander employment strategies
> an Aboriginal and Torres Strait Islander buddy program.
Table A.9 Trends in the representation of EEO groups
% Total staff
Group Benchmark or target 2003 2004 2005 2006 2007
Women 50* 59 60 61 61 62
Aboriginal and Torres Strait Islander people 2 3 3.7 5.2 7.4 7.0
People whose first language was not English 20 18 18 16 16 16
People with a disability 12 11 11 9 9 8
People with a disability requiring work-related adjustment 7** 3 2.9 2.4 2.1 1.9
* The target for 2003–06 was 61.
** The target for 2003–06 was 2.1.

76 Housing NSW Annual Report 2006/07


Table A.10 Trends in distribution of EEO groups
Distribution index
Group Benchmark or target 2003 2004 2005 2006 2007
Women 100 85 85 85 85 85
Aboriginal and Torres Strait Islander people 100 87 91 88 86 91
People whose first language was not English 100 97 96 99 99 98
People with a disability 100 94 95 96 98 99
People with a disability requiring work-related adjustment 100 91 93 91 92 94

7. Occupational Health and Safety > provision of voluntary influenza vaccinations for staff and
Improvements in occupational health and safety performance > development of new business processes and system
continued in 2006/07, including: functionality for the SAP Occupational Health and Safety
module to result in better reporting of hazards and incidents.
> implementation of a three-year (2005–08) Occupational Health
and Safety and Injury Management Strategy In 2007/08, we will:
> implementation of an Annual (2006/07) Occupational Health and > continue to improve occupational health and safety and injury
Safety and Injury Management Plan which has resulted in: management training
− further development, refinement and continued improvement > improve the monitoring and reporting of incidents and injuries
of the existing safety management system to line management
− occupational health and safety and injury management > continue to assign accountabilities and responsibilities for all
accountabilities and responsibilities being included in levels of management and include them in position descriptions,
performance agreements for senior executives performance agreements and reviews
− development of core key performance indicators (lag and lead) > design strategies and initiatives in response to outcomes of the
for occupational health and safety and injury management 2006 Survey on Awareness of Occupational Health and Safety
and regular assessment against those core key performance Rights and Responsibilities and
indicators > design the 2007 Survey on Awareness of Occupational Health
− development of a corporate Consultation and Communication and Safety Rights and Responsibilities for all staff.
Standard for occupational health and safety committees/
occupational health and safety representatives Incidents Reported
− development and dissemination of a Survey on Awareness of Since 2005, all hazards and incidents are reported by employees
Occupational Health and Safety Rights and Responsibilities to in the information technology system Employee Self Service (ESS)
all staff and and work is flowed directly to line managers for action, enabling
improved reporting and tracking. Incidents are required to be
− development and provision of occupational health and safety
reported, whether or not they resulted or are likely to result in a
information, instruction and training (e-learning) to all staff to
workers’ compensation claim.
enhance their understanding of their roles and responsibilities
under Housing NSW’s occupational health and safety and Of the total incidents reported in 2006/07, 48 percent related to
injury management systems and procedures client aggression. While the majority of incidents reported related
to verbal abuse or threats, six incidents (4.7 percent) in 2006/07,
> development of an Annual (2007/08) Occupational Health and
related to an attempted and/or physical assault of a staff member,
Safety and Injury Management Plan, which will be measured and
including spitting. None of these incidents were reported to have
reviewed against improvement targets in the Strategy
required first aid or medical attention.
> provision of Occupational Health and Safety Consultant
resource to support occupational health and safety and injury Table A.11 Total incidents reported
management initiatives Year Incidents
> development of Corporate Standards for Field Work, Outreach 2002/03 269
Centres and Client Conduct to minimise the risk of client 2003/04 364
initiated violence
2004/05 139
> development of control measures to minimise the risk of needle 2005/06 251*
stick injury and other sharps when staff are conducting field work
2006/07 268
> development and provision of e-learning sexual harassment
training for all staff * Please note the revised incident number for 2005/06. The number ‘102’
published in the 2005/06 Annual Report was incorrect. However, this was not
identified until after the report was published and distributed.

Housing NSW Annual Report 2006/07 77


Appendices

Injury Management
Housing NSW’s performance against the Working Together
targets are on course and strategies have been included in the
Annual Occupational Health and Safety and Injury Management
Improvement Plan for continual improvement of these outcomes.
Over the last year, we have been active in ensuring that all
our injury management services, provided in a shared service
agreement by NSW Businesslink, are consistent across NSW, by
streamlining work practices and having quarterly review meetings
with all Return to Work Coordinators. This has had a positive
impact on the management of our workers’ compensation claims.
The Workers’ Compensation Manager developed divisional reports
on monthly claim numbers and injury management activities
and offered training to help raise awareness of the importance
of proactive claims management across Housing NSW and to
produce better return to work outcomes.
We also tendered for a workers’ compensation insurer, recognising
an opportunity to secure higher-quality claims management from
its insurer. As a result of this tender, from 1 July 2007, a new
insurer (GIO) will manage our workers’ compensation claims.
Workers’ Compensation
Total number of claims 88
Total number of claims settled 54
Net* claims cost (as at 30 June 2007) $424,079

* Net claims cost is the capped claims cost which is used to calculate our
workers’ compensation insurance premium.

Table A.12 Nature of injuries


2003/04 2004/05 2005/06 2006/07
Nature of injury Number Cost Number Cost Number Cost Number Cost
Sprains/strains 70 $353,893 40 $254,953 43 $217,381 54 $364,567
Psychological 30 $323,504 25 $496,481 13 $120,066 13 $262,896
Laceration 17 $121,259 18 $71,126 22 $95,144 14 $45,766
Fractures 5 $9,784 2 $11,060 6 $56,930 4 $12,323
Other* 22 $33,110 8 $2,530 9 $10,728 3 $23,578
Total 144 $750,550 92 $836,150 93 $500,249 88 $674,203

* Includes injury/illness that cannot be separated.


The increase in the cost of injuries in 2006/07 is primarily due
to an increase in the complexity of certain claims, particularly
psychological claims, and an increase in lost time due to more
stringent medical guidelines prescribed by NSW WorkCover.
Over the next financial year, the more complex claims will continue
to be actively monitored (monthly) and managed with area directors
to facilitate improved return to work outcomes.
Table A.13 Agency* of injuries
2003/04 2004/05 2005/06 2006/07
Agency* Number Cost Number Cost Number Cost Number Cost
Transport 25 $106,661 23 $197,226 19 $119,249 18 $75,544
Environment 27 $113,572 20 $52,148 34 $182,955 26 $118,084
Animal 17 $65,857 10 $227,057 11 $6,180 5 $20,310
Other 75 $464,730 39 $359,719 29 $191,865 39 $460,264
Total 144 $750,550 92 $836,150 93 $500,249 88 $674,203

* Refers to the agency of injury code.

78 Housing NSW Annual Report 2006/07


Table A.14 Injury management Consultation with tenants with disability and key stakeholders is
a key component of implementation and monitoring of the plan,
Days compensated 2003/04 2004/05 2005/06 2006/07
ensuring that housing assistance provided by Housing NSW works
Days compensated 2,408 2,165 786 1,366
for people with disability.
Average days lost 17 24 8 15.5
Table A.15 People with a disability accessing housing
assistance programs in 2006/07
Prosecutions
There were no prosecutions in 2006/07. Percentage of people
with a disability Cost
Service tier classification accessing program ($’m)
8. Disability Plans
Universal services:
The Reshaping Public Housing reforms focus the effort of Housing Housing programs accessed by all
NSW on those people considered to be in the greatest housing population groups 34%* 368
need. This includes people with a disability on low incomes, who Adapted/assisted services:
require support services to help them live independently and/or Universal housing programs modified
have problems accessing affordable and suitable housing in the for access by people with a disability 50% 5.78
private rental market. During 2006/07, in addition to expanding Special services:
existing products, we introduced a series of new initiatives to Specialised housing programs
provide more comprehensive and tailored housing options for targeting people with a disability 100% 5.24
vulnerable people, including people with a disability. Total 379.02
Housing People with a Disability * Defined as households where main source of income is disability support
pension and at least one household member has a disability.
People with a Disability Accessing Social Housing
Throughout 2006/07, Housing NSW continued to monitor and Disabled Modifications Program
audit access to housing assistance programs by people with People with a disability are confronted with particular issues that
a disability. At 30 June 2007, households receiving a disability affect their access to appropriate social housing. Through an
support pension represented 34 percent of all rebated households ongoing program of modifications to existing and new dwellings,
living in public housing and expenditure for providing housing Housing NSW provides housing for people with mobility related
assistance to this priority group amounted to $379.02 million disabilities. Work carried out includes modifications, such as
for the financial year 2006/07 (see Table A.15). hand-rails and ramps for physical access, and may include minor
Housing NSW helps people with a disability to sustain their alterations to kitchens and doorways to ensure homes meet the
tenancies through: functional requirements of people with a disability. In 2006/07,
> continuing to provide social housing assistance programs to $7.88 million was spent on modifying 3,500 dwellings.
people with a disability and
Special Assistance
> participating in whole-of-government initiatives that assist social The Special Assistance Subsidy Program is a form of targeted
housing tenants with disability to live full lives in the community. rental assistance, providing subsidies to eligible clients with a
Through the recently announced strategy, Better Together: A physical disability to assist them to rent in the private market.
New Direction to Make NSW Government Services Work Better As at 30 June 2007, 865 subsides were provided under this
for People with a Disability and Their Families 2007–11, and the program at a cost of $5.08 million.
State Plan, we are committed to working together with other
government and non-government agencies and tenants to ensure Partnerships Supporting People with a Disability Living
that it is delivering the most suitable housing for people with a in Social Housing
disability. Therefore, our ongoing monitoring and development of Housing NSW participates with other human services through
our Disability Action Plan will continue to align priorities for housing inter-agency projects aimed at implementing the NSW
people with disability according to these strategies and will include: Government’s 10-year disability plan, Stronger Together. These
> new social housing products and services for people with key whole-of-government disability projects support the viability
disability, where required of Housing NSW’s housing assistance programs for people with
> improved and targeted information about housing products and a disability and ensure that people with disabilities living in social
services for people with disability housing have appropriate access to the support services they
need. Examples of these projects include:
> promotion of tenant participation activities in partnership with
people with a disability and > the Disability Housing and Support Initiative (DHASI), which
aims to support people with disability to develop social,
> partnerships for people with a disability under the NSW Housing
citizenship and living skills and reach their maximum potential
and Human Services Accord.
and independence. DHASI will provide ‘drop-in’ support to
clients of the program who will live in social housing. This
model of ‘drop‑in’ support aims to prevent homelessness
or the escalation of need for more intensive or restrictive
accommodation support. Housing and support providers

Housing NSW Annual Report 2006/07 79


Appendices

will enter into a service level agreement, with an overarching The Tenancy Guarantee Program is designed to assist people,
operating agreement between Housing NSW (Office of who could sustain a private rental market tenancy but who are
Community Housing) and Department of Ageing Disability and experiencing barriers to establishing a new tenancy. These barriers
Home (at the regional level) under the NSW Housing and Human include discrimination based on personal circumstances, no rental
Services Accord and tenancy history or a problem with their rental history.
> assistance to carers through the NSW Carers Action Plan In March 2006, the NSW Premier launched Better Together, the
2007‑2011. inter-agency strategy to guide government agencies in working
together to improve outcomes for people with a disability over the
The NSW Housing and Human Services Accord was introduced
next five years. A core objective is to expand the range of housing
as part of the Reshaping Public Housing reforms. The Accord
for people who require specialist accommodation. One of the
establishes the framework for cross-agency housing and support
strategies to achieve this is to trial ‘a shared equity accommodation
agreements, assisting social housing tenants who have a disability
model, in partnership with a non-profit organisation, where a
to receive the support services they require to maintain their caring
family sponsors housing for their relative with a disability as a
role, and therefore sustain their tenancies.
contribution to their continued support’. Housing NSW and the
(For more information on the Accord, see Objective 4, p. 49.) Department of Ageing, Disability and Home Care are exploring
The NSW Partnership Against Homelessness is a coordinated shared equity models that allow people with a disability to obtain
approach to homelessness that brings together a network of NSW long-term housing by utilising their own funds or contributions
government agencies, led by Housing NSW. Homeless people with from their family.
complex needs, including people with disabilities, have continued
to be a focus area of need and the Partnership provides housing
Staff Awareness
and support options for them. A training day was held for new and existing Tenancy Guarantee
issuing agencies in May 2006 to ensure that the program
(For more information on the Partnership Against Homelessness, continues to develop and deliver best practice. The Certificate
see Objective 4, p. 51.) IV in Social Housing is providing a greater focus on assessment
The Joint Guarantee of Service for People with Mental Health and support of clients with complex needs, including people with
Problems and Disorders continued through 2006/07 as a broad disabilities, and the role of Housing NSW in working with other
inclusive strategy to guide the coordinated delivery of services service providers who provide specialist support.
to people with mental health problems and disorders who have
ongoing support needs living in social housing. A series of Information about Services
information forums were held across the state during 2006 to The newsletter developed for the Joint Guarantee of Service for
progress the implementation of the expanded Joint Guarantee People with Mental Health Problems and Disorders continues
of Service. to provide information on recent developments around the
(For more information on Joint Guarantee of Service, introduction of new arrangements under the Guarantee.
see Objective 4, p. 50.) A Disability fact sheet is being developed to provide clear
The innovative Housing and Accommodation Support Initiative information about housing assistance programs that respond
maintained its highly successful provision of accommodation, to the needs of people with a disability.
linked to support for people with a range of levels of mental health Forward Plan
needs. During 2006/07, the Housing and Accommodation Support
Strategies planned for the following year are to:
Initiative continued to expand and achieved a range of positive
outcomes at both the service system and client levels. > continue to implement the Reshaping Public Housing reforms,
including the Housing and Human Services Accord’s shared
(For more information on Housing and Accommodation Support
access system. This action will continue the development of an
Initiative, see Objective 4, p. 49.)
assessment framework for access to social housing, identifying
Service Planning and Delivery the support needs of people with a disability earlier and ensuring
During 2006/07, Housing NSW continued to implement New support services are engaged with more effectively through this
Directions in Social Housing for Older People, including roll-out of assessment system
a five-year commitment to invest $75 million in modifications which > develop and implement Housing NSW’s Disability Action
will make life easier for older people. This includes installing lifts Plan 2007–10 in line with the NSW Government’s Disability
and adapting kitchens and bathrooms. Framework, the Better Together inter-agency strategy and the
The Office of Community Housing continued implementing the State Plan
Community Housing Disability Policy. Released in late 2003, the > roll out and implement the Disability Housing and Support
Policy aims to guide the provision of community housing services Initiative
to people with a disability who live in, or are applying to live in, > continue to lead a coordinated approach to homelessness
community housing in NSW. through the Partnership Against Homelessness and seek to
broaden the range of housing and support options for people
who are homeless through a range of cross-agency initiatives
> continue to implement priority actions under the New Directions
in Social Housing for Older People commitments

80 Housing NSW Annual Report 2006/07


> provide Mental Health First Aid Training modules, targeting introduction of Rentstart by Phone has simplified the application
housing services and community support providers and process for access to private rental assistance by people from
> in conjunction with the Australian Housing Institute, develop culturally diverse backgrounds.
a program on managing clients with complex needs, through
our Learning and Development Plan for 2007/08. This will Program and Service Delivery
incorporate the Mental Health First Aid module and include Housing NSW is committed to ensuring that clients from
other components for dealing with clients with complex needs. culturally and linguistically diverse backgrounds are provided with
appropriate access its services and programs.
9. Ethnic Affairs Priorities Statement  > We developed the Private Rental Options Package to provide
a suite of integrated services to help clients access and sustain
Our key achievements in implementing the Ethnic Affairs Priorities
tenancies in the private rental market. For example, Tenancy
Statement (EAPS) Plan 2004–09 during the year 2006/07 are
Guarantees provide a surety of $1,000 that can be issued to
detailed below.
landlords against damage or arrears to encourage them to grant
Planning and Evaluation tenancies to people who might otherwise be denied access to
> We continued to meet our commitment under the the private market. A Tenancy Guarantee can address difficulties
Community Relations and Principles of Multiculturalism such as an applicant’s lack of a tenancy history or discrimination
Act 2000. We have developed an Ethnic Affairs Priorities because of race and family composition.
Statement (EAPS) 2005–2009 Plan, which includes initiatives > During 2006/07, approximately 27 percent of the total number
to strengthen our work with people from culturally and of people assisted with private rental assistance lived in Greater
linguistically diverse backgrounds. Western Sydney, where new arrivals represent an increasing
> During 2006/07, Housing NSW participated in consultations proportion of the population.
with the Community Relations Commission regarding the review > Homeless people and those who are at risk of homelessness
and proposed future directions for the Ethnic Affairs Priorities continue to be a priority for us. The Partnership Against
Statement Standards Framework. Outcomes of this review will Homelessness maintains a focus on people who are homeless,
place greater emphasis on the assessment of agencies’ forward including people from culturally diverse communities, through a
planning, including the performance measures contained in range of targeted initiatives. These include:
Ethnic Affairs Priorities Statement Forward Plans. − the Inner City Homelessness Outreach and Support Service
> Under the current cyclical reporting arrangements, and as a which continues to support the homeless, including those
result of overall progress against the Ethnic Affairs Priorities people from culturally diverse backgrounds in the inner city
Statement Standards Framework, Housing NSW, as a key area of Sydney and
agency, is required to provide a self-assessment report against − the Eastern Suburbs Staying Home Leaving Violence project.
the Standards Framework and a Forward Plan every two years. During 2006/07, 32 percent of clients assisted were from
We are preparing to submit these reporting commitments to the culturally and linguistically diverse backgrounds.
Community Relations Commission by September 2007.
> Housing NSW introduced two initiatives to recognise the
> Housing NSW recognises that data on the cultural and contributions that young people living in social housing make
linguistic background of clients and potential clients is an to their communities and to help them with ongoing studies.
essential tool in monitoring equitable access to services. These initiatives are the Housing NSW Youth Scholarships
More than 29 percent of public housing applicants were born and Achievement Awards. In 2006, 22 percent of scholarship
in a non-English speaking country. The distribution of people recipients and 18 percent of awards finalists were young people
from culturally diverse backgrounds applying for public housing from culturally and linguistically diverse backgrounds.
is reflected through the public housing register. During 2006/07,
3 percent of all applicants in regional areas and 52 percent of all Staffing
applicants registered in metropolitan areas were from culturally > Fundamental to how Housing NSW provides services is the
diverse backgrounds. In 2007/08, we commenced a project to capacity of our staff to communicate with people from culturally
improve data collection on clients from culturally and linguistically and linguistically diverse communities and to facilitate their
diverse backgrounds. This includes developing a process for access to appropriate information on housing assistance.
systematically recording all occasions of housing assistance Housing NSW operates a broad and well established language
provided to this client group. service. Clients can access free and accredited interpreter
> New arrivals to Australia face barriers in accessing long-term services. These include interpreter services provided by:
housing. Refugees and special humanitarian entrants with – telephone or on site
extended families can experience particular difficulties, including
financial barriers arising from unemployment and low income; – face-to-face sessions through the Block Booking Interpreter
cultural issues, especially for female-headed families; and the Service
implications of assimilating to a new social environment with – using staff who are Community Language Assistance Scheme
English language difficulties. To address these difficulties, we are language aides and
working closely with providers of settlement services to improve – using accredited bilingual staff at certain locations.
linkages and operational processes that will better facilitate
access to private rental accommodation. For example, the

Housing NSW Annual Report 2006/07 81


Appendices

> Housing NSW has made substantial progress in providing > Housing NSW is a member of the NSW Government Immigration
cultural awareness training through staff development and Settlement Planning Committee, chaired by the Community
programs, including: Relations Commission. In this role, we provide advice and
– the Certificate IV in Social Housing qualifications. During information on housing issues to the Commission, which
2006/07, this program continued to include a module represents NSW on the State Committee for Immigration and
on Working effectively with culturally diverse clients and Multicultural Affairs and advises the Minister at the Ministerial
co‑workers and Council on Immigration and Multicultural Affairs.
– staff induction program, which commenced in August 2006 Funded Services
and includes a module on Cultural Diversity Awareness. A total
Community housing constitutes about 10 percent of social housing
of 165 people participated in this training during 2006/07.
in NSW and is provided through more than 400 not-for profit
> Housing NSW purchased 21 videos called Working with organisations.
Interpreters. This video is produced by Centrelink Multicultural
> Approximately one-third of the total housing funded by the Office
Services and is being used to improve effective communication
of Community Housing is occupied by clients from culturally
with interpreters.
and linguistically diverse backgrounds. During 2006/07, over
> A review of the Community Language Allowance Scheme was 10.3 percent (236 properties) of new allocations in community
completed in 2006/07 and recommendations from this review housing were made to culturally diverse households.
are now being finalised. In 2006/07, 80 staff members, with
> Under the Performance Based Registration System (PBRS),
proficiency in 27 different community languages, assisted clients
community housing providers are required to demonstrate
and fellow staff by providing language and interpretation support.
achievements under nine performance outcomes. Two
of the nine outcomes relate to fair treatment of clients
Communication
and responsiveness to need. These are issues which are
> Housing NSW maintains a strong commitment to providing free
directly relevant to cultural diversity, and other special needs
language services to clients with English language difficulties.
communities.
During 2006/07, our data indicated that:
> Twenty-five percent of tenant-managed housing cooperatives,
– over 5,000 hours of interpreter services were provided by
funded by the Office of Community Housing, target their housing
the Block Booking Interpreter Services. Clients were assisted
allocations specifically for clients of culturally and linguistically
free of charge in 12 community languages by interpreter
diverse backgrounds. In total, they manage approximately
sessions provided in 13 Housing NSW offices in the Sydney
115 properties across the greater Sydney metropolitan area.
metropolitan area and
– the Telephone Interpreting Services is extensively used by Forward Plan
clients and staff throughout Housing NSW. During 2006/07, To ensure that clients from culturally and linguistically diverse
over 4,000 transactions were made by the Parramatta backgrounds access housing assistance, our Ethnic Affairs and
Housing NSW office alone. The major languages used were Priorities Statement priorities for 2007/08 include:
Arabic, Vietnamese, Spanish, Russian and Cantonese/
> progressing and finalising the culturally and linguistically diverse
Mandarin.
(CALD) data collection project to be able to provide improved
> Housing NSW continued to communicate the implementation reporting data in 2008/09
of the Reshaping Public Housing reforms to diverse
> continuing to work with other NSW government agencies to
communities by:
coordinate planning and responses related to the Refugee and
– ensuring culturally and linguistically diverse communities were Special Humanitarian Programs
represented in ongoing consultation processes
> maintaining links with culturally diverse clients and communities
– translating information into 13 community languages, including to address client service and best practice issues
languages for new emerging communities and
> providing training on working with culturally and linguistically
– translating fact sheets, accessible through our website, and diverse communities to all client service teams in metropolitan
distributing to the wider community at relevant government Housing Services Divisions
and community forums.
> planning the development of a Housing NSW intranet page
> Housing NSW continued to participate in a number of forums on cultural diversity to facilitate staff access to information and
involving government and non-government agencies and resources about cultural diversity and
expanded its networks with community organisations and
> continuing to provide appropriate interpreter services to help
emerging communities. We are represented on the Humanitarian
clients with English language difficulties.
and Refugee Settlement Forum, chaired by the Department of
Immigration and Citizenship and the Refugee Support Network,
a network of government and non-government agencies.

82 Housing NSW Annual Report 2006/07


10. Housing Women complex support needs to find and sustain accommodation
in the private rental market, to a total of 15 locations. Women
Housing NSW continued to support NSW Government
escaping domestic violence, single parents and their children
initiatives to provide more comprehensive housing options for
and women with drug and alcohol problems, physical and
vulnerable people, including women. During 2006/07, our major
mental illnesses and disabilities are all assisted through
achievements on programs targeting or impacting on women are
these services.
detailed below.
> Under the auspices of the Partnership Against Homelessness,
> Through public and priority housing, we maintained a strong and
Housing NSW developed the Staying Home Leaving
fair public housing system for people most in need. During this
Violence (SHLV) Pilot Project in East Sydney with funding from
year, women comprised over 61 percent of household heads
the NSW Department of Community Services. The pilot aims
in rebated public housing, while over 34 percent of women
to prevent women and children’s homelessness by enabling
receiving priority housing were housed on the basis of domestic
women who have experienced domestic violence to remain
violence or related reasons.
safely in their own homes. Outreach support and advocacy
> Through the Office of Community Housing, we continued are provided to support women to sustain housing, economic
to work with community housing providers to enhance security and support networks. In 2006/07, the pilot project
housing assistance to people in housing stress. Around received additional funding from the Department of Community
13,000 properties are managed by community housing Services to employ an additional worker and to extend the
organisations. About 56 percent of these properties are project. The project will be evaluated in early 2007/08.
occupied by women with dependent children who have
> Housing NSW developed the New Directions in Social Housing
experienced domestic violence. Community housing
for Older People strategy, which was launched by the Premier in
programs targeting women included:
April 2006, to provide social housing more suitable to the needs
− the Community Housing Assistance Program, which provides of older people. This includes the construction of additional
independent accommodation (‘general housing’) and housing social housing for older people, as well as modifications to
linked to support services delivered by non‑government dwellings and support for partnership and participation activities
agencies (‘supported housing’). Two supported housing to reduce isolation amongst older people. In March 2007,
projects for women were funded under this program: the Premier announced $4 million to fund ‘Care Call’ a daily
one in Maitland for Aboriginal women with children; the telephone contact service for frail, older public housing tenants,
other in Liverpool for Aboriginal women who have left a as part of the NSW Government’s Ageing Well in NSW package.
correctional centre Women head almost 60 percent of older tenant households in
− the My Place initiative, which assists homeless people find public housing.
secure, long-term accommodation. It involves the provision > The Housing and Human Services Accord establishes the
of funding to community housing providers to lease up to 60 framework for the development of cross-agency housing
dwellings in and around the inner city of Sydney. Clients are and support service agreements. It provides a platform for
referred to the program by five agencies that also provide developing improved support and assistance for clients with
support services to clients. A recent evaluation of My Place complex housing needs. Women are significantly represented
initiative reported that 57 percent of the households under in the client groups targeted by the Accord. The Accord will
this program were women provide opportunities to enhance the support and assistance
− the Crisis Accommodation Program, through which women provided to women in social housing. Current initiatives under
in crisis continue to be a priority in the allocation of funding the Accord are providing assistance to women exiting prison,
for new property acquisition. Crisis accommodation is and young women exiting out of home care. Initiatives under
provided in partnership with support service providers funded development will target young women at risk of offending or
under the Supported Accommodation Assistance Program. re-offending, young parents, chronically homeless women, and
During 2006/07, we purchased two properties in Manly women experiencing family violence.
to assist women escaping domestic violence; two units in > Housing NSW continued its commitment to the NSW cross-
Sutherland Shire and another two in Sydney’s Inner West, for agency initiatives supporting women issues. This included our
young pregnant or post-natal women; and two units each in active participation in:
Randwick-Botany Bay and Liverpool respectively for Aboriginal
– the Domestic Violence Intervention Court Model Senior
women experiencing domestic violence. Other units were
Officers Group, led by the Attorney-General’s Department,
allocated to assist single people, families and young people,
which also involved collaborative work with our staff at
some of whom would be female.
Campbelltown and Wagga Offices where the pilot model
> Housing NSW has expanded its services to facilitate access is being conducted
to private rental assistance. As well as financial assistance
– the Network of Government Agencies – Gay, Lesbian,
provided through Rentstart, we help clients to search and
Bisexual and Transgender (GLBT) issues, also chaired by
apply for accommodation in the private rental market. Tenancy
the Attorney-General’s Department, which oversaw the
Guarantees help people to access the private market by
development of the NSW Government Strategic Framework
overcoming barriers caused by a poor tenancy history, lack
2007–12: Working together to Prevent Prejudice Related
of a tenancy history or discrimination. We have also expanded
Violence against GLBT People and
the Private Rental Brokerage Service, which helps people with

Housing NSW Annual Report 2006/07 83


Appendices

– the NSW Government Immigration and Settlement 12. Property Disposal


Planning Committee, chaired by the Community Relations
Properties were disposed of during the year because:
Commission of NSW. Housing NSW has maintained its
support to the National Working Party on Trafficking and > the properties were inappropriately located geographically to
Sexual Servitude, established and co-chaired by the best serve the demand for housing and/or
Community Relations Commission and the NSW Office for > the properties were no longer deemed suitable for the needs
Women. NSW provides progress reports on the National of Housing NSW clients and/or
Working Party to the Ministerial Council for Immigration and > the properties were uneconomical to maintain, repair or
Multicultural Affairs. redevelop and/or

11. Government Waste and Energy > under the community regeneration initiative, it was necessary
to break down the concentration of public housing in estates
Management Policy by integrating private housing with social housing and/or
Waste Reduction > public housing tenants applied to purchase the dwelling in which
The last data collection reporting period for Housing NSW was they were residing.
2006 (1 January to 31 December). The amount of copy and all Proceeds from the sale of properties were either used to support
other paper recycled increased from 8.56 tonnes reported in Housing NSW's operations or reinvested into public housing
the 2005 Plan to 73.68 tonnes as reported in the 2007 Plan. initiatives. There were no sales of $5 million or more in 2006/07
In addition, 225 toner cartridges were recycled through a pick‑up other than by tender or public auction. Access to documents
and reuse contract while 354.56 tonnes of packaging, glass relating to each disposal may be obtained under Freedom of
bottles and aluminium cans were recycled. Information guidelines.
Resource Recovery Table A.17 Property disposal in 2006/07
Paper, cardboard and toner cartridges are recycled. The Proceeds
decentralised nature of the processes for recycling has been (net of selling Cost
maintained. Our offices have separate collection points for cans, Number of expenses) of sales
bottles and plastics where there is space or there is access to properties $’000 $’000
these facilities. The Head Office building at Ashfield has facilities Land held for redevelopment 12 1,907 2,133
for recycling paper and cardboard. The contract specifications for Residential properties 691 139,879 155,245
construction and maintenance incorporate the requirements of the
Vacant land 73 16,092 12,398
Waste Avoidance and Resource Recovery Act 2001.
Commercial properties 1 33,400 20,116
Use of Recycled Materials Sub total 777 191,278 189,892
Desk stationery from recycled material is purchased as is recycled Transfers to Aboriginal
paper where the cost is competitive. The contract provisions for Housing Office –
printers include recycling toner cartridges. Procedures continue Residential properties 10 0 835
to be developed to improve the use of recycled materials in the Land 16 0 1,072
building and construction work managed by Housing NSW. During Total 803 191,278 191,799
the last Waste Avoidance and Resource Recovery reporting year
2006 (1 January to 31 December), approximately 14,999 reams Proceeds realised from property disposals reflect declining property
of recycled paper were purchased. values in 2006/07. The Corporation reports its property portfolio
on a fair value basis by applying the 31 December market selling
Energy Use
prices to the portfolio. The cost of most properties sold during
Housing NSW continues to report its energy usage in accordance the year represent relative market selling prices at 31 December
with the Government Energy Management Policy. Energy saving 2005. As a result, the sale of properties generated a gain of
results are available from the Department of Commerce and $1.386 million. In addition, the Corporation transferred properties
electricity providers in October each year. Electricity accounts were to the Aboriginal Housing Office for nil consideration. The cost of
reviewed and adjustments made to correctly assign them as office the transferred properties contributed $1.907 million to the total
and common areas. loss on property disposal, which amounted to $0.521 million
For 2006/07, our usage of Green Power was 618,304 kWh for in 2006/07.
office buildings and 548,864 kWh for common areas, which
represents 3.6 percent of the total consumption. We have been
progressively increasing the Green Power component through the
supply contracts to meet the target of 6 percent.
Table A.16 Electricity consumption
2000/01 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07
Office building (kWh) 7,665,595 6,918,817 7,697,930 7,510,029 8,352,341 5,009,734 12,825,024
Common area housing (kWh) 22,634,902 21,716,409 23,518,550 18,842,781 20,779,966 26,237,215 18,272,288

