Community Services (Aboriginal Council) Accounting Standard 2002
COMMUNITY SERVICES (ABORIGINAL COUNCIL) ACCOUNTING STANDARD
2002
QueenslandCommunity
Services (Aborigines) Act 1984COMMUNITYSERVICES(ABORIGINALCOUNCIL)ACCOUNTINGSTANDARD2002Reprinted as in force on 7 June
2002(standard not amended up to this
date)Reprint No. 1This reprint is
prepared bythe Office of the Queensland Parliamentary
CounselWarning—This reprint is not an authorised
copyNOT FURTHER AMENDEDLAST REPRINT
BEFORE REPEALSee 2004 SL No. 323 s 105
Information about this reprintThis
standard is reprinted as at 7 June 2002.See endnotes for
information about when provisions commenced.
s15s3Community Services (Aboriginal Council)
AccountingStandard 2002COMMUNITY
SERVICES (ABORIGINALCOUNCIL) ACCOUNTING STANDARD 2002[reprinted as in force on 7 June
2002]PART 1—PRELIMINARY1Short
titleThisstandardmaybecitedastheCommunityServices(AboriginalCouncil)
Accounting Standard 2002.2DictionaryThedictionaryinschedule2definesparticularwordsusedinthisstandard.PART 2—ADMINISTRATIONDivision 1—Financial information management,
control environmentand internal controls3Financial information management(1)AnAboriginalcouncilmustdevelopandimplementasystemformanaging its financial information.(2)The system must provide for the
following—(a)ensuring financial transactions in
which the council is involvedare recorded
accurately, completely and promptly;(b)respondingtoreasonablerequestsforinformationwithinareasonable time;
s46s5Community Services (Aboriginal Council)
AccountingStandard 2002(c)providing information on a cost-effective
basis;(d)providing relevant and reliable
information;(e)providing safe custody for its
financial information;(f)ensuring the
privacy of personal information.(3)Before introducing a computerised financial
information system, orsignificantlychangingacomputerisedfinancialinformationsystem,thecouncil’s accountable officer must
consult with—(a)thepersonimmediatelyresponsibleforthecouncil’sinternalaudit
function, if relevant; and(b)the
auditor-general.4Control environment(1)AnAboriginalcouncil’saccountableofficermustdevelopandimplement a control environment within the
council, including each of thefollowing—(a)a strong emphasis on accountability,
best practice managementof the council’s resources and
internal control;(b)anorganisationalstructure,anddelegations,supportiveofthecouncil’s goals
and operations;(c)employment of qualified and competent
officers, training of theofficers and assessment of their
performance;(d)if the council controls another
entity—the efficient, effective andeconomicoperationoftheentityandthemaintenanceofaccountability for it.(2)In
this section—“resources”,ofanAboriginalcouncil,meansthecouncil’srevenue,expenses, assets, liabilities and
information.5Internal control(1)AnAboriginalcouncil’saccountableofficermustdevelopandimplement internal controls for any
computerised system for managing thecouncil’s
financial information.