84 Housing NSW Annual Report 2006/07


13. Funds Granted to Non-government Crisis Accommodation Program –
Community Groups Leasing Subsidies
All contributions granted to non-government community groups in Purpose of Grant
2006/07 were under the Housing Policy and Assistance Program To contribute towards property management costs incurred
area as per Budget Paper 3. by housing associations and other community housing
Community Housing Assistance Program providers in relation to leasing properties from private market to
– Leasing Subsidies accommodate households on low incomes, who are homeless or
at risk of being homeless.
Purpose of Grant Table A.19 Crisis Accommodation Program – leasing subsidies
To contribute towards property management costs incurred by
housing associations and other community housing providers Organisation $
in relation to leasing properties from the private market to Argyle Community Housing 70,004
accommodate households on low incomes. Central Tablelands Housing Association 77,356
Coastal Community Tenancy Scheme 17,410
Table A.18 Community Housing Assistance Program – Community Housing – Lower North Shore 280,064
leasing subsidies Community Housing – Mid North Coast 39,199
Homes Out West Inc 25,531
Organisation $ Eastern Suburbs Rental Housing Association 16,513
Community Housing Associations Eurobodalla Community Housing Inc 10,041
Albury Community Housing 8,944 Garrigal Housing Association 36,254
Argyle Community Housing 1,770,770 Homes North Community Housing Company 17,262
Broken Hill Community Tenancy Scheme 226,972 Hume Community Housing Association 241,043
Burwood Area Community Housing 635,031 Inverell Community Tenancy Scheme 32,404
Cumberland Housing Cooperative 4,805,809 Lithgow Community Tenancy Scheme 33,531
Central Tablelands Housing Association 1,063,784 Monaro Tenancy Scheme 14,379
Coastal Community Tenancy Scheme 661,320 Moree and Districts Rental Housing Association 11,053
Community Housing – Lower North Shore 1,812,766 Narrabri Community Tenancy Scheme 7,417
Community Housing – Mid North Coast 1,831,194 Newmacq Community Housing Company 19,680
Homes Out West Inc 604,931 North Coast Community Housing Company 19,773
Western Plains Housing Scheme 235,925 Pacific Link Community Housing 49,699
Eastern Suburbs Rental Housing Association 3,052,781 Sapphire Coast Tenancy Scheme 13,982
Eurobodalla Community Housing Inc 266,287 Shoalhaven Community Housing Scheme 12,680
Garrigal Housing Association 2,297,121 South West Inner Sydney Housing 24,851
Homes North Community Housing Company 633,161 St George Community Housing Cooperative 23,944
Hume Community Housing Association 2,694,727 Tamworth Community Housing Association 13,142
Inverell Community Tenancy Scheme 294,389 Wentworth Area Community Housing Association 70,187
Lithgow Community Tenancy Scheme 159,607 Western Suburbs Housing Cooperative 40,627
Marrickville Area Community Housing 2,467,682 Women’s Housing Company 130,192
Monaro Tenancy Scheme 170,954 Sub total 1,348,218
Moree and Districts Rental Housing Association 121,466
Narrabri Community Tenancy Scheme 239,828 Other Community Housing Providers
Newmacq Community Housing Company 2,225,710 Barnardos Australia – Marrickville 101,357
North Coast Community Housing Company 1,070,451 Bathurst Women’s Housing Program Inc 56,425
Pacific Link Community Housing 2,755,647 Community Programs Inc. 24,793
Parkes Forbes Community Tenancy Scheme 223,088 Dubbo Women’s Housing Program Inc 7,752
Queanbeyan Community Housing 392,570 Muslim Women’s Association 14,826
Resamen Ltd 770,089 St John of God Casa Venegas 37,483
Ryde Hunters Hill Community Housing Cooperative 773,744 The Salvation Army – Wickham 51,343
Sapphire Coast Tenancy Scheme 368,411 Tumut & Districts Women’s Support & Housing Centre 27,401
Shoalhaven Community Housing Scheme 750,534 Southern Youth & Family Services 14,915
South West Community Housing Association 683,873 Total 1,684,513
South West Inner Sydney Housing 3,612,652
St George Community Housing Cooperative 4,973,669
Tamworth Community Housing Association 254,455
The Housing Trust 1,847,942
Upper Hunter Community Tenancy Scheme 36,562
Wellington Community Tenancy Scheme 43,058
Wentworth Area Community Housing Association 1,995,605
Western Suburbs Housing Cooperative 1,258,420
Women’s Housing Company 1,706,689
Churches Community Housing 227,674
Port Jackson Housing Company 793,389
Sub total 52,819,681
Other Community Housing Providers
Southern House With No Steps 9,847
Total 52,829,528

Housing NSW Annual Report 2006/07 85


Appendices

Resourcing Agencies Community Regeneration Program


Purpose of Grants Purpose of Grant
To assist resourcing agencies in building the capacity of community To improve the quality of life for tenants on selected public housing
housing organisations to provide community housing services estates by enhancing social and physical amenities.
effectively and efficiently.
Table A.23 Community Regeneration Program grants
Table A.20 Resourcing agencies grants
Organisation $
Organisation $ Bellambi Neighbourhood Centre 5,000
NSW Federation of Housing Associations 635,352 Campbelltown Youth Services 4,267
Association To Resource Cooperative Housing 474,290 Central Illawarra Youth Service 1,500
Churches Community Housing Inc 263,857 Crossley & Mclean 10,000
Inverell Shire Council 27,500
Total 1,373,499
Kempsey Shire Council 80,530
Newtrain Incorporated 33,000
Tenancy Guarantee Program North Coast Regional Office 5,242
Nowra Youth Services 315
Purpose of Grants Rotary Club of Shoalhaven 200
To assist people who experience difficulty securing a tenancy in the Shoalhaven City Council 1,220
Shoalhaven Police Citizens Youth 1,000
private rental market. Wyong Shire Council 42,833
Table A.21 Tenancy Guarantee grants YWCA NSW 1,000
Bourke Shire Council 4,950
Organisation $ Campbelltown City Council 34,650
Anglicare North Coast 17,875 Kempsey Shire Council 27,072
Community Housing Mid North Coast 35,750 Maitland City Council 14,000
Homes Out West 23,375 Mission Australia 22,000
Hume Community Housing Association 22,000 The Parks Community Network 18,700
Newmacq Community Housing 23,375 Total 334,979
North Coast Community Housing Co Ltd 23,375
Sapphire Coast Tenancy Scheme 17,875
Shoalhaven Community Housing Scheme 35,420
The Housing Trust 41,250
Wentworth Area Community Housing Association 17,875
Total 258,170

Housing Communities Assistance Program


Purpose of Grants
To improve the quality of life of tenants by resourcing them to
participate in processes that changes the social and physical
amenity of their neighbourhood. To assist the community to
participate in the regeneration of its own neighbourhood through
resourcing of community development activities that are aligned
with our community renewal strategies.
Table A.22 Housing Communities Assistance Program grants
Organisation $
Barnardos Australia 85,950
Bowen Residents Action Group 2,000
Bulgandramine Youth 5,000
Central West Family Support Group Inc 21,273
Dubbo City Council 51,794
Lithgow Information 14,000
Newtrain Northern Rivers Inc 42,975
Presbytery of Parramatta Nepean 85,950
Riverwood Community Centre Inc 85,950
The Factory Community Centre Inc 85,950
Uniting Care Burnside 171,900
Wagga Wagga City Council 85,950
Wollongong City Council 85,950
Total 824,642

86 Housing NSW Annual Report 2006/07


Tenant Participation Other Grants
Purpose of Grant Table A.25 Other grants
To identify and meet the needs of social housing tenants through: Purpose of Grant Organisation $
> information provision, referral and advocacy (where required) To provide services and programs for Mission Australia 1,797,396
homeless people in inner-city Sydney and
> training and skills development for tenant groups the Hunter region
> support to new and existing tenant groups or activities and To manage services at the Dubbo Gordon Dubbo 316,765
> liaison with other tenant participation activities and structures. Centre. The Gordon Centre provides an Neighbourhood
array of community services with particular Centre
Table A.24 Tenant Participation grants focus on children and the elderly. Funding
is aimed to assist in salaries, operational
Organisation $ and related expenses
Albury City Council 22,000 To support the housing interests of low- Shelter NSW 439,012
Barnardos South Coast Centre 500 income and disadvantaged people in Incorporated
Central Sydney Region Public Tenants Council 5,655 an advocacy, research and information
Community Development Initiatives 29,980 role. Builds the capacity of non-profit
Dubbo Neighbourhood Centre Inc 11,550 organisations to provide housing related
Goulburn Correctional Centre 750 services
Griffith Skills Training Centre 18,000
Hunter Central Coast Tenants 153,512 Provides an evidenced base for the Australian 376,107
Ida Boney 250 Housing NSW and other Commonwealth, Housing &
Illawarra Forum Inc 158,288 state and territory housing agencies to Urban Research
Inner Sydney Regional Council 144,266 develop, implement and evaluate housing Institute
Joy Cross 250 policy and programs
Life Without Barriers 1,000 For the development and management of Australian 400,306
Northern Campbelltown 4,585 the national mainstream and Indigenous Institute of
Northern Region Social Tenants 157,773 housing data on behalf of the National Health & Welfare
Rhonda Towney 250 Committee for Housing Information
Riverwood Community Centre Inc 150,022
To provide a framework to drive changes YWCA NSW 71,500
Shoalhaven Police Citizens Youth Club 182
in relation to training and employment
South East Arts Region 550
issues in the Campbelltown Local
South Eastern Sydney and Illawarra 1,430
South Nowra Rotary Club 550 Government Area
South Western Regional Tenants 149,931 To provide activities and support for Nowra Youth 76,000
Southern Shoalhaven Youth 250 tenants of the Bomaderry Housing Services
Uniting Care Burnside 36,394 Community, including crime reduction,
University of Sydney 1,100 community awareness and community
University of Wollongong 2,295 training programs
Wagga Wagga City Council 52,810 To assist the Minto Renewal Project South West 74,000
Western Sydney Regional Public 149,931 by employing a tenant liaison officer to Regional Tenant
Total 1,254,054 support and advocate on behalf of the Advocate
Minto tenants concerning their rehousing
and tenancy issues
To improve youth access to training, Barnardos 129,079
employment and recreational services with Australia
the purpose of strengthening the capacity
of individuals and the wider community
To support young people aged between Live N Learn 220,000
16 and 25 in their education and Foundation
employment goals by helping them to
move into independent living
Funding for homelessness initiatives City of Sydney 341,000
including an ‘out of hours’ telephone-
based referral, information and
assessment service for immediate
assistance. To also provide case
management and support to broker
and facilitate short and long-term
accommodation for the homeless
Total 4,241,165

Housing NSW Annual Report 2006/07 87


Appendices

14. Research and Development


In 2006/07, Housing NSW contributed $341,916 to the Australian
Housing and Urban Research Institute (AHURI), which conducts
research specialising in housing and urban research and policy.
Housing NSW has a role in setting AHURI’s research priorities,
helps select new projects to be funded, and uses that research
to develop and evaluate its policy and programs. AHURI is
jointly financed by the Australian Government and state and
territory housing bodies under the Commonwealth State
Housing Agreement.
(For more information on Research and Development initiatives,
see Objective 3, p. 46.)

15. Consultants
The following table lists consultants engaged by Housing NSW and
paid in excess of $30,000 during the year 2006/07.
Table A.26 Consultants paid in excess of $30,000
Provider Cost Title of project Description of purpose Category
Deloitte Touche Tohmatsu $137,137 GST treatment within Housing NSW Advice on GST treatment of activities within Financial and Risk
Housing NSW Management Advice
Ernest & Young $94,815 Asset Quality System evaluation Review of quality assurance and inspection Financial and Risk
regime Management Advice
KPMG $88,000 Accounting treatment of Bonnyrigg Private Provide advice on the accounting treatment Financial and Risk
Public Partnership for the Bonnyrigg Private Public Partnership Management Advice
Judith Stubbs and Associates $77,178 Indigenous housing demand Research of factors affecting housing Strategy and Policy
demand and supply for Indigenous people Development
in parts of Southern and Western NSW
NSW Department of Commerce $75,000 Governance structure of the Major Projects Proposal for the governance arrangements Management
Directorate for the Major Projects Directorate services
Susan Johnston Consultancy $64,580 Joint Guarantee of Service formative Evaluate Joint Guarantee of Service Strategy and Policy
evaluation Development
PriceWaterhouseCoopers $51,728 GST apportionment and back claims Provide advice on GST treatment Financial and Risk
Management Advice
ARTD Pty Ltd $50,750 Tenant Participation Program review An evaluation of the Housing NSW’s Tenant Strategy and Policy
Participation Program components Development
Deloitte Touche Tohmatsu $49,500 GST treatment of appropriation payments Advice on the GST treatment of the Financial and Risk
appropriation payments between Housing Management Advice
NSW and NSW Businesslink
RPR Consultancy Pty Ltd $34,650 Review Inner City Homelessness Action Evaluate Phase 1 to determine strategies Strategy and Policy
Plan (ICHAP) Phase 1 and develop ICHAP for Phase 2 of the Inner City Homelessness Development
Phase 2 Action Plan
Deloitte Touche Tohmatsu $30,613 GST treatment of long-term, non-renewable To assess the potential GST treatment Financial and Risk
residential tenancy agreements Management Advice

Consultancies under $30,000 16. Consumer Response


During 2006/07, other consultancies were engaged in the Client Feedback
following areas:
The Client Feedback Unit was established in 1995 to give clients
Table A.27 Multiple consultancies under $30,000 by subject area an opportunity to provide Housing NSW with feedback on its
services and to enable us to improve service delivery. The Unit
Management services $25,769 aims to provide equal access for all clients, accurate information,
Strategy and policy development $84,988
Financial and risk management advice $45,525
prompt and efficient service and an avenue for clients’ concerns to
Organisational review $1,053 be resolved. Clients can contact the Unit by using Housing NSW’s
Policy development $21,572 toll free number Monday to Friday, by letter, facsimile or by email
Total consultancies under $30,000 $178,907* via the website.
Total consultancies 36 In 2006/07, the number of inquiries logged by the Client
Feedback Unit was 45,916. This is an increase of 17,688 over
* Figure includes GST calls logged in 2005/06. This higher volume included substantial
increases in general inquiries, Rentstart, general housing and local
office inquiries.

88 Housing NSW Annual Report 2006/07


Table A.28 Client feedback statistics Public Housing Appeals
2005/06 2006/07
First-tier Appeals
Category Number % Number %
If an applicant for public housing or a public housing tenant is
Complaint 3665 12.98 4657 10.14 not satisfied with a decision made by a client service officer,
Compliments 194 0.69 288 0.63
Suggestions 64 0.23 69 0.15
regarding eligibility for assistance, allocation of housing, tenancy
Inquiries 23,548 83.42 39,935 86.79 management issues or other matters, they may request that
AHO complaints 56 0.20 61 0.13 Housing NSW’s decision be reviewed. A senior manager within
AHO compliments 4 0.01 7 0.02 the relevant housing services division reviews the original decision.
AHO inquiries 540 1.91 799 1.74 This is called a first-tier appeal. In 2006/07, 2,525 first-tier appeals
AHO suggestion 1 0.00 1 0.00 were logged. This is an increase of 41 (1.6 percent) from first-tier
Director-General call 156 0.55 99 0.22
appeals lodged in 2005/06. During the year, 2,352 appeals were
Total 28,228 100.00 45,916 100.00 considered.

Table A.29 Client feedback breakdown Table A.30 Results of first-tier appeals

2005/06 2006/07 2005/06 2006/07

Category Number % Number % Number % Number %

Allocation appeals 24 0.09 82 0.18 Appeals declined (ie. original 1,250 53.65 1,176 50.00
Contractor 294 1.04 324 0.71 decision not overturned)
Emergency housing 132 0.47 449 0.98 Appeals upheld (ie. original decision 409 17.55 507 21.56
Fraud 163 0.58 247 0.54 overturned)
General inquiry 8955 31.72 15,626 34.03 Appeals upheld with additional 391 16.78 377 16.03
General housing 839 2.97 2810 6.12 information
Home purchase issues 72 0.26 155 0.34
Local office 842 2.98 2219 4.83 Appeals withdrawn/resolved 280 12.02 292 12.41
Mutual exchange 48 0.17 110 0.24 Total 2,330 100.00 2,352 100.00
Nuisance and annoyance 1028 3.64 1238 2.7
Other 275 0.97 26 0.06
Policy issue 16 0.06 37 0.08 Second-tier Appeals
Priority housing 216 0.77 465 1.01 The Housing Appeals Committee is committed to providing
Privacy 3 0.01 7 0.02 a high-quality independent appeals service for all NSW social
Recalls 3 0.01 8 0.02
housing clients. Applicants and tenants of public housing and
Rehousing 303 1.07 558 1.22
Antisocial behaviour 62 0.22 256 0.56 community housing can lodge an appeal with the Housing Appeals
Eligibility 10 0.04 534 1.16 Committee. In addition to hearing client appeals, the Housing
PFP 1 0.00 0 0.00 Appeals Committee also promotes accountable social housing
Survey 1398 4.95 2313 5.04 policies and procedures and transparent social decision making.
Tenancy 24 0.09 57 0.12
During 2006/07, the Housing Appeals Committee received a total
Tenancy appeals 13 0.05 28 0.06
Water 3493 12.37 2762 6.02 of 432 appeals, 15 of which were from the community sector.
Rent 2852 10.10 3689 8.03 During the same period, the Housing Appeals Committee listed
Rentstart 1387 4.91 4071 8.87 343 appeals for a hearing. Eighty-four appeals did not proceed to a
Repair charges 67 0.24 117 0.25 hearing due to a number of identified issues, including the need for
Request for maintenance 1603 5.68 2027 4.41 a first-tier appeal or the matter was outside of the Housing Appeals
Service provided 65 0.23 237 0.52 Committee’s jurisdiction. In addition, 13 appeals were withdrawn
Staff member 395 1.40 553 1.2
at the initial stage of the appeals process once scheduled for a
Subsidy 2759 9.77 2752 5.99
Succession of tenancy 60 0.21 81 0.18 hearing.
Upgrade work (AIP) 112 0.40 86 0.19 During 2006/07, the Housing Appeals Committee heard 343
Wait time 207 0.73 421 0.92 appeals, 329 from public housing and 14 from the community
Wait time for maintenance 363 1.29 675 1.47 housing sector.
Website 34 0.12 46 0.1
Vacant property 8 0.03 11 0.02 A breakdown of appeals heard by Divisions shows:
Vacating 102 0.36 177 0.39 > 157 from Central Sydney Housing Services Division
Over 45 (Aboriginal)* 0 0.00 4 0.01
Over 65* 0 0.00 504 1.1 > 111 from Greater Western Sydney Housing Services Division
Redevelopments* 0 0.00 47 0.1 > 27 from Northern NSW Housing Services Division
Statements* 0 0.00 107 0.23
> 34 from Southern & Western NSW Housing Services Division and
Total 28,228 100.00 45,916 100.00
> 14 from the community housing sector.
* New categories introduced in 2006/07

Housing NSW Annual Report 2006/07 89


Appendices

Table A.31 Second-tier appeals hearing results Community Housing External Appeals Systems
2004/05 2005/06 2006/07 The Community Housing External Appeals System supplements
Declined 246 239 185 the internal appeals system of community housing organisations by
HAC recommended at change in decision 196 109 141
providing community housing applicants and tenants with access
to a secondary or external appeals system through the Housing
Withdrawn/Resolved 29 6 13
Appeals Committee, similar to the system that is provided to
Approved by Housing NSW following public housing clients. This independent external appeals system
adjournment 0 25 0
offers clients the opportunity to have a decision that they believe is
Total 471 379 339 incorrect or unfair to be reviewed by an external and independent
panel. In 2006/07, 15 appeals were received, and 14 appeals
Table A.32 Second-tier appeals final outcomes proceeded to hearings.
2004/05 2005/06 2006/07
Table A.33 Community housing appeals 2006/07
Recommendations supported by
Housing NSW 186 102 117 2004/05 2005/06 2006/07
Recommendations not supported Declined appeals heard 3 7 4
by Housing NSW 10 5 5 Appeals heard and referred to 1 2 7
Resolved 0 0 20 housing provider
Total 196 109 142 Adjourned 4 1 4
Resolved/withdrawn 0 0 0
Total 8 10 15

17. Payment of Accounts


Table A.34 Total accounts paid on time each quarter
Amount Total paid Amount
Quarter Target actual on time paid
% % $ $
September quarter 96 97 332,753,105 353,685,584
December quarter 94 95 232,449,147 255,546,511
March quarter 94 95 258,850,480 278,569,448
June quarter 94 95 323,338,612 361,903,005

Table A.35 Ageing analysis of accounts payable balances (at the end of each quarter)
Total Current Less than Between Between More than
Quarter within 30 days 30 and 60 days 60 and 90 days 90 days
due date overdue overdue overdue overdue

$ $ $ $ $ $
September quarter 15,074,051 14,754,443 7,128 0 2,511 309,969
December quarter 27,502,256 27,124,935 0 11,077 230 366,015
March quarter 12,825,696 12,511,416 0 19,160 0 295,121
June quarter 16,403,015 16,038,138 7,265 0 4,027 353,585

There were no observed problems affecting the prompt processing


of payments during the year and, therefore, no initiatives were
required to improve payment performance. There was no interest
paid on overdue accounts.

90 Housing NSW Annual Report 2006/07


18. Risk Management and Insurance Table A.36 Insurance expenses in 2006/07
$’000
Risk Management and Audit Committee
Industrial special risks 4,298
We continue to progressively embed and integrate an Enterprise
Risk Management Framework within Housing NSW. This Public and products liability/umbrella (primary & excess) liability 1,467
Framework is based on AS/NZS4360:2004. The integration NSW workers’ compensation 2,715*
process involves incremental enhancements to existing business Construction risks and asbestos 672
process infrastructure. Enhancements have been and/or are Comprehensive motor vehicle fleet (premium & CTP) 673
currently being made to: Professional indemnity liability 42**
> performance management Other minor risks 4
> divisional business planning Total 9,871
> procurement and * Deposit premium
> project management (construction and non-construction). ** Not reported in 2005/06
Housing NSW continued to actively manage business as usual and
project risks (including fraud and corruption; business continuity; 19. Investment Performance
and occupational health and safety and injury risks) through The NSW Land and Housing Corporation derives its investment
existing business process infrastructure. The Risk Management powers from Part 2, Schedule 4 of the Public Authorities (Financial
and Audit Committee continued to monitor our risk management Arrangements) Act 1987 as amended. Under the Housing Act
process and existing risk management plans and implementation 2001, the Corporation may act in the name of Housing NSW.
of our 2006/07 Internal Audit Plan. The Risk Management and During the year, we continued to invest our surplus cash flows
Audit Committee met five times during 2006/07. exclusively in the NSW Treasury Corporation (TCorp) Hour Glass
(For more information on the Risk Management and Audit Investment facilities. The rate of return on these investments was
Committee, see Appendix 3 p. 69.) 6.41 percent in 2006/07.
Insurance Housing Reserve Fund
Housing NSW is focussed on a practical approach to the The Housing Reserve Fund forms part of Housing NSW.
management of insurance and risk to ensure affordable cover Short-term funds in the Housing Reserve Fund were invested
continues to be available in today’s insurance market and into the with the major banks and with TCorp as money market deposits.
future. The total cost of premiums, including all charges and fees Medium-term funds were invested in TCorp bonds.
for 2006/07, is $9.871 million (a gross saving of 20 percent from
2005/06) excluding workers’ compensation. The structure of the Table A.37 Comparison of Housing Reserve Fund investment
Housing NSW insurance program has been maintained following performance to TCorp for 2006/07
direct negotiation with Australian and international insurance Housing Reserve NSW Treasury
underwriters. Fund Corporation
Housing NSW is self-insured for the first $5 million of any property Short-term funds 6.69% 6.41%
loss and the first $250,000 of any public liability for which it is Medium-term funds 6.50% 4.68%
negligent. Against declared assets of $23.4 billion, there has
been a 19 percent reduction in property premium, 40 percent
saving in liability premium and 55 percent reduction in the 20. Liability Management Performance
contract works premium. As at 30 June 2007, the nominal value of the Housing NSW
Initiatives that have achieved such savings include: debt portfolio was $1.397 billion. This comprises $942.640 million
in advances from the Commonwealth Government, $149.723
> presentations to local and overseas property underwriters million in loans payable to the NSW Treasury Corporation (TCorp),
> entering into a long-term agreement with the liability underwriters $294.685 million in Public Equity Participation (PEP) loans payable
which guarantees the current rate for the next two renewals as to the AMP Society and $9.490 million in loans from other sources.
the market approaches a hardening market cycle and As in previous years, we retained the services of TCorp to manage
> thorough analysis and presentation of data in respect of contract the tradeable portion of the debt portfolio. The PEP loans were
works insurance, which indicates Housing NSW has a liability brought to account as detailed in Note 2 p) of ‘Notes to and
exposure and only a minor works exposure. forming part of the Financial Statements’.
Performance was measured by comparing the borrowing cost
The specialist Risk and Insurance Unit continues to provide
on 10-year loans as at 30 June 2007 with the weighted average
direction in:
interest rate on TCorp loans. In 2006/07, the borrowing cost
> planning and maintenance of the insurance program on 10-year loans was 6.11 percent while the weighted average
> analysis, evaluation and reporting of insurance risks interest rate on TCorp debt is 6.59 percent.
> claims/incident management and
> risk management.

Housing NSW Annual Report 2006/07 91


Appendices

Table A.38 Debt performance Major Issues Relating to Compliance with


$ millions % Freedom of Information Requirements
125.392 6.40 Housing NSW encourages the use of the informal ‘I Want to See
24.331 9.72 My File’, whereby clients can apply to view their tenancy files.
Sensitive material is removed from the file prior to the viewing.
149.723 6.59
This option is very popular with clients as it is a free service and
During the year, we repaid $63.70 million to the NSW Treasury processed in our offices across NSW.
Corporation and $26.392 million to the Commonwealth Clients can also make formal Freedom of Information applications
Government. and Housing NSW considers them in view of the objectives of
the Act to extend as far as possible the public’s right to access
21. Credit Card Certification information. Of the 153 applications completed, none were refused
in full. When appropriate, Housing NSW provides a document with
In accordance with Treasurer’s Direction 205.01 to 205.08, it is
only the exempt material deleted. Of the 153 completed Freedom
certified that credit card usage by officers of Housing NSW has
of Information applications, 123 applications were exempt in part.
been in accordance with the appropriate NSW Government policy,
Premier’s Memoranda and Treasurer’s Directions. The following were the most frequent exemptions claimed under
the Act:
22. Freedom of Information > Clause 6 of Schedule 1 – documents affecting personal affairs
The Freedom of Information Act 1989 requires all government > Clause 9 of Schedule 1 – internal working documents and
agencies to publish an annual Statement of Affairs providing > Clause 13 of Schedule 1 – documents containing
information about the operations of the agency and its dealings confidential material.
with members of the public. The Housing NSW Statement of
Affairs is included in the Annual Report. On 82 occasions, we reduced the fees payable on the basis of
financial hardship. The total amount of Freedom of Information fees
Housing NSW completed 153 Freedom of Information applications,
received during 2006/07 was $3,595.50.
one ‘I Want to Change My File’, seven internal reviews and
finalised five withdrawal Freedom of Information applications Circumstances and Outcomes of Inquiries under
during the 2006/07 financial year. During the same period, we
received a total of 155 applications. This compares with 162 the Act by the Ombudsman or Appeals to the
applications completed during the 2005/06 period. The time spent Administrative Decisions Tribunal
in processing the applications was 2,045 hours, which is a slight No matters were reviewed by the NSW Ombudsman, or appealed
decrease on the 2,217 hours spent in the previous financial year. to the Administrative Decisions Tribunal during this period.
There were also 29 written inquiries in relation to the Act, which did
not eventuate into formal Freedom of Information applications.
Table A.39 Classifications of Freedom of Information requests
Personal Other Total
Requests 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
A1 New
(including transferred internal reviews) 132 172 141 15 8 14 147 180 155
A2 Brought forward 8 10 11 0 0 2 8 10 13
A3 Total to be processed 140 163 152 15 9 16 155 172 168
A4 Completed 133 151 142 13 11 11 146 162 153
A5 Transferred out 0 0 0 0 0 0 0 0 0
A6 Withdrawn 0 1 2 0 9 3 0 10 5
A7 Total processed 133 151 144 13 11 14 146 162 158
A8 Unfinished 7 10 8 2 0 2 9 10 10

Table A.40 Results of completed Freedom of Information requests

Personal Other Total


Result of Requests 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
B1 Granted in full 25 13 22 6 2 3 31 15 25
B2 Granted in part 105 140 119 3 4 4 108 144 123
B3 Refused 3 1 0 2 2 0 5 3 0
B4 Deferred 0 0 0 0 0 0 0 0 0
B5 Information not available 0 0 1 2 0 4 2 0 5
B6 Completed 133 154 142 13 8 11 146 162 153

92 Housing NSW Annual Report 2006/07


Documents Held by Housing NSW How to Seek Access to Documents or
Housing NSW has a computerised records management system Amendment of Housing NSW’s Records
which records all files held. Administration files hold all documents A person may apply to view his or her records by applying under
concerned with the day-to-day management of Housing NSW. ‘I Want to See My File’. Inquiries in relation to this should be made
Client files hold documents which supply information relevant to to any Housing NSW local office across NSW. Formal Freedom of
a person’s relationship with Housing NSW, either as a tenant or as Information applications for access and amendments are made in
an applicant for housing. In addition to the hard copy client files, writing to:
information on tenants and applicants for housing is also held on
our computerised integrated housing system. The FOI Manager
Housing NSW
Other kinds of documents held by Housing NSW are Locked Bag 4001
discussion papers, reports, fact sheets, newsletters, manuals, Ashfield BC 1800.
and guidelines. Most of these are available on our website on
www.housing.nsw.gov.au. Inquiries can be made on telephone (02) 8753 8386 Monday to
Friday 8.30 am to 4.30 pm.

Table A.41 Ministerial certificates


Total
2004/05 2005/06 2006/07
C1 Ministerial certificates granted 0 0 0

Table A.42 Formal consultations


Number of requests requiring Total number of
consultations (issued) formal consultations
Formal consultations 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
D1 No. of requests requiring formal consultations 0 0 0 0 0 0

Table A.43 Amendments of personal records


Total
Results of amendment request 2004/05 2005/06 2006/07
E1 Results amendment – agreed 0 0 0
E2 Results of amendment – refused 0 0 1
E3 Total 0 0 1

Table A.44 Notation of personal records


Total
Notation of personal records 2004/05 2005/06 2006/07
F1 No. of request for notation 0 0 0

Table A.45 Freedom of Information requests granted in part or refused

Basis of disallowing or Personal Other Total


restricting access 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
G1 section 19 – application incomplete,
wrongly directed 0 0 0 0 0 0 0 0 0
G2 section 22 – deposit not paid 0 0 1 0 0 0 0 0 1
G3 section 25(1)(a1) –
diversion of resources 0 0 0 0 0 1 0 0 1
G4 section 25(1)(a) – exempt 105 141 120 3 6 4 108 147 124
G5 section 25(1)(b)(c)(d) –
otherwise available 0 0 0 0 0 0 0 0 0
G6 section 28(1)(b) –
documents not held 1 0 2 2 0 5 3 0 7
G7 section 24(2) – deemed
refused, over 21 days 0 0 0 0 0 0 0 0 0
G8 section 31(4) (released
to medical practitioner) 0 0 0 0 0 0 0 0 0
G9 Totals 106 141 123 5 6 10 111 147 133

Housing NSW Annual Report 2006/07 93


Appendices

Table A.46 Costs and fees of requests processed


Assessed costs Fees received
2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
H1 All completed requests $1,640 $3,430 $4,217 $2,121 $3,080 $3,595

Table A.47 Discounts allowed


Personal Other
Type of discount allowed 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
I1 Public interest 0 0 0 0 0 0
I2 Financial hardship – pensioner/child 81 87 82 0 0 0
I3 Financial hardship – non-profit organisation 0 0 0 0 0 0
I4 Totals 81 87 82 0 0 0
I5 Significant correction of personal records 0 0 0 0 0 0

Table A.48 Days to process completed Freedom of Information requests


Personal Other
Elapsed time 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
J1 0–21 days 77 58 53 7 0 2
J2 22–35 days 55 82 62 3 8 6
J3 Over 35 days 1 11 27 3 3 3
J4 Totals 133 151 142 13 11 11

Table A.49 Processing time per Freedom of Information request


Personal Other
Processing hours 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
K1 0–10 hours 88 45 63 10 4 9
K2 11–20 hours 41 71 66 2 3 2
K3 21–40 hours 3 20 11 0 4 0
K4 Over 40 hours 1 15 2 1 0 0
K5 Totals 133 151 142 13 11 11

Table A.50 Reviews and appeals


Total
2004/05 2005/06 2006/07
L1 Number of internal reviews finalised 6 8 7
L2 Number of Ombudsman reviews finalised 0 1 0
L3 Number of ADT appeals finalised 1 1 0

Table A.51 Details of internal reviews results


Personal Other
Upheld Varied Upheld Varied
Bases of internal review 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07 2004/05 2005/06 2006/07
L4 Access/amendment refused 1 0 1 4 0 0 1 0 1 0 0 0
L5 Deferred 0 0 0 0 0 0 0 0 0 0 0 0
L6 Exempt matter 0 4 3 0 4 1 0 0 0 0 0 0
L7 Unreasonable charges 0 0 0 0 0 0 0 0 0 0 0 0
L8 Change unreasonably incurred 0 0 0 0 0 0 0 0 0 0 0 0
L9 Withdrawn 0 0 1 0 0 0 0 0 0 0 0 0
L10 Totals 1 4 5 4 4 1 1 0 1 0 0 0

94 Housing NSW Annual Report 2006/07


Table A.52 Fees and charges per Freedom of Housing Agreement Act 1974
Information application Housing Agreement Act 1978
Nature of application Application Processing Housing Agreement Act 1981
fee charge
Housing Agreement Act 1985
Access to personal records $20* $30 per hour,
after first Loan Fund Companies Act 1976
20 hours*
Review of Housing Act 2001
Access to non-personal records $20* $30 per hour*
The Housing Act 2001 has been reviewed, and a report was tabled
Internal review $20* Nil
in both Houses of Parliament, during the 2006/07 financial year.
Amendment to records Nil Nil
Housing Act 2001 No 52
* Subject to 50 percent reduction for financial hardship and public
There have been no amendments to the Housing Act 2001 in the
interest reasons.
2006/07 financial year.
23. Privacy Management Plan Amendments to Landlord and Tenant
The Privacy and Personal Information Protection Act 1998 requires (Amendment) Act 1948
all government departments to comply with the information Amendments to the Landlord and Tenant (Amendment) Act
protection principles. These principles have been implemented 1948 No 25
through our Privacy Code of Practice (gazetted on 3 November
2000) to reflect the operational and statutory needs of Housing Section 5 – Crown not bound.
NSW. The code was written with a view to ensuring that it serves Omit section 5 (b). Insert instead:
Housing NSW’s purposes in the collection, storage, use and (b) the New South Wales Land and Housing Corporation.
dissemination of personal information.
The Privacy Management Plan has been updated to take Amendments to Residential Tenancies Act 1987
into account the commencement of the Health Records and No 26
Information Privacy Act 2002. There have been no amendments to the Residential Tenancies
The contravention by a department of its Privacy Code of Practice Act 1987 relating to public or social housing in the 2006/07
is conduct to which review and appeal mechanisms apply. Such financial year.
review is undertaken by Housing NSW in accordance with the
procedures set out in Housing NSW’s Privacy Management Plan. Amendments to Other Regulations
A complaint under the Code should be addressed to Housing To bring the Bonnyrigg Living Communities Project within the
NSW’s Privacy Contact Officer. Housing NSW conducted eight definition of social housing tenancy agreement of the Residential
internal reviews under the privacy legislation during the year. Tenancies Act 1987, subclause 2 (in italics) was passed.
Housing NSW has provided its Privacy Management Plan to the Residential Tenancies Regulation 2006
Privacy Commissioner as required by the Act, and has introduced 5 Agreements excluded from definition of “social housing
extensive and continuing privacy training for new and current tenancy agreement”
employees. (1) A residential tenancy agreement in respect of premises let
by any of the following is prescribed as not being within the
24. Legislation and Legal Changes definition of social housing tenancy agreement in section 3 (1)
During 2006/07, there have been no significant judicial decisions of the Act:
affecting Housing NSW or the users of its services. There have (a) the Office of Community Housing of Housing NSW,
been no changes other than those noted below in all substantive
(b) an organisation for the time being registered with the Office
or subordinate legislation for which we are responsible.
of Community Housing,
The relevant legislation, which Housing NSW is responsible for
(c) an organisation for the time being registered under Part 5
administering, is listed below.
of the Aboriginal Housing Act 1998.
Commonwealth and State Housing Agreement 1946
(2) However, subclause (1) does not apply to a residential tenancy
Commonwealth and State Housing Agreement 1955 agreement in respect of premises let by an organisation (as
Homefund Restructuring Act 1993 (except for ss14-16 and referred to in subclause (1) (b)) in connection with the housing
Schedule 2 for which the Minister for Commerce and/or the project known as the “Bonnyrigg Living Communities Project”.
Minister for Fair Trading is responsible) Home Building Regulation 2004
Housing Act 2001 89 Exemptions – Bonnyrigg Living Communities Project
Housing Agreement Act 1956 (1) Exemption from requirements of Act and Regulation
Housing Agreement Act 1961 Each of the following is exempt from the requirements of the
Housing Agreement Act 1966 Act and this Regulation, but only in respect of the housing
Housing Agreement Act 1973 project known as the “Bonnyrigg Living Communities Project”:

Housing NSW Annual Report 2006/07 95


Appendices

(a) Becton Bonnyrigg Equity Pty Limited (ACN 075 580 406) > Home Improvements Standards (02/07)
as trustee for the Becton Bonnyrigg Equity Trust, > Home Purchase Advisory Service (08/06)
(b) Bonnyrigg Development Pty Limited (ACN 122 647 483), > Housing for Aboriginal and Torres Strait Islander People (04/07)
(c) Bonnyrigg Partnerships Nominee Pty Limited > Inner City Homelessness Outreach and Support Services (07/06)
(ACN 123 052 362),
> Inner West Social Housing Q & A (01/07)
(d) WEST BP Pty Limited (ACN 122 967 186) as trustee for
> Interim Tenancies (12/06) (14 languages – English, Arabic,
the WEST BP Trust.
Bosnian, Chinese, Croatian, Dinka, Dari, Farsi, Korean, Russian,
(2) Exemption in relation to developer contracting with Serbian, Spanish, Turkish and Vietnamese)
unlicensed contractor
> Interpreter Services (11/06)
The New South Wales Land and Housing Corporation is
> Lease Review (06/07) (14 languages – English, Arabic, Bosnian,
exempt from the requirements of section 4 (4) of the Act, but
Chinese, Croatian, Dinka, Dari, Farsi, Korean, Russian, Serbian,
only to the extent that the Corporation contracts with a person
Spanish, Turkish and Vietnamese)
referred to in subclause (1) in respect of the housing project
known as the “Bonnyrigg Living Communities Project”. > Locational Needs Assessment (10/12)
> Moving from Public to Private Accommodation (06/07)
25. Publications > Mutual Exchange Program (12/06) (14 languages – English,
The following is a list of publications released in 2006/07. Arabic, Bosnian, Chinese, Croatian, Dinka, Dari, Farsi, Korean,
They are all available from the Housing NSW website Russian, Serbian, Spanish, Turkish and Vietnamese)
(www.housing.nsw.gov.au) or by request at any Housing NSW > Nuisance and Annoyance (01/07)
office. Dates in brackets indicate version released in 2006/07.
> Pay Television (10/06)
Corporate Publications > Paying for Water (03/07)
> NSW Housing Youth Achievement Awards flyer and > Priority Housing (12/06) (14 languages – English, Arabic,
poster (08/06) Bosnian, Chinese, Croatian, Dinka, Dari, Farsi, Korean, Russian,
> NSW Youth Housing Scholarships flyer and poster (08/06) Serbian, Spanish, Turkish and Vietnamese)
> Annual Report 2005/06 (12/06) > Problems with Harassment (01/07)
> Housing NSW Code of Conduct and Ethics (01/07) > Problems with Noise (01/07)
> NAIDOC Week 2007 Storytelling Competition poster (06/07) > Public Housing (12/06) (14 languages – English, Arabic, Bosnian,
> A New Direction in Affordable Housing for the Inner West (11/06) Chinese, Croatian, Dinka, Dari, Farsi, Korean, Russian, Serbian,
Spanish, Turkish and Vietnamese)
> A New Direction in Building Stronger Communities
brochure (04/07) > Relocating Tenants for Management Purposes
Redevelopment (03/07)
> A New Direction in Building Stronger Communities short
brochure (01/07) > What you need to know – Notice of Termination (03/07)
> NSW Housing and Human Services Accord between Housing > What happens after the Department asks you to move (03/07)
NSW and NSW Human Service Agencies (03/07) > When the Department asks you to move (03/07)
> 5th National Housing Conference 2008 brochure (06/07) > Remote Responsive Dwelling Service Program Q&A (05/07)
> 5th National Housing Conference 2008 registration (06/07) > Renewable Tenancies (07/06)
> Rent Deduction (10/06)
Reports
> Rent Subsidy Policy (10/06)
Rent & Sales Report 76
> Rentstart (07/06) (14 languages – English, Arabic, Bosnian,
Rent & Sales Report 77
Chinese, Croatian, Dinka, Dari, Farsi, Korean, Russian, Serbian,
Rent & Sales Report 78 Spanish, Turkish and Vietnamese)
Rent & Sales Report 79 > Rentstart by Phone (03/07)
2006/2007 NSW Budget Commentary on the Housing Assistance > Rentstart Move (06/07)
Program
> Reviewing Decisions (04/07)
Information Sheets > Rights and Responsibilities (12/06) (14 languages – English,
> Applying for Public Housing – Former Tenant (12/06) Arabic, Bosnian, Chinese, Croatian, Dinka, Dari, Farsi, Korean,
> Being a Good Neighbour in Your New Home (01/07) Russian, Serbian, Spanish, Turkish and Vietnamese)
> Changes to Public Housing Leases (12/06) (14 languages > Statement of Satisfactory Tenancy (02/07) (6 languages
– English, Arabic, Bosnian, Chinese, Croatian, Dinka, Dari, Farsi, – English, Arabic, Chinese, Russian, Spanish and Vietnamese)
Korean, Russian, Serbian, Spanish, Turkish and Vietnamese) > Swimming Pools (10/12)
> Direct Debit Scheme (10/06) > Tenant Repair Costs (02/07)
> Emergency Temporary Accommodation (10/06)

96 Housing NSW Annual Report 2006/07


> Transfers (12/06) (14 languages – English, Arabic, Bosnian, > Safe, Quiet and Peaceful brochure (08/06)
Chinese, Croatian, Dinka, Dari, Farsi, Korean, Russian, Serbian, > Statements of Satisfactory Tenancy poster (02/07)
Spanish, Turkish and Vietnamese)
> Youth Action Fund
> Two Offer Policy (10/06)
Poster (04/07)
> Who is Eligible for Public Housing (07/06)
Brochure (04/07)
Community Housing Fact Sheets
Advertising
> Community Housing Q&A (09/06) (6 languages – English, Arabic,
> Tenants Advisory Council (09/06)
Chinese, Russian, Spanish and Vietnamese)
> Crisis Accommodation Program New Supply Tender
> Stock Transfer Program (09/06) (6 languages – English, Arabic,
2006‑2008 (11/06)
Chinese, Russian, Spanish and Vietnamese)
> Expression of Interest: St Pauls Street/Randwick Project
Newsletters > Tender for Gordon Estate, Dubbo (01/07)
> Bonnyrigg Living Communities Project – Living Communities > New Burwood Office (02/07)
Project Newsletter; issues 8, 9, 10, 11, 12
> Tender for Handypersons Program 2007 (03/07)
> West Dubbo Redevelopment News – issue 1 (12/06), 2 (03/07)
> Invitation to information sessions about single housing provider
> The Minto Messenger newsletter – issue 2, (08/06) management in Broken Hill (05/07)
> Your Home: A Newsletter for Public Housing Tenants: Issues 36, > Port Macquarie Office closure (05/07)
37, 38, 39 (6 languages – English, Arabic, Chinese, Russian,
Spanish and Vietnamese) > Working Together in Minto (02/07)

Other Printed Material Office of Community Housing


> Burwood Office Relocation > NSW Planning for the Future: Community Housing 2007–2012
Consultation Draft (04/07)
Poster (01/07)
Flyer (01/07) Resitech Publications
> Broken Hill – invitation to tenants and invitation to > Resitech Annual Report 2005–06
housing providers
> Callback for Urgent Maintenance flyer (11/06) 26. Annual Report Production Cost
> Changes to Public Housing Leases brochure (09/06) The total external costs incurred in the production of the 2006/07
(14 languages – English, Arabic, Bosnian, Chinese, Croatian, Annual Report were $59,784 (+GST). This includes consultancy
Dinka, Dari, Farsi, Korean, Russian, Serbian, Spanish, Turkish fees for design, photography and printing costs to produce 350
and Vietnamese) complete reports to comply with NSW Treasury requirements;
> Gordon Estate Master Plan (01/07) 350 Annual Report summaries, which provide a printed summary
of activities during the year, with Financial Statements and
> Home Purchase Advisory Service brochure (01/07) Appendices in an attached CD-Rom; 450 complete reports
> Joint Guarantee of Service publications on CD; and electronic version available on our website:
Operations Manual (04/07) www.housing.nsw.gov.au.
Reference Guide (04/07)
Joint Guarantee of Service – Working Together (04/07)
> Lease Review brochure (06/07)
> Linkpoint
Poster (05/07)
Flyer (05/07)
> Maintenance Request audit cards A1 and A2 (05/07)
> Moving from Public to Private Accommodation Useful Contacts
flyer (05/07)
> NAIDOC Week 2007
Events Poster (06/07)
Notepad (06/07)
> Questions and Answers about Public Housing for Inmates and
People on Community Orders (06/07)
> Rentstart by Phone
Poster (04/07)
Fairfield invitation and Miranda invitation (04/07)

Housing NSW Annual Report 2006/07 97


Appendices

27. Where to Find Us Riverwood Ground Floor, 171 Belmore Rd North


RIVERWOOD NSW 2210
Housing NSW Ph: 02 9584 4800
Offices generally open from 8.30 am to 4.30 pm. Divisional Ryde Ground Floor, 80–84 Blaxland Road
and local offices are closed on Wednesday until 1.00 pm. TOP RYDE NSW 2122
Offices marked with an asterisk ‘*’ are Intensive Tenancy Ph: 02 9809 8440
Management offices.
South Coogee Outreach Office
Unit 37, 3 Yamba Place
Head Office 223–239 Liverpool Road SOUTH COOGEE NSW 2034
ASHFIELD NSW AUSTRALIA 2131 Ph: 02 8383 8999
Hours: Tues 9.30 am – 12.30 pm
Ph: 02 8753 8000
Wed 1.00 pm – 4.00 pm
Fax: 02 8753 8888 Thurs 9.30 am – 12.30 pm
Post: Locked Bag 4001 Surry Hills “The Pottery”
ASHFIELD BC NSW AUST 1800 Ground Floor, 31 Belvoir Street
SURRY HILLS NSW 2010
Housing Ph: 1800 629 212 (24 hours, 7 days) Ph: 02 9319 9333
Contact Centre Fax: 02 9612 6099 Waterloo “Drysdale”
Email: feedback@housing.nsw.gov.au Ground Floor, 232 Pitt Street
Post: Locked Bag 7150 WATERLOO NSW 2017
LIVERPOOL BC NSW 1871 Ph: 02 9310 8666
Woolloomooloo Outreach Office
Website www.housing.nsw.gov.au
93 Forbes Street
WOOLLOOMOOLOO NSW 2011
Central Sydney Housing Services Division Hours: Tues & Thurs 9.30 am – 12.00 pm
Ph: 02 8356 9270
Level 11, 234 Sussex Street
SYDNEY NSW 2000
Ph: 02 9268 3444 Greater Western Sydney Housing Services Division
Client Service Offices Levels 3 & 4, 106–108 Church Street
Broadway Level 1–2, 255 Broadway PARRAMATTA NSW 2150
BROADWAY NSW 2007 Ph: 02 9891 8111
Ph: 02 9552 9699 Client Service Offices
Burwood Level 6, 56 Railway Parade Airds *Airds ITM
BURWOOD NSW 2134 1–3 Teeswater Place
Ph: 02 9742 4300 AIRDS NSW 2560
City Level 10, 234 Sussex Street Ph: 02 4620 7400
SYDNEY NSW 2000 Hours: Mon to Fri 9.00 am – 4.30 pm
Ph: 02 9268 3400 Bankstown Level 2, 402–410 Chapel Road
Dee Why Unit 17A/18, Ground Floor BANKSTOWN NSW 2200
818 Pittwater Road Ph: 02 9796 9300
PITTWATER NSW 2099 Bidwill *Bidwill ITM
Ph: 02 9971 3600 41 Capparis Circuit
Hurstville Level 1, 2–4 Woodville Street BIDWILL NSW 2770
HURSTVILLE NSW 2220 Ph: 02 9628 4335
Ph: 02 9585 3311 Hours: Mon, Tue, Thur & Fri
Maroubra Level 7, 832 Anzac Parade 8.30 am – 4.30 pm
MAROUBRA NSW 2035 Wed 1.00 pm – 4.30 pm
Ph: 02 9314 4056 Blacktown 8 Patrick Street
Miranda Level 2, 14–16 Central Road BLACKTOWN NSW 2148
MIRANDA NSW 2228 Ph: 02 9831 0866
Ph: 02 9526 4700
Redfern Outreach Office, Gilmore Building
55 Morehead Street
REDFERN NSW 2016
Ph: 02 9698 1263
Hours: Thurs 9.30 am – 3.20 pm
Closed from 12.30 pm – 1.30 pm

98 Housing NSW Annual Report 2006/07


Bonnyrigg Shop 38, The Plaza Penrith 362 High Street
Bonnyrigg Avenue PENRITH NSW 2750
BONNYRIGG NSW 2177 Ph: 02 4721 6411
Ph: 02 9822 3999 Telopea *Telopea ITM
*Bonnyrigg ITM 6 Shortland Street
1 Kennedy Way TELOPEA NSW 2117
BONNYRIGG NSW 2177 Ph: 02 9638 3905
Ph: 02 9610 0275 Hours: Mon, Tue, Thur &
Hours: Mon, Tue, Thur & Fri 9.00 am – 12.00 pm
Fri 8.30 am – 5.00 pm Wed 1.00 pm – 3.00 pm
Wed 1.00 pm – 5.00 pm Toongabbie *Toongabbie ITM
Closed daily from 12.30 pm – 1.00 pm 28 Aleta Way
Campbelltown Centre Court Building SEVEN HILLS NSW 2147
Suite 1, Level 2, 101 Queen Street Ph: 02 9896 6245
CAMPBELLTOWN NSW 2560 Hours: Mon, Tue, Thur &
Ph: 02 4629 3222 Fri 8.30 am – 4.30 pm
Claymore *Claymore ITM Wed 1.00 pm – 4.30 pm
5 Leist Way Willmot *Willmot ITM
CLAYMORE NSW 2559 Shop 2, 53 Discovery Avenue
Ph: 02 4627 0622 WILLMOT NSW 2770
Hours: Mon, Tue, Thur & Ph: 02 9675 8971
Fri 8.30 am – 12.30 pm Hours: Mon, Tue, Thur &
Wed 1.00 pm – 4.30 pm Fri 8.30 am – 4.30 pm
Cranebrook *Cranebrook ITM Wed 1.00pm – 4.30 pm
1 Progress Way
CRANEBROOK NSW 2749
Ph: 02 4730 4506 Northern NSW Housing Services Division
Hours: Mon 9.30 am – 12.00 pm 2–6 Dick Street
Tue, Wed, Thur 1.30 pm – 4.30 pm NEWCASTLE NSW 2300
Fri 9.30 am – 1.30 pm Ph: 02 4925 6333
Fairfield Ground Floor, 360–362 Horsley Drive 51 Moonee Street
FAIRFIELD NSW 2165 COFFS HARBOUR NSW 2450
Ph: 02 9754 6800 Ph: 02 6650 1300
Liverpool Ground Floor, 23–31 Moore Street Client Service Offices
LIVERPOOL NSW 2170
Ph: 02 9821 6022 Armidale 119 Rusden Street
ARMIDALE NSW 2350
Macquarie Fields Glenquarie Shopping Centre Ph: 02 6773 7555
Shop 7, Harold Street
MACQUARIE FIELDS NSW 2564 Charlestown 325 Charlestown Road
Ph: 02 9829 0888 CHARLESTOWN NSW 2290
Ph: 02 4945 6666
Miller Civic Centre
Woodward Crescent Coffs Harbour 51 Moonee Street
MILLER NSW 2168 COFFS HARBOUR NSW 2450
Ph: 02 9825 7888 Ph: 02 6650 1333
Minto *Minto Hill ITM Gosford 106–108 Erina Street
11 Evans Way GOSFORD NSW 2250
MINTO NSW 2564 Ph: 02 4323 5211
Ph: 02 9820 5871 Grafton Shop 7, King Arcade
Hours: Mon, Tue & Fri 8.30 am – 12.30 pm 22 King Street
Wed & Thur 12.30 pm – 4.30 pm GRAFTON NSW 2460
Mount Druitt 6 Dawson Mall Ph: 02 6643 2251
MT DRUITT NSW 2770 Hours: Mon to Fri 1.00 pm – 4.00 pm
Ph: 02 9675 8998 Hamilton South “Rosella Cottage”
Parramatta Levels 1 & 2, 106–108 Church Street 2A Neill Terrace
PARRAMATTA NSW 2150 HAMILTON SOUTH NSW 2303
Ph: 02 9891 8114 Ph: 02 4985 1779
Hours: Mon & Fri: 9.00 am – 11.00 am

Housing NSW Annual Report 2006/07 99


Appendices

Inverell 53–61 Byron Street Taree Shop 1, Manuels Arcade


INVERELL NSW 2360 103 Victoria Street
Ph: 02 6722 2170 TAREE NSW 2430
Kempsey Shop 3, Elerington Arcade Ph: 02 6551 1999
16 – 20 Belgrave Street Toronto 1–5 The Boulevard
KEMPSEY NSW 2440 TORONTO NSW 2283
Ph: 02 6562 4177 Ph: 02 4950 3200
Lismore 29 Molesworth Street Tweed Heads 69 Wharf Street
LISMORE NSW 2480 TWEED HEAD NSW 2485
Ph: 02 6623 2424 Ph: 07 5524 0666
Maitland 44 Bulwer Street Wyong Access 3 Alison Road
MAITLAND NSW 2320 WYONG NSW 2259
Ph: 02 4934 0444 Ph: 02 4352 4400
Mayfield Unit 6–7, 109 Maitland Road *Wyong Access ITM
MAYFIELD NSW 2304 Corner Rankens Court & Alison Road
Ph: 02 4967 9555 WYONG NSW 2259
Moree 96 Balo Street Ph: 02 4352 9600
MOREE NSW 2400
Ph: 02 6752 9888
Southern and Western NSW Housing Services Division
Muswellbrook 56–58 Brook Street
223–231 Liverpool Road
MUSWELLBROOK NSW 2333
ASHFIELD NSW 2131
Ph: 02 6542 2199
Ph: 02 8753 8832
Narrabri 53 Maitland Street
NARRABRI NSW 2390 Client Service Offices
Ph: 02 6792 4577 Albury 429 Swift Street
Nyngan 91 Pangee Rd ALBURY NSW 2640
NYNGAN NSW 2825 Ph: 02 6041 9666
Ph: 02 6832 1581 Bathurst Suite 2, 141 Busby House
Hunter Area 9 Darby Street 141 Bentinck Street
Access Team NEWCASTLE NSW 2300 BATHURST NSW 2795
Ph: 02 4926 9333 Ph: 02 6332 7777
Port Macquarie 27 Short Street Bega “Auckland Plaza”
PORT MACQUARIE NSW 2444 Shop 9, 89 Auckland Street
Ph: 02 6582 9222 BEGA NSW 2550
Ph: 02 6492 1808
Raymond Terrace 3/1 Jacaranda Avenue
RAYMOND TERRACE NSW 2324 Cootamundra Government Office Building
Ph: 02 4983 0444 Cooper Street
COOTAMUNDRA NSW 2590
Singleton Shop 16, Town Square
Ph: 02 6942 1557
John Street
SINGLETON NSW 2330 Corrimal Level 1, 94–98 Railway Street
Ph: 02 6572 2009 CORRIMAL NSW 2518
Hours: Mon, Wed, Fri 1.30 pm – 4.30 pm Ph: 02 4283 0999
South Moree *South Moree ITM Cowra 95–109 Kendall Street
114 Adelaide Street COWRA NSW 2794
SOUTH MOREE NSW 2400 Ph: 02 6342 2104
Ph: 02 6751 1541 Dapto Ground Floor
Hours: Mon, Tues, Thurs, Cnr Baan Baan & Osborne Streets
Fri 9.00 am – 1.00 pm DAPTO NSW 2530
Tamworth 3–5 White Street Ph: 02 4262 9555
TAMWORTH NSW 2340 Deniliquin Shop 6, Centrelink Arcade
Ph: 6764 5555 344–356 Cressy Street
DENILIQUIN NSW 2710
Ph: 03 5881 2556

100 Housing NSW Annual Report 2006/07


Dubbo “Premier Centre”
130 Brisbane Street Office of Community Housing
DUBBO NSW 2830
Ph: 02 6885 7111 The central office is open from 9.00 am to 5.00 pm.
*Dubbo ITM 223–239 Liverpool Road
33 Spears Drive ASHFIELD NSW 2131
DUBBO NSW 2830 Ph: 02 8753 8280
Ph: 6881 6227 Fax: 02 8753 8294
Hours: Mon, Tues, Thurs, Fri Coffs Harbour Suite 2, Level 1
9.30 am – 12.30 pm 51 Moonee Street
Goulburn 108 Auburn Street COFFS HARBOUR NSW 2450
GOULBURN NSW 2580 Ph: 02 6650 1399
Ph: 02 4823 0555 Fax: 02 6650 1395
Griffith Unit 1, 180 Yambil Street Newcastle Ground Floor, 2–6 Dick Street
GRIFFITH NSW 2680] NEWCASTLE NSW 2300
Ph: 02 6962 0666 Ph: 02 4925 6367
Fax: 02 4925 6390
Gunnedah 173 Connadilly Street
GUNNEDAH NSW 2380 Orange Ground Floor, 272 Summer Street
Ph: 6742 1562 ORANGE NSW 2800
Ph: 02 6360 8102
Lithgow 172 Main Street
Fax: 02 6360 8108
Lithgow NSW 2790
Ph: 02 6351 2294 Wollongong Level 2, 2 Rawson Street
WOLLONGONG NSW 2500
Nowra Level 2, 24 Berry Street
Ph: 02 4224 5712
NOWRA NSW 2541
Fax: 02 4224 5775
Ph: 02 4423 9111
Orange 272 Summer Street Private Housing Products
ORANGE NSW 2800 (Incorporating Mortgage Assistance Scheme, Home Purchase
Ph: 02 6360 8111 Advisory and Rentstart by Phone.)
Parkes Unit 3, 364 Clarinda Street
PARKES NSW 2870 Mortgage Assistance Scheme/Home Purchase Advisory
Ph: 02 6862 2212 Hrs: Mon to Fri 8.30 am to 4.30 pm
Queanbeyan Level 3 Morisset House Ph: 1800 806 653 (Free call)
7–9 Morisset Street Fax: 02 8753 8301
QUEANBEYAN NSW 2620 Email: advisory@housing.nsw.gov.au
Ph: 02 6200 7277 (Home Purchase Advisory Service)
Shellharbour Suite 1, Professional Centre mas@housing.nsw.gov.au (Mortgage Assistance Scheme)
Shellharbour Square
SHELLHARBOUR NSW 2529 Post: Locked bag 7150
Ph: 02 4297 9111 LIVERPOOL BC NSW 1871
Tumut 76 Capper Street Rentstart by Phone
TUMUT NSW 2720
Hrs: Mon to Fri 8.30 am to 6.00 pm
Ph: 02 6947 2902
Sat 10.00 am to 3.00 pm
Wagga Wagga Level 1, 72 Morgan Street
Ph: 1300 468 746 (Free call)
WAGGA WAGGA NSW 2650
Ph: 02 6921 0099 Fax: 02 8753 8301
Wollongong 2 Rawson Street Post: Locked bag 7150
WOLLONGONG NSW 2500 LIVERPOOL BC NSW 1871
Ph: 02 4224 5700

Housing NSW Annual Report 2006/07 101


Appendices

Resitech Major Projects Directorate


Resitech provides project management services for public housing, Leads improvement in housing supply and outcomes by facilitating
community housing and some other agencies. Office hours are the delivery of major redevelopment that supports the NSW
8.30 am to 5.00 pm. Government’s Building Better Housing and Building Stronger
Communities strategies.
Head Office Level 1, 223–239 Liverpool Rd Level 10, 234 Sussex Street,
ASHFIELD NSW 2131 SYDNEY NSW 2000
Ph: 02 8753 8100 Post: PO Box K100
Fax: 02 8753 8011 HAYMARKET NSW 1240
Ph: 02 9268 3448
Email: resitech@resitech.nsw.gov.au
Website: www.resitech.nsw.gov.au

Coffs Harbour 51 Moonie Street


COFFS HARBOUR NSW 2450
Ph: 02 6650 1306
Fax: 02 6650 1314

Newcastle 671–677 Hunter Street


NEWCASTLE WEST NSW 2302
Ph: 02 4925 6171
Fax: 02 4925 6174

Tamworth 3–5 White Street


TAMWORTH NSW 2340
Ph: 02 6764 5520
Fax: 02 6764 5550

102 Housing NSW Annual Report 2006/07


Abbreviations

AEC Airds Enterprise Centre IRG Implementation and Review Group


AHO Aboriginal Housing Office JGOS Joint Guarantee of Service
AHURI Australian Housing and Urban Research Institute LAN Local Area Network
AIP Accelerated Improvement Program LEC Learning and Employment Coordinator
ANI Alliance Network International LEED Learning, Employment and Economic Development
ARG Aboriginal Reference Group MOU Memorandum of Understanding
ATSI Aboriginal and Torres Strait Islander MRP Maintenance Reform Program
BCSS Blandville Court Social Support Services MTC Metropolitan Technology Centre
CAH Centre of Affordable Housing NCH National Community Housing
CALD Cultural and Linguistically Diverse NGO Non-government Organisation
CAP Crisis Accommodation Program NILs No Interest Loan Scheme
CHAC Community Housing Advisory Committee NSW New South Wales
CHAP Community Housing Assistance Program NSWP New South Wales Police
CHIS Community Housing Insurance Scheme OCH Office of Community Housing
CHLP Community Housing Leasing Program OH&S Occupational Health and Safety
CLAS Community Language Allowance Scheme PAH Partnership Against Homelessness
CPEC Corruption Prevention and Ethics Committee PBRS Performance Based Registration System
CRS Commonwealth Rehabilitation Service PDAP Property Disposal Assessment Panel
CSHA Commonwealth State Housing Agreement PEP Public Equity Participation
CTC Cranebrook Technology Centre PMP Planned Maintenance Program
CTTT Consumer Trader and Tenancy Tribunal PSA Public Service Association
DHASI Disability Housing and Support Initiative RICHSS Redfern Inner City Home Support Service
DoCS Department of Community Services RMAC Risk Management and Audit Committee
EAPS Ethnic Affairs Priority Statement RPL Recognition of Prior Learning
EEO Equal Employment Opportunities RTRS Regional Tenant Resource Services
ESS Employee Self Service RTW Return to Work
FOI Freedom of Information SAAP Supported Accommodation Assistance Program
GEMP Government Energy Management Policy SAS Special Assistance Subsidy
GLBT Gay, Lesbian, Bisexual and Transgender SHLV Staying Home Leaving Violence
GST Goods and Services Tax SLA Service Level Agreement
HAC Housing Appeals Committee TAFE Technical and Further Education
HASI Housing and Accommodation Support Initiative TAP Temporary Accommodation Project
HCAP Housing Communities Assistance Program TCorp NSW Treasury Corporation
HCC Housing Contact Centre TIS Telephone Interpreting Service
HIA Housing Industry Australia WWH Wollongong Women’s Housing
HIV/AIDS Human Immunodeficiency Virus/
Acquired Immunodeficiency Syndrome
HPAS Home Purchase Advisory Service
ICAC Independent Commission Against Corruption
ICE Information and Cultural Exchange
ICHAP Inner-City Homelessness Action Plan
I-CHOSS Inner-City Homelessness Outreach and Support Service

Housing NSW Annual Report 2006/07 103


NSW Department of Housing

Financial Statements

The NSW Department of Housing (the Department) is a reporting


entity under the Australian Accounting Standards, and includes all
operating activities under its control, including those of the NSW
Land and Housing Corporation (the Corporation).
The Department and the Corporation are responsible for
implementing the housing assistance program in NSW and act in
a complementary manner to achieve a unified administration of the
Housing Act 2001.
Activities designed to achieve this include the provision of
sustainable and affordable housing to the people of NSW and
managing the home purchase assistance program for low-to-
moderate earners.