s67s7Community Services (Aboriginal Council)
AccountingStandard 2002(2)The
internal controls must provide for the following—(a)controlling access to the
system;(b)maintaining an adequate audit trail
for the system;(c)controllingthedevelopmentof,orchangesto,thecouncil’ssoftware
applications for the system;(d)recovering the information if there is a
breakdown of the system.Division 2—Financial management
policies6Policies to be developed by an
Aboriginal councilAnAboriginalcouncilmustdevelopfinancialmanagementpoliciesabout
the following—(a)contracts for the performance of work,
or provision of goods orservices, having a cost of less than
$5 000;(b)debtors, including procedures to be
followed by the council in—(i)dealing with
trade debtors; and(ii)collecting rent;(c)lending amounts to adult residents of its
council area;(d)asset management;(e)internal audit;(f)delegations within the council;(g)the payment of allowances to the
council’s members;(h)conflicts of interest of the council’s
members and officers;(i)the disposal of
an asset having a market value of not more than$5 000.7Policy for lending to adult resident
of a council areaA policy adopted by an Aboriginal council,
under section 27AA of theAct, for the lending of amounts to an
adult resident of its council area muststate the
following—
s88s8Community Services (Aboriginal Council)
AccountingStandard 2002(a)the
maximum amount that may be borrowed by the resident;(b)howtheloanmustberecordedinthecouncil’sinformationsystem;(c)that a loan agreement for the loan
must be entered into by thecouncil and resident;(d)the terms to be incorporated in the
loan agreement, including, forexample, the
interest rate for the loan;(e)the maximum
repayment period for the loan;(f)the
source of funding for the loan;(g)the
procedures to be followed by the council if there is a
defaultby the borrower under the loan
agreement.8Policy for conflicts of
interest(1)AnAboriginalcouncil’spolicyaboutconflictsofinterestofthecouncil’s members and officers must
provide for the following—(a)the principles
that are to guide, and procedures to be followed by,the
members and officers in dealing with situations that may
giverisetoaconflictofinterestoraperceptionofaconflictofinterest;(b)how
the principles and procedures are to be made known to themembers and officers;(c)thedeclarationbyacouncilmemberofagiftreceivedbythememberrelatingtotheperformanceofthemember’sdutiesunder
the Act;(d)thedeclarationbyacouncilofficerofagiftreceivedbytheofficer relating to the officer’s
employment;(e)recording details of a gift declared
under paragraph (c) or (d),and how the gift is to be dealt with,
by the council;(f)thedisclosuretothecouncilofadirectorindirectfinancialinterest a council officer has in an issue
considered, or about tobe considered, at a council
meeting.
s
99s 10Community
Services (Aboriginal Council) AccountingStandard
2002(2)In this section—“gift”includes—(a)a
gift of entertainment, hospitality, travel or other benefit;
and(b)a gift of a valuable item of
property.PART 3—ACCOUNTINGDivision
1—Revenue9Revenue management system(1)AnAboriginalcouncilmustdevelopandimplementasystemformanaging its revenue.(2)The
system must provide for the following—(a)promptly identifying and calculating, and
accurately recording,revenue;(b)promptly collecting revenue;(c)ensuring that the protection,
recording and banking of revenuecomply with
sections 24 and 26;1(d)promptly
identifying cash surpluses and deficiencies.Division
2—Expenses10Expense identification and control
system(1)AnAboriginalcouncilmustdevelopandimplementasystemforidentifying and controlling its
expenses.1Sections 24 (Protection of assets) and
26 (Action to be taken when loss of assetidentified)
s
1110s 12Community
Services (Aboriginal Council) AccountingStandard
2002(2)The system must provide for the
following—(a)promptly identifying and calculating,
and accurately recording,expenses;(b)requiring appropriate approval before
incurring an expense;(c)ensuring an
expense is only incurred for authorised purposes.11Expenditure in emergent or
extraordinary circumstances(1)Before,orassoonaspracticableafter,incurringanexpensetoaddressemergentorextraordinarycircumstances,anAboriginalcouncilmust
make a resolution at a council meeting authorising the
expenditure.(2)The resolution must state how the
expenditure is to be funded.Division
3—Contracts12Entering into, amending or terminating
contracts(1)Beforeenteringintoacontract,anAboriginalcouncilmusthaveregard to the
following principles (the“contract principles”)—(a)open and
effective competition;(b)value for
money;(c)enhancement of the capabilities of
local business and industry;(d)environmental protection;(e)ethical behaviour and fair
dealing;(f)enhancementofemploymentopportunitiesforAboriginalpeople.(2)AnAboriginalcouncilmayonlyenterinto,amendorterminateacontract under its seal.
s
1311s 15Community
Services (Aboriginal Council) AccountingStandard
200213Contract performance guarantees(1)An Aboriginal council must develop and
implement a system for—(a)deciding whether
a contract, to be entered into by the council,mustprovideforthecontractortogivesecurityfortheperformance of the contract;
and(b)managing the council’s contract
performance guarantees.(2)In this
section—“contract performance guarantee”,ofanAboriginalcouncil,meansasecurity given by or for a contractor for
the performance of 1 or moreof the
contractor’s obligations under a contract with the council.14When quotations are required(1)ThissectionappliesifanAboriginalcouncilrequiresworktobeperformed, or
goods or services to be supplied, having a cost of at least$5 000
but less than $30 000.(2)Before entering
into a contract for the performance of the work, orsupplyofthegoodsorservices,thecouncilmustinviteatleast3 appropriate
persons to give quotations for the performance or supply.(3)However,ifthecouncilisreasonablysatisfiedthereareonly2 appropriate persons who can give the
quotations, the invitation need onlybe extended to the
2 persons.(4)This section is subject to section
16.(5)In this section—“appropriatepersons”meanspersonswhothecouncilreasonablyconsiders will be
able to meet its requirements for the performance orsupply at a competitive price.15When tenders are required(1)ThissectionappliesifanAboriginalcouncilrequiresworktobeperformed, or
goods or services to be supplied, having a cost of $30 000
ormore.(2)Before entering
into a contract for the performance of the work, orsupplyofthegoodsorservices,thecouncilmustinvitetendersfortheperformance or
supply.
s
1612s 16Community
Services (Aboriginal Council) AccountingStandard
2002(3)The invitation must—(a)be made by advertisement published in
a newspaper circulatingin the council’s council area;
and(b)allow at least 21 days after the
publication of the advertisementfor the
submission of tenders.(4)Subsection (5)
applies if the invitation states the council may invitepersonswhosubmittenderstoamendthetenderstotakeaccountofachange in the tender specifications
advised by the council.(5)The council may
invite the persons to amend their tenders to takeaccount of the change.(6)However,anAboriginalcouncilmayenterintoacontractforthepurchase of a motor vehicle or
self-propelled machinery having a cost of$30 000 or more,
without complying with subsection (2), if before enteringinto
the contract—(a)thecouncilinvitedatleast3appropriatepersonstogivequotations for
the supply of the motor vehicle or machinery; or(b)if the council is reasonably satisfied
there are only 2 appropriatepersonswhocangivequotationsforthesupplyofthemotorvehicle or
machinery—the council invited the 2 persons to givethe
quotations.(7)This section is subject to sections 16
and 18.(8)In this section—“appropriatepersons”meanspersonswhothecouncilreasonablyconsiders will be
able to meet its requirements for the supply of themotor
vehicle or machinery at a competitive price.16Exceptions to requirement to seek quotations
or tenders(1)An Aboriginal council may enter into a
contract, for the performanceofworkorsupplyofgoodsorservices,mentionedinsection14or15without complying
with the section if—(a)it is satisfied there is only 1
supplier reasonably available to it forthe performance
or supply; or(b)it is satisfied an emergency exists
for entering into the contract;or
s
1713s 17Community
Services (Aboriginal Council) AccountingStandard
2002(c)the contract is entered into under a
purchasing arrangement, forthe council, established under section
17; or(d)the contract is entered into
with—(i)the State or an entity of the State;
or(ii)anotherlocalgovernmentoranentityofanotherlocalgovernment; or(iii)the
Commonwealth or an entity of the Commonwealth; or(iv)a local government, or an entity of a
local government, inanother State; or(e)the
contract is entered into under an LGA arrangement within themeaningoftheLocalGovernmentFinanceStandard1994,section 2.(2)Also,
an Aboriginal council may enter into a contract mentioned insection14or15forthesupplyofgoods,withoutcomplyingwiththesection, if it successfully bids for
the goods at an auction.17Establishing
purchasing arrangement for an Aboriginal council(1)IfanAboriginalcouncilproposestoestablishapurchasingarrangementforthecouncil,itmustinvitepersonstotenderforthearrangement.(2)The
invitation must—(a)be made by advertisement published in
a newspaper circulatingin the council’s council area;
and(b)allow at least 21 days after the
publication of the advertisementfor the
submission of tenders.(3)In considering a
tender, the council must have regard to the contractprinciples.(4)An
Aboriginal council must ensure a purchasing arrangement for
thecouncil enables the council to—(a)regularly review the arrangement;
and(b)cancel the arrangement because of the
poor performance of theprovider or supplier under the
arrangement.