104 Housing NSW Annual Report 2006/07


NSW Department of Housing
Contents

Contents
Independent Auditor’s Report 106
Adoption of Financial Statements 108
Statement by the Director-General 108
Operating Statement 109
Balance Sheet 110
Cash Flow Statement 111
Statement of Changes in Equity 112
Notes to and Forming Part of the
Financial Statements 113
  1. The reporting entity 113
  2. S
 ummary of significant accounting policies 113
  3. N
 et rent and other tenant charges 120
  4. Government grants 120
  5. Interest income 121
  6. Management fees income 121
  7. Sundry income 122
  8. Repairs and maintenance 122
  9. Employee related expenses 122
10. Other operating expenses 123
11. Depreciation and amortisation 123
12. Grants expense 124
13. Finance costs 124
14. Disposal of assets 125
15. C urrent assets – cash and cash equivalents 126
16. Current assets – receivables 127
17. C urrent/Non-current assets – other financial assets 128
18. C urrent/Non-current assets – pre-payments 129
19. N on-current assets classified as held for sale 141
20. N on-current assets – property, plant and equipment 143
21. Intangible assets 147
22. Current liabilities – payables 147
23. C urrent/Non-current liabilities – borrowings 148
24. C urrent/Non-current liabilities – provisions 149
25. Other current/Non-current liabilities 150
26. Changes in equity 151
27. Commitments for expenditure 152
28. Deferred maintenance 152
29. Contingent liabilities 153
30. R econciliation of net cash from operating
activities to surplus (deficit) for the year 153
31. Prior period errors 153
32. N on-cash financing and investing activities 153
33. Financial instruments 154
Register of Land Held 158

Housing NSW Annual Report 2006/07 105


NSW Department of Housing

Independent Auditor’s Report


For the year ended 30 June 2007

106 Housing NSW Annual Report 2006/07


NSW Department of Housing

Independent Auditor’s Report


For the year ended 30 June 2007

Housing NSW Annual Report 2006/07 107


NSW Department of Housing

Adoption of the Financial Statements


1 July 2006 to 30 June 2007

The financial statements of the NSW Department of Housing (the Department) have been prepared in accordance with the statute
provisions of the Public Finance and Audit Act 1983, the Public Finance and Audit Regulation 2005 and the Treasurer’s Directions.
Pursuant to section 45F of the Public Finance and Audit Act 1983, it is recommended that:
> The financial statements for the year ended 30 June 2007 be adopted and the Director-General provide a statement to the effect that
in his opinion the accompanying financial statements have been prepared in accordance with the provisions of the Public Finance and
Audit Act 1983, the Public Finance and Audit Regulation 2005, applicable Australian Accounting Standards, Australian Accounting
Interpretations, Treasury Accounting Policy Statements and the Treasurer’s Directions, and that as at 23 October 2007, he is not aware of
any circumstances which would render any particulars included in the financial statements to be misleading or inaccurate.

M Haerewa
Chief Financial Officer
23 October 2007

Statement by the Director-General


for and on behalf of the NSW Department of Housing

Pursuant to section 45F of the Public Finance and Audit Act 1983, I, M Allen, Director-General, state that in my opinion:
1. The accompanying financial statements exhibit a true and fair view of the financial position of the NSW Department of Housing as at
30 June 2007 and transactions for the year then ended.
2. The statements have been prepared in accordance with the provisions of the Public Finance and Audit Act 1983, the Public Finance
and Audit Regulation 2005, applicable Australian Accounting Standards, Australian Accounting Interpretations, Treasury Accounting
Policy Statements and the Treasurer’s Directions.
As at 23 October 2007, I am not aware of any circumstances which would render any particulars included in the financial statements to be
misleading or inaccurate.

M Allen
Director-General
for and on behalf of
NSW Department of Housing
23 October 2007

108 Housing NSW Annual Report 2006/07


NSW Department of Housing

Operating Statement
For the year ended 30 June 2007

2007 2006
Notes $’000 $’000
Income
Rent and other tenant charges 3 639 703 602 086
Government grants 4 528 123 495 680
Interest income 5 22 330 25 463
Management fees income 6 6 886 7 366
Sundry income 7 11 907 15 828
Gain on disposal of assets held for sale 14 (iv) 13 193 –

Total Income 1 222 142 1 146 423

Expenses
Repairs and maintenance 8 224 336 234 822
Council rates 97 131 95 217
Water rates 63 251 61 480
Employee related expenses 9 189 599 169 668
Other operating expenses 10 104 635 105 838
Depreciation and amortisation 11 260 213 249 464
Grants expense 12 125 262 125 847
Finance costs 13 88 294 84 163
Impairment of receivables 16 (iv) 9 565 5 733
Loss on disposal 14 39 989 30 830

Total Expenses 1 202 275 1 163 062


Surplus/(Deficit) for the year 26 19 867 (16 639)

The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 109


NSW Department of Housing

Balance Sheet
As at 30 June 2007

2007 2006
Notes $’000 $’000
ASSETS
Current Assets
Cash and cash equivalents 15 193 923 130 698
Receivables 16 20 185 20 298
Other financial assets 17 33 219 88 670
Prepayments 18 19 717 18 870
Non-current assets classified as held for sale 19 30 640 56 237
Total Current Assets 297 684 314 773

Non-Current Assets
Other financial assets 17 138 048 141 419
Property, plant and equipment 20 27 826 465 27 491 818
Intangible assets 21 11 438 5 207
Prepayments 18 14 721 19 341
Total Non-current Assets 27 990 672 27 657 785
TOTAL ASSETS 28 288 356 27 972 558

LIABILITIES
Current Liabilities
Payables 22 232 910 183 030
Borrowings 23 29 772 14 402
Provisions 24 62 717 53 549
Other 25 222 222
Total Current Liabilities 325 621 251 203

Non-Current Liabilities
Borrowings 23 905 261 952 794
Embedded derivatives on borrowings 2 p) 5 937 8 966
Provisions 24 8 638 9 946
Other 25 20 969 21 191
Total Non-current Liabilities 940 805 992 897
TOTAL LIABILITIES 1 266 426 1 244 100
NET ASSETS 27 021 930 26 728 458

EQUITY
Retained earnings 26 9 094 803 8 917 319
Asset revaluation reserve 26 17 927 127 17 811 139
TOTAL EQUITY 27 021 930 26 728 458

The accompanying Notes form an integral part of these accounts.

110 Housing NSW Annual Report 2006/07


NSW Department of Housing

Cash Flow Statement


For the year ended 30 June 2007

2007 2006
Notes $’000 $’000
Cash flows from Operating Activities
Receipts
Rent 634 300 596 703
Government grants – CSHA 491 172 481 884
Government grants – Other NSW Government Agencies 36 951 13 796
Interest received 23 240 26 269
Management fees 6 886 7 366
Other 25 622 33 713
Total receipts 1 218 171 1 159 731

Payments
Property and residential tenancy (409 464) (436 409)
Employee related (177 003) (157 500)
Administrative and working (68 276) (73 756)
Finance costs (54 922) (54 772)
Grants and subsidies (123 786) (99 850)
Other (15 410) (12 584)
Total payments (848 861) (834 871)
Net cash flows from Operating Activities 30 369 310 324 860

Cash flows from Investing Activities


Receipts
Proceeds from sale of property, plant and equipment 207 146 84 484
Proceeds from redemption of investments held to maturity 65 177 83 011
Funds from other organisations 2 905 4 111
Total receipts 275 228 171 606

Payments
Purchase of property, plant and equipment (504 777) (359 122)
Purchase of investments held to maturity (7 883) (153 634)
Other – (4 160)
Total payments (512 660) (516 916)
Net cash flows from Investing Activities (237 432) (345 310)

Cash flows from Financing Activities


Receipts
Proceeds from new loans 39 361 64 284
Payments
Repayments of loans payable (108 014) (56 380)
Net cash flows from Financing Activities (68 653) 7 904

Net increase/(decrease) in cash and cash equivalents 63 225 (12 546)


Cash and cash equivalents at the beginning of the financial year 130 698 143 244

CASH AND CASH EQUIVALENTS AT THE END OF THE FINANCIAL YEAR 15 193 923 130 698

The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 111


NSW Department of Housing

Statement of Changes in Equity


For the year ended 30 June 2007

2007 2006
Notes $’000 $’000
Total equity at beginning of financial year 26 728 458 27 147 643
Adjustment of prior year error
– upfront lease payment for 99-year leases AASB 117 – (21 628)
Adjustments on adoption of AASB 132 and 139
– Re-measurement of impairment of receivables – (1 654)
– Re-measurement of low interest borrowings – 432 592
– Re-measurement of other loans at fair value – (50 655)
Restated total equity at beginning of financial year 26 728 458 27 506 298

Changes in equity – transaction of owners with owners


– Return of capital contribution from Home Purchase Assistance Fund 2 905 2 846
– Net liabilities transferred from Public Equity Partnership (PEP) – (38)
Total changes in equity – transaction of owners with owners 2 905 2 808

Changes in equity – other than transaction of owners with owners


– Surplus/(Deficit) for the year 19 867 (16 639)
– Increment/(Decrement) on revaluation of property & equipment 26 270 700 (764 009)
Total changes in equity – other than transaction of owners with owners 290 567 (780 648)
Total equity at end of financial year 26 27 021 930 26 728 458

The accompanying Notes form an integral part of these accounts.

112 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 1: The Reporting Entity Rental income received as upfront payments for leases with a term
exceeding 50 years is recognised on a straight-line basis over the
In accordance with AAS 29 Financial Reporting by Governments,
lease term in accordance with AASB 117 Leases. The unexpired
the NSW Department of Housing (the Department) as a reporting
portion of the lease is recognised as liability as per the accounting
entity comprises all the operating activities under its control,
standard and NSW Treasury Policy TPP06-3 Lessor Accounting
including those of the NSW Land and Housing Corporation (the
for Prepaid Long Term Leases of Land. The amounts of the upfront
Corporation). The Department and the Corporation are responsible
payments are disclosed in Note 25.
for implementing the housing assistance program in NSW and act
in a complementary manner to achieve a unified administration of The Office of Community Housing (OCH), a business unit of the
the Housing Act 2001. Department, is responsible for delivering the community housing
programs. The Department enters into lease agreements with
The Department is a not-for-profit entity as its principal objective is
accredited community housing providers, generally for a period of
to provide public housing to people with the greatest need and not
five years, at a nominal rent of $1. Ownership of leased dwellings
to generate profit. The Department’s financial report is consolidated
does not transfer to the lessees at the end of the lease terms.
as part of the NSW Total State Sector Accounts.
The lease contracts do not meet the definition of a finance lease.
This financial report for the year ended 30 June 2007 was Control remains with the Department.
authorised for issue by the Director-General of the Department
on 23 October 2007. (ii) Government grants
Government grants are recognised as income when the
Note 2: Summary of Significant Department gains control over the grants. Control is normally
obtained when cash is received. In accordance with Treasury
Accounting Policies mandate, the Department continues to apply the current version of
a) Basis of preparation AASB 1004.
The financial statements of the Department are a general purpose (iii) Interest income
financial report, which have been prepared in accordance with
Interest income is recognised as it accrues using the effective
applicable Australian Accounting Standards, Australian Accounting
interest method as set out in AASB 139 Financial Instruments:
Interpretations, the requirements of the Public Finance and Audit
Recognition and Measurement.
Act 1983 and Public Finance and Audit Regulation 2005. Where
there are inconsistencies between the accounting standards and (iv) Management fees and sundry income
legislative requirements, the legislative provisions have prevailed. Management fees and sundry income are recognised on
Judgments, key assumptions and estimations management an accrual basis in accordance with AASB 118 Revenue.
has made are disclosed in the relevant notes to the financial
statements. (v) Sale of properties
Except for certain assets and liabilities, which are measured Income from the sale of properties is recognised when the risks
at fair value as noted, the financial statements are prepared in and rewards associated with the ownership of property are passed
accordance with the historical cost convention. All amounts are to the purchaser, usually on settlement date.
rounded to the nearest one thousand dollars and are expressed in c) Employee benefits
Australian dollars. Unless otherwise noted, accounting policies are
Liabilities for salaries and wages (including non-monetary benefits),
consistent with those of the previous year.
annual leave and long-service leave as at reporting date are
b) Income recognition brought to account. On-costs, such as payroll tax, workers’
Income is measured at the fair value of the consideration compensation insurance premiums, employer’s contributions to
or contribution received or receivable. Additional comments superannuation and fringe benefits tax, which are consequential
regarding the accounting policies for the recognition of income are to employment, are recognised as liabilities when the employee
discussed below: benefits to which they relate are recognised. The Department
estimates its liability for employee benefits in accordance with
(i) Rent AASB 119 Employee Benefits and NSW Treasury Circular (NSWTC)
Rent is charged one week in advance and recognised as income 07/04 Accounting for Long Service Leave and Annual Leave.
on a straight-line basis.
The Department charges rent at current market rates, subject to
individual limitations. However, tenants are only required to pay
an amount equivalent to a pre-determined percentage of their
household income. Rent payable by tenants, including other tenant
related charges, is reported in the Operating Statement as Rent and
other tenant charges.

Housing NSW Annual Report 2006/07 113


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 2: Summary of Significant e) Insurance


Accounting Policies (continued) The Department manages its insurance activities through insurance
brokers. Insurance premiums are paid annually and amortised on a
Annual leave straight-line basis.
Employee entitlements to annual leave are considered to
be unconditional and are reported as current liability in the
f) Goods and Services Tax (GST)
Department’s Balance Sheet. However, the method of calculating Revenues, expenses and assets are recognised net of the amount
the Department’s liability may vary depending on whether annual of GST, except:
leave is expected to be settled within 12 months or beyond 12 (i) the amount of GST incurred by the Department as a purchaser,
months. Accordingly, annual leave liability is estimated as follows: that is not recoverable from the Australian Taxation Office
(i) Annual leave that is expected to be settled within twelve (ATO), is recognised as part of the cost of acquisition of an
months from reporting date is measured at nominal amounts asset or as part of an item of expense
and estimated by applying remuneration rates that are (ii) receivables and payables are stated with the amount of GST
expected to be paid when employees’ annual leave entitlement included.
is settled.
g) Cash and cash equivalents
(ii) Annual leave that is not expected to be settled within twelve
Cash and cash equivalents comprise cash at bank and on hand,
months from reporting date is accounted for as a long-term
short-term deposits with a maturity date of three months or less
employee benefit and is measured at the present value of the
from balance date and deposits in NSW Treasury Corporation’s
long-term liability. Market yield on government bonds of 6.41%
Hour Glass cash facility.
(2006: 5.77%) was used to discount long-term annual leave.
h) Financial assets
Long-service leave
The Department determines the classification of its financial assets
Long-service leave is measured on a present value basis. Market
at the initial recognition and, when allowed and appropriate, re-
yield on government bonds of 6.41% (2006: 5.77%) was used to
evaluates this at each financial year end.
discount the Department’s long-service leave liability, although this
is not expected to be paid out. (i) Receivables
The Department adopts the short-hand method to estimate the The Department measures short-term receivables with no stated
present value of the long-service leave liability, taking into account interest rate at the original amount charged as the effect of
future wage and salary rates, experience in employee departures discounting is considered to be immaterial.
and periods of service. A recent independent actuarial valuation An allowance for impairment of receivables is established when
of the long-service leave liability indicated that the application of there is objective evidence that the Department will not be able
the short-hand method produced results that were not materially to collect all amounts due. The amount of the allowance is the
different from applying a full present value methodology. This short- difference between the asset’s carrying amount and the present
hand method also incorporates an adjustment factor applicable value of estimated future cash flows, discounted at the effective
when the market yield on the long-term government bonds, used interest rate.
for discounting purposes, varies from the market yield used at the
time the actuarial valuation was undertaken. Uncollectible amounts are recognised as bad debts and written off
when the following requirements of Treasurer’s Directions 450.01–
Unconditional long-service leave liability in respect of employees 450.09 Recovery of Debts to the State are met:
with at least seven years’ service within the public sector (whether
or not it is expected to be settled within twelve months) is reported a) the debtor cannot be located
as current liability. Conditional long-service leave liability in respect b) it is uneconomical to finalise recovery action due to the
of employees with less than seven years’ service is reported as relatively small value of the debt
non-current liability. Discounting was applied to both conditional c) the medical, financial or domestic circumstances of a particular
and unconditional long-service leave liabilities. debtor do not warrant the taking of further recovery action or
Unused non-vesting sick leave d) legal proceedings through the courts have proved, or on legal
Unused non-vesting sick leave does not give rise to a liability, as it advice, would prove, unsuccessful.
is not considered probable that sick leave taken in the future will be
greater than the benefits accrued in the future.
Superannuation
The Department recognises actuarial gains and losses in
the Operating Statement, in the year that they occur.
d) Finance costs
Finance costs are recognised as expenses in the period in which
they are incurred, in accordance with Treasury’s mandate to
general government sector agencies.

114 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 2: Summary of Significant j) Non-current assets classified as held for sale


Accounting Policies (continued) The Department has certain non-current assets classified as held
for sale, where their carrying amount will be recovered principally
(ii) Other financial assets through a sale transaction not through continuing use. Non-current
Loans and other receivables assets held for sale are recognised at the lower of carrying amount
and fair value less cost to sell. These assets are not depreciated
These financial assets are measured at amortised cost, using the
while they are classified as held for sale.
effective interest method. Changes in the valuation of these assets
are recognised in the Operating Statement, when impaired or de- k) Acquisition of assets
recognised. The cost method of accounting is used for the initial recording
Held to maturity investments of all acquisitions of assets controlled by the Department. Cost
Non-derivative financial assets with fixed or determinable payments is the amount of cash or cash equivalents paid or the fair value
and fixed maturity that the Department has positive intention of other consideration given to acquire the asset at the time of
and ability to hold to maturity are classified as ‘held to maturity’. its acquisition or construction, or where applicable, the amount
These investments are measured at amortised cost using the attributed to that asset when initially recognised in accordance
effective interest method. Changes are recognised in the Operating with the specific requirements of other Australian Accounting
Statement, when impaired, de-recognised or through the Standards. Assets are recognised upon unconditional exchange
amortisation process. of contracts.
Assets acquired at no cost, or for nominal consideration, are
(iii) Impairment of financial assets initially recognised at their fair value at the date of acquisition (refer
On an ongoing basis, the Department determines whether there to Note 2(u)) for assets transferred as a result of an administrative
is objective evidence of impairment arising from events that restructure).
impact on the estimated future cash flows of the financial assets.
Fair value is the amount for which an asset could be exchanged
Impairment is calculated as the difference between the carrying
between knowledgeable, willing parties in an arm’s length
amount and the present value of estimated future cash flows
transaction.
discounted at the financial asset’s original effective interest rate
(for financial assets carried at amortised cost). The calculated Where the payment for an item is deferred beyond normal credit
impairment loss is recognised in the Operating Statement and as terms, its cost is the cash price equivalent, that is, the deferred
an allowance to reduce the carrying amount of the financial asset. payment amount is effectively discounted at an asset-specific rate.
When there is objective evidence that impairment no longer exists, l) Capitalisation thresholds
previously recognised impairment losses are reversed through Property, plant and equipment and intangible assets costing
the Operating Statement so that the carrying amount of financial $5,000 and above are capitalised, except for grouped assets such
assets carried at amortised cost do not exceed what the carrying as the computer network, where all costs are capitalised.
amount would have been had there not been an impairment loss.
i) De-recognition of financial assets and
financial liabilities
A financial asset is de-recognised when the contractual rights to
the cash flows from the financial assets expire; or if the Department
transfers the financial asset under the following circumstances:
(i) where substantially all the risks and rewards have been
transferred, or
(ii) where the Department has not transferred substantially all the
risks and rewards, if the Department has not retained control.
Where the Department has neither transferred nor retained
substantially all the risks and rewards or transferred control, the
asset is recognised to the extent of the Department’s continuing
involvement in the asset.
A financial liability is de-recognised when the obligation specified
in the contract expires, or is discharged or cancelled. The
Department has not de-recognised any financial assets and
liabilities.

Housing NSW Annual Report 2006/07 115


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 2: Summary of Significant Land held for redevelopment


When residential buildings are demolished in line with the
Accounting Policies (continued) Department’s asset strategy program, (refer to Note 14ii), the
m) Property, plant and equipment resulting vacant land is classified as land held for redevelopment.
The revaluation methodology applicable to residential properties
(i) Valuation also applies to this class of assets.
Physical non-current assets are valued in accordance with the
Commercial property
Valuation of Physical Non-Current Assets at Fair Value Policy and
Guidelines Paper (TPP 07-01). This policy adopts fair value in The valuation of this asset class is undertaken annually and is
accordance with AASB 116 Property, Plant and Equipment, and based on values provided by the registered independent valuers.
takes into account the unique circumstances in the public sector, Vacant land
when applying the valuation principles in AASB 116. The valuation of this asset class is based on land valuation
Property, plant and equipment is measured at fair value with provided by the Valuer-General each year.
reference to the asset’s highest and best use, being the value of Community purpose
the asset’s existing use, where there are no feasible alternative
The Department engaged independent valuers to value its
uses in the existing natural, legal, financial and socio-political
community purpose properties for the first time in 2006/07.
environment. However, in the limited circumstances where there
Previously these properties were either held at historical costs or
are feasible alternative uses, assets are valued at their highest
land values. The next valuation is planned for December 2008 in
and best use of the feasible alternative (net of costs to achieve
line with the residential portfolio.
that use).
Properties in the portfolio largely fall under four categories:
Fair value of property, plant and equipment is determined based on
the best available market evidence, including current market selling (i) Long and short-term leases
prices for the same or similar assets. In the absence of readily Where a property is subject to a short-term lease that is not at
identifiable market evidence, such as churches, child care centres market levels, an adjustment to the market value has been made
in the community purpose portfolio, the market value for the land is to account for the premium or concession. Properties under long-
adopted and a depreciated replacement cost is determined for the term leases with greater than 25 years remaining for ‘peppercorn’
improvements. and nominal rentals have had their market value calculated by
The fair value of land under pre-paid 99-year leases, which the referring to freehold sales. They are recorded for $1 in the asset
Department entered into recently (commencement in 2003), has register.
been impaired and as such it is recorded at $1 in the asset register.
(ii) Freehold residential
(ii) Revaluation This group has been valued by reference to market value
Residential property comparisons. Where the dwelling is a unit, townhouse, duplex
etc, then an amount for provision of hypothetical separate title has
The Department revalues its residential properties each year,
been deducted.
either by full valuation which takes place every three years, or by
indexation in the interim years. The last full valuation took place (iii) Specific use properties
in December 2005 where registered independent valuers, in Properties such as churches, community halls, child care centres
conjunction with senior officers of the Department undertook a do not have readily identifiable markets. In the absence of best
revaluation of a reference matrix of residential land and buildings, available market evidence, a market value for land is adopted
taking into account the diversity of the housing stock and location. and a depreciated replacement cost is determined for the
The 18,000 valuations comprising the matrix were extrapolated improvements.
to all residential properties taking into account the particular
characteristics of each property. Residential properties covered (iv) Partial interests
by a “block” title were adjusted to include the cost of obtaining Where a partial interest is identified, for example, a local
individual property title (refer to Note 2(v)). The next full valuation is government owns the building and the Department owns the land,
planned for December 2008. then the specific percentage interest in the land, improvements or
In 2006/07, the 18,000 valuations contained in the reference matrix both has been calculated.
were updated using indexation from the Valuer-General for the
period December 2005 to December 2006. The indices used are
compiled by the Department’s statisticians using data from the
Rental Bond Board and records of actual property sales from the
Valuer-General. Again the updated 18,000 valuations comprising
the matrix were extrapolated to all residential properties taking into
account the particular characteristics of each property.

116 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 2: Summary of Significant (v) Major inspection costs


The labour cost of performing major inspections for faults is
Accounting Policies (continued) recognised in the carrying amount of an asset as a replacement
Revaluation increments/decrements of a part, when the recognition criteria are satisfied.
Any balances of accumulated depreciation at the revaluation date
in respect of the revalued assets are credited to the asset accounts (vi) Restoration costs
to which they relate. The net asset accounts are then increased or The estimated cost of dismantling and removing an asset and
decreased by the revaluation increments or decrements. restoring the site is included in the cost of an asset, to the extent
that it is recognised as a liability. The Department recognises a
Revaluation increments are credited directly to the asset
liability when it has a legal or constructive obligation to restore an
revaluation reserve, except that, to the extent that an increment
asset.
reverses a revaluation decrement in respect of that class of asset
previously recognised as an expense in the Operating Statement, (vii) Repairs and maintenance
the increment is recognised as gain in the Operating Statement. The Department expenses the costs of routine maintenance
Revaluation decrements are recognised as expenses in the and repairs necessarily incurred to maintain its assets at pre-
Operating Statement, except that, to the extent that a credit determined standards. During the year, the Department incurred
balance exists in the asset revaluation reserve in respect of $224.3 million on repairs and maintenance.
the same class of assets, they are debited directly to the asset However, the Department capitalises costs incurred to bring
revaluation reserve. older dwellings in poor condition to the Department’s benchmark
As a not-for-profit entity, revaluation increments and decrements standard, which exceeds the original standard of the dwellings.
are offset against one another within a class of non-current assets,
but not otherwise. n) Leased assets
A distinction is made between finance leases, which effectively
Where an asset that has previously been revalued is disposed of,
transfer from the lessor to the lessee substantially all the risks
any balance remaining in the asset revaluation reserve in respect of
and benefits incidental to ownership of the leased assets, and
that asset is transferred to retained earnings.
operating leases under which the lessor effectively retains all such
(iii) Impairment of property, plant and equipment risks and benefits.
The Department is a not-for-profit entity. Assets cannot be Where a non-current asset is acquired by means of a finance lease,
impaired under AASB 136 Impairment of Assets unless selling the asset is recognised at its fair value at the commencement of
costs are material. This is because for not-for-profit entities, lease term or present value of minimum lease payment whichever
AASB 136 modifies the recoverable amount in such circumstances is lower. The corresponding liability is established at the same
to be the higher of fair value less costs to sell and depreciated amount. Lease payments are allocated between the principal
replacement costs. component and the interest expense.

(iv) Depreciation and amortisation Operating lease payments are charged to the Operating Statement
in the periods in which they are incurred.
Property, plant and equipment, other than land are depreciated on
a straight-line basis. The estimated useful lives of the depreciable
assets are:
Asset class Estimated useful life

Residential properties 10 to 50 years


Commercial properties 50 years
Community purpose built properties 10 to 50 years
Motor vehicles 2 years
Computer hardware and software 3 years
Office furniture and equipment 3 years

Improvements to leasehold property valued at $5,000 or more are


capitalised and amortised over the unexpired period of the lease or
the estimated useful life of the improvements, whichever is shorter.
The residual values and useful lives of assets are reviewed at each
balance date and adjusted, if appropriate.

Housing NSW Annual Report 2006/07 117


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 2: Summary of Significant Each property in this particular portfolio is allocated an actuarial
index, which is based on annual property market values derived
Accounting Policies (continued) from the valuation of a random sample of properties. When the
o) Intangible assets actuarial index reaches pre‑determined levels, the properties are
earmarked for sale. As properties are sold, the Society is entitled
The Department recognises intangible assets only if it is probable
to a return of principal plus a share in capital profits. The Society’s
that future economic benefits will flow to the Department and the
share in capital profits is considered an embedded derivative,
cost of the asset can be measured reliably. Intangible assets are
which meets the relevant requirements of AASB 139 Financial
measured initially at cost. Where an asset is acquired at no or
Instruments: Recognition and Measurement and is therefore
nominal cost, the cost is its fair value as at acquisition date.
separated from the loan payable balance, recorded at fair value
All research costs are expensed. Development costs are only and disclosed separately in the Balance Sheet. Gains and losses
capitalised when certain criteria are met. arising from the valuation of embedded derivatives are recognised
Intangible assets are subsequently measured at fair value only in the Operating Statement.
if there is an active market. As there is no active market for the To assist in funding the payment of this liability to the Society
Department’s intangible assets, they are carried at cost less on maturity, the Department invests funds through a correlation
accumulated amortisation which represents fair value. The insurance arrangement (refer to Note 17). Under this arrangement,
Department’s intangible assets (currently only computer software) the Department has a charge over the funds invested. Investment
are amortised on a straight-line basis over a period of three years. proceeds are to be used to partly settle the Department’s liability to
The useful lives of intangible assets are assessed to be finite. the Society.
The Department is a not-for-profit entity. Assets cannot be impaired q) Rental Housing Assistance Fund
under AASB 136 Impairment of Assets unless selling costs are
The Rental Housing Assistance Fund (the Fund) was established
material. This is because for not-for-profit entities, AASB 136
by a trust deed dated 27 October 1993 and operates in the State
modifies the recoverable amount in such circumstances to be the
of NSW. It supports and administers the State’s rental housing
higher of fair value less costs to sell and depreciated replacement
programs in respect of the October 1993 Public Equity Partnership
costs.
arrangements.
p) Recognition of assets and liabilities – Public The Fund is considered to be an entity wholly controlled by the
Equity Partnership (PEP) Department. Accordingly, the net assets of the Fund are reflected
in the Department’s Balance Sheet as a non-current asset (refer to
In June 1991 and October 1993, the Department sold a total of
Note 17) and the transactions are not consolidated on the basis of
1,490 residential properties to the AMP Society (the Society) for
materiality.
$130 million (PEP1) and $69.169 million (PEP2) respectively. The
agreement between the Society and the Department provides r) Payables
for the continued occupancy by public tenants of the residential These amounts represent liabilities for goods and services
properties leased, maintained and managed by the Department provided to the Department. Payables are recognised initially at
and for which the Society pays management fees. fair value, usually based on the transaction cost or face value.
In accordance with the Department’s policy, public tenants are Subsequent measurement is at amortised cost using the effective
only required to pay an amount equivalent to a pre-determined interest method. Short-term payables with no stated interest rate
percentage of their household income. As the Society is entitled are measured at the original invoice amount where the effect of
to a guaranteed return, the Department pays the Society any discounting is immaterial.
shortfall between the guaranteed return and the rent collected from
tenants. The agreement further stipulates that when the properties s) Borrowings
are disposed of, the Society is entitled to a return of principal plus On initial recognition, borrowings including low interest loans
a share in capital profits. This arrangement is considered to be a are measured at fair value, net of transaction costs incurred
financing arrangement with an embedded derivative component, and, subsequently, at amortised cost using the effective interest
being the share in capital profits. method.
On initial recognition, the loan payable to the Society was
measured at the fair value of the consideration received and
subsequently, at amortised cost using the effective interest method
(refer to Note 23). The effective interest rate is the rate that exactly
discounts the estimated cash flows to nil at the end of the term of
the loan. Estimated cash flows comprise the guaranteed annual
return on tenanted properties and the return of principal relating to
properties disposed of during the term of the loan. The guaranteed
annual return is derived from financial models that apply minimum
and maximum CPI collars.