s
1814s 19Community
Services (Aboriginal Council) AccountingStandard
2002(5)An Aboriginal council must not
establish a purchasing arrangementfor the council
for a period of more than 2 years, unless it is reasonablysatisfied it is more economical to establish
the arrangement for the period.18Calling for expressions of interest(1)Subsection (2) applies if an
Aboriginal council resolves, at a councilmeeting,thatitwouldbeinthepublicinteresttoinviteexpressionsofinterest for the performance of work, or
supply of goods or services, havinga cost of $30 000
or more.(2)The council may invite expressions of
interest for the performance orsupply.(3)The resolution must state the reasons
for making the resolution.(4)The invitation
for expressions of interest must—(a)be
made by advertisement published in a newspaper circulatingin
the council’s council area; and(b)allow
at least 21 days after the publication of the advertisementfor
the submission of expressions of interest.(5)The
council may short list the persons who respond to the
invitationand invite the persons on the short list to
tender for the performance orsupply.19Acceptance of quotation or
tender(1)In deciding which quotation or tender
for the performance of work,orsupplyofgoodsorservices,toaccept,anAboriginalcouncilmustaccept the quotation or tender most
advantageous to it.(2)Indecidingthequotationortendermostadvantageoustoit,thecouncil must have
regard to the contract principles.(3)However,anAboriginalcouncilmaydecidenottoacceptanyquotation or tender available to
it.
s
2015s 22Community
Services (Aboriginal Council) AccountingStandard
200220Safekeeping, and register, of
contracts(1)An Aboriginal council must—(a)keep the council’s contracts in its
possession in a secure place;and(b)keeparegisterofthecouncil’scontractsinitspossessionorcontrol.(2)In
this section—“contracts”, of an
Aboriginal council, means contracts entered into by thecouncil.Division
4—Assets21Asset identification and control
system(1)An Aboriginal council must develop and
implement a system for theidentification and control of its
assets.(2)The system must provide for the
following—(a)promptly identifying and recording
assets;(b)using assets appropriately and
efficiently;(c)using assets for authorised purposes
only;(d)protecting assets from loss;(e)acquiring and disposing of
assets;(f)writing off assets.(3)Also, the system must include adequate
internal controls.22Non-current physical assets(1)An Aboriginal council must, by
resolution made at a meeting of thecouncil, set an
amount (the“threshold amount”) below which the
value ofa non-current physical asset owned by it must
be treated as an expense inthe council’s records.
s
2316s 23Community
Services (Aboriginal Council) AccountingStandard
2002(2)The threshold amount must not be more
than $1 000.(3)The threshold amount may be a
different amount for different classesof non-current
physical assets.(4)The threshold amount for a class of
non-current physical assets mustbe—(a)recorded in the council’s
administration and financial proceduresmanualpreparedundertheCommunityServices(Aborigines)Regulation
1998, section 47; and(b)stated in the council’s annual financial
statements.(5)Thecouncilmustkeeparegistercontainingdetailsofeachofitsnon-currentphysicalassetswhosevalueisequaltoormorethanthethreshold amount for the class of
non-current physical assets to which theasset
belongs.(6)If a non-current physical asset has,
on acquisition by the council, avalue that is
equal to or more than the threshold amount for the class ofnon-current physical assets to which the
asset belongs, the acquisition mustbe treated as a
capital acquisition in the council’s records.(7)If a
non-current physical asset has, on acquisition by the council,
avaluethatislessthanthethresholdamountfortheclassofnon-currentphysical assets to
which the asset belongs, the acquisition must be treatedas an
expense in the council’s records.(8)For
each asset whose details are recorded in the register, the
councilmust keep the documents, that were the basis
for the recording, in a secureplace.(9)At least once a financial year, the
council must conduct a stocktake toverify the
existence of the assets whose details are recorded in the
register.(10)The stocktake’s outcome must be
reconciled with the details in theregister and any
discrepancy must be investigated by the council.(11)If, because of the stocktake, a loss
of an asset is identified, the lossmust be dealt with
by the council under section 26.23Maintenance of assets(1)AnAboriginalcouncil’saccountableofficermustdevelopandimplement a system for the maintenance of the
council’s assets.
s
2417s 26Community
Services (Aboriginal Council) AccountingStandard
2002(2)The system must provide for the assets
remaining appropriate, andproductive, at the lowest possible
long-term cost.24Protection of assets(1)AnAboriginalcouncil’saccountableofficermustdevelopandimplement a system for the protection of its
assets.(2)The system must provide for the
following—(a)cash,notrequiredforthecouncil’sday-to-dayrequirements,being deposited
with a financial institution;(b)access to the assets being restricted to
authorised persons;(c)the assets not being used for private
purposes, or being kept withprivate property,
without the council’s written approval;(d)receiptforms,chequeforms,purchaseorderformsandotheraccounting forms
being securely stored and access to the formsbeing restricted
to authorised persons;(e)a register of
accounting forms being kept up-to-date.(3)An
Aboriginal council must ensure any property held in trust by
thecouncil is recorded separately to its
recording of other assets.25Asset
insuranceAn Aboriginal council must—(a)maintain insurance cover for its
assets; and(b)ensure the adequacy of the cover is
reviewed annually; and(c)keep a register
of the details of the cover.26Action to be taken when loss of asset
identified(1)If an Aboriginal council’s accountable
officer becomes aware of aloss of a council asset, the officer
must as soon as practicable—(a)investigate the circumstances of the loss;
and(b)prepareawrittenreportabouttheloss,includingarecommendation about what action needs
to be taken to preventthe loss recurring.
s
2718s 29Community
Services (Aboriginal Council) AccountingStandard
2002(2)The accountable officer must table the
report at the first meeting ofthe council after
the report is prepared.(3)If the
accountable officer reasonably suspects the loss is a result of
anoffence under the Criminal Code or another
Act, the accountable officermust also give
written notice about the loss to—(a)a
police officer; and(b)the auditor-general.27Register of losses of assets(1)An Aboriginal council’s accountable
officer must keep a register oflosses of its
assets, including money.(2)The register must
include the following details about each loss—(a)a
description of the asset, including its value;(b)the
reason for the loss;(c)action taken about the loss,
including, for example, action takento obtain
reimbursement;(d)details about any approval, under
section 28, for writing off theloss.28Writing off loss of assetA
loss of an Aboriginal council’s asset may only be written off with
theapproval of the council, given by resolution
made at a council meeting.29Revaluation of
non-current physical assets(1)The following
non-current physical assets of an Aboriginal councilmust
be revalued by a registered valuer at least once every 5
years—(a)buildings;(b)freehold land.(2)Therevaluationofanasset,underthissection,mustatleastestablish—
s
3019s 30Community
Services (Aboriginal Council) AccountingStandard
2002(a)the asset’s fair value; and(b)the asset’s estimated residual value;