118 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 2: Summary of Significant Valuation of residential properties under block title


Residential properties under block title represent a group
Accounting Policies (continued) of properties within a specific location that are covered by a single
t) Provisions title for the entire block, instead of individual title.
Provisions are recognised when the Department has a present This category of residential properties is initially valued as if
obligation (legal or constructive) as a result of a past event; it the properties were under a single title. This initial valuation is
is probable that an outflow of resources embodying economic subsequently discounted by the cost to a developer of establishing
benefits will be required to settle the obligation and a reliable individual title and bringing the properties to market. This process
estimate can be made of the amount of the obligation. establishes a value for that part of the market that may be
Any provision for restructuring is recognised only when the interested in buying properties under a single title. The Department
Department has a detailed formal plan and the Department has ensures that the valuation assigned to this group of residential
raised a valid expectation in those affected that it will carry out the properties, using this valuation methodology, represents fair value.
restructuring by starting to implement the plan or announcing its Estimate of repairs and maintenance cost
main features to those affected.
For any work order which has been issued but not completed,
If the effect of the time value of money is material, provisions are percentage of spent over original dollars and percentage
determined by discounting the expected future cash flows that of completion are applied in the calculation of repairs and
reflects current market assessments of the time value of money maintenance accrual.
and, where appropriate, the risks specific to the liability.
w) New Australian Accounting Standards issued
u) Equity transfer
In accordance with NSW Treasury Policy and Guidelines Paper
but not effective
(NSWTPP) 06-7 Contributions by Owners made to Wholly-owned The following new Accounting Standards have not been applied
Public Sector Entities, the transfer of net assets between agencies and are not yet effective:
as a result of an administrative restructure within government is AASB 7 Financial Instruments: Disclosures
designated as a ‘contribution by owners’ and recognised as an AASB 8 Operating Segments
adjustment to ‘Accumulated Funds’.
AASB 101 (October 2006) Presentation of Financial Statements
Transfers arising from an administrative restructure between
AASB 1049 Concise Financial Reports
government departments are recognised at the amount at which
they were recognised by the transferor department immediately AASB 2005-10 Amendments to AASB 7 Financial Instruments:
prior to the restructure. In most instances, this will approximate fair Disclosures
value. AASB 2007-4 Amendments to Australian Accounting Standards
arising from ED 151 and Other Amendments
v) Accounting estimates and judgments
AASB 2007-5 Amendments to Australian Accounting Standard-
The preparation of financial statements in accordance with AEIFRS
Inventories Held for Distribution by Not-for-profit Entities
requires the use of certain critical accounting estimates. It also
requires management to exercise its judgment in the process Interpretation 4 Determining whether an Arrangement contains a
of applying the Department’s accounting policies. The areas Lease
involving a higher degree of judgment or complexity, or areas Interpretation 10 Interim Financial Reporting and Impairment
where assumptions and estimates are significant to the financial Interpretation 11 AASB 2 – Group and Treasury Share Transactions
statements are disclosed below.
Interpretation 12 Service Concession Arrangements
Interpretation 129 Service Concession Arrangements: Disclosures.
The Department anticipates that the adoption of these Standards
and Interpretations in future periods will have no material financial
impact on the financial statements of the Department.

Housing NSW Annual Report 2006/07 119


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 3: Rent and Other Tenant Charges


2007 2006
$’000 $’000
Rent and other tenant charges (i) 618 270 589 063
Water usage charges (ii) 21 433 13 023
Total rent and other tenant charges 639 703 602 086

(i) Market rent and other tenant charges 1 286 326 1 246 062
Less: rental subsidies to tenants (non-cash) (668 056) (656 999)
Rent and other tenant charges 618 270 589 063

(ii) From December 2005, tenants of the Department commenced contributing towards water usage. This amount is included in Rental
Debtors (refer to Note 16).

Note 4: Government Grants


The Housing Assistance Program in NSW is implemented through the entity ‘Payments to other Government Bodies under the Control
of the Minister’ (the Entity). This Entity receives appropriations jointly funded by the Commonwealth and State governments under the
Commonwealth State Housing Agreement (CSHA). Through the Department, the Entity transfers appropriations, by way of grant, to the
relevant housing agencies.
Appropriations received by the Entity during the year amounted to $532.945 million (2006 – $531.174 million) and comprises:

2007 2006
$’000 $’000
Commonwealth Government funding
General assistance (base funding) 245 255 243 465
Aboriginal Rental Housing Program 18 451 18 235
Crisis accommodation 13 691 13 593
Community housing 22 092 21 936
Social Housing Subsidy Program 1 995 1 995
Tenant Connect Initiative 4 035 –
305 519 299 224
State Government funding
State matching 120 052 119 173
Aboriginal Communities Development Program 11 109 15 451
Other housing programs 96 265 97 326
227 426 231 950
Total appropriations to the Entity 532 945 531 174
The appropriations to the Entity were paid out as follows:
NSW Department of Housing (i) 491 172 481 884
Aboriginal Housing Office 41 773 48 890
Department of Planning – 400
532 945 531 174

120 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 4: Government Grants (continued)


(i) The Department applied the $491.172 million (2006 – $481.884 million) CSHA grants received from the Entity to the recurrent
expenses and capital programs.
2007 2006
$’000 $’000
CSHA grants allocated to recurrent expenses and programs/initiatives 230 417 282 075
CSHA grants allocated to capital programs 260 755 199 809
Total CSHA grants applied by the Department 491 172 481 884
(ii) Other NSW Government grants
Department of Community Services 1 540 2 948
North Sydney Area Health Service – 441
Housing Purchase Assistance Fund 256 394
Rental Bond Board 30 027 9 972
Department of Ageing, Disability & Home Care 3 300 –
City of Sydney 1 205 –
Other 623 41
Total other NSW Government grants 36 951 13 796
Total government grants 528 123 495 680

a) During the year, an appropriation of $31.6 million (2006 – $34.1 million) was granted by the Entity to the Department, to fund the
provision of corporate services by NSW Businesslink Pty Ltd., which also include reimbursable expenditure and project costs incurred
in the provision of these services. The Department paid $27.4 million (2006 – $30.2 million) to NSW Businesslink Pty Ltd. (refer to Note
10). The difference between the appropriation received from the Entity and the amount paid to NSW Businesslink Pty Ltd. was applied
by the Department to the Planned Works Program.
b) This includes grants used to fund other housing programs associated with urban renewal development.

Note 5: Interest Income


2007 2006
$’000 $’000
Interest earned by the Department is in respect of the following investments:
Treasury Department – Hour Glass cash facilities 9 807 8 074
PEP 1 – investment in bonds 7 820 9 955
Other – investment in bonds 1 038 1 555
Bank deposits 3 465 5 631
Other 200 248
22 330 25 463

Note 6: Management Fees Income


2007 2006
$’000 $’000
Project management fees 3 491 4 055
Other government agencies 3 395 3 311
6 886 7 366

Housing NSW Annual Report 2006/07 121


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 7: Sundry Income


2007 2006
$’000 $’000
Rental bonds recovered 5 046 5 118
GST refund – prior years (ii) – 5 094
Insurance recovery – 1 070
Bad debts recovered 1 353 1 056
Contributions from community groups 961 915
Income from debt restructuring 563 –
Transfer of assets from Aboriginal Housing Office 354 397
Other (iii) (iv) 3 630 2 178
11 907 15 828

(i) These contributions were used mainly to support the affordable housing strategy.
(ii) In conjunction with the Australian Taxation Office (ATO), the Department reviewed rates used to apportion certain expenditure between
input taxed acquisitions and those that may be eligible for input tax credits, taking into account the activities undertaken by the
Department. The review covered a number of financial years and resulted in an increase in the apportionment percentage applicable to
acquisitions eligible for input tax credit. There is continuous review on apportionment.
(iii) In 1990, NSW Treasury granted the Department exemption from Treasurer’s Directions relating to the ‘treatment of stale cheques and
unclaimed money’. In particular, the Department is not required to remit unclaimed moneys to Treasury. These amounts are included in
Sundry Income.
(iv) 99-year lease income ($0.215 million) adjustment was made to 2006 audited balance for prior period error correction.

Note 8: Repairs and Maintenance


2007 2006
$’000 $’000
Residential properties 222 557 232 637
Commercial properties 1 125 1 599
Other 654 586
224 336 234 822

Note 9: Employee Related Expenses


2007 2006
$’000 $’000
Salaries 129 563 116 845
Redundancy and other related payments 312 460
Annual leave and leave loading 13 401 12 466
Long service leave 7 625 3 372
Employer’s contributions to superannuation 12 615 14 989
Workers’ compensation insurance 3 033 2 256
Payroll and Fringe Benefit Tax 10 102 8 538
Temporary assistance 12 199 10 213
Other 749 529
189 599 169 668

122 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 10: Other Operating Expenses


2007 2006
$’000 $’000
Management and other fees 16 372 19 603
Lease expense 34 055 31 128
Office accommodation 11 908 10 944
Insurance 6 213 9 545
Staff development 2 268 1 817
Building maintenance and utilities 1 761 1 698
Computer maintenance and software licences 24 2 953
Printing, postage and stationery 4 329 4 069
Motor vehicle expenses 1 217 1 753
Auditors’ remuneration – audit review of financial report 475 461
Travel 2 015 1 749
Telecommunication 2 600 2 553
Compensation payments 5 228 1 765
Consultants’ fees 948 1 812
State taxes 1 599 1 432
Other 13 623 12 556
104 635 105 838

Note 11: Depreciation and Amortisation


2007 2006
$’000 $’000
Depreciation
Residential properties 253 403 242 649
Commercial properties 439 611
Community purpose built properties 696 600
Leasehold improvements 1 232 981
Computer hardware 920 827
Office furniture and equipment 358 232
Motor vehicles 1 642 1 639
Total depreciation 258 690 247 539
Amortisation
Intangible assets (Note 21(i)) 1 523 1 925
Total depreciation and amortisation 260 213 249 464

Housing NSW Annual Report 2006/07 123


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 12: Grants Expense


2007 2006
$’000 $’000
Community housing groups – headleasing program 49 538 47 528
Rental assistance 24 745 24 062
Grants to government and government related organisations 431 597
Grants to disadvantaged groups 9 007 8 868
Grants to local governments 109 7 337
Housing grants 2 506 2 358
Tenant participation 1 168 1 222
Housing Community Assistance Program 678 577
Community renewal 207 262
Grant to NSW Businesslink Pty Ltd (i) 27 434 30 233
Other 9 439 2 803
Total grants expense 125 262 125 847

(i) As noted in Note 4(i)a), the Department paid $27.4 million (2006 – $30.2 million) to NSW Businesslink Pty Ltd for the provision of
corporate services, including reimbursable expenditure and project costs.

Note 13: Finance Costs


2007 2006
$’000 $’000
Finance costs comprise:
Interest on interest bearing liabilities
State advances – Commonwealth loans 55 859 56 894
NSW Treasury Corporation 10 892 9 511
Other 456 659
67 207 67 064
Interest on loan payable – PEP 21 087 17 099
Total finance cost 88 294 84 163

124 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 14: Disposal of Assets


2007 2006
$’000 $’000
(i) Sale of assets
Residential properties
Sales proceeds 130 508 71 649
Less: selling expenses 3 152 1 972
Net proceeds 127 356 69 677
Less: written down value of assets sold 144 537 76 094
Loss (17 181) (6 417)
Commercial properties
Sales proceeds – 3 572
Less: selling expenses 1
Net proceeds – 3 571
Less: written down value of assets sold – 2 725
Gain – 846
Land
Sales proceeds 18 209 6 919
Less: selling expenses 210 358
Net proceeds 17 999 6 561
Less: value of assets sold 14 531 7 435
Gain/(loss) 3 468 (874)
Motor vehicles
Sales proceeds 4 673 5 762
Less: selling expenses 86 116
Net proceeds 4 587 5 646
Less: written down value of assets sold 5 621 6 658
Loss (1 034) (1 012)
Office furniture and equipment
Sales proceeds – 7
Less: selling expenses – –
Net proceeds – 7
Less: written down value of assets sold – –
Gain – 7
Loss on sale of assets (14 747) (7 450)
Total asset sales
Sales proceeds 153 390 87 909
Less: selling expenses 3 448 2 447
Net proceeds 149 942 85 462
Less: written down value of assets sold 164 689 92 912
Loss on sale of assets (14 747) (7 450)

Housing NSW Annual Report 2006/07 125


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 14: Disposal of Assets (continued)


2007 2006
$’000 $’000
(ii) Assets demolished
Written down value of demolished properties (Note 20(i)(ii)) (24 073) (16 456)
In accordance with the Department’s strategic asset management program, properties that meet certain
criteria may be demolished in order to provide appropriate housing facilities in a cost effective manner.
(iii) Assets written off
Property, plant and equipment (Note 20(i)(ii)) (582) (5 018)
Intangible asset (Note 21(i)(ii)) – (1 009)
Project cost written off (213) –
Impairment – non-current assets classified as held for sale (Note 19) (374) (897)
Assets written off (1 169) (6 924)
Total loss on disposal of assets (39 989) (30 830)
(iv) Sale of assets held for sale
Residential properties
Sales proceeds 12 830 –
Less: selling expenses 307 –
Net proceeds 12 523 –
Less: written down value of assets sold 12 614 –
Loss (91) –
Commercial properties
Sales proceeds 33 525 –
Less: selling expenses 125 –
Net proceeds 33 400 –
Less: written down value of assets sold 20 116 –
Gain 13 284 –
Gain on sale of assets held for sale 13 193 –
Total sales of assets held for sale
Sales proceeds 46 355 –
Less: selling expenses 432 –
Net proceeds 45 923 –
Less: written down value of assets sold (Note 19) 32 730 –
Gain on sale of assets held for sale 13 193 –

Note 15: Current Assets – Cash and Cash Equivalents


2007 2006
$’000 $’000
Cash on hand and at bank 42 498 30 817
Deposits at call
Treasury Corporation – money market 27 303 3 893
Treasury Corporation – Hour Glass cash facilities 124 122 95 988
Total cash and cash equivalent 193 923 130 698

126 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 16: Current Assets – Receivables


2007 2006
$’000 $’000
Current
Rental debtors 36 578 35 473
Less: allowance for impairment (i) 29 636 29 241
Net 6 942 6 232
Property sales debtors 1 611 1 016
Commercial property sales debtors 164 150
Sundry debtors 3 456 2 469
Less: allowance for impairment (ii) 247 121
Net 3 209 2 348
Receivables – other government departments (iii) 8 259 10 552
Total current receivables 20 185 20 298
(i) The movement in the allowance for impairment of rental debtors is as follows:
Balance, 1 July 29 241 29 784
AASB 139 Impairment testing adjustment – 1 788
Balance under AEIFRS, 1 July 29 241 31 572
Debts written off (8 874) (8 000)
Increase in allowance for impairment 9 269 5 669
Balance, 30 June 29 636 29 241
(ii) The movement in the allowance for impairment of sundry debtors is as follows:
Balance, 1 July 121 57
Debts written off (170) –
Allowance for impairment 296 64
Balance, 30 June 247 121
(iii) This includes $7.612 million (2006 – $9.907 million) receivable from the Aboriginal Housing Office in
respect of construction project management services provided by the Department.
(iv) The movement in the aggregate allowance for impairment in receivables is as follows:
Balance, 1 July 29 362 29 841
AASB 139 Impairment testing adjustment – 1 788
Balance under AEIFRS, 1 July 29 362 31 629
Debts written off (9 044) (8 000)
Increase in allowance for impairment 9 565 5 733
Balance, 30 June 29 883 29 362

Housing NSW Annual Report 2006/07 127


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 17: Current/Non-current Assets – Other Financial Assets


The Department derives its investment powers from Part 2, Schedule 4 of the Public Authorities (Financial Arrangements) Act 1987.
Other financial assets comprise the following investments:
2007 2006
$’000 $’000
Current
Held to maturity
Investment in bonds – other 10 188 10 094
Total other financial assets held to maturity 10 188 10 094
Loans and receivables
Bank bills and deposits 21 854 76 529
Loans – Mortgage Assistance Scheme 715 782
Less: allowance for impairment (i) 21 –
Net 694 782
Mortgage receivable 483 1 265
Total loans and receivables 23 031 78 576
Total current other financial assets 33 219 88 670
Non-current
Held to maturity
Investment in bonds – PEP1 128 126 120 306
Investment in bonds – other 5 164 15 551
Total other financial assets held to maturity 133 290 135 857
Loans and receivables
Loans – Mortgage Assistance Scheme 2 363 1 736
Less: allowance for impairment (i) – –
Net 2 363 1 736
Mortgage receivable 2 372 2 327
Total loans and receivables 4 735 4 063
Rental Housing Assistance Fund (Note 2q)) 23 1 499
Total non-current other financial assets 138 048 141 419
Total other financial assets 171 267 230 089

128 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 17: Current/Non-current Assets – Other Financial Assets (continued)


(i) The movement in the allowance for impairment in loans under the Mortgage Assistance Scheme is as follows:

2007 2006
$’000 $’000
Current
Balance, 1 July – 36
AASB 139 Impairment testing adjustment – (36)
Balance under AEIFRS, 1 July – –
Debts written off – –
Allowance for impairment 21
Balance, 30 June 21 –
Non-current
Balance, 1 July – 98
AASB 139 Impairment testing adjustment – (98)
Balance under AEIFRS, 1 July – –
Debts written off – –
Balance, 30 June – –

Note 18: Current/Non-current Assets – Pre-payments


2007 2006
$’000 $’000
Current
Employer’s contribution to superannuation (i) 15 974 15 171
Headleasing 3 212 3 018
Other 531 681
19 717 18 870
Non-current
Employer’s contribution to superannuation (i) 14 721 19 341
Total pre-payments 34 438 38 211

Disclosures required under paragraph 120A of AASB 119 Employee Benefits are provided below:
(i) Accounting policy (AASB 119 – paragraph 120A a))
Actuarial gains and losses are recognised immediately in profit and loss in the year in which they occur.
(ii) Fund information (AASB 119 – paragraph 120A b))
The Pooled Fund holds in trust the investments of the closed NSW public sector superannuation schemes:
> State Authorities Superannuation Scheme (SASS)
> State Superannuation Scheme (SSS)
> Police Superannuation Scheme (PSS)
> State Authorities Non-contributory Superannuation Scheme (SANCS).
These schemes are all defined benefits schemes – at least a component of the final benefit is derived from a multiple of member salary and
years of membership.
All the schemes are closed to new members.

Housing NSW Annual Report 2006/07 129


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


(iii) Superannuation position
Basis – AASB 119
SASS SANCS SSS TOTAL
2007 2007 2007 2007 2007
Member numbers
Contributors 272 495 223
Deferred benefits – – 50
Pensioners 1 – 477
Pensions fully commuted – – 259

Superannuation position for AASB 119 purposes $’000 $’000 $’000 $’000
Accrued liability 53 109 14 373 262 464 329 946
Estimated reserve account balance (68 006) (21 524) (436 102) (525 632)
(14 897) (7 151) (173 638) (195 686)
Future service liability (Note 1) (13 061) (6 095) (11 539) (30 695)
Surplus in excess of recovery available from schemes 12 560 6 030 146 401 164 991
Net (asset)/liability to be recognised in balance sheet (2 337) (1 121) (27 237) (30 695)

SASS SANCS SSS TOTAL


2006 2006 2006 2006 2006
Member numbers
Contributors 278 505 227
Deferred benefits – – 49
Pensioners 1 – 474
Pensions fully commuted – – 257
Superannuation position for AASB 119 purposes $’000 $’000 $’000 $’000
Accrued liability 47 254 13 563 266 152 326 969
Estimated reserve account balance (60 001) (19 404) (382 995) (462 400)
(12 747) (5 841) (116 843) (135 431)
Future service liability (Note 1) (13 966) (6 545) (14 001) (34 512)
Surplus in excess of recovery available from schemes 9 499 4 352 87 068 100 919
Net (asset)/liability to be recognised in balance sheet (3 248) (1 489) (29 775) (34 512)

Note 1: The future service liability (FSL) does not have to be recognised by an employer. It is only used to determine if an asset ceiling limit
should be imposed (AASB 119, paragraph 58). Under AASB 119, any pre-paid superannuation asset recognised cannot exceed
the total of any unrecognised past service cost and the present value of any economic benefits that may be available in the form
of refunds from the plan or reductions in future contributions to the plan. Where the ‘surplus in excess of recovery’ is zero, no asset
ceiling limit is imposed.

130 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


(iv) Reconciliation of the present value of the defined benefit obligation (AASB 119 – paragraph 120A c))
SASS SANCS SSS TOTAL
2007 2007 2007 2007
2007 $’000 $’000 $’000 $’000
Present value of partly funded defined benefit obligations at 47 254 13 563 266 152 326 969
beginning of the year
Current service cost 2 069 768 1 932 4 769
Interest cost 2 715 768 15 403 18 886
Contributions by fund participants 1 076 – 1 875 2 951
Actuarial (gains)/losses 2 645 (146) (18 455) (15 956)
Benefits paid (2 650) (580) (4 443) (7 673)
Past service cost – – – –
Curtailments – – – –
Settlements – – – –
Business combinations – – – –
Exchange rate changes – – – –
Present value of partly funded defined benefit obligations at
end of the year 53 109 14 373 262 464 329 946

SASS SANCS SSS TOTAL


2006 2006 2006 2006
2006 $’000 $’000 $’000 $’000
Present value of partly funded defined benefit obligations at 46 044 13 765 292 737 352 546
beginning of the year
Current service cost 2 151 780 2 615 5 546
Interest cost 2 722 688 15 642 19 052
Contributions by fund participants 1 008 – 1 771 2 779
Actuarial (gains)/losses (2 108) (1 211) (35 928) (39 247)
Benefits paid (2 563) (459) (10 685) (13 707)
Past service cost – – – –
Curtailments – – – –
Settlements – – – –
Business combinations – – – –
Exchange rate changes – – – –
Present value of partly funded defined benefit obligations at 
end of the year 47 254 13 563 266 152 326 969

Housing NSW Annual Report 2006/07 131


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


(v) Reconciliation of the fair value of fund assets (AASB 119 – paragraph 120A e))
SASS SANCS SSS TOTAL
2007 2007 2007 2007
2007 $’000 $’000 $’000 $’000
Fair value of Fund assets at beginning of the year 60 001 19 404 382 995 462 400
Expected return on fund assets 4 464 1 432 28 715 34 611
Actuarial gains/(losses) 5 067 1 268 26 885 33 220
Employer contributions 48 – 75 123
Contributions by Fund participants 1 076 – 1 875 2 951
Benefits paid (2 650) (580) (4 443) (7 673)
Settlements – – – –
Business combinations – – – –
Exchange rate changes – – – –
Fair value of Fund assets at end of the year 68 006 21 524 436 102 525 632

SASS SANCS SSS TOTAL


2006 2006 2006 2006
2006 $’000 $’000 $’000 $’000
Fair value of Fund assets at beginning of the year 43 271 12 385 352 199 407 855
Expected return on fund assets 3 185 900 26 317 30 402
Actuarial gains/(losses) 3 856 1 278 29 850 34 984
Employer contributions 11 244 5 300 (16 457) 87
Contributions by Fund participants 1 008 – 1 771 2 779
Benefits paid (2 563) (459) (10 685) (13 707)
Settlements – – – –
Business combinations – – – –
Exchange rate changes – – – –
Fair value of Fund assets at end of the year 60 001 19 404 382 995 462 400

132 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


(vi) Reconciliation of the assets and liabilities recognised in the balance sheet
(AASB 119 – paragraphs 120A d) and f))
SASS SANCS SSS TOTAL
2007 2007 2007 2007
2007 $’000 $’000 $’000 $’000
Present value of partly funded defined benefit
obligations at end of year 53 109 14 373 262 464 329 946
Fair value of fund assets at end of year (68 006) (21 524) (436 102) (525 632)
Subtotal (14 897) (7 151) (173 638) (195 686)
Unrecognised past service cost – – – –
Unrecognised gain/(loss) – – – –
Adjustment for limitation on net asset 12 560 6 030 146 401 164 991
Net liability/(asset) recognised in balance sheet at end of year (2 337) (1 121) (27 237) (30 695)

SASS SANCS SSS TOTAL


2006 2006 2006 2006
2006 $’000 $’000 $’000 $’000
Present value of partly defined benefit obligations at end of year 47 254 13 563 266 152 326 969
Fair value of fund assets at end of year (60 001) (19 404) (382 995) (462 400)
Subtotal (12 747) (5 841) (116 843) (135 431)
Unrecognised past service cost
Unrecognised gain/(loss) – – – –
Adjustment for limitation on net asset 9 499 4 352 87 068 100 919
Net liability/(asset) recognised in balance sheet at end of year (3 248) (1 489) (29 775) (34 512)

(vii) Expense recognised in income statement (AASB 119 – paragraphs 46 and 120 g))
SASS SANCS SSS TOTAL
2007 2007 2007 2007 2007
Components recognised in income statement $’000 $’000 $’000 $’000
Current service cost 2 069 768 1 932 4 769
Interest cost 2 715 768 15 403 18 886
Expected return on Fund assets (net of expenses) (4 464) (1 432) (28 715) (34 611)
Actuarial losses/(gains) recognised in year (2 422) (1 414) (45 340) (49 176)
Past service cost – – – –
Movement in adjustment for limitation on net asset 3 061 1 678 59 333 64 072
Curtailment or settlement (gain)/loss – – – –
Expense/(income) recognised 959 368 2 613 3 940

Housing NSW Annual Report 2006/07 133


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


SASS SANCS SSS TOTAL
2006 2006 2006 2006 2006
Components recognised in income statement $’000 $’000 $’000 $’000
Current service cost 2 151 780 2 615 5 546
Interest cost 2 722 688 15 642 19 052
Expected return on Fund assets (net of expenses) (3 185) (900) (26 317) (30 402)
Actuarial losses/(gains) recognised in year (5 965) (2 489) (65 778) (74 232)
Past service cost – – – –
Movement in adjustment for limitation on net asset 9 499 4 352 73 604 87 455
Curtailment or settlement (gain)/loss – – – –
Expense/(income) recognised 5 222 2 431 (234) 7 419

(viii) A
 mounts recognised in the statement of recognised income and expense
(AASB 119 – paragraph 120A h))
SASS SANCS SSS
2007 2007 2007
2007 $’000 $’000 $’000
Actuarial (gains)/losses – – –
Adjustment for limit on net asset – – –

SASS SANCS SSS


2006 2006 2006
2006 $’000 $’000 $’000
Actuarial (gains)/losses – – –
Adjustment for limit on net asset – – –

(ix) C
 umulative amount recognised in the statement of recognised income and expense
(AASB 119 – paragraph 120A i))
SASS SANCS SSS
2007 2007 2007
2007 $’000 $’000 $’000
Cumulative amount of actuarial (gains)/losses – – –
Cumulative adjustment for limitation on net asset – – –

SASS SANCS SSS


2006 2006 2006
2006 $’000 $’000 $’000
Cumulative amount of actuarial (gains)/losses – – –
Cumulative adjustment for limitation on net asset – – –

134 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


(x) Fund assets (AASB 119 – paragraph 120A j))
The percentage invested in each asset class at the balance sheet date:

2007 2006
% %
Australian equities 33.6 37.4
Overseas equities 26.5 27.9
Australian fixed interest securities 6.8 9.9
Overseas fixed interest securities 6.4 6.8
Property 10.1 8.6
Cash 9.8 5.0
Other 6.8 4.4

(xi) Fair value of Fund assets (AASB 119 – paragraph 120A k))
All Fund assets are invested by STC at arm’s length through independent fund managers.
(xii) Expected rate of return on assets (AASB 119 – paragraph 120A l))
The expected return on assets assumption is determined by weighting the expected long-term return for each asset class by the target
allocation of assets to each class. The returns used for each class are net of investment tax and investment fees
(xiii) Actual return on Fund assets (AASB 119 – Paragraph 120A m))
SASS SANCS SSS TOTAL
2007 2007 2007 2007
2007 $’000 $’000 $’000 $’000
Actual return on Fund assets 8 473 2 700 54 025 65 198

SASS SANCS SSS TOTAL


2006 2006 2006 2006
2006 $’000 $’000 $’000 $’000
Actual return on Fund assets 7 132 2 178 54 299 63 609

(xiv) V
 aluation method and principal actuarial assumptions at the balance sheet date
(AASB 119 – Paragraph 120A n))
a) Valuation method
The Projected Unit Credit (PUC) valuation method was used to determine the present value of the defined benefit obligations and the related
current service costs. This method sees each period of service as giving rise to an additional unit of benefit entitlement and measures each
unit separately to build up the final obligation.

b) Economic assumptions
30 June 2007 30 June 2006

Salary increase rate (excluding promotional increases) 4.0% pa to June 2008; 4.0% pa to June 2008; 3.5%
3.5% pa thereafter pa thereafter
Rate of CPI increase 2.5% pa 2.5% pa
Expected rate of return on assets backing current pension liabilities 7.6% 7.6%
Expected rate of return on assets backing other liabilities 7.6% 7.6%
Discount rate 6.4% pa 5.9% pa

Housing NSW Annual Report 2006/07 135


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


c) Demographic Assumptions
The demographic assumptions at 30 June 2007 and 30 June 2006 are those used in the 2006 triennial actuarial valuation. A selection of
the most financially significant assumptions is shown below:
1. SASS contributors – the number of SASS contributors expected in any one year (out of 10,000 members), at the ages shown, to leave
the fund as a result of death, disability, resignation, retirement and redundancy. Promotional salary increase rates are also shown.

2007 Number of members expected in any one year, out of


10,000 members at the age shown, to leave the fund as a result of:
Age Total & Additional
nearest permanent promotional salary
birthday Death disability Retirement Resignation Redundancy increase rate %
Males
30 4 8 – 280 150 2.90
40 6 10 – 150 150 1.80
50 11 30 – 112 150 0.00
60 30 – 1 400 – 150 0.00
Females
30 2 2 – 372 150 2.90
40 3 6 – 175 150 1.80
50 7 28 – 144 150 0.00
60 18 – 1 500 – 150 0.00

2006 Number of members expected in any one year, out of


10,000 members at the age shown, to leave the fund as a result of:
Age Total & Additional
nearest permanent promotional salary
birthday Death disability Retirement Resignation Redundancy increase rate %
Males
30 4 8 – 280 150 2.90
40 6 10 – 150 150 1.80
50 11 30 – 112 150 0.00
60 30 – 1 400 – 150 0.00
Females
30 2 2 – 372 150 2.90
40 3 6 – 175 150 1.80
50 7 28 – 144 150 0.00
60 18 – 1 500 – 150 0.00

136 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


2. SSS contributors – the number of SSS contributors expected in any one year (out of 10 000 members), at the ages shown, to leave the
fund as a result of death, disability, resignation, retirement and preservation. Promotional salary increase rates are also shown.

2007 Number of members expected in any one year, out of


10 000 members at the age shown, to leave the fund as a result of: Additional
Cash promotional
Retirement resignation Preservation salary
Age nearest Ill-health (R60 for (R60 for (R60 for increase
birthday Death retirement females) females) females) rate %
Males
30 4 42 – 178 95 2.90
40 6 54 – 80 140 1.80
50 11 144 – 20 50 0.00
60 30 – 6 500 – – 0.00
Females
30 2 6 – 204 124 2.90
40 3 21 – 72 105 1.80
50 7 103 – 30 90 0.00
60 18 – 6 300 – – 0.00

2006 Number of members expected in any one year, out of


10 000 members at the age shown, to leave the fund as a result of: Additional
Cash promotional
Retirement resignation Preservation salary
Age nearest Ill-health (R60 for (R60 for (R60 for increase
birthday Death retirement females) females) females) rate %
Males
30 4 42 – 178 95 2.90
40 6 54 – 80 140 1.80
50 11 144 – 20 50 0.00
60 30 – 6 500 – – 0.00
Females
30 2 6 – 204 124 2.90
40 3 21 – 72 105 1.80
50 7 103 – 30 90 0.00
60 18 – 6 300 – – 0.00

Housing NSW Annual Report 2006/07 137


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


3. SSS commutation – the proportion of SSS members assumed to commute their pension to a lump sum in any one year.

2007 Proportion of pension commuted


Age Retirement Breakdown
Later of commencement or age 55 .15 .20
Widow Widower
55 .2500 .2500
65 .5380 .5800
75 .4825 .5160
85 .3928 .3728

2006 Proportion of pension commuted


Age Retirement Breakdown
Later of commencement or age 55 .15 .20
Widow Widower
55 .2500 .2500
65 .5380 .5800
75 .4825 .5160
85 .3928 .3728

4. SSS pensioner mortality


Assumed mortality rates (in 2006/07) for SSS pensioners (separately for normal retirement/spouses and invalidity).

2007 Retirement pensioners and spouses and widows Invalidity pensioners


Age Males Females Males Females
55 0.0025 0.0014 0.0081 0.0066
65 0.0070 0.0055 0.0112 0.0125
75 0.0194 0.0157 0.0505 0.0314
85 0.0945 0.0634 0.1134 0.1268

Assumed mortality rates (in 2005/06) for SSS pensioners (separately for normal retirement/spouses and invalidity).

2006 Retirement pensioners and spouses and widows Invalidity pensioners


Age Males Females Males Females
55 0.0025 0.0014 0.0081 0.0066
65 0.0070 0.0055 0.0112 0.0125
75 0.0194 0.0157 0.0505 0.0314
85 0.0945 0.0634 0.1134 0.1268

138 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


5. SSS pensioner mortality improvements – per annum assumed rates of mortality improvement for SSS pensioners.

2007 Improvement rates (for years post 2006)


Age Males Females
55 0.0152 0.0113
65 0.0101 0.0065
75 0.0087 0.0068
85 0.0052 0.0080

2006 Improvement rates (for years post 2006)


Age Males Females
55 0.0152 0.0113
65 0.0101 0.0065
75 0.0087 0.0068
85 0.0052 0.0080

(xv) Historical information (AASB 119 – paragraph 120A p))


SASS SANCS SSS TOTAL
2007 2007 2007 2007
2007 $’000 $’000 $’000 $’000
Present value of defined benefit obligation 53 109 14 373 262 464 329 946
Fair value of fund assets (68 006) (21 524) (436 102) (525 632)
(Surplus)/deficit in fund (14 897) (7 151) (173 638) (195 686)
Experience adjustments – fund liabilities 2 645 (146) (18 455) (15 956)
Experience adjustments – fund assets (5 067) (1 268) (26 885) (33 220)

SASS SANCS SSS TOTAL


2006 2006 2006 2006
2006 $’000 $’000 $’000 $’000
Present value of defined benefit obligation 47 254 13 563 266 152 326 969
Fair value of fund assets (60 001) (19 404) (382 995) (462 400)
(Surplus)/deficit in fund (12 747) (5 841) (116 843) (135 431)
Experience adjustments – fund liabilities (2 108) (1 211) (35 928) (39 247)
Experience adjustments – fund assets (3 856) (1 278) (29 850) (34 984)

Housing NSW Annual Report 2006/07 139


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


(xvi) Expected contributions (AASB 119 – paragraph 120A q))
SASS SANCS SSS
2007 2007 2007
2007 $’000 $’000 $’000
Expected employer contributions – – –

SASS SANCS SSS


2006 2006 2006
2006 $’000 $’000 $’000
Expected employer contributions – – –

(xvii) Funding arrangements for employer contributions – Paragraph AUS 121.1


a) Surplus/deficit
The following is a summary of the financial position of the Fund calculated in accordance with AAS 25 – Financial Reporting by
Superannuation Plans.

SASS SANCS SSS TOTAL


2007 2007 2007 2007
2007 $’000 $’000 $’000 $’000
Accrued benefits 52 600 14 236 236 625 303 461
Net market value of Fund assets (68 006) (21 524) (436 102) (525 632)
Net (surplus)/deficit (15 406) (7 288) (199 477) (222 171)

SASS SANCS SSS TOTAL


2006 2006 2006 2006
2006 $’000 $’000 $’000 $’000
Accrued benefits 45 517 12 837 224 713 283 067
Net market value of Fund assets (60 001) (19 404) (382 995) (462 400)
Net (surplus)/deficit (14 484) (6 567) (158 282) (179 333)

b) Contribution recommendations
Recommended contribution rates for 30 June 2007 and 30 June 2006 are:

SASS SANCS SSS


Multiple of member contributions % member salary Multiple of member contributions
0.00 0.00 0.00

c) Funding method
The method used to determine the employer contribution recommendations at the last actuarial review was the aggregate funding method.
The method adopted affects the timing of the cost to the employer.
Under the aggregate funding method, the employer contribution rate is determined so that sufficient assets will be available to meet benefit
payments to existing members, taking into account the current value of assets and future contributions.

140 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 18: Current/Non-current Assets – Pre-payments (continued)


d) Economic assumptions
The economic assumptions adopted for the current actuarial review of the Fund were:

30 June 30 June
Weighted – average assumptions 2007 2006
Expected rate of return on Fund assets backing current pension liabilities 7.7% pa 7.7% pa
Expected rate of return on Fund assets backing other liabilities 7.0% pa 7.0% pa
Expected salary increase rate 4.0% pa 4.0% pa
Expected rate of CPI increase 2.5% pa 2.5% pa

(xviii) Nature of asset/liability – Paragraph AUS 121.2


If a surplus exists in the employer’s interest in the Fund, the employer may be able to take advantage of it in the form of a reduction in the
required contribution rate, depending on the advice of the Fund’s actuary.
Where a deficiency exists, the employer is responsible for any difference between the employer’s share of fund assets and the defined
benefit obligation.

Note 19: Non-current Assets Classified as Held for Sale


2007 2006
$’000 $’000
Residential properties (i) 30 640 36 121
Commercial properties (ii) – 20 116
Total assets classified as held for sale 30 640 56 237
An impairment loss on the measurement of assets classified as held for sale to fair value less cost
to sell has been recognised and is included in Assets Written Off (Note14(iii)) and comprises:
Residential properties –
Net carrying amount at the time of reclassification 31 014 36 764
Less: Fair value less cost to sell (30 640) (36 121)
Impairment loss 374 643
Commercial properties –
Net carrying amount at the time of reclassification (Note 20 (i)(ii)) – 20 370
Less: Fair value less cost to sell – (20 116)
Impairment loss – 254
Total impairment loss on measurement of assets classified as held for sale 374 897

Housing NSW Annual Report 2006/07 141


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 19: Non-current Assets Classified as Held for Sale (continued)


2007 2006
$’000 $’000
Reconciliations
Reconciliations of the total carrying amounts of assets classified as held for sale at the beginning and end
of the current and previous financial year are set out below.
Carrying amount at start of year 56 237 –
Additions/capital improvements 39 –
Sale of assets – written down value (Note 14 (iv)) (32 730) –
Impairment loss (374) –
Decrement on reinstatement of non-current assets (82) –
Reclassified from non-current assets to assets held for sale (Note 20 (i)(ii)) 16 728 56 237
Reclassified from assets held for sale to non-current assets (Note 20 (i)(ii)) (9 178) –
Carrying amount at end of year 30 640 56 237
Amount recognised in equity relating to assets held for sale
Asset revaluation increment/(decrement) reclassified from residential and commercial properties to asset
revaluation increment/(decrement) for assets classified as held for sale:
Carrying amount at start of year 8 201 –
Residential properties asset revaluation reserve increment/(decrement) (2 929) (686)
Commercial properties asset revaluation reserve increment/(decrement) – 8 887
Total amount recognised in equity 5 272 8 201

(i) Residential properties classified as held for sale relate to properties held under the Public Equity Partnership Scheme. Under this
Scheme, properties are required to be sold when they meet pre-determined criteria. By the expiration of the schemes in 2011 and
2013, all of the relevant properties will be sold.
The residential properties classified under this category are expected to be sold in the following financial year through a number of
disposal options, including auctioning the properties.
(ii) In line with the Department’s strategy to rationalise its property holdings, the commercial property classified as held for sale was
disposed in 2006/07.

142 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 20: Non-current Assets – Property, Plant and Equipment


2007 2006
$’000 $’000
Property
Residential properties
Land, at gross carrying amount 16 535 954 16 511 569
Land, at gross carrying amount – PEP properties (Note 2 p)) 67 243 80 796
16 603 197 16 592 365
Buildings, at gross carrying amount 10 610 594 10 525 303
Buildings, at gross carrying amount – PEP properties (Note 2 p)) 59 055 78 655
10 669 649 10 603 958
Less: Accumulated depreciation 118 315 126 480
10 551 334 10 477 478
Residential properties – net carrying amount (at fair value) 27 154 531 27 069 843
Commercial properties
Land, at gross carrying amount 18 705 21 776
Buildings, at gross carrying amount 26 574 17 782
Less: Accumulated depreciation 260 174
26 314 17 608
Commercial properties – net carrying amount (at fair value) 45 019 39 384
Community purpose built properties
Land, at gross carrying amount 99 924 33 543
Buildings, at gross carrying amount 63 244 9 717
Less: Accumulated depreciation 634 600
62 610 9 117
Community purpose built properties – net carrying amount (at fair value) 162 534 42 660
Land for redevelopment, at fair value 140 237 116 872
Vacant land, at fair value 54 297 68 092
Work in progress, at gross carrying amount 240 611 134 496
Leasehold improvements
Leasehold improvements, at cost 10 440 5 602
Less: Accumulated depreciation 3 085 1 853
7 355 3 749
Total property – net carrying amount (at fair value) 27 804 584 27 475 096

Housing NSW Annual Report 2006/07 143


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 20: Non-current Assets – Property, Plant and Equipment (continued)


2007 2006
$’000 $’000
Plant and equipment
Computer hardware, at gross carrying amount 10 537 5 406
Less: Accumulated depreciation 2 226 1 306
8 311 4 100
Office furniture and equipment, at gross carrying amount 1 718 1 040
Less: Accumulated depreciation 678 399
1 040 641
Motor vehicles, at gross carrying amount 14 183 13 541
Less: Accumulated depreciation 1 653 1 560
12 530 11 981
Total plant and equipment – net carrying amount (at fair value) 21 881 16 722
Total property, plant and equipment – net carrying amount (at fair value) 27 826 465 27 491 818

The Department’s property portfolio was revalued at 31 December 2006 by independent professional valuers and senior officers of the
Department, in accordance with the accounting policy detailed in Note 2 m)(ii).

144 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 20: Non-current Assets – Property, Plant and Equipment (continued)


(i) Reconciliations
Reconciliations of the carrying amounts of each class of property, plant and equipment at the beginning and end of the current and previous
financial year are set out below.

Computer
Community Land held Lease- hardware,
purpose for re- hold office
Residential Commercial built develop- Vacant Work in improve- furniture & Motor
properties properties properties ment land progress ments equipment vehicle Total
$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000
2007
Net carrying amount
at start of year 27 069 843 39 384 42 660 116 872 68 092 134 496 3 749 4 741 11 981 27 491 818
Additions/capital
improvements 195 324 511 3 1 036 – 303 761 4 838 5 893 7 812 519 178
Transfers to
completed properties 245 320 – – – (245 320) – – – –
Reclassified as
assets held for sale
– Reclassified from
non-current assets
to assets held for
sale (Note 19) (16 728) – – – – – – – – (16 728)
– Reclassified from
assets held for
sale to non-current
assets (Note 19) 9 178 – – – – – – – – 9 178
Sales (142 631) – – (2 133) (12 399) – – – (5 621) (162 784)
Transfers to
Aboriginal Housing
Office (1 868) – – (38) – – – – – (1 906)
Transfers from
Aboriginal Housing
Office 354 – – – – – – – – 354
Transfers between
classes (114 485) – 48 949 17 974 – 47 562 – – – –
Demolitions
(Note 14(ii)) (24 073) – – – – – – – – (24 073)
Write-off (Note 14(iii)) (577) – – – – – – (5) – (582)
Revaluation
increment/
(decrement)
(Note 26) 188 277 5 563 71 618 6 526 (1 396) 112 – – – 270 700
Depreciation
expense (Note 11) (253 403) (439) (696) – – – (1 232) (1 278) (1 642) (258 690)
Net carrying
amount at end
of year 27 154 531 45 019 162 534 140 237 54 297 240 611 7 355 9 351 12 530 27 826 465

Housing NSW Annual Report 2006/07 145


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 20: Non-current Assets – Property, Plant and Equipment (continued)


(ii) Reconciliations
Reconciliations of the carrying amounts of each class of property, plant and equipment at the beginning and end of the current and previous
financial year are set out below.

Computer
Community Land held Lease- hardware,
purpose for re- hold office
Residential Commercial built develop- Vacant Work in improve- furniture & Motor
properties properties properties ment land progress ments equipment vehicle Total
$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000
2006
Net carrying amount
at start of year 27 884 792 52 542 43 260 127 734 53 817 142 093 2 101 1 485 11 467 28 319 291
Additions/capital
improvements 167 265 808 – – – 171 279 2 629 4 406 8 811 355 198
Transfers to
completed
properties 216 667 – – – – (216 667) – – – –
Reclassified as
assets held for sale
(Note 19) (36 764) (20 370) – – – – – – – (57 134)
Sales (74 358) (2 725) – (7 121) (311) – – – (6 658) (91 173)
Transfers to
Aboriginal Housing
Office (1 736) – – – (3) – – – – (1 739)
Transfers from
Aboriginal Housing
Office 397 – – – – – – – – 397
Transfers between
classes (56 647) – – 13 611 (17) 43 053 – – – –
Demolitions
(Note 14(ii)) (16 456) – – – – – – – – (16 456)
Write-off
(Note 14(iii)) (3 174) – – (175) (1 453) (125) (91) – (5 018)
Revaluation
increment/
(decrement)
(Note 26) (767 494) 9 740 – (17 177) 16 059 (5 137) – – – (764 009)
Depreciation
expense (Note 11) (242 649) (611) (600) – – – (981) (1 059) (1 639) (247 539)
Net carrying
amount at end
of year 27 069 843 39 384 42 660 116 872 68 092 134 496 3 749 4 741 11 981 27 491 818

146 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 21: Intangible Assets


2007 2006
$’000 $’000
Software, cost 14 505 6 751
Less: accumulated amortisation and impairment 3 067 1 544
Total intangible assets 11 438 5 207
(i) Reconciliations
Reconciliations of the carrying amounts of software at the beginning and end of the current and previous
financial year are set out below.
Carrying amount at start of year 5 207 3 198
Additions/capital improvements 7 754 4 943
Assets written off (Note 14(iii)) – (1 009)
Amortisation (Note 11) (1 523) (1 925)
Carrying amount at end of year 11 438 5 207

Note 22: Current Liabilities – Payables


2007 2006
$’000 $’000
Trade creditors 26 695 23 335
Rent received in advance 30 962 27 804
Other creditors – credit balances in sundry debtors 463 735
Accrued employee related payments 4 572 3 090
Accrued operating expenditure 62 006 50 136
Accrued capital expenditure 103 489 69 158
Other creditors 4 723 8 772
232 910 183 030

Housing NSW Annual Report 2006/07 147


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 23: Current/Non-current Liabilities – Borrowings


2007 2006
$’000 $’000
Current
State advances – Commonwealth loans 13 847 14 106
NSW Treasury Corporation 15 616 –
Other 309 296
Total current interest bearing liabilities 29 772 14 402
Non-current
State advances – Commonwealth loans 520 705 534 553
NSW Treasury Corporation 134 086 174 524
Loan payable – PEP 241 289 234 227
Other 9 181 9 490
Total non-current interest bearing liabilities 905 261 952 794
Total interest bearing liabilities (i) 935 033 967 196

(i) The nominal values of borrowings are reconciled to the AEIFRS balance reported in the Balance Sheet as follows:

2007 2006
$’000 $’000
Nominal values of borrowings 1 396 629 1 432 687
Less: Re-measurement adjustment under AEIFRS (461 596) (465 491)
AEIFRS balance reported in Balance Sheet 935 033 967 196

(ii) The nominal values of borrowings are expected to be repaid as follows:

Interest
Principal payable
30 June from 1 July 2007 2006
2007 2007 Total Total
$’000 $’000 $’000 $’000
Not later than one year 45 909 68 130 114 039 108 192
Later than one year but no later than five years 418 971 248 260 667 231 446 447
Later than five years 931 749 540 855 1 472 604 1 817 425
Total cash outflow 1 396 629 857 245 2 253 874 2 372 064

Interest payable was estimated on the basis of prevailing interest rates as at 30 June 2007. Furthermore, it was assumed the loans payable
to the NSW Treasury Corporation will be paid as and when they fall due.

148 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 24: Current/Non-current Liabilities – Provisions


2007 2006
$’000 $’000
Current
Employee benefits and related on-costs
Recreation leave (i) 18 489 17 083
Long-service leave (ii) 37 761 32 112
56 250 49 195
Other provisions
Third-party claims 4 139 3 550
Headleasing refurbishments (iii) 2 328 804
Total current provisions 62 717 53 549
Non-current
Employee benefits and related on-costs
Long-service leave (ii) 2 265 2 009
Other provisions
Headleasing refurbishments (iii) 6 373 7 937
Total non-current provisions 8 638 9 946
Total provisions 71 355 63 495
(i) The movement in the provision for recreation leave is as follows:
Balance, 1 July 17 083 15 154
Recreational leave paid (10 007) (9 276)
Additional provision recognised 11 413 11 205
Balance, 30 June 18 489 17 083

(ii) The movement in the provision for long-service leave is as follows:


Balance, 1 July 34 121 32 404
Long-service leave paid (1 831) (1 327)
Additional provision recognised 7 736 3 044
Balance, 30 June 40 026 34 121
Aggregate employee benefits and related on-costs
Provisions – current 56 250 49 195
Provisions – non-current 2 266 2 009
Accrued employee related payments (Note 22) 4 572 3 090
63 088 54 294
During the year, the Department engaged an actuary to assess the underlying assumptions in determining long-service leave expected to
be settled within 12 months and beyond 12 months from reporting date. The result of this actuarial assessment has been incorporated in
the estimation of the Department’s liability for long-service leave.
(iii) Provision for headleasing refurbishments represents the Department’s contractual obligation to refurbish properties leased from the
private sector and sub-let to public housing tenants. The lease contracts require the Department to refurbish the headleased properties
between the fourth and seventh years of the lease term.
(iv) Expected payout for long-service leave and recreation leave in next 12 months are $8.3 million and $10.7 million respectively.

Housing NSW Annual Report 2006/07 149


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 25 : Other Current/Non-current Liabilities


2007 2006
$’000 $’000
Current
Unearned income – 99-year upfront lease payment (i) 222 222
Total current other liabilities 222 222
Non-current
Unearned income – 99-year upfront lease payment (i) 20 969 21 191
Total non-current other liabilities 20 969 21 191
Total other liabilities 21 191 21 413

(i) Upfront lease payments for leases exceeding 50 years are recognised on a straight-line basis over the lease term in accordance with
AASB 117 Leases and TPP06-3 Lessor Accounting for Prepaid Long Term Leases of Land. They are classified as operating leases
because titles for these assets do not pass at the end of the lease terms and the risks and rewards are not transferred. Adjustment of
99-year lease unearned income for prior years was treated as correction and reflected in the Statement of Changes in Equity (Note 26).

150 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 26: Changes in Equity


Retained earnings Asset Revaluation Reserve (ii) Total
2007 2006 2007 2006 2007 2006
$’000 $’000 $’000 $’000 $’000 $’000
Balance at beginning of financial year 8 917 319 8 467 888 17 811 139 18 679 755 26 728 458 27 147 643
Adjustment of upfront lease payments for 99
year leases (Note 25) – (21 628) – – – (21 628)
AASB 139 First-time adoption
– Re-measurement of impairment of receivables
(i) – (1 654) – – – (1 654)
– Re-measurement of low interest loan payable
(i) – 432 592 – – – 432 592
– Re-measurement of other loans payable at fair
value (i) – (50 655) – – – (50 655)
Restated opening balance 8 917 319 8 826 543 17 811 139 18 679 755 26 728 458 27 506 298
Changes in equity – transaction of owners with
owners
Return of contribution from Home Purchase
Assistance Fund 2 905 2 846 – – 2 905 2 846
Net liabilities transferred from PEP – (38) – – – (38)
Total changes in equity –
transaction of owners with owners 2 905 2 808 – – 2 905 2 808
Changes in equity – other than transactions
with owners as owners
Surplus/(deficit) for the year 19 867 (16 639) – – 19 867 (16 639)
Increment/(decrement) on revaluation of:
– Land and Buildings (Note 20(i)(ii)) – – 270 700 (764 009) 270 700 (764 009)
Total changes in equity – other than
transactions with owners as owners 19 867 (16 639) 270 700 (764 009) 290 567 (780 648)
Transfers within equity
Realised asset revaluation 154 712 104 607 (154 712) (104 607) – –
Balance at end of financial year 9 094 803 8 917 319 17 927 127 17 811 139 27 021 930 26 728 458

(i) AASB 132 and AASB 139 were applied from 1 July 2005. AEIFRS opening equity adjustments for the adoption of AASB 132 and 139
were due to :
a) Impairment testing – Under AASB 139, all financial assets except those measured at fair value through profit or loss are subject to
review for impairment. The standard required a specific impairment test, which needs to be supported by objective evidence that
the group of assets is impaired or uncollectible. This means that the Department can no longer raise a general provision for doubtful
debts. As a result, the allowance for impairment recognised under the previous AGAAP has increased.
b) Low interest loans – Under AASB 139, this type of loan must initially be recognised at fair value, and thereafter at amortised cost.
The fair value of a long-term loan that carries interest below the market is estimated as the present value of all future cash receipts,
discounted using the prevailing market rates of interest for a similar instrument with a similar credit rating. Previously these loans
were measured at nominal amount or face value.
(ii) Nature and purpose of reserve
The asset revaluation reserve is used to record increments and decrements on the revaluation of non-current assets. This is in
accordance with the Department’s policy on ‘Revaluation of Physical Non-current Assets’ as stated in Note 2 m)(ii). Asset revaluation
reserve relating to sold properties is realised and transferred to Retained Earnings during the year of sale.

Housing NSW Annual Report 2006/07 151


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 27: Commitments for Expenditure


2007 2006
$’000 $’000
The commitments reported below are inclusive of Goods and Services Tax.
(i) Capital expenditure a)
Aggregate value of construction contracts signed at balance date and not provided for:
Not later than one year 26 023 27 402
Later than 1 year but not later than 5 years – –
Later than 5 years – –
26 023 27 402
(ii) Operating expenditure a)
Not later than one year 59 394 93 160
Later than 1 year but not later than 5 years – –
Later than 5 years – –
59 394 93 160
(iii) Leases – Headleasing
Aggregate value of lease commitments to the private sector in respect of dwellings used for public housing
purposes under the Department’s headleasing program, contracted for at balance date and not provided
for:
Not later than one year 27 680 27 950
Later than 1 year but not later than 5 years 41 097 49 935
Later than 5 years 1 061 3 962
69 838 81 847
(iv) Leases – Office rent b)
Aggregate value of lease commitments to the private sector in respect of office accommodation contracted
for at balance date and not provided for:
Not later than one year 11 783 10 034
Later than 1 year but not later than 5 years 17 790 18 791
Later than 5 years 518 1 697
30 091 30 522

a) On 23 December 2006, the Department executed the contracts for a Public Private Partnership (PPP) with Bonnyrigg Partners for the
redevelopment of the Bonnyrigg Housing Estate and for the provision of tenancy management, maintenance and other services. The
contract came into effect on 20 April 2007 with satisfaction of all conditions precedent. The contract is for a term of 30 years. Bonnyrigg
Partners are expected to commence provision of services from 20 October 2007 at which time service payments to Bonnyrigg Partners
are expected to commence. Redevelopment of the Estate is expected to be completed in 18 stages over approximately 12 years,
commencing in 2009. The total commitment for Bonnyrigg Project is estimated at $368 million.
b) Commitments in respect of Leases–Office rent and certain operating expenditure are classified as apportionable expenses for GST
purposes. In accordance with a private tax ruling issued by the Australian Taxation Office (ATO), a proportion of these expenses is
considered as not directly related to the Department’s input-taxed activities.
c) By applying the current apportionment percentage, input tax credits amounting to $1.512 million (2006 – $2.557 million) may be
claimed from the ATO when these particular commitments are paid in the future.

Note 28: Deferred Maintenance


During 2006/07, the Department continued the staged implementation of the Maintenance Reform Program, which is designed to allow full
testing of the various principles within a contained environment.
Major milestones achieved during the period include completion of works in the five Stage 1 priority pilot areas and finalisation of the
contract management framework in preparation for portfolio-wide rollout of the program.

152 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 28: Deferred Maintenance (continued)


The results of the priority pilot areas have proven very positive, with an analysis of the savings achieved through bundling of works programs
demonstrating savings in line with the Department’s initial modelling.
As at 30 June 2007, the fire safety upgrade program had been undertaken on 43,578 dwellings, with the program due for completion in
2007/08.
In terms of the maintenance backlog, the value as at 30 June 2007 has been assessed at $612 million, which compares favourably with
the $647 million as at 30 June 2006, the change due both to works undertaken in the pilot areas and refinements in backlog measurement
informed by the property assessment surveys.

Note 29: Contingent Liabilities


As at reporting date, the Department is not aware of any contingent liability which will materially affect its financial position. However, there
are a number of claims totalling $1.415 million (2006 – $1.545 million), for which the Department may be liable.

Note 30: Reconciliation of Net Cash from Operating Activities to Surplus/(Deficit)


for the Year
2007 2006
$’000 $’000
Surplus/(Deficit) for the year 19 867 (16 639)
Adjustment – Rental Housing Assistance Fund Subsidy 1 475 –
AEIFRS adjustment re-measurement of investments (57) (80)
AEIFRS adjustment re-measurement of borrowings 33 370 30 755
Adjustment of upfront lease payment for 99-year lease (222) (215)
Non cash contribution (229) –
Loss on sale of assets (Note 14(i) (iv)) 1 554 7 450
Assets demolished (Note 14(ii)) 24 073 16 456
Assets written off (Note 14(iii)) 1 169 6 924
Depreciation and amortisation (Note 11) 260 213 249 464
Increase/(decrease) in provision for impairment of receivables 542 (2 401)
Increase in employee benefits and related on-costs 7 311 3 646
Increase in other provisions 549 1 548
Increase in payables 17 176 11 828
Decrease/(Increase) in receivable (1 254) 4 555
Decrease in pre-paid expenses 3 773 11 569
Net cash from operating activities 369 310 324 860

Input tax credits of $11.922 million (2006 – $4.363 million) and GST of $4.55 million (2006 – $9.049 million) paid on supplies, are included
in Other payments and Other receipts in the Cash Flow Statement.

Note 31: Prior Period Errors


Upfront lease payments for leases exceeding 50 years were incorrectly recognised as earned income in prior years. In accordance with
AASB 117 Leases and TPP06-3 Lessor Accounting for Prepaid Long Term Leases of Land, they are classified as operating leases and
should be recognised on a straight-line basis over the lease term. This error had the effect of understating liabilities – unearned income by
$21.413 million and lease income by $0.215 million and overstating equity by $21.628 million for the year ended 2006. Restated financial
information for 2007 and 2006 are presented as if the errors had not been made.

Note 32: Non-cash Financing and Investing Activities


During the year, the Department transferred/received properties to/from the Aboriginal Housing Office amounting to $1.906 million (2006
– $1.736 million) and $0.354 million (2006 – $ 0.397 million), respectively. These investing transactions did not result in cash flows, but
affected the assets and liabilities reported in the Balance Sheet.

Housing NSW Annual Report 2006/07 153


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 33: Financial Instruments


a) Interest rate risk
The Department’s exposure to market risk for changes in interest rates relates primarily to commercial loans mainly with the NSW Treasury
Department and AMP Society under the PEP Schemes. The Department’s policy is to manage its interest cost by re-setting interest rates
for specific loans on a regular basis.

Weighted Average Floating Interest Rate Fixed Interest Rate


Effective Interest Rate $’000 Maturing
%
Within 1 year
$’000
2007 2006 2007 2006 2007 2006
Financial assets
Cash on hand and at bank 5.65 5.05 36 729 27 978 – –
Deposits at call
Money Market 6.20 5.65 27 304 3 893 – –
Hour Glass 6.42 5.69 124 122 95 988 – –
Total cash – – 188 155 127 859 – –
Receivables – – – – – –
Other financial assets
Short term 6.20 5.88 62 – 32 463 87 888
Medium term 5.90 5.94 – – – –
Rental Housing Assistance Fund – – – – – –
Total financial assets 188 217 127 859 32 463 87 888
Financial liabilities
Payables – – – – – –
Borrowings
Concessional loans 3.00 3.00 – – 1 521 2 376
Concessional loans 3.50 3.50 – – 557 548
Concessional loans 3.63 3.63 – – 155 148
Concessional loans 4.00 4.00 – – 6 334 5 668
Concessional loans 4.25 4.25 – – 2 672 2 545
Concessional loans 4.38 4.38 – – 419 399
Concessional loans 4.40 4.40 – – 463 440
Concessional loans 4.50 4.50 – – 548 553
Concessional loans 5.00 5.00 – – 711 994
Concessional loans 5.50 5.50 – – 16 16
Concessional loans 6.00 6.00 – – 760 715
Commercial loans 6.38 5.50 – – – –
Commercial loans – – – – – –
Commercial loans 9.72 9.72 – – – –
Variable rate 6.50 – 15 616 – – –
Loan payable – PEP 1 10.15 10.15 175 916 166 144 – –
Loan payable – PEP 2 4.96 4.96 65 373 68 083 – –
Total borrowings 256 905 234 227 14 156 14 402
Embedded derivatives on borrowings – – – –
Total financial liabilities 256 905 234 227 14 156 14 402

154 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Fixed Interest Rate Maturing Non-interest Bearing Total


$’000 $’000

1 to 5 years Over 5 years


$’000 $’000
2007 2006 2007 2006 2007 2006 2007 2006

– – – – 5 768 2 839 42 497 30 817

– – – – – – 27 304 3 893
– – – – – 124 122 95 988
– – – – 5 768 2 839 193 923 130 698
– – – – 20 185 20 298 20 185 20 298

– – – – 694 782 33 219 88 670


135 662 17 878 – 120 306 2 363 1 736 138 025 139 920
– – – – 23 1 499 23 1 499
135 662 17 878 – 120 306 29 033 27 154 385 375 381 085

– – – – 203 257 155 226 203 257 155 226

777 2 298 – – – – 2 298 4 674


2 509 2 464 3 868 4 669 – – 6 934 7 681
704 670 1 264 1 453 – – 2 123 2 271
27 026 25 299 105 982 78 503 – – 139 342 109 470
12 195 11 584 33 959 37 242 – – 48 826 51 371
1 906 1 812 1 400 1 913 – – 3 725 4 124
2 134 2 020 8 031 8 608 – – 10 628 11 068
3 655 3 145 256 965 258 024 – – 261 168 261 722
3 521 4 897 41 064 75 739 – – 45 296 81 630
75 71 393 414 – – 484 501
3 622 3 386 18 836 19 832 – – 23 218 23 933
– – 109 376 86 070 – – 109 376 86 070
– – – – – – – –
– – 24 710 24 711 – – 24 710 24 711
– 63 743 – – – – 15 616 63 743
– – – – – – 175 916 166 144
– – – – – – 65 373 68 083
58 124 121 389 605 848 597 178 – – 935 033 967 196
– – 5 937 8 966 – – 5 937 8 966
58 124 121 389 611 785 606 144 203 257 155 226 1 144 227 1 131 388

Housing NSW Annual Report 2006/07 155


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 33: Financial Instruments (continued)


b) Credit risk
Credit risk is the risk of financial loss arising from the failure of one party to the contract to discharge its financial obligation. Receivable
balances are monitored on an ongoing basis to help ensure that the Department’s exposure to bad debts is not significant. The
Department’s maximum exposure is the carrying amount of financial assets, net of allowance for impairment, as detailed below:

Government/ Public
semi- housing
government Banks tenants Other Total
$’000 $’000 $’000 $’000 $’000
2007
Cash 151 426 36 729 – 5 768 193 923
Receivables 8 259 – 6 942 4 984 20 185
Other financial assets 143 478 21 854 – 5 935 171 267
Total assets 303 163 58 583 6 942 16 687 385 375
2006
Cash 99 881 27 978 – 2 839 130 698
Receivables 10 552 – 6 232 3 514 20 298
Other financial assets 145 951 76 529 – 7 609 230 089
Total assets 256 384 104 507 6 232 13 962 381 085

c) Liquidity risk
The financial assets and liabilities of the Department are compliant with the Public Authorities (Financial Arrangements) Act 1987. The
Department relies on the expertise of the NSW Treasury Corporation for debt and investment management services and to transact the
majority of the financial assets and liabilities listed at 30 June 2007. As these products are readily tradeable in the market, the Department’s
financial assets and liabilities are considered highly liquid and do not expose the Department to liquidity risk.
d) Net fair value of financial assets and liabilities
The net fair values of Hour Glass and short-term investments are based on market values provided by the Treasury Corporation.
The net fair value of medium-term investments and loans payable are based on market values provided by the Treasury Corporation.
For other assets and other liabilities, the net fair value approximates their carrying value.