and(c)the asset’s insurable value.(3)In this section—“fairvalue”,ofanasset,meanstheamountthatmayreasonablybeexpected to be exchanged for the asset
between knowledgeable andwilling parties in an arm’s-length
transaction.“registeredvaluer”meansavaluerregisteredundertheValuersRegistration Act
1992.30Disposal of
assets(1)An Aboriginal council may only dispose
of an asset having a marketvalue of more than $5 000 by auction or
tender.(2)If an Aboriginal council intends to
dispose of an asset by tender, theinvitation to
tender must—(a)be made by advertisement published in
a newspaper circulatingin the council’s council area;
and(b)allow at least 21 days after the
publication of the advertisementfor the
submission of tenders.(3)Thecouncilmustacceptthetender,receivedinresponsetotheinvitation, most advantageous to
it.(4)However, subsection (1) does not apply
if—(a)the disposal is to—(i)the State or an entity of the State;
or(ii)anotherlocalgovernmentoranentityofanotherlocalgovernment; or(iii)the
Commonwealth or an entity of the Commonwealth; or(iv)a local government, or an entity of a
local government, inanother State; or(b)the
asset had been offered for sale under subsection (1), but
wasnot sold; or
s
3120s 32Community
Services (Aboriginal Council) AccountingStandard
2002(c)the asset is being traded-in, for a
fair price, on an item of plantand
equipment.(5)Ifsubsection(4)(b)applies,thecouncilmustensurethepriceobtained on the
disposal must not be less than the highest bid or tendermade
for the asset when it was offered for sale under subsection
(1).(6)In this section—“disposal”, of
an asset, includes its sale.Division
5—Liabilities31Liability identification and
control(1)An Aboriginal
council must develop and implement a system for theidentification and control of its
liabilities.(2)The system must provide for the
following—(a)only incurring liabilities with
appropriate authority;(b)promptly
identifying, calculating and recording liabilities;(c)establishingandmaintainingadequateinternalcontrolsoverliabilities;(d)satisfying liabilities.32Public liability insuranceAn
Aboriginal council must—(a)maintain public
liability insurance cover for the council and itsmembers and officers; and(b)ensure the adequacy of the cover is
reviewed annually; and(c)keep a register
of the details of the cover.
s
3321s 33Community
Services (Aboriginal Council) AccountingStandard
2002Division 6—Enterprise management33Aboriginal council’s enterprise(1)This section applies to a function, or
an operation, of an Aboriginalcouncil that the
council has resolved, at a council meeting, to perform withthe
intention of making a profit (an“enterprise”).(2)The council’s accountable officer
must—(a)prepare a trading statement for the
enterprise each month; and(b)table the
statement at the first meeting of the council after thestatement is prepared.(3)A
trading statement for the enterprise must include a report on
detailsofinventorymovementsoftheenterpriseasprovidedinAAS
2—Inventories.(4)The council’s accountable officer must
ensure that—(a)subjecttosubsections(5)and(6),atleast1stocktakeoftheenterprise’s inventory is carried out
each month; and(b)details of discrepancies identified by
the stocktake are includedin a report on details of the
enterprise’s inventory movements forthe month in
which the discrepancy was identified; and(c)discrepancies identified by the stocktake
are investigated by theofficer.(5)If
the council resolves at a council meeting that, because of the
natureoftheenterprise’sinventory,itisimpracticabletocarryoutatleast1 stocktake of the
inventory each month, the stocktake may be carried outless
frequently.(6)However,ifsubsection(5)applies,atleast1stocktakeoftheinventory must be carried out each
financial year.
s
3422s 35Community
Services (Aboriginal Council) AccountingStandard
2002PART 4—INTERNAL CONTROL AND INTERNALAUDIT34Review of internal controlsAn
Aboriginal council’s accountable officer must—(a)at
least once a financial year, conduct a review of, and prepare
awrittenreportabout,theinternalcontrolsforthecouncil’saccounting, information and administrative
systems; and(b)table the report at the first meeting
of the council after the reportis
prepared.35Internal audit(1)An
Aboriginal council must have an internal audit policy
consistentwiththeauditingstandardsofCPAAustralia,theInstituteofInternalAuditors and The
Institute of Chartered Accountants in Australia.(2)Withoutlimitingsubsection(1),thepolicymustdealwiththefollowing—(a)the
scope of the council’s audit function;(b)the
independence of the function;(c)competence and standards;(d)the conduct of audit work;(e)audit planning;(f)confidentiality.(3)The
person who is responsible for conducting internal audits for
anAboriginal council must—(a)conduct at least 1 internal audit each
financial year and prepare awritten report on
the audit; and(b)table the report at the first meeting
of the council after the reportis
prepared.