156 Housing NSW Annual Report 2006/07


NSW Department of Housing

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 33: Financial Instruments (continued)


The carrying amounts and net fair values of financial assets and financial liabilities at balance date are:

Net carrying amount Fair value


2007 2006 2007 2006
$’000 $’000 $’000 $’000
Financial assets
Cash 193 923 130 698 193 923 130 698
Receivables 20 185 20 298 20 185 20 298
Other financial assets
Short term 33 219 88 670 33 253 90 008
Medium term 138 025 139 920 133 410 139 577
Rental Housing Assistance Fund 23 1 499 23 1 499
Total financial assets 385 375 381 085 380 794 382 080
Financial liabilities
Payables 203 257 155 226 203 257 155 226
Interest bearing liabilities
Commonwealth loans 534 552 548 659 534 552 548 659
Treasury Corporation loans 149 702 174 524 151 862 180 003
Loan payable – PEP 241 289 234 227 241 289 234 227
Other loans 9 490 9 786 9 490 9 786
Total interest bearing liabilities 935 033 967 196 937 193 972 675
Embedded derivatives on borrowings 5 937 8 966 5 937 8 966
Total financial liabilities 1 144 227 1 131 388 1 146 387 1 136 867

END OF AUDITED FINANCIAL STATEMENTS

Housing NSW Annual Report 2006/07 157


NSW Department of Housing

Register of Land Held


As at 30 June 2007

2007
$’000
Residential properties 16 603 197
Land for redevelopment 140 237
Vacant land 54 297
Commercial properties 18 705
Community purpose built properties 99 924
Assets held for sale
Residential properties 15 358
Commercial properties –
Total 16 931 718

158 Housing NSW Annual Report 2006/07


Rental Housing Assistance Fund

Financial Statements

The Rental Housing Assistance Fund (RHAF), established as a Contents


formal trust fund in 1993, is the vehicle by which the State provides
support for a Public Equity Partnership rental housing program Independent Auditor’s Report 160
with the AMP Group (known as the PEP2 program). The RHAF is
an entity controlled by the NSW Land and Housing Corporation,
Accountants’ Statement 162
and the net assets of the RHAF are included in the Corporation’s Statement by the Trustee 163
balance sheet as a non-current investment.
Income Statement 164
The RHAF financial statements are presented in this report given
its controlled entity status. Balance Sheet 165
Statement of Changes in Recognised
Income and Expenses 166
Cash Flow Statement 167
Notes to the Financial Statements 168
  1. S
 ummary of significant accounting policies 168
  2. N
 et assets attributable to beneficiaries 170
  3. Notes to the cash flow statement 171
  4. Auditor’s remuneration 171
  5. Receivables 171
  6. A
 ctivities of the Fund and Trust information 172
  7. Related party information 172
  8. Financial instruments 172
  9. Contingent liabilities 174
10. After balance date events 174
11. Additional Fund information 174

Housing NSW Annual Report 2006/07 159


Rental Housing Assistance Fund

Independent Auditor’s Report


For the year ended 30 June 2007

160 Housing NSW Annual Report 2006/07


Rental Housing Assistance Fund

Independent Auditor’s Report


For the year ended 30 June 2007

Housing NSW Annual Report 2006/07 161


Rental Housing Assistance Fund

Accountants’ Statement
For the year ended 30 June 2007

162 Housing NSW Annual Report 2006/07


Rental Housing Assistance Fund

Statement by the Trustee


For the year ended 30 June 2007

Housing NSW Annual Report 2006/07 163


Rental Housing Assistance Fund

Income Statement
For the year ended 30 June 2007

2007 2006
Notes $’000 $’000

Revenue
Interest income 3 7
Investment income 59 138
Distribution from PEP2 Property Sales 6 b) 530 1,392
Total revenue 592 1,537

Expenses
Rental subsidy 2 582 2 753
Trustee’s remuneration 1 1
Auditor’s remuneration 4 12 12
Accounting fees 8 8
Total expenses 2 603 2 774
Deficit for the year (2 011) (1 237)
Change in net assets attributable to beneficiaries 2 2 011 1 237
Net deficit for the year – –

The accompanying Notes form an integral part of these accounts.

164 Housing NSW Annual Report 2006/07


Rental Housing Assistance Fund

Balance Sheet
As at 30 June 2007

2007 2006
Notes $’000 $’000

ASSETS
Current Assets
Cash 3 a) 13 109
Other financial assets 1 c) 333 2,306
Receivables 5 957 503
Total Current Assets 1 303 2 918
Total Assets 1 303 2 918

LIABILITIES
Current Liabilities
Accrued rental subsidy 1 262 1 403
Payables 18 16
Total Current Liabilities 1 280 1 419
Total Liabilities (excluding liabilities attributable to beneficiaries) 1 280 1 419
Net assets attributable to beneficiaries – Liability 2 23 1 499
Beneficiaries funds – Equity – –

The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 165


Rental Housing Assistance Fund

Statement of Changes in
Recognised Income and Expenses
For the year ended 30 June 2007

2007 2006
Notes $’000 $’000
Total equity at beginning of financial year 2 1 499 2 736
Change in accounting policy as a result of AASB 132 and AASB 139 (1 499) –
Restated balance – 2 736
Net deficit for the year – (1 237)
Closing balance – 1 499

The accompanying Notes form an integral part of these accounts.

166 Housing NSW Annual Report 2006/07


Rental Housing Assistance Fund

Cash Flow Statement


For the year ended 30 June 2007

2007 2006
Notes $’000 $’000

Cash Flows From Operating Activities


Interest received – TCorp Hour Glass Cash Facility Trust 62 145
Rental subsidy (2 723) (2 731)
Distribution from PEP2 Property Sales 611 2 492
Trustee’s remuneration (1) (1)
Other payments (18) (18)
Net cash used in operating activities 3 b) (2 069) (113)
Net Decrease In Cash Held (2 069) (113)
Cash and Cash Equivalents at the Beginning of the Financial Year 2 415 2 528
Cash and Cash Equivalents at the End of the Financial Year 3 a) 346 2 415

The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 167


Rental Housing Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Reporting Entity b) Trust Distributions


The Rental Housing Assistance Fund (the Fund), was established The trustee will hold the Trust fund and the income arising from it
by Trust Deed dated 27 October 1993 and operates in the state of in trust for the Beneficiary upon the terms of the Trust Deed.
NSW for the purpose of supporting and administering the State’s On 30 June in each year the Beneficiary is entitled to the income
rental housing program in partnership with AMP Ltd. of the Fund for that year, provided that unless and until otherwise
The parties to the Trust Deed are the NSW Land and Housing requested by the Beneficiary, the Trustee will not be required to pay
Corporation and the NSW Treasury representing the State of NSW to the Beneficiary the amount of cash representing such income,
(the Beneficiary), Permanent Custodians Limited as Trustee and but may retain such amounts. Amounts so retained will be deemed
Trust Company Fiduciary Services Limited as Guarantor (formerly to have been irrevocably distributed to the Beneficiary as income,
known as Permanent Trustee Company Limited). The state and to have lent back by the Beneficiary to the Trustee as an
guarantees through clause 2.1 of the State Deed 1993, financial interest-free loan to the Fund. The Trustee, at any time and from
support to enable the Fund for continuous operation. time to time, must repay the whole or any part of any such loan
to the Beneficiary in such amount as the Beneficiary requests by
This financial report for the year ended 30 June 2007 has been notice in writing.
authorised for issue by the Trustee on 19 October 2007.
The Trustee shall distribute the remaining capital of the Trust Fund
The Fund is consolidated as part of the NSW Total State to the Beneficiary on the Vesting Date.
Sector Accounts.
Under previous AGAAP, the distributions to Beneficiary were shown
as distributions out of equity and equity was not split between
Note 1: Summary of Significant retained earnings and capital. Funds not returned to Beneficiary
Accounting Policies were disclosed as equity at each year end.
Basis of preparation Under AEIFRS if the beneficiary has a right to unconditional return
of equity, the equity will not meet the definition of equity. Instead,
The financial report of the Trust is a general purpose financial
it will be classified as a financial liability under AASB 132 Financial
report which has been prepared in accordance with applicable
Instruments: Presentation. The financial liability is described as ‘net
Australian Accounting Standards, the requirements of the Public
assets attributable to beneficiaries’ (Note 2).
Finance and Audit Act 1983, Australian Accounting Interpretations,
and the provision of the Trust Deed and Public Finance and Audit c) Financial assets and liabilities
Regulations 2005. Financial instruments give rise to positions that are a financial asset
Where there are inconsistencies between the accounting standards of either the Trust or its counter party and a financial liability (or
and legislative requirements, the legislative provisions have equity instrument) of the other party. For the Trust these include
prevailed. investments, receivables and payables.
Except for certain assets, which are measured at for fair values as In accordance with AASB 132 Financial Instruments: Presentation,
noted, the financial report has been prepared on historical cost the information is disclosed in Note 8 in respect of the credit risk
convention. All amounts are rounded to the nearest one thousand and interest rate risk of financial instruments. All such amounts are
dollars and are expressed in Australian currency. Unless otherwise carried in the accounts at net fair value unless otherwise stated.
noted, accounting policies are consistent with those of previous The specific accounting policy in respect of each class of such
years. financial instrument is stated below:
The transactions of the Fund have been accounted for in Financial assets at fair value through income statement
accordance with the Trust Deed dated 27 October 1993. Investments are initially recognised at fair value plus transaction
a) Income Tax cost. The Trust determines the classification of its financial assets
after initial recognition when allowed and appropriate evaluations
The surplus arising out of the Fund is fully distributed to the
will be undertaken each financial year. The Trust has classified the
Beneficiary who is presently entitled to the income and accordingly
investments at fair value through income statement.
no income tax is payable by the Fund.

168 Housing NSW Annual Report 2006/07


Rental Housing Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 1: Summary of Significant i) New accounting standards and interpretations


The Trust did not early adopt any new accounting standards that
Accounting Policies (continued) are not yet effective.
Gains and losses emanating from mark to market on these assets
The following new Accounting Standards and Interpretations have
are recognised in the income statement. Investments in financial
not yet been adopted and are not yet effective:
assets are units in TCorp Hour Glass facilities.
> AASB 101 Presentation of Financial Statements that is operative
Financial instruments at cost for 31 December 2007 and 30 June 2008 year ends.
Receivables and payables are non-derivative financial instruments
> AASB 2007-4 Amendments to Australian Accounting Standards
with fixed or determinable payments that are not quoted in an
arising from ED 151 and other Amendments applicable to annual
active market. These instruments are recognised at amortised cost
reporting periods beginning on or after 1 July 2007.
using the effective interest method, changes are accounted for in
the Income Statement when impaired, de-recognised or through > AASB 7 Financial Instruments: Disclosure that is operative for
amortisation process. 31 December 2007 and 30 June 2008 year ends.
> AASB 8 Operating Segments that is operative for 31 December
d) Income recognition 2009 and 30 June 2010 year ends, and
Investment income > AASB 123 Borrowing Costs that is operative for 31 December
Investment income is recognised on an accrual basis using 2009 and 30 June 2010 year ends.
the effective interest method as set out in AASB 139 Financial
The Trust has assessed the impact of these new Standards and
Instruments: Recognition and Measurement.
Interpretations and considers the impact to be insignificant.
Distribution from PEP2 Property Sales
Payments made by PEP2 to the Trust on property disposal
are calculated in accordance with the provision of the PEP2
Transaction Documents and in reference to two-thirds (66.67%) of
the surplus capital profit.

e) Service provided free of charge


The NSW Land and Housing Corporation provides administration
services to the Fund for which it does not receive financial
remuneration from the Fund.

f) Payables
Payables and accruals are recognised as amounts due to be paid
in future periods whether or not invoiced at balance date. These
amounts are unsecured and do not bear interest.

g) Accounting for goods and services tax (GST)


The Fund is not carrying on an enterprise for the purposes of
section 9-20 A New Tax System (Goods and Services Tax) Act
1999 (the GST Act). Therefore, the Fund is not required to register
for GST.

h) Comparative information
Where necessary comparatives have been reclassified and
repositioned for consistency with current year disclosures.

Housing NSW Annual Report 2006/07 169


Rental Housing Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 2: Net Assets Attributable to Beneficiaries


2007 2006
$’000 $’000
a) Classified as equity
Opening balance 1 499 2 736
Change in accounting policy as a result of AASB 132 and AASB 139 (1 499) –
Deficit for the year – (1 237)
Closing balance – 1 499
Under previous AGAAP the Trust classified accumulated Funds as equity

b) Classified as liability
Opening balance – –
Change in accounting policy as a result of AASB 132 and AASB 139 1 499 –
Change in net assets attributable to beneficiaries (1 476) –
Closing balance 23 –
c) Capital contributions
Balance at the beginning of the year 30 874 30 874
Current year capital contribution 535 –
Balance at the end of the year 31 409 30 874
Capital contribution of $535 000 was provided by NSW Land and Housing Corporation to meet the losses incurred by the Fund.
d) Accumulated losses
Balance at the beginning of the financial year (29 375) (28 138)
Deficit for the year (2 011) (1 237)
(31 386) (29 375)
Closing balance at the end of the financial year 23 1 499

170 Housing NSW Annual Report 2006/07


Rental Housing Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 3: Notes to the Cash Flow Statement


a) Cash and cash equivalents
For the purposes of the cash flow statement and cash and cash equivalents comprise cash at bank and investment in the TCorp
Hour Glass Cash Facility Trust. Cash and cash equivalents at the end of the financial year reconciles to the related items in the balance
sheet as follows:
2007 2006
$’000 $’000
Cash 13 109
Other financial assets:
TCorp Hour Glass Cash Facility Trust 333 2 306
346 2 415

b) Reconciliation of net result for the year to net cash used in operating activities
Deficit for the year (2 011) (1 237)
Changes in net assets and liabilities:
Decrease/(increase) in assets:
Receivables 81 1 100
(Decrease)/increase in liabilities:
Accrued rental subsidy (141) 22
Payables 2 2
Net cash used in operating activities (2 069) (113)

Note 4: Auditor’s Remuneration


2007 2006
$’000 $’000
Auditing the financial report 12 12
The Fund’s financial statements are audited by the Audit Office of NSW. The Audit Office of NSW did not
receive any other benefits during the year.

Note 5: Receivables
2007 2006
$’000 $’000
Profit share from NSW Housing No. 2 Pty Ltd 422 503
Capital contribution from NSW Land and Housing Corporation 535 –
957 503

Housing NSW Annual Report 2006/07 171


Rental Housing Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 6: Activities of the Fund and Note 8: Financial Instruments


Trust Information The following information is provided in accordance with the
a) The Fund was established by Trust Deed dated 27 October provisions of AASB 132 Financial Instruments: Disclosure and
1993 and operates in the State of NSW for the purposes Presentation. The Fund’s principal financial instruments are outlined
of supporting and administering the State’s rental housing below. These financial instruments arise directly from the Fund’s
programs in respect of PEP2, a Public Equity Partnership operations. The Fund monitors and manages the financial risks
with AMP Limited. AMP is entitled to receive an annual relating to its operations. These risks include market risk (including
guaranteed return. The difference between this amount and fair value interest rate risk and price risk), credit risk, liquidity risk
the rent received from tenants is paid by the Fund as the and cash flow interest rate risk. The Fund does not enter into or
rental subsidy. trade financial instruments for speculative purposes and does not
use financial derivatives.
The parties to the Trust Deed are the NSW Land and Housing
Corporation and the NSW Treasury representing the State a) Financial risk management
of NSW (the Beneficiary), Permanent Custodians Limited as The Trust activities expose it to a variety of financial risks,
Trustee and Trust Company Fiduciary Services Limited as as follows:
Guarantor (formerly known as Permanent Trustee Company
Limited). (i) Market risk:
The State of NSW ensures that adequate funds are available The Trust did not identify any material market risk during the year
in the Fund to enable the Trustee to perform its obligations or at reporting date.
and commitments set out in the supporting documents. (ii) Credit risk:
b) The sales program for surplus properties resulted in a The Trust’s exposure to credit risk is the loss that would incur if
distribution to the Fund of $0.530 million in the year ended counter parties failed to perform as contracted.
30 June 2007 (2006: $1.392 million). The Fund’s share of the
net revenue on sales was calculated in accordance with the (iii) Liquidity risk:
provisions of the PEP2 Transaction Documents entered in The Trust did not identify any material liquidity risk at reporting
October 1993. The distribution receivable at 30 June 2007 date.
was $0.422 million (2006: $0.503 million).
(iv) Cash flow and fair value interest rate risk:
Note 7: Related Party Information The Trust did not identify any cash flow and fair value interest rate
During the year, the Fund transacted with the following related risk at reporting date as it had not incurred any interest-bearing
entities: the State of NSW (the Beneficiary of the Trust), Permanent liabilities at reporting date.
Custodian Limited (the Trustee), Trust Company Fiduciary Services b) Credit risk
Limited (the Guarantor), the NSW Land and Housing Corporation Credit risk is the risk of financial loss arising from another party
and Residex Pty Ltd. to a contract or financial position failing to discharge a financial
obligation thereunder. The Fund’s maximum exposure to credit
risk is represented by the carrying amounts of the financial assets
included in the balance sheet.

172 Housing NSW Annual Report 2006/07


Rental Housing Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 8: Financial Instruments (continued)


b) Credit risk (continued)
Credit risk by classification of counter party at 30 June is:
2007 Governments Banks Other Total
$’000 $’000 $’000 $’000

Financial Assets
Cash – 13 – 13
Short-term investments 333 – – 333
Receivables 535 – 422 957
Total financial assets 868 13 422 1 303

2006 Governments Banks Other Total


$’000 $’000 $’000 $’000

Financial Assets
Cash – 109 – 109
Short-term investments 2 306 – – 2 306
Receivables – – 503 503
Total financial assets 2 306 109 503 2 918

c) Interest rate risk
Interest rate risk is the risk that the value of a financial instrument will fluctuate due to changes in market interest rates. The Fund’s exposure
to interest rate risks and the effective interest rates of financial assets and liabilities as at 30 June are as follows.
2007 Weighted
Floating Non-Interest Average
Interest Rate Bearing Total Interest Rate
$’000 $’000 $’000 % p.a.

Financial Assets
Cash 13 – 13 4.00
Short-term investments – 333 333 6.41
Receivables – 957 957 –
Total financial assets 13 1 290 1 303 6.32

Financial Liabilities
Payables – 1 280 1 280 –
Total financial liabilities – 1 280 1 280 –

Housing NSW Annual Report 2006/07 173


Rental Housing Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 8: Financial Instruments (continued)


c) Interest rate risk (continued)
2006 Weighted
Floating Non-Interest Average
Interest Rate Bearing Total Interest Rate
$’000 $’000 $’000 % p.a.

Financial Assets
Cash 109 – 109 3.75
Short-term investments – 2 306 2 306 5.69
Receivables – 503 503 –
Total financial assets 109 2 809 2 918 5.60

Financial Liabilities
Payables – 1 419 1 419 –
Total financial liabilities – 1 419 1 419 –

d) Carrying costs
The carrying cost of all financial assets and liabilities is the net fair
value unless otherwise stated.

Note 9: Contingent Liabilities


There are no contingent liabilities at 30 June 2007.

Note 10: After Balance Date Events


There has not been any matter or circumstance, other than that
referred to in the financial statements or notes thereto, that has
arisen since the end of the financial year that has significantly
affected, or may significantly affect, the operations of the Fund.

Note 11: Additional Fund Information


The Fund is incorporated and operating in Australia. The Fund was
established for the purpose of supporting and administering the
State’s rental housing programs in respect of PEP2, a Public Equity
Partnership with AMP Limited.
From 1 June 2005 Permanent Custodians Limited became 100
percent owned by BNY Trust (Australia) Pty Ltd, which is in turn
50 percent owned by Trust Company of Australia Limited and 50
percent owned by The Bank of New York Mellon.
Registered Office
BNY Trust (Australia) Pty Ltd
Level 4, 35 Clarence Street
Sydney, NSW, 2000

END OF AUDITED FINANCIAL STATEMENTS

174 Housing NSW Annual Report 2006/07


Home Purchase Assistance Fund

Financial Statements

The Home Purchase Assistance Fund (HPAF), established as a Contents


formal trust fund in 1989, is the primary support fund for NSW’s
home purchase assistance programs for low-to-moderate Independent Auditor’s Report 176
income earners, the HomeFund program in particular. The HPAF
financial statements are not consolidated into those of the NSW
Accountants’ Statement 178
Department of Housing. The Fund is jointly controlled by the Statement by Trustee 178
Department and the NSW Treasury. Given that responsibility for
administration of the HPAF rests with the Department and that Income Statement 179
the Fund falls within the State’s Ministerial Housing Portfolio, the Balance Sheet 180
financial statements are included in this report in the interests of
full disclosure. Statement of Changes in Recognised
Income and Expenses 181
Cash Flow Statement 182
Notes to the Financial Statements 183
  1. S
 ummary of significant accounting policies 183
  2. N
 et assets attributable to beneficiaries 184
  3. Cash and cash equivalents 184
  4. Current receivables 185
  5. Other current financial assets 185
  6. Non-current receivables 185
  7. Other non-current financial assets 185
  8. Payables 185
  9. Notes to the cash flow statement 186
10. Other revenue 186
11. Auditor’s remuneration 186
12. Capital contribution by the state 186
13. Activities of the Fund and Trust information 187
14. Related party information 187
15. Distributions paid 187
16. Financial instruments 187
17. Credit standby arrangements 190
18. Contingent liability 190
19. Additional Fund information 190

Housing NSW Annual Report 2006/07 175


Home Purchase Assistance Fund

Independent Auditor’s Report


For the year ended 30 June 2007

176 Housing NSW Annual Report 2006/07


Home Purchase Assistance Fund

Independent Auditor’s Report


For the year ended 30 June 2007

Housing NSW Annual Report 2006/07 177


Home Purchase Assistance Fund

Accountants’ Statement
For the year ended 30 June 2007

We have prepared the financial statements of the Home Purchase Assistance Fund (‘Fund’) set out on
pages 3 to 17 for the financial year ended 30 June 2007 from the books and records of the Fund and other
information provided by the officers of Permanent Custodians Limited (‘Trustee’) and Trust Company Fiduciary
Services Limited (‘Guarantor’), formerly known as Permanent Trustee Company Limited and by the officers of
the NSW Land and Housing Corporation.
Under the terms of our engagement we have not audited the accounting records or the attached financial
statements of the Fund. Accordingly, we express no opinion on whether the financial statements present a
true and fair view of the financial performance and financial position of the Fund. Neither the firm nor any
member or employee of the firm undertakes any responsibility for any omissions or errors contained in the
accounting records.

Statement by Trustee
In accordance with a resolution of the Trustee of the Home Purchase Assistance Fund, we declare on behalf of
the Trust that in our opinion:
1. The accompanying financial report exhibits a true and fair view of the financial position of the Home
Purchase Assistance Fund as at 30 June 2007 and transactions for the 12 months then ended.
2. The financial report has been prepared in accordance with the terms of the Trust Deed dated 14 February
1989, and with applicable Accounting Standards, other mandatory professional reporting requirements,
and the Public Finance and Audit Act 1983 and associated requirements of the Public Finance and Audit
Regulations 2005.
Further, we are not aware of any circumstances which would render any particulars included in the financial
report to be misleading or inaccurate.

178 Housing NSW Annual Report 2006/07


Home Purchase Assistance Fund

Income Statements
For the year ended 30 June 2007

2007 2006
Notes $’000 $’000

Revenue
Interest from mortgage loans 79 121
Interest from investments - related parties 3 112 3 589
Interest from investments - non-related parties 23 046 22 294
Total interest revenue 26 237 26 004
Other revenue 10 7 8
Total revenue 26 244 26 012

Expenses
Interest on borrowings - related parties - 35
Payments for expenses of related trusts 2 3
Trustee’s remuneration 220 225
Auditor’s remuneration 11 31 27
Shortfall paid for defaulting mortgages 160 47
NSW Department of Housing operational funding 262 244
Other expenses 39 11
Total expenses 714 592

Surplus for the year 25 530 25 420


Finance costs
Distribution to beneficiaries 15 (25 181) (31 643)

Change in net assets attributable to beneficiaries 2 b) 349 (6 223)

The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 179


Home Purchase Assistance Fund

Balance Sheet
For the year ended 30 June 2007

2007 2006
Notes $’000 $’000
ASSETS
Current Assets
Cash and cash equivalents 3 45 300 30 097
Receivables 4 4 960 5 311
Other financial assets 5 199 533 110 103
Total Current Assets 249 793 145 511

Non-Current Assets
Receivables 6 370 1 040
Other financial assets 7 185 921 289 099
Total Non-current Assets 186 291 290 139
TOTAL ASSETS 436 084 435 650

LIABILITIES
Current Liabilities
Payables 8 247 162
Total Current Liabilities 247 162
Total Liabilities (excluding liabilities attributable to beneficiaries) 247 162
Net assets attributable to beneficiaries – Liability 2 b) 435 837 435 488
Beneficiaries funds – Equity 2 a) – –

The accompanying Notes form an integral part of these accounts.

180 Housing NSW Annual Report 2006/07


Home Purchase Assistance Fund

Statement of Changes in
Recognised Income and Expenses
For the year ended 30 June 2007

2007 2006
Notes $’000 $’000
Total equity at beginning of financial year 2 a) – 441 711
Change in accounting policy as a result of AASB 132 and AASB 139 – (441 711)
Restated balance – –
Net surplus for the year – –
Closing balance – –

The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 181


Home Purchase Assistance Fund

Cash Flow Statement


For the year ended 30 June 2007

2007 2006
Notes $’000 $’000
Cash flows from Operating Activities
Interest received:
Loans receivable - non-related parties 81 121
Investments - related parties 3 113 3 590
Investments - non-related parties 25 037 26 005
Other non-related parties 26 24
Mortgage loans 591 782
Other income 10 9
Interest paid on borrowings - related parties – (35)
Payments for expenses of related trusts (2) (4)
Shortfall paid for government guarantee loans (160) (47)
Trustee’s remuneration (165) (223)
Auditor’s remuneration (30) (24)
NSW Department of Housing (262) (244)
Other expenses (33) (11)
Net cash provided by/(used in) operating activities 9 28 206 29 943

Cash flows from Investing Activities


Net investment in money market deposits (84 568) (19 935)
Net redemption in interest bearing bonds 96 723 51 698
Net cash provided by investing activities 12 155 31 763

Cash flows from Financing Activities


Payments to special beneficiaries (25 158) (37 533)
Cash flows from financing activities (25 158) (37 533)
Net increase in cash and cash equivalents 15 203 24 173
Cash and cash equivalents at the beginning of the financial year 30 097 5 924

CASH AND CASH EQUIVALENTS AT THE END OF THE FINANCIAL YEAR 3 45 300 30 097

The accompanying Notes form an integral part of these accounts.

182 Housing NSW Annual Report 2006/07


Home Purchase Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

The Reporting Entity (ii) Fair Value through profit and loss
Home Purchase Assistance Fund (the Fund) is consolidated The Fund invests in Bank Bills and the TCorp Hour Glass cash
as a part of the NSW Total State Sector Accounts. The Fund facility. These are measured at fair value with interest revenue
was established by a Trust Deed dated 14 February 1989 and accrued as earned such that fair value is reflected at no less than
operates in the state of NSW for the purpose of supporting and the amount payable on demand (consistent with AASB139.49).
administering the state’s home purchase programs. This financial The FANMAC Bond is a non-tradable security whose receivables
report for the year ended 30 June 2007 has been authorised for are specific to the requirements of the Fund. It is measured at
issue by the Trustee. cost which represents fair value as this instrument does not have
a tradable market and was not purchased with a premium or
Note 1: Summary of Significant discount.
Accounting Policies e) Trust distributions
The beneficiary of the Fund is the Minister of the Crown of the
a) Basis of preparation State for the time being charged wth the administration of the
The financial report of the Trust is a general purpose financial Housing Act 2001. The special beneficiary is Permanent Trustee
report which has been prepared in accordance with: Company Limited as Trustee for all of the FANMAC Trusts and the
> applicable Australian Accounting Standards and Australian Shared Equity Schemes. The Trustee of the Fund is Permanent
Accounting Interpretations Custodians Limited.
> the requirements of the Public Finance and Audit Act 1983 Under the Trust Deed the beneficiary is entitled to all the income
> the provisions of the Trust Deed dated 14 February 1989 of the Fund on 30 June less amounts to which each special
beneficiary is entitled. Income distributions may be requested
> the provisions of the Public Finance and Audit Regulations 2005
by the beneficiary at its discretion. Any income retained by the
> any Financial Reporting Directions issued by the Treasurer Fund is to be treated as an interest free loan to the Fund from the
under section 9(2) n) of the Public Finance and Audit Act 1983 beneficiary. Trust distributions can be made from the surplus for
> where there are inconsistencies between the accounting the year.
standards and legislative requirements, the legislative provisions The Trustee, in accordance with paragraph 3.4 of the Trust Deed
have prevailed. shall distribute the remaining capital of the Trust Fund to the
The financial report has been prepared on the basis of historical beneficiary on the vesting date. The vesting date (paragraph 1.1)
cost, except for the revaluation of certain non-current assets and is defined as the first to occur of the following dates:
financial instruments. All amounts are rounded to the nearest a) the date of expiration of the period of 80 years from the date
thousand dollars and expressed in Australian currency and unless of commencement of the Trust, which is 14 February 1989
otherwise noted accounting policies are consistent with those of
b) the date upon which the Trust is terminated pursuant to the
the previous year.
terms of this deed, Statute or general law.
b) Income recognition – interest income f) Finance costs
> Interest revenue is recognised using the effective interest method
Distributions paid and payable from the Trust are recognised in
as set out in AASB 139 Financial Instruments: Recognition and
the income statement as finance costs and as a liability where not
Measurement.
paid. Distributions paid are included in cash flows from financing
c) Accounting for goods and services tax (GST) activities in the statement of cash flows.
Revenues, expenses and assets are recognised net of GST except g) Income tax
where GST is incurred by the Fund and it is not recoverable from
The surplus arising out of the Fund is fully distributed to the
the Australian Taxation Office (ATO), it is recognised as part of the
beneficiaries and accordingly no income tax is payable by the
expense to which it applies. Receivables and payables are stated
Fund.
with any applicable GST included in their value. The Fund can only
recover 75 percent of the GST. h) Payables
d) Financial instruments – Year ended Payables and accruals are recognised when the Fund becomes
obliged to make future payments resulting from the purchase of
30 June 2007 services (refer to note 16 g)).
(i) Held to maturity investments i) Receivables
> The Fund invests in bank issued bonds that are categorised Mortgage and other receivables are recognised as amounts
as Held to Maturity under AASB139 Financial Instruments: receivable at balance date using amortised cost method. All
Recognition and Measurement. Financial assets are initially receivables are reviewed on an ongoing basis and any debts
recognised at fair value plus transaction costs. Subsequent that are known to be uncollectable are written off. In addition, an
measurement is at amortised cost using the effective interest allowance for impairment is raised when there is some objective
method. evidence that the Fund will not be able to collect all amounts due.