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3623s 36Community
Services (Aboriginal Council) AccountingStandard
2002PART 5—OTHER MATTERS36Keeping financial information(1)AnAboriginalcouncilmustkeepitsfinancialinformation,initsoriginal form, for—(a)if
the information relates to 1 financial year—1 year after the
daytheauditor-generalhascertifiedthecouncil’sannualfinancialstatements for
the financial year; or(b)if the
information relates to more than 1 financial year—1 yearafter
the day the auditor-general has certified the council’s
annualfinancial statements for the last of the
financial years to which theinformation
relates.(2)After the period for which financial
information must be kept undersubsection (1) has
ended, the information may be kept in another form.(3)Despite subsection (1), an Aboriginal
council must keep the financialinformation
mentioned in schedule 1 for not less than the period
mentionedin the schedule for the information.(4)An Aboriginal council must ensure
financial information that may berequired in
evidence in a proceeding, or for auditing, is kept until no
longerrequired even if—(a)forfinancialinformationmentionedinschedule1—theperiodmentioned in the
schedule for the information has ended; or(b)forotherfinancialinformation—theperiodmentionedinsubsection (1) for the information has
ended.(5)ThissectionapplieseveniftheStatearchivisthasauthorisedthedisposal of the financial information.(6)In this section—“anotherform”,forkeepingfinancialinformation,meanskeepingtheinformation in a form that—(a)ensures the integrity and reliability
of data; and(b)enablesittobereproducedwithorwithouttheaidofanotherarticle or
device.
24Community Services (Aboriginal Council)
AccountingStandard 2002“State
archivist”means the person appointed as State
archivist under theLibraries and Archives Act 1988,
section 57.237Legal
documents(1)An Aboriginal council must—(a)keep legal documents in its possession
in a secure place; and(b)keep a register
of legal documents in its possession or control.(2)In this section—“legal
documents”includes certificates of title, contractors’
security bonddocuments, insurance policies, investment
certificates and leases, butdoes not include
contracts entered into by the council.2Now
see thePublic Records Act 2002, sections 21 and
59.
25Community Services (Aboriginal Council)
AccountingStandard 2002SCHEDULE
1MINIMUM PERIODS FOR KEEPING FINANCIALINFORMATIONsection 361.20 years after the financial year to
which the following financialinformation
relates—•thecentralaccountingrecord,including,forexample,thegeneralledgeror,ifcashaccountingonlyisused,thesummary cash book or similar
document.2.10 years after the financial year to
which the following financialinformation
relates—•main transaction summary records,
including, for example,general journals and transaction
summaries•internal audit reports•system appraisals.3.5
years after the financial year to which the following
financialinformation relates—•primary evidentiary records, including, for
example, copiesofformsissuedforvalue,voucherstosupportpaymentsmadeincludingpaysheetsandacquittancesforcashpaymentsandcheques(ifreturned),chequejournals,invoice(sales)journals,abstractsandsimilarrecordsassociated with the receipt or payment of
money•subsidiary ledgers, including, for
example, inventory cards,accounts payable, accounts receivable
and records relatingtoassetsnolongerheldorliabilitiesthathavebeendischarged•supplementary or partial type
accounting records, including,for example, cash
register strips, bank statements and timesheets.
26Community Services (Aboriginal Council)
AccountingStandard 2002SCHEDULE 1
(continued)4.2 years after the financial year to
which the following financialinformation
relates—•generalandincidentalsourcedocumentsnotincludedinitems1to3,including,forexample,stockissueandreceivable notes, copies of official orders,
other than copiesused to substantiate payments or for
unperformed contracts,bankdepositbooks,bankstatementsandcashbypostbooks.
27Community Services (Aboriginal Council)
AccountingStandard 2002SCHEDULE
2DICTIONARYsection 2“AAS”means the Australian Accounting
Standards issued jointly by or forthe National
Councils of CPA Australia and The Institute of CharteredAccountants in Australia.3“accountable officer”, of
an Aboriginal council, means the council’s clerk.“annualfinancialstatements”,ofanAboriginalcouncil,meansthefinancial statements mentioned in
section 32A of the Act.“clerk”, of an
Aboriginal council, means—(a)the person
appointed as the council’s clerk under theCommunityServices (Aborigines) Regulation 1998,
section 51; or(b)thepersonappointedtoactasthecouncil’sclerkundertheCommunity Services (Aborigines) Regulation
1998, section 53.“contract
principles”see section 12(1).“CPA
Australia”means CPA Australia ACN 008 392 452.“financial information”, of an
Aboriginal council, means a document thatis part of, or
used for, the council’s financial records.“goods”includes products and items.“informationsystem”,ofanAboriginalcouncil,meansthemethods,mechanismsandrecordsestablishedwithinthecounciltoidentify,assemble,
analyse, classify, record and report transactions and otherevents affecting the council.“internal control”, of an
Aboriginal council, means the methods adoptedwithin the
council—3AAS may appear with a number and a
title, for example, AAS 2—Inventories.
28Community Services (Aboriginal Council)
AccountingStandard 2002SCHEDULE 2
(continued)(a)to safeguard its assets; and(b)tochecktheaccuracyandreliabilityofitsaccountinginformation.“loss”,ofanAboriginalcouncil’sasset,meansadecreaseineconomicbenefit to the
council because of an unauthorised act or omission inrelation to the asset.“non-current
physical assets”, of an Aboriginal council, means the
assetsthecouncilmayreasonablyexpectwillprovideitwitheconomicbenefits for more
than 1 year, including, for example, buildings, landand
plant and equipment.“purchasingarrangement”,foranAboriginalcouncil,meansanarrangement for the performance of
work for, or supply of goods orservices to, the
council under agreed pricing conditions or at an agreedprice
for a stated period.“services”includes
professional services.“system”,ofanAboriginalcouncil,meansasetofassociatedpolicies,procedures, controls and information systems
that combine to recordand manage certain financial tasks and
transactions of the council.
29Community Services (Aboriginal Council)
AccountingStandard 2002ENDNOTES1Index to endnotesPage2Date to which amendments incorporated
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
.293Key . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . .294List of
legislation . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . .302Date
to which amendments incorporatedThis is the
reprint date mentioned in the Reprints Act 1992, section
5(c).However, noamendments have
commenced operation on or before that day.Future amendments
of theCommunity Services (Aboriginal Council)
Accounting Standard 2002 may be made inaccordance with
this reprint under the Reprints Act 1992, section 49.3KeyKey to
abbreviations in list of legislation and annotationsKeyAIAamdamdtchdefdivexpgazhdginslapnotfdo in comorigpparaprecpresExplanation=Acts
Interpretation Act 1954=amended=amendment=chapter=definition=division=expires/expired=gazette=heading=inserted=lapsed=notified=order
in council=omitted=original=page=paragraph=preceding=presentKeyprev(prev)procprovptpubdR[X]RArelocrenumrepsschsdivSIASIRSLsubunnumExplanation=previous=previously=proclamation=provision=part=published=Reprint No.[X]=Reprints Act 1992=relocated=renumbered=repealed=section=schedule=subdivision=Statutory Instruments Act 1992=Statutory Instruments Regulation
1992=subordinate legislation=substituted=unnumbered