Housing NSW Annual Report 2006/07 183


Home Purchase Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

j) Comparative information AASB 2005-10 Amendments to AASB 7 Financial Instruments:


Amortisation of premium on acquisition of investments ($1.848 Disclosures
million in 2005/06) was reclassified as interest income and AASB 2007-4 Amendments to Australian Accounting Standards
distribution paid to beneficiaries ($31.643 million in 2005/06) was arising from ED 151 and Other Amendments
reclassified from operating activities to financing activities in the AASB 2007-5 Amendments to Australian Accounting Standard–
cash flow statement in line with current year disclosure. Inventories Held for Distribution by Not-for-profit Entities
k) Cash and cash equivalents Interpretation 4 Determining whether an Arrangement contains a
Cash and cash equivalents comprise cash at bank, cash on hand Lease
and on demand deposits in NSW Treasury Corporation’s Hour Interpretation 10 Interim Financial Reporting and Impairment
Glass cash facility. Interpretation 11 AASB 2 – Group and Treasury Share Transactions
l) New Australian Accounting Standards issued Interpretation 12 Service Concession Arrangements
but not effective Interpretation 129 Service Concession Arrangements: Disclosures.
AASB 7 Financial Instruments: Disclosures The Fund anticipates that the adoption of these Standards and
AASB 8 Operating Segments Interpretations in future periods will have no material financial
impact on the financial statements of the Fund.
AASB 101 (October 2006) Presentation of Financial Statements
AASB 1049 Concise Financial Reports

Note 2: Net Assets Attributable to Beneficiaries


2007 2006
$’000 $’000
a) Classified as equity
Opening balance – 441 711
Change in accounting policy as a result of AASB 132 and AASB 139 – (441 711)
Closing balance – –
Under previous AGAAP the Trust classified accumulated Funds as equity

b) Classified as liability
Opening balance 435 488 –
Change in accounting policy as a result of AASB 132 and AASB 139 – 441 711
Change in net assets attributable to beneficiaries 349 (6 223)
Closing balance at the end of the financial year 435 837 435 488

Note 3: Cash and Cash Equivalents


2007 2006
$’000 $’000
Cash-at-bank 31 38
NSW TCorp term deposit 45 269 30 059
Cash and cash equivalents 45 300 30 097

184 Housing NSW Annual Report 2006/07


Home Purchase Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 4: Current Receivables


2007 2006
$’000 $’000
Mortgage loans 599 520
Interest receivable:
Related parties 8 9
Other parties 4 334 4 760
Good and services tax recoverable 19 22
4 960 5 311

Note 5: Other Current Financial Assets


2007 2006
$’000 $’000
a) Held to maturity investments carried at amortised cost
Investment in fixed interest bonds 95 030 90 168
b) Bills of exchange carried at fair value through profit and loss
Bank bills 104 503 19 935
199 533 110 103

Note 6: Non-current Receivables


2007 2006
$’000 $’000
Mortgage loans 370 1040

Note 7: Other Non-current Financial Assets


2007 2006
$’000 $’000
a) Held to maturity investments carried at amortised cost
Investment in fixed interest bonds 141 902 238 357
b) Bills of exchange carried at fair value through profit and loss
FANMAC bond (i) 44 019 50 742
185 921 289 099
‘Non-quoted securities’ include:
(i) Investment in the FANMAC Master Trust, which was established in 2001 for the specific purpose of providing a consolidated entity
to house the Fund’s current holding of FANMAC mortgages and its future purchase obligations from maturing FANMAC Trusts. The
total value of the investment in the FANMAC Master Trust at 30 June 2007 was $44.0 million (2006: $50.7 million). The Master Trust
securities have not been traded on the financial markets.
The book value of interest-bearing bonds at 30 June 2007 was $236.9 million (2006: $238.4 million) compared with a market value
of $237.3 million (2006: $236.3 million).

Note 8: Payables
2007 2006
$’000 $’000
Amount payable to special beneficiaries 152 129
Sundry payables 95 33
247 162

Housing NSW Annual Report 2006/07 185


Home Purchase Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 9: Notes to the Cash Flow Statement


2007 2006
$’000 $’000
Reconciliation of surplus for the year to net cash flows from operating activities
Surplus for the year 25 530 25 420
Non-cash interest income adjustment 1 594 1 848
Net repayment of loans receivable:
Mortgage loans 591 782
Changes in net assets and liabilities:
Decrease in:
Interest receivable 429 1 888
Increase in:
Sundry payables 62 5
Net cash provided by/(used in) operating activities 28 206 29 943

Note 10: Other Revenue


2007 2006
$’000 $’000
Recovery of expenses paid 7 8

Note 11: Auditor’s Remuneration


The Fund’s financial statements are audited by the Audit Office of
NSW. The Auditor’s total remuneration for the year ended 30 June
2007 was $31,000 (2006: $27,000). The auditor received no other
benefits.

Note 12: Capital Contribution by the State


Under arrangements existing prior to the appointment of
Permanent Custodians Limited as Trustee of the Fund, the NSW
Treasury incurred loan liabilities with the Commonwealth on behalf
of the Home Purchase Assistance Scheme. When the Trust was
established in 1989, the Department’s existing home purchase
assistance programs, which included a number of home loan
portfolios resulting from earlier lending programs, were transferred
to the Fund as a capital contribution.
Under the terms of the Home Purchase Assistance Fund Trust
Deed, at the direction of Treasury and the Department (which
direction is made annually), repayments of principal and interest
on NSW Treasury’s liability will be paid out of the net assets
attributable to beneficiaries and/or income of the Fund through
distributions.

2007 2006
$’000 $’000
On the advice of the NSW Treasury the nominal loan liability as at 30 June was:
Current liability 9 445 9 056
Non-current liability 258 337 267 792
Balance at the end of the financial year 267 792 276 848

186 Housing NSW Annual Report 2006/07


Home Purchase Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 13: Activities of the Fund and Trust


Information
The Fund was established by Trust Deed dated 14 February 1989
and operates in the State of NSW for the purposes of supporting
and administering the State’s home purchase programs.
The parties to the Trust Deed are the NSW Department of Housing
and the NSW Treasury representing the State of NSW, Permanent
Custodians Limited as Trustee and Trust Company Fiduciary
Services Limited as Guarantor (formerly known as Permanent
Trustee Company Limited). The special beneficiary
is Trust Company Fiduciary Services Limited (formerly known
as Permanent Trustee Company Limited) as Trustee for the
FANMAC trusts.
Trust Company of Australia Limited and Permanent Trustee
Company Limited (the Guarantor) were merged on 16 December
2002 and Permanent Trustee Company Limited became a wholly
owned subsidiary of Trust Company Limited. The merged entity
is now called Trust Company Limited. Trust Company Limited is
a listed public company, incorporated and operating in Australia.
From 1 June 2005, Permanent Custodians Limited became
100 percent owned by BNY Trust (Australia) Pty Limited which is
in turn 50 percent owned by Trust Company of Australia Limited
and 50 percent owned by The Bank of New York Mellon.

Note 14: Related Party Information


During the year, the Fund transacted with the following related
entities: the State of NSW, BNY Trust (Australia) Pty Limited (the
trustee), Trust Company of Australia Limited (the guarantor), NSW
Treasury and the NSW Department of Housing.

Note 15: Distributions Paid


2007 2006
$’000 $’000
FANMAC Trusts 681 7 479
Shared Equity Schemes 71 (206)
NSW Treasury 21 524 21 524
NSW Department of Housing 2 905 2 846

Total Distributions paid 25 181 31 643

Note 16: Financial Instruments a) Cash and cash equivalents


The following information is provided in accordance with the Cash comprises cash-on-hand, cash-at-bank and any ‘on call’
provisions of AASB 132 Financial Instruments: Presentation. The deposits with NSW Treasury Corporation (TCorp). Interest is
Fund’s principal financial instruments are outlined below. These earned on a daily basis for cash-at-bank and on deposits.
financial instruments arise directly from the Fund’s operations. b) Deposits (short-term investments)
The Fund monitors and manages the financial risks relating to its
Funds are invested with TCorp and with Australian banks with
operations. These risks include market risk (including fair value
specific maturity dates generally for terms of up to 30 days.
interest rate risk and price risk), credit risk, liquidity risk and cash
Interest is earned on a daily basis and is paid at the maturity of
flow interest rate risk. The Fund does not enter into or trade
each deposit.
financial instruments for speculative purposes and does not use
financial derivatives.

Housing NSW Annual Report 2006/07 187


Home Purchase Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

c) Bank bills and bank certificates of deposit (short-term f) Receivables


investments) The credit risk is the carrying amount net of any allowance for
As an alternative to fixed-term investments for terms generally impairment. Interest is earned on mortgage debts but not on trade
up to 180 days, bank securities are purchased. These securities and other receivables.
typically are purchased at a discount to face value with interest
accruing on a daily basis and paid when the face value is received g) Payables
at maturity. Trade creditors and accruals are recognised as amounts due to
be paid in future periods whether or not invoiced at balance date.
d) Semi-government bonds (long-term securities) These amounts are unsecured and do not bear interest.
Bonds issued by state governments of Australia are the Fund’s h) Credit risk
primary investment medium for maturities of 12 months to five
Credit risk is the risk of financial loss arising from another party
years (the Fund’s general investment horizon). These bonds pay
to a contract or financial position failing to discharge a financial
half-yearly (coupon) interest during their term.
obligation thereunder. The Fund’s maximum exposure to credit
e) FANMAC master trust bonds (long-term securities) risk is represented by the carrying amounts of the financial assets
Bonds issued by the Master Trust have been wholly-owned by included in the balance sheet.
the Fund since the trust was established in 2001 through the Financial assets by classification of counterparty at 30 June were:
consolidation of several other FANMAC trusts. The bonds have
a maturity date after 2020. Interest and principal are paid on the
bonds monthly.

Governments Banks Other Total


$’000 $’000 $’000 $’000
2007
Financial assets
Cash and cash equivalents 45.3 – – 45.3
Short-term investments 45.8 153.7 – 199.5
Receivables:
Mortgages – – 1.0 1.0
Other 0.3 4.1 – 4.4
Long-term securities (*) 108.1 35.2 42.6 185.9
Total financial assets 199.5 193.0 43.6 436.1
2006
Financial assets
Cash and cash equivalents 30.1 – – 30.1
Short-term investments 35.0 75.1 – 110.1
Receivables:
Mortgages – – 1.6 1.6
Other 3.1 1.7 – 4.8
Long-term securities (*) 127.6 110.8 50.7 289.1
Total financial assets 195.8 187.6 52.3 435.7

* Includes FANMAC bonds.

188 Housing NSW Annual Report 2006/07


Home Purchase Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

i) Interest rate risk


Interest rate risk is the risk that the value of a financial instrument
will fluctuate due to changes in market interest rates. Financial assets
and liabilities at 30 June were:

Weighted
Fixed Fixed Fixed average
Variable interest interest interest Non- effective
interest rate rate rate interest interest
rate <1 year 1-5 yrs > 5 yrs bearing Total rate
2007 $’m $’m $’m $’m $’m $’m % p.a.
Financial assets
Cash and cash equivalents 45.3 – – – – 45.3 6.36
Short-term investments – 199.5 – – – 199.5 5.96
Receivables:
Mortgages 1.0 – – – – 1.0 7.42
Other – – – – 4.4 4.4 –
Long-term securities 42.6 – 143.3 – – 185.9 5.95
88.9 199.5 143.3 – 4.4 436.1 6.38
Financial liabilities
Payables 0.1 0.1
0.1 0.1

Weighted
Fixed Fixed Fixed average
Variable interest interest interest Non- effective
interest rate rate rate interest interest
rate <1 year 1-5 yrs > 5 yrs bearing Total rate
2006 $’m $’m $’m $’m $’m $’m % p.a.
Financial assets
Cash and cash equivalents 30.1 – – – – 30.1 5.86
Short-term investments – 110.1 – – – 110.1 5.88
Receivables:
Mortgages 1.6 – – – – 1.6 6.67
Other – – – – 4.8 4.8 –
Long-term securities 50.8 – 238.3 – – 289.1 6.42
82.5 110.1 238.3 – 4.8 435.7 6.17
Financial liabilities
Payables 0.2 0.2
0.2 0.2

j) Carrying costs
The carrying costs of all financial assets and liabilities are
recorded at net recoverable amount as at reporting date
unless otherwise stated.

Housing NSW Annual Report 2006/07 189


Home Purchase Assistance Fund

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 17: Credit Standby Arrangements


During 1995/96, the Fund obtained a $50 million standby liquidity
line from TCorp to be used for contingency purposes only.
The facility expired on 30 June 2006 and was not reinstated in
2006/07. There were no drawings under the facility throughout
its term.

Note 18: Contingent Liability


Under clause 4 of the Home Purchase Assistance Fund Trust
Deed and a Memorandum of Understanding with the Registry of
Cooperatives and Associations, the Trustee, from time to time
as and when required, must purchase mortgages and defaulting
mortgages in the Home Fund Loan program and meet claims
in the Government Guaranteed Loan Scheme. In prior years,
the Trust made general provisions based on estimates of likely
losses arising from the realisation of defaulting of FANMAC
mortgages. The provisions do not meet the criteria under AASB
137 Provisions, Contingent Liabilities and Contingent Assets para
14. However, it is still a possible obligation and based on a history
of loan losses over recent years, claims in the range of $150,000 to
$200,000 could eventuate in any one financial year.

Note 19: Additional Fund Information


Home Purchase Assistance Fund is incorporated in and operates
in Australia.
Registered Office
BNY Trust (Australia) Pty Limited
Level 4, 35 Clarence Street
Sydney NSW 2000

END OF AUDITED FINANCIAL STATEMENTS

190 Housing NSW Annual Report 2006/07


Payments to other Government Bodies under the Control of the Minister

Financial Statements

The Corporation is responsible for the distribution of government Contents


funding to all bodies under the control of the Minister for Housing.
The Department of Housing administers the process of receiving Independent Auditor’s Report 192
Commonwealth and State funding under the Commonwealth
State Housing Agreement and distributing these funds to agencies
Statement by Minister 194
responsible for delivering housing assistance programs. Operating Statement 195
Balance Sheet 196
Cash Flow Statement 197
Statement of Recognised
Income and Expenses 198
Program Statement –
Expenses and Revenues 199
Summary of Compliance with
Financial Directives 200
Notes to the Financial Statements 201
1. The reporting entity 201
2. S
 ummary of significant accounting policies 201
3. Transfer payments 201
4. Appropriations (transfer receipts) 202
5. Program/activity of the entity 202
6. Commitments 202
7. C
 ontingent liabilities and contingent assets 202

Housing NSW Annual Report 2006/07 191


Payments to other Government Bodies under the Control of the Minister

Independent Auditor’s Report


For the year ended 30 June 2007

192 Housing NSW Annual Report 2006/07


Payments to other Government Bodies under the Control of the Minister

Independent Auditor’s Report


For the year ended 30 June 2007

Housing NSW Annual Report 2006/07 193


Payments to other Government Bodies under the Control of the Minister

Statement by Minister
For the year ended 30 June 2007

194 Housing NSW Annual Report 2006/07


Payments to other Government Bodies under the Control of the Minister

Operating Statement
For the year ended 30 June 2007

Actual Budget Actual


2007 2007 2006
Note $’000 $’000 $’000

Expenses
Grants and subsidies – – –
Total Expenses 2 b) – – –
Revenue
Total Revenue 2 b) – – –
NET COST OF SERVICES – – –

Government contributions
Recurrent Appropriation (Net of Transfer Payments) 2 b) – – –
Total Government contributions – – –
SURPLUS/(DEFICIT) FOR THE YEAR – – –

The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 195


Payments to other Government Bodies under the Control of the Minister

Balance Sheet
As at 30 June 2007

Actual Budget Actual


2007 2007 2006
Note $’000 $’000 $’000

ASSETS 2 d) – – –
TOTAL ASSETS – – –

LIABILITIES 2 d) – – –
TOTAL LIABILITIES – – –

NET ASSETS – – –

EQUITY – – –

The accompanying Notes form an integral part of these accounts.

196 Housing NSW Annual Report 2006/07


Payments to other Government Bodies under the Control of the Minister

Cash Flow Statement


For the year ended 30 June 2007

Actual Budget Actual


2007 2007 2006
Note $’000 $’000 $’000

CASH FLOWS FROM OPERATING ACTIVITIES


Payments
Transfer payments – Housing Assistance Program 2 e) – – –
Total Payments – – –

Cash Flows from Government


Amount received for transfer to eligible beneficiaries 2 e) – – –
Net Cash Flows from Government – – –
NET CASH FLOWS FROM OPERATING ACTIVITIES – – –
NET INCREASE IN CASH – – –
Opening Cash and Cash Equivalents – – –
CLOSING CASH AND CASH EQUIVALENTS – – –

The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 197


Payments to other Government Bodies under the Control of the Minister

Statement of Recognised
Income & Expenses
For the year ended 30 June 2007

Actual Budget Actual


2007 2007 2006
Note $’000 $’000 $’000

TOTAL INCOME AND EXPENSES RECOGNISED


DIRECTLY IN EQUITY 2 c) – – –
Surplus/(Deficit) for the year – – –

TOTAL INCOME AND EXPENSES RECOGNISED FOR THE YEAR – – –

EFFECT OF CHANGES IN ACCOUNTING POLICIES AND CORRECTION


OF ERRORS – – –
Accumulated Funds – – –
Reserves – – –

The accompanying Notes form an integral part of these accounts.

198 Housing NSW Annual Report 2006/07


Payments to other Government Bodies under the Control of the Minister

Program Statement –
Expenses and Revenues
For the year ended 30 June 2007

Program 1* Not attributable Total


Administered Expenses and Revenues 2007 2006 2007 2006 2007 2006
$’000 $’000 $’000 $’000 $’000 $’000

Administered Expenses
Transfer Payments 532 945 531 174 – – 532 945 531 174
Total Administered Expenses 532 945 531 174 – – 532 945 531 174

Administered Revenues
Transfer receipts 532 945 531 174 – – 532 945 531 174

Total Administered Revenues 532 945 531 174 – – 532 945 531 174

Administered Revenues less Expenses – – – – – –

* The name and purpose of this program is summarised in Note 5.


The accompanying Notes form an integral part of these accounts.

Housing NSW Annual Report 2006/07 199


Payments to other Government Bodies under the Control of the Minister

Summary of Compliance
with Financial Directives

2007 2006
Recurrent Expenditure/ Capital Expenditure/ Recurrent Expenditure/ Capital Expenditure/
Appropriation Net Claim on appropriation Net Claim on Appropriation Net Claim on appropriation Net Claim on
Consolidated Consolidated Consolidated Consolidated
Fund Fund Fund Fund
$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000

Original Budget
Appropriation/
Expenditure
Appropriation Act 540 408 528 910 – – 518 294 514 174 – –
Additional
Appropriations – – – – – – – –
S26 PF & AA
– Commonwealth
specific purpose
payments – – – – – – – –
540 408 528 910 – – 518 294 514 174 – –

Other Appropriations/
Expenditure

(S27 of the
Appropriation Act) 4 035 4 035
(S28 of the – – – – – – – –
Appropriation Act) – – 17 000 17 000 – –
4 035 4 035 – – 17 000 17 000 – –
Total Appropriations/
Expenditure/
Net Claim on
Consolidated Fund
(being transfer
payments) 544 443 532 945 – – 535 294 531 174 – –
Amounts drawn
down against
Appropriation (being
transfer receipts) 532 945 – 531 174 –
Liability to
Consolidated Fund – – – –

The Summary of Compliance is based on the assumption that Consolidated Fund monies are spent first
(except where otherwise identified or prescribed).
The accompanying Notes form an integral part of these accounts.

200 Housing NSW Annual Report 2006/07


Payments to other Government Bodies under the Control of the Minister

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 1: The Reporting Entity b) Operating statement


The Entity “Payments to other Government Bodies under the The Entity’s sole purpose is to transfer amounts received from
control of the Minister” (the Entity) is a separate reporting body. The Government to eligible beneficiaries responsible for administering
Entity is responsible for the distribution of Government funding to the Housing Assistance Program in NSW. Transfer payments
all bodies under the control of the Minister for Housing. are amounts received by government agencies for transfer to
eligible beneficiaries consistent with the parameters established
These financial statements relate to a Department controlled by the
by legislation or other authoritative requirements and are not
Minister for Housing, pursuant to section 45A of the Public Finance
controlled by the agency. Accordingly, the Entity does not report
and Audit Act 1983.
income or expense in the Operating Statement.
The reporting entity is consolidated as part of the NSW Total State
Sector within the NSW State Sector Accounts. c) Statement of recognised income and expenses
The Entity has no items of income or expense recognised directly
Note 2: Summary of Significant in equity, in the current financial year and prior financial year.
Accounting Policies d) Balance sheet
a) Basis of preparation As stated in Note 2 b) above, the Entity is responsible for making
transfer payments to eligible beneficiaries and as a result, it does
The financial statements of the Entity are a general purpose
not hold assets or liabilities in the Balance Sheet.
financial report which have been prepared in accordance with
applicable Australian Accounting Standards, Australian Accounting e) Cash flow
Interpretations, the requirements of the Public Finance and Audit Cash flows resulting from transfer payments are not recognised
Act 1983 and Public Finance and Audit Regulation 2005. Where in the cash flow statement in accordance with Financial Reporting
there are inconsistencies between the accounting standards and Code.
legislative requirements, the legislative provisions have prevailed.
All amounts are rounded to the nearest one thousand dollars and f) Budgeted Amounts
are expressed in Australian currency. Budget amounts are not to include transfer payments in
The accounting policies adopted are consistent with those of the accordance with Financial Reporting Code.
previous year. Comparative information has been restated to reflect
current year’s disclosure.

Note 3: Transfer Payments


2007 2006
$’000 $’000
Transfer payments were made to:
NSW Land and Housing Corporation 491 172 481 884
Aboriginal Housing Office 41 773 48 890
Department of Infrastructure, Planning and Natural Resources – 400
532 945 531 174

Housing NSW Annual Report 2006/07 201


Payments to other Government Bodies under the Control of the Minister

Notes to and Forming Part


of the Financial Statements
For the year ended 30 June 2007

Note 4: Appropriations (Transfer Receipts)


2007 2006
$’000 $’000
Recurrent Appropriations (Transfer Receipts)
Total recurrent draw-downs from Treasury 532 945 531 174
Less: Liability to Consolidated Fund – –
532 945 531 174
Comprising:
Recurrent Appropriations
Transfer Payments 532 945 531 174
532 945 531 174

The recurrent appropriations drawn down by the Entity was provided by:
Commonwealth Government
Commonwealth State Housing Agreement
General Assistance (base funding) 245 255 243 465
Community housing 22 092 21 936
Aboriginal rental housing program 18 451 18 235
Crisis accommodation 13 691 13 593
Tenant Connect Initiative 4 035 0
303 524 297 229
Social Housing Subsidy Program 1 995 1 995
305 519 299,224
State Government
State matching 120 052 119 173
Other state funding 107 374 112 777
227 426 231 950
Total recurrent draw-down against appropriation 532 945 531 174

Note 5: Program/Activity of the Entity


Program 1 – Housing Policy and Assistance
Objective:
To ensure that housing assistance is planned and provided in
accordance with the broader Government objectives of achieving
secure and affordable accommodation for people on low incomes
or otherwise unable to access or maintain appropriate housing.

Note 6: Commitments
Nil. All amounts received from Government during the year were fully
transferred to eligible recipients for 2007 and 2006 (Notes 3 and 4).

Note 7: Contingent Liabilities and


Contingent Assets
The Entity is not aware of any contingent liabilities and contingent
assets associated with its operations (2006 – nil).

END OF AUDITED FINANCIAL STATEMENTS

202 Housing NSW Annual Report 2006/07


Index

Figures in bold denote the principal entry for the topic (where applicable).

A – leasing program 30 G
Abbreviations 103 – legislation 34 Gorokan 27
Aboriginal access strategy 31, 33 – My Place 83 Gordon Estate 23, 54-55
Aboriginal Advisory Boards 20 – Office of Community Housing 101 Governance 14-15, 64
Aboriginal and Torres Strait 18, 20, 33, 59, – planned maintenance program 36-37 Grants 85-87
Islander people 62, 63, 76, 77 – resourcing grants 35 Guarantee of Service 67
Aboriginal Housing Office 20, 21 – scholarship program 35
Aboriginal and Torres Strait Islander – stock transfer program 30 H
Mentoring Program 6, 62 Handypersons Program 57
Community Housing Advisory Committee 70
Aboriginal Reference Group 62 Headlease 22, 30
Community regeneration 53-55, 86
Administrative cost 13 Highlights 7, 16, 28, 38, 48,60
Complaints 89
Affordable housing 29-30, 44-45 HIV/AIDS (people living with) 31-32, 42
Connect IT 56
– community housing initiatives 44 Home ownership 45
Consultants 88
After-hours Temporary – Home Purchase Advisory Service 45, 101
Accommodation Line 39 Consumer response 88-90
Contact details 8, 98-102 Homelessness 39, 80
Airds Enterprise Centre 56
Corporate structure 14-15 – After-hours Temporary
Allocating clients 22 Accommodation Line 39
Annual report production costs 97 Corruption Prevention and
Ethics Committee 64, 70 – Crisis Accommodation Program 32
Antisocial behaviour 52 – Hunter Signpost Homelessness
Corruption prevention training 65
Appeals 89-90 Assessment and Referral Service 39
Cranebrook Technology Centre 56
Appendices (table of contents) 66 – Inner City Homelessness
Credit card certification 92 Action Plan - Phase Two 51-52
Asset and Liability
Management Committee 69 Crisis Accommodation Program 31-32, – Inner-city Homelessness Outreach
83, 85 and Support Service 52
Asset management 24-26
Cross-agency initiatives 83 – Partnership Against Homelessness 51, 83
Audit 64-65
Customer Council (Public Housing) 69 –W
 arwick Farm Temporary
Australian Housing and
Urban Research Institute 46 Accommodation Project 39
D Housing and Accommodation
Awards 27, 37, 40-41, 63, 65
Design Out Maintenance 25 Support Initiative 6, 32, 49, 80
B Director-General’s overview 5 Housing Appeals Committee 62
Bonnyrigg Living Communities Project 53 Disability (people with a) 18, 19, 79 Housing Communities
Disability Modifications Program 19, 79 Assistance Program 58, 86
Broken Hill, social housing project 33
Disability Action Plan 19 Housing Contact Centre 43
Building Stronger
Communities 23, 54-55, 57 Dubbo 23, 54-55 Housing and Human
Services Accord 49-50, 80, 83
Business assurance 64
E Housing register 23
Business hours 98-102
E-learning 61 Housing women 83-84
C Energy Matters 59 Human resources 75-76
Capability framework 61 Energy use 84
I
Capital supply 11, 21-22, 30, 32 Ethnic Affairs Priorities Statement 81-82
Implementation and Review Group 72
Centre for Affordable Housing 44-45 Equal employment opportunity 76-77
Independent Commission
Certificate IV in Social Housing 61 Executive 14-15, 73-75
Against Corruption 64
Client debt 12 External committees 71
Industrial relations 75
Client feedback 88-89 Infrastructure upgrade 65
F
Clients 10 Inner City Homelessness
Female officers in SES positions 73
Code of Conduct and Ethics 64, 68 Action Plan - Phase Two 51-52
Fire Safety Program 24-25, 36
Committees 69-72 Inner-city Homelessness
Financial statements 104 Outreach and Support Service 52
Commonwealth State
Housing Agreement 59 – NSW Department of Housing 104 Inner West Strategy 23
Community greening 55 – Rental Housing Assistance Fund 159 Insurance 65, 91
Community contracts 57 – Home Purchase Assistance Fund 175 Investment performance 91
Community housing 28-37 – Payment to Other
Government Bodies 191 J
– accreditation 34
Financial summary 11 Joint Guarantee of Service
– appeals 90
Fixed-term leases 17 for People with Mental Illness 50, 80
– assistance program 30, 83, 85
Freedom of information 92-95
– fire safety program 36
Funds 9, 11, 59
– insurance scheme 36
Housing NSW Annual Report 2006/07 203
Index

L Port Jackson Supported Staff training 61-62, 65


Landcom 5 Housing Program 32 State Plan 5, 6
Landscaping traineeships 57-58 Port Macquarie Redevelopment 23 Statement of Satisfactory Tenancy 44
Leadership program 61 Prevention of workplace bullying 63 Statistical summary 9
Learning and employment coordinators 57 Priority housing 23 Staying Home Leaving Violence Pilot 52, 83
Legislation and legal change 8, 95-96 Privacy management plan 95 Stock transfer program 30, 72
Letter of submission to Minister 4 Private Rental Brokerage Service 43, 83 Stock Transfer Steering Committee 72
Level of assistance 12 Private rental assistance 40-43, 44, 83 Supported housing 39-40, 49-51
Liability management performance 91 – Rentstart 40-41, 83 Supported Accommodation
Lifts, retrofitting 26 – Rentstart by Phone 41-42 Assistance Program 32
Link Point 42 – Special Assistance Subsidy 42
Private Rental Options Package 42-43 T
Local Government Housing Kit 45
– Link Point 42 TAFE NSW 27
M – Private Rental Brokerage Service 43, 83 Targeting and tenure 17
Maintenance 11, 13, 24, 36-37, 47 – Tenancy Guarantee 42, 83 Targeting of assistance 12
Maintenance Reform Program 24 Procurement savings 64 Temporary accommodation 39
Management and structure 14-15, 68-75 Project Eden 65 Tenancy facilitation 42
Management reforms 64-65 Project management and change 63 Tenancy Guarantee 42, 80, 83
Mental illness (people living with) 19, 49 Properties, social housing numbers 21 Tenant employment 56-58
Message from the Minister 2-3 Property disposal 26, 84 Tenant participation 58, 87
Minto Renewal Project 53-54 Property Disposal Assessment Panel 26 Tenancy reform 52
Mortgage Assistance Scheme 45 Property upgrading 24 Tenant representation 58
Publications 96-97 Thermal performance 46
N Traineeships (landscaping) 57-58
Public housing (general) 21-23
National Framework for Training and employment 56-58
Public housing appeals 89-90
Affordable Housing 30-31 Transition assistance 44
Purpose inside cover
National Housing Conference 6 – Rentstart Move 44
Neighbour Aids 51 R – Statement of Satisfactory Tenancy 44
New England Whole of Redfern Redevelopment 23 Two Ways Together 20
Social Housing Project 33, 50
Remote Responsive Reduction
New Products and Services Maintenance Pilot 47 U
Initiatives Steering Committee 71
Rent and sales report 46 Upgrading assets 24
Non-government Organisations New
ProductsReference Group 70 Rent arrears 13
V
Northcott Estate 51 Rental assistance 40-43, 44, 83
Vacancy management 12
Rentstart 40-42, 83
O Values 1
Rentstart by Phone 41-42
Objectives inside cover Rentstart Move 44
W
Occupational health and safety 63, 77-78 Reshaping Public Housing 17-18, 80
Waste and energy management 46, 59, 84
Older people 18, 26, 83 Research and development 46, 88
Water charges 17-18
Organisational chart 14-15 Resitech 26-27
Water efficiencies 17
Over 60s 18 Resourcing agencies 86
Water management 17
Overseas travel 75 Responsive maintenance 13, 25
Where to find us 98-102
Risk management 65, 91
P Whole-of-government initiatives 40
Risk Management and 64, 65, 69, 91
Partnership Against Women 62, 73, 83-84
Audit Committee
Homelessness 51-52, 83 Women in housing 83-84
Riverwood 19
Partnerships in supported housing 40, 79 WorkVentures Connect 56
Payment of accounts 90 S Workers’ compensation 78
Personnel policies and practices 75 Senior executives 14-15, 73-75 Workforce planning 61
Performance indicators 12-13 Shoalhaven Community Housing and WorkiT 56
Performance Based Scheme Community Housing Limited 45
Registration System 6, 34, 35 Social Housing Broken Hill Project 33 Y
Plain English policy 43-44 Special Assistance Subsidy Young People’s Housing Action Plan 40
Planned maintenance 24, 36 Program 19, 42, 79 Youth 40
Planning for the Future 29 Staff 61-62, 75-76 Youth Scholarships 40-41
Youth Achievement Awards 40-41
204 Housing NSW Annual Report 2006/07
HOUSING NSW
223–239 LIVERPOOL ROAD
ASHFIELD, NSW 2131

TELEPHONE 02 8753 8000


FACSIMILIE 02 8753 8888
www.housing.nsw.gov.au

You might also like